What is the relocation fee for a Best Western property, and what portion of the fee is non-refundable?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
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- The Property at the Designated Property shall meet or exceed our standards prior to relocating and commencing operations as a System Hotel.
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- A relocation fee of $15,000 plus $200 per room for any increase in room count must be submitted upon submission of your request to relocate. $4,000 of the reloc
Source: Item 12 — Territory (FDD pages 77–84)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, a franchisee who wishes to relocate their property must pay a relocation fee. This fee consists of $15,000, plus an additional $200 per room for any increase in the number of rooms at the new location. This fee must be submitted when the franchisee requests to relocate the property.
Of the total relocation fee, $4,000 is nonrefundable immediately upon payment. The remaining balance of the relocation fee becomes nonrefundable once the franchisee signs the Membership Agreement for the new designated property.
This means that a Best Western franchisee needs to carefully consider the financial implications before requesting a relocation, as a portion of the fee is immediately nonrefundable. Furthermore, the remaining fee becomes nonrefundable upon signing the new agreement, regardless of whether the relocation is ultimately successful or beneficial for the franchisee. Franchisees should ensure they fully understand the terms and conditions of the relocation process and the new Membership Agreement before proceeding.