AFFORDABLE SUITES OF AMERICA

AFFORDABLE SUITES OF AMERICA

Affordable Suites of America franchises extended-stay hotels offering temporary housing on a daily or weekly basis at rates lower than conventional hotels, with fully furnished suites including kitchens, separate bedrooms, cable TV, weekly housekeeping, and on-site laundry facilities. The business model involves granting franchise rights for new builds or conversions of hotels typically with 30-96 rooms, using a standardized Business System for operations, design, and branding. The target market includes transferred or temporarily assigned professionals seeking affordable short-term accommodations.

18
Locations
$193K–$1765K
Investment
Since 1998
Franchising
Hospitality & LodgingMatthews, NCLGAS Brand Parent LLCwww.affordablesuites.comDisclaimer

Franchise Costs


Franchise Fee
$35,000
Item 5 of FDD
Initial Investment Range
$193,100 $1,765,100
Low: $193,100High: $1,765,100
Item 7 of FDD
Royalty Rate
5.00%
of gross sales
Brand Fund
1.00%
Item 6 of FDD
Fixed Monthly Fees
$175 – $350
Item 6 of FDD

5% royalty (min. $2,500/mo) + 1% marketing + $175-$350/mo internet fee

Financial Performance


Item 19 Financial Performance

Data Based On: 12 Established Franchised Hotels qualified as 'Established Hotels' for the trailing 12-month period ending February 28, 2025. These hotels were open and operating under the Brand for at least 18 calendar months, reported data to the franchisor and STR, and were not undergoing significant renovations that caused more than 7% of total rooms to be out of order.

* The document provides Average RevPAR (Revenue Per Available Room) for Established Franchised Hotels as $52.87 and a median RevPAR of $52.66. RevPAR is defined as the average revenue per available room. However, the FDD does not provide the average number of available rooms per hotel, which is necessary to convert RevPAR into an 'average gross revenue per franchise unit' (i.e., total annual revenue per hotel). Since $52.87 is a rate per room and falls far below the typical range of $100K - $10M for 'average gross revenue per franchise unit', these fields are set to null. No information regarding net income, net profit, EBITDA, or expenses was provided, so related fields and profit estimates are set to null.

Extracted Item 19 Section

How AFFORDABLE SUITES OF AMERICA Compares


Key Insights

  • One of the lowest investment costs in Extended Stay (ranked #3 of 9)
  • Top 10 largest franchise system in Extended Stay
FranchiseInvestmentFeeRoyaltyLocations
AFFORDABLE SUITES OF AMERICA
Current
$193K – $1.8M$35K5.0%18
STUDIO 6$97K – $9.0M$25K5.0%219
HAWTHORN SUITES HOTELS AND HAWTHORN SUITES$12.3M – $14.3M$40K5.5%71
HOMETOWNE STUDIOS BY RED ROOF$10.7M – $13.2M$30K5.5%45
Hyatt Studios$12.0M – $21.5M$50K5.0%45
GRANDSTAY RESIDENTIAL SUITES$125K – $24.2M$35K5.0%30
Extended Stay Average
9 franchises
$7.6M – $14.7M$38K5.2%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 9 Extended Stay franchises by location count.

Locations & Growth


Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2024)

Outlets by state across the United States

Top States
1NC
6
2SC
3
3MI
2
4AR
1
5IN
1
6GA
1
7VA
1

Franchisee Contacts


30 franchisee contacts on file from official FDD filings.

NameSBA Loan
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active

30 Contacts Available

Unlock all AFFORDABLE SUITES OF AMERICA franchisee contacts with verified contact information

Due Diligence


Litigation (Item 3)

Franchisee Cases0
No litigation involving franchisees reported

Bankruptcy (Item 4)

Bankruptcy HistoryYes

Director of Franchise Operations Adam Binder filed personal Chapter 7 bankruptcy on August 3, 2017, discharged November 13, 2017.

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
0
Non-Renewals
0
Reacquired
0
Ceased Ops
1
Transfers
1
Sold to Franchisees
0
Projected New
1

Frequently Asked Questions


The total initial investment to open a AFFORDABLE SUITES OF AMERICA franchise ranges from $193,100 to $1,765,100. This includes a franchise fee of $35,000. Ongoing royalty fees are 5.0% of gross sales.

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RED ROOF PLUS AND SUITES
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