January/February 2021
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THE <strong>2021</strong><br />
FRANCHISE<br />
REPORT<br />
Franchise Costs<br />
- initial franchise fee $55,000<br />
or $550/room<br />
- total investment $3,663,491<br />
to $12,590,023<br />
- advertising fee 4.5%<br />
- royalty fee 4.5%<br />
Services<br />
- advertising/marketing<br />
- development/design<br />
- financial assistance<br />
- lease negotiation<br />
- management<br />
- purchasing<br />
- quality control<br />
- reservation systems<br />
- sales<br />
- staff training<br />
- supplies<br />
- technical services<br />
LE MERIDIEN HOTELS<br />
Marriott International, Inc.<br />
2425 Matheson Blvd. E., Ste. 100<br />
Mississauga, ON L4W 5K4<br />
905-366-5208<br />
marriottdevelopment.com<br />
Regional VP, Lodging<br />
Development, Canada:<br />
Paul Loehr<br />
VP, Lodging Development,<br />
Canada: Aaron Laurie<br />
Director, Lodging Development,<br />
Canada: Duncan Chiu<br />
History, Plans<br />
- established in 1972<br />
- one property in Canada; 110<br />
outside of Canada<br />
Franchise Costs<br />
- initial application fee<br />
US$100,000; plus US$400/room<br />
in excess of 250<br />
- royalty fee 5% of GRS, plus 2% of<br />
gross food-and-beverage sales<br />
- program services contribution<br />
2.42% of GRS (includes marketingfund<br />
contribution of 1%<br />
GRS); plus US$50,000/year;<br />
plus US$510/room/year<br />
Services<br />
- advertising/marketing<br />
- design<br />
- management<br />
- purchasing<br />
- staff training<br />
- supplies<br />
(THE) LUXURY COLLECTION<br />
Marriott International, Inc.<br />
2425 Matheson Blvd. E., Ste. 100<br />
Mississauga, ON L4W 5K4<br />
905-366-5208<br />
marriottdevelopment.com<br />
Regional VP, Lodging<br />
Development, Canada:<br />
Paul Loehr<br />
VP, Lodging Development,<br />
Canada: Aaron Laurie<br />
Director, Lodging Development,<br />
Canada: Duncan Chiu<br />
History, Plans<br />
- 118 properties outside of Canada<br />
- one property in the pipeline<br />
for Canada<br />
Franchise Costs<br />
- initial application fee<br />
US$100,000; plus US$400/room<br />
in excess of 250<br />
- royalty fee 5% of GRS<br />
- program service contribution<br />
2.32% of GRS (includes marketingfund<br />
contribution of 1%<br />
GRS); plus US$40,000/year; plus<br />
US$450/room/year<br />
Services<br />
- advertising/marketing<br />
- design<br />
- management<br />
- purchasing<br />
- staff training<br />
- supplies<br />
MAINSTAY SUITES<br />
Choice Hotels International<br />
1 Choice Hotels Cir., Ste. 400<br />
Rockville, MD 20850<br />
800-547-0007<br />
choicehotelsdevelopment.com<br />
President & CEO: Pat Pacious<br />
SVP, Franchise Development,<br />
Extended Stay: Ron Burgett<br />
History, Plans<br />
- founded in 1996<br />
- one property in Canada; 74<br />
outside of Canada (all franchised)<br />
Franchise Costs<br />
- application fee $5,000<br />
- initial fee $300/room;<br />
minimum of $50,000<br />
- royalty fee 6% GRR<br />
- system fee 2.5% GRR<br />
MARRIOTT HOTELS & RESORTS<br />
(INCLUDING JW MARRIOTT)<br />
Marriott International, Inc.<br />
2425 Matheson Blvd. E., Ste. 100<br />
Mississauga, ON L4W 5K4<br />
905-366-5208<br />
marriottdevelopment.com<br />
Regional VP, Lodging<br />
Development, Canada:<br />
Paul Loehr<br />
VP, Lodging Development,<br />
Canada: Aaron Laurie<br />
Director, Lodging Development,<br />
Canada: Duncan Chiu<br />
History, Plans<br />
- established in 1957<br />
- 20 properties in Canada (3<br />
JW and 17 MH); 638 outside of<br />
Canada (87 JW and 570 MH)<br />
- 661 properties outside of<br />
Canada (97 JW and 564 MH)<br />
- no properties in the pipeline<br />
for Canada<br />
Franchise Costs<br />
- initial application fee<br />
US$100,000; plus US$400/room<br />
in excess of 250<br />
- royalty fee 6% of GRS; plus 3% of<br />
gross food-and-beverage sales<br />
- program services contribution<br />
1.62% of GRS (includes marketingfund<br />
contribution of 1%<br />
GRS); plus US$50,000/year; plus<br />
US$510/room/year<br />
Services<br />
- advertising/marketing<br />
- design<br />
- management<br />
- purchasing<br />
- staff training<br />
- supplies<br />
MICROTEL BY WYNDHAM<br />
Wyndham Hotels & Resorts<br />
22 Sylvan Way<br />
Parsippany, NJ 07054<br />
800-889-9710<br />
wyndhamdevelopment.com<br />
EVP and Chief Development<br />
Officer: Chip Ohlsson<br />
History, Plans<br />
- established in 1986<br />
- 19 properties in Canada (all<br />
franchised); 327 outside<br />
of Canada<br />
Franchise Costs<br />
- initial franchise fee is the<br />
greater of $43,000 or<br />
$400/room<br />
- total investment $5,609,207<br />
to $6,654,769<br />
- advertising fee 2% GRR<br />
- royalty fee 6% GRR<br />
Services<br />
- advertising/marketing<br />
- development/design<br />
- financial assistance<br />
- lease negotiation<br />
- management<br />
- purchasing<br />
- quality control<br />
- reservation systems<br />
- sales<br />
- staff training<br />
- technical services<br />
18 | JANUARY/FEBRUARY <strong>2021</strong> hoteliermagazine.com
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