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DESTINATION BY HYATT

DESTINATION BY HYATT

Destination by Hyatt offers franchises for operating lifestyle resort hotels under a separate tradename owned by the franchisee but affiliated with the Destination by Hyatt brand, utilizing Hyatt's Hotel System including proprietary marks, standards, reservations, and marketing programs. The business model grants franchise rights to unique properties reflecting local markets, with franchisees paying fees for affiliation and services. It targets corporate business travelers and leisure travelers in the competitive full-service hotel industry.

10locations
Since 2019
Hospitality & LodgingChicago, ILHyatt Hotels Corporationwww.hyatt.comDisclaimer

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Franchise Costs

Franchise Fee
$100,000
Initial Investment
N/A
Royalty Rate
7.00%
Brand Fund
N/A
Fixed Monthly Fees
$300 – $1,500

7% royalty on channel bookings + 4.5% World of Hyatt program assessment + $3.90/room/mo PMS fee + $500-$15,000/mo corporate services

Financial Performance


Item 19 Financial Performance

Data Based On: 11 Franchised Covered Hotels that operated during all of 2025, with results from January 1, 2025 through December 31, 2025.

* The document provides financial performance representations related to Occupancy Rate, Average Daily Rate (ADR), and Revenue Per Available Room (RevPAR) for Franchised Covered Hotels. However, it does not provide the total average gross revenue per franchise unit in a dollar amount (e.g., $100K - $10M range), which is distinct from ADR or RevPAR. Additionally, the document explicitly states in its 'Comments to All Financial Performance Representations' section that the figures do not reflect costs of sales, operating expenses, or other costs/expenses required to obtain net income or profit. Therefore, average gross profit, average net income, average net profit, average EBITDA, EBITDA margin, and any estimated profit ranges could not be extracted or calculated.

Extracted Item 19 Section

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How DESTINATION BY HYATT Compares

FranchiseInvestmentFeeRoyaltyLocations
DESTINATION BY HYATT
Current
N/A$100K7.0%10
SUPER 8$4.7M – $6.9M$25K5.5%1,375
DAYS INN, DAYS HOTEL AND DAYS INN & SUITES$7.6M – $9.4M$35K5.5%1,235
LA QUINTA INN & SUITES$12.8M – $17.2M$55K5.5%884
RED ROOF PLUS AND SUITES$7.3M – $8.9M$27K5.0%596
BAYMONT INN & BAYMONT INN & SUITES$7.6M – $10.5M$26K5.0%547
Hotels Average
34 franchises
$7.7M – $17.1M$47K5.3%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 34 Hotels franchises by location count.

Locations & Growth


Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2025)

Outlets by state across the United States

Top States
1CA
3
2LA
2
3NY
2
4OK
1
5PA
1
6TN
1
7TX
0

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Franchisee Contacts

25 franchisee contacts on file from official FDD filings.

25 Contacts Available

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Due Diligence


Litigation (Item 3)

Franchisee Cases0
No litigation involving franchisees reported

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
1
Non-Renewals
0
Reacquired
0
Ceased Ops
0
Transfers
N/A
Sold to Franchisees
0
Projected New
2

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Frequently Asked Questions

As of the 2026 FDD, DESTINATION BY HYATT has 10 franchise locations. The company has been franchising since 2019.