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.
Disclaimer: This information was extracted using AI from public Franchise Disclosure Documents and should be independently verified. This is not financial or legal advice. Always review official FDD filings before making investment decisions.
Overview
Financial Requirements
5.5% royalty + 2.5% ad fund + $1,400/mo remote sales + $734-$1,050/mo PMS + $100/mo continuing education
Franchise Stats
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 to Other Extended Stay Franchises
Key Insights
- Higher investment than 89% of Extended Stay franchises
- #2 largest franchise system in Extended Stay
| Franchise | Investment Range | Franchise Fee | Royalty | Locations |
|---|---|---|---|---|
HAWTHORN SUITES HOTELS AND HAWTHORN SUITES Current | $12.3M - $14.3M | $40K | 5.5% | 71 |
| STUDIO 6 | $97K - $9.0M | $25K | 5.0% | 219 |
| HOMETOWNE STUDIOS BY RED ROOF | $10.7M - $13.2M | $30K | 5.5% | 45 |
| Hyatt Studios | $12.0M - $21.5M | $50K | 5.0% | 45 |
| GRANDSTAY RESIDENTIAL SUITES | $125K - $24.2M | $35K | 5.0% | 30 |
| AFFORDABLE SUITES OF AMERICA | $193K - $1.8M | $35K | 5.0% | 18 |
Extended Stay Average 9 franchises | $7.6M - $14.7M | $38K | 5.2% | - |
* 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
+13 more states
Franchisee Contacts
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Due Diligence
Litigation (Item 3)
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)
No bankruptcy history reported in the FDD.
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
How much does it cost to open a HAWTHORN SUITES HOTELS AND HAWTHORN SUITES franchise?
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.
How many HAWTHORN SUITES HOTELS AND HAWTHORN SUITES franchise locations are there?
As of the 2025 FDD, HAWTHORN SUITES HOTELS AND HAWTHORN SUITES has 71 franchise locations. The company has been franchising since 1996.
Is HAWTHORN SUITES HOTELS AND HAWTHORN SUITES a good franchise to buy?
HAWTHORN SUITES HOTELS AND HAWTHORN SUITES shows several positive indicators: transparent financial performance data (Item 19). However, franchise success depends on many factors including location, local market conditions, and owner involvement. We recommend speaking with existing franchisees and consulting with a franchise attorney before making a decision.
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