What is the estimated range for building construction costs for an Atwell Suites franchise?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
to alter the requirements described in this Item. Holiday will only consider proposed changes under special circumstances and any changes must comply with applicable laws.
ITEM 7
YOUR ESTIMATED INITIAL INVESTMENT
The following table provides an estimate of the initial investment for a 116-room Atwell Suites® Hotel. To Holiday's knowledge, none of the expenditures described below are refundable, unless otherwise indicated.
Holiday does not offer any formal program for direct or indirect financing. Holiday, SCH or its affiliate, General Innkeeping Acceptance Corporation ("GIAC"), may furnish loans or guaranties to licensees (See Item 10).
Your total investment will vary depending on, among other things, size, land cost, construction costs, delays, contingencies, amenities and economic conditions, and whether your Hotel is a new development or a conversion.
These estimates do not include the cost of land and contingency funds or other items that Holiday cannot estimate.
Source: Item 7 — Estimated Initial Investment (FDD pages 56–65)
What This Means (2025 FDD)
According to Atwell Suites' 2025 Franchise Disclosure Document, the estimated initial investment for building construction ranges from $11,927,300 to $14,472,800. This estimate is specifically for a 116-room Atwell Suites hotel.
It's important to note that these building construction costs can vary significantly based on several factors. These factors include the state and region where the hotel is being built due to differences in material and labor costs. Additionally, soil and environmental conditions, the availability of utilities, and the topography of the site can all influence construction expenses. Franchisees should also be aware that the estimate does not account for special local requirements like earthquake preparedness or impact fees.
Prospective franchisees should carefully consider these variables and conduct thorough due diligence to develop a realistic budget for building construction. Consulting with experienced construction professionals and local experts is essential to assess the specific conditions and requirements of the chosen site. This will help in accurately estimating the total investment needed to open an Atwell Suites hotel and avoid potential financial surprises during the construction process.