Choice Hotels International announced that Patrick Pacious will step down as president and CEO, effective May 20. The company did not provide a reason for his departure.
Choice Hotels has appointed Dominic Dragisich, chief growth and strategy officer, as interim CEO. The board of directors will conduct a “comprehensive search in partnership with a leading executive search firm” to identify the company’s next chief executive officer, considering all qualified internal and external candidates, according to a Wednesday news release.
Pacious will serve as an advisor to Choice Hotels through Aug. 31, 2026, to support the leadership transition. He has worked at the company for 21 years, taking over as CEO in 2017, per the release.
During his tenure, Choice Hotels expanded its portfolio from 11 to 22 brands, particularly growing its presence in the upscale and extended stay segments through the acquisitions of WoodSpring Suites and Radisson Hotels Americas. His tenure also saw Choice Hotels’ attempt to take over economy segment competitor Wyndham Hotels & Resorts in 2023. That effort was not successful.
“Leading Choice Hotels has been the greatest privilege of my career,” Pacious said in a Wednesday statement. “Together, we have built a higher-quality portfolio of hotels, a more accretive, diverse pipeline, and a capital-light model that enables the Company to capture significant opportunities ahead. Having laid the foundation for a customer-centric, AI-enabled business, in alignment with our long-term strategic plan, now is the right time for a new leader to guide Choice Hotels into its next phase of growth. I look forward to partnering with the Board, Dom and the entire leadership team to facilitate a smooth transition.”
Choice Hotels and Pacious entered into a transition and separation agreement on May 20, according to a filing with the U.S. Securities and Exchange Commission. Pursuant to the agreement, Pacious will continue to receive his base salary, along with continuation of all employee benefits and perks (other than the use of the corporate aircraft for personal travel) during the transition period.
Dragisich, meanwhile, will receive a cash bonus of $500,000 to be paid on Dec. 31, 2026, if he remains employed with the company through that date, as well as a time-vesting restricted stock unit award valued at $500,000, according to the filing.
Dragisich becomes interim CEO after nine years at Choice Hotels. Before becoming chief growth and strategy officer, he served as executive vice president of operations and chief global brand officer. He also served as Choice Hotels’ chief financial officer from 2017 to 2023.
“I am honored to step into the role of Interim CEO and look forward to building on the Company’s strong foundation. We remain focused on delivering long-term value for our franchisees and shareholders and creating great experiences for our guests and associates,” Dragisich said in a statement.
In line with the appointment, Choice Hotels reaffirmed its full-year 2026 financial outlook provided in its first-quarter 2026 earnings report.
