HAWTHORN SUITES HOTELS AND HAWTHORN SUITES

HAWTHORN SUITES HOTELS AND HAWTHORN SUITES

Hawthorn Suites Franchising, Inc. offers franchises for operating all-suites, select-service hotels under the Hawthorn brand, focusing on extended-stay guests (five or more nights) and shorter transient stays (one to four nights). Facilities provide spacious studio, one-, and two-bedroom suites equipped with full kitchens, flat-panel TVs, pools, fitness centers, complimentary hot breakfasts, and other amenities like guest laundry and business centers. The business model is franchising in the competitive hospitality industry, targeting business and leisure travelers seeking affordable, home-like lodging.

71
Locations
$12275K–$14269K
Investment
Since 1996
Franchising
Hospitality & LodgingParsippany, NJWyndham Hotels & Resorts, Inc.development.wyndhamhotels.comDisclaimer

Franchise Costs


Franchise Fee
$40,000
Item 5 of FDD
Initial Investment Range
$12,274,670 $14,268,857
Low: $12,274,670High: $14,268,857
Item 7 of FDD
Royalty Rate
5.50%
of gross sales
Brand Fund
2.50%
Item 6 of FDD
Fixed Monthly Fees
$2,234 – $2,550
Item 6 of FDD

5.5% royalty + 2.5% ad fund + $1,400/mo remote sales + $734-$1,050/mo PMS + $100/mo continuing education

Financial Performance


Item 19 Financial Performance

Data Based On: The primary financial performance representations (ADR, Occupancy Rate, RevPAR, and RevPAR Index) are based on 31 'Qualified Chain Facilities' that were franchised and operated during the full year 2024. The Central Reservation System Contribution data is based on 71 franchised Chain Facilities.

* The document provides financial performance representations in the form of Average Daily Room Rate (ADR), Occupancy Rate, RevPAR (gross room revenue per available room), and RevPAR Index for Qualified Chain Facilities. It also provides Central Reservation System Contribution percentages for all Chain Facilities. However, the document does not present the total average gross revenue, median gross revenue, revenue quartiles, net income, net profit, or EBITDA for individual franchise units as total dollar amounts. No expense or profit margin information is provided to allow for profit estimations. Therefore, the specific fields requiring total unit revenue, profit, or EBITDA dollar amounts are reported as null.

Extracted Item 19 Section

How HAWTHORN SUITES HOTELS AND HAWTHORN SUITES Compares


Key Insights

  • Higher investment than 89% of Extended Stay franchises
  • #2 largest franchise system in Extended Stay
FranchiseInvestmentFeeRoyaltyLocations
HAWTHORN SUITES HOTELS AND HAWTHORN SUITES
Current
$12.3M – $14.3M$40K5.5%71
STUDIO 6$97K – $9.0M$25K5.0%219
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
AFFORDABLE SUITES OF AMERICA$193K – $1.8M$35K5.0%18
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
1TX
18
2OH
7
3CA
5
4FL
4
5GA
3
6ND
3
7OK
3
8PA
3
9WV
2
10IL
2
11KS
2
12NJ
2
13NM
2
14SC
2
15WI
2

+13 more states

Franchisee Contacts


183 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

183 Contacts Available

Unlock all HAWTHORN SUITES HOTELS AND HAWTHORN SUITES franchisee contacts with verified contact information

Due Diligence


Litigation (Item 3)

Franchisee Cases2

Primarily breach of contract, fee collection, termination disputes, and franchise law violation claims between franchisor affiliates and franchisees (e.g., LuxUrban and Pooniwala cases).

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
3
Non-Renewals
0
Reacquired
0
Ceased Ops
3
Transfers
2
Sold to Franchisees
0
Projected New
25

Frequently Asked Questions


The total initial investment to open a HAWTHORN SUITES HOTELS AND HAWTHORN SUITES franchise ranges from $12,274,670 to $14,268,857. This includes a franchise fee of $40,000. Ongoing royalty fees are 5.5% of gross sales.

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