Choice Hotels Launches Franchise Development Incentive

The incentive is valid for qualified domestic franchise agreements executed through December 31, 2010.*  The development incentive is targeted at hoteliers who want to reflag and revitalize with a Choice-brand product.  

“In addition to this limited-time incentive, prospective Choice Hotels franchisees benefit from the power of our robust global reservations system, which delivered over $1.7 billion in system-wide gross room revenue in 2009,” said David Pepper, senior vice president, global development, Choice Hotels International.   Choice Hotels drives brand awareness through nationwide marketing and promotions programs and supports its properties through exceptional training and support services and an unyielding commitment to helping enhance owners’ efficiency and potential return on investment.  “In spite of the current environment, Choice Hotels continues to invest aggressively in a range of programs designed to position its franchisees for higher RevPAR, stronger long-term guest loyalty and improved performance.”

Qualified owners that convert a property to the Quality or Clarion brand by December 31, will receive a $10,000 discount off the application fee, which reduces the fee to $25,000 instead of the normal fee of $35,000.  Hotels that are open for operation by December 31, 2010 will receive up to $35,000 back at opening and no royalty fees (normally 4.65% of the preceding month’s gross room revenues) up to the first 18 months of operations.  If the property opens in 2011, owners will receive up to $25,000 at opening and pay no royalty fees for up to the first 12 months of operation.  

Qualified owners that convert a property to the Econo Lodge brand by December 31, 2010 will receive a $10,000 discount off the application fee, which reduces the fee to $15,000 instead of the normal fee of $25,000.  Hotels that are open for operation by December will receive up to $15,000 back at opening and no royalty fees (normally 4.5% of the preceding month’s gross room revenues) for the first 18 months of operations.  If the property opens in 2011, owners will receive up to $15,000 at opening and no royalty fees for up to the first 12 months of operation.  

“This limited-time incentive meets our longstanding commitment to working collaboratively with the  hotel development community, helping small business owners thrive in challenging times by providing maximum value by helping to defer or reduce certain up-front costs,  thereby allowing them to affiliate with a powerful franchisor in Choice Hotels,” added Pepper.  “The Quality, Clarion and Econo Lodge brands represent strong conversion opportunities in the mid-scale and economy segments — with one of the world’s largest, most well-respected lodging franchisors.”

For more information on this unique, limited-time offer, call 1.866.844.2293


About Choice Hotels

Choice Hotels International, Inc. franchises more than 6,000 hotels, representing more than 490,000 rooms, in the United States and more than 35 other countries and territories. As of June 30, 2010, more than 580 hotels are under construction, awaiting conversion or approved for development in the United States, representing more than 47,000 rooms, and approximately 100 hotels, representing approximately 8,700 rooms, are under construction, awaiting conversion or approved for development in 20 other countries and territories. The company's Comfort Inn, Comfort Suites, Quality, Sleep Inn, Clarion, Cambria Suites, MainStay Suites, Suburban Extended Stay Hotel, Econo Lodge and Rodeway Inn brands serve guests worldwide. In addition, via its Ascend Collection membership program, travelers in the United States, Canada and the Caribbean have upscale lodging options at historic, boutique and unique hotels.

*Qualified franchisees that convert a non-Choice brand U.S. hotel to Quality, Clarion, or Econo Lodge by signing a franchise agreement and incentive addendum between 7/31 and 12/31/10 receive $10,000 off the application fee.   Cash back varies from $0-35,000 based on hotel brand and opening date, and is subject to a 3-year forgivable promissory note at an annual interest rate of prime plus 2%.  No royalty fees varies from 0-18 months based on opening date and subject to franchise compliance.
 
This is not an offering.  An offering can only be made by a prospectus filed first with the applicable authorities.  A copy of the Franchise Disclosure Document may be obtained through contacting Choice Hotels International at 10750 Columbia Pike, Silver Spring, Maryland 20901, 800.547.0007


Logos, product and company names mentioned are the property of their respective owners.

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