What was the reported value of Best Western's land investments, at cost, in 2023 (in thousands)?

According to Best Western's 2025 Franchise Disclosure Document, the value of their land investments, at cost, was $6,985,000 in 2023. This figure represents the cost of land owned by Best Western, before any depreciation or other adjustments. It is important to note that this is the value of land investments held directly by Best Western, and not the value of land owned by individual franchisees. This information is derived from the consolidated financial statements of Best Western International, Inc. and its subsidiaries. These financial statements are audited by Ernst & Young LLP, indicating they have been reviewed by an independent accounting firm.

For a prospective franchisee, this information provides insight into Best Western's asset holdings and investment strategy. While franchisees will primarily be concerned with the costs associated with their own specific franchise location, understanding the financial health and asset base of the parent company can be reassuring. The fact that Best Western owns land, and invests in hotel properties, suggests a long-term commitment to the hospitality industry.

It is also worth noting that Best Western's hotel investments include buildings, furniture and equipment, and land improvements, in addition to land. These investments are subject to depreciation, which is the allocation of the cost of an asset over its useful life. The accumulated depreciation is deducted from the original cost to arrive at the net book value of the hotel investments. Franchisees may want to inquire about Best Western's strategy for managing and maintaining these assets, as this could impact the overall brand image and guest experience.