factual

What documentation must a Crowne Plaza franchisee provide to Holiday upon completion of upgrading or remodeling?

Crowne_Plaza Franchise · 2025 FDD

Answer from 2025 FDD Document

Brand System in the same category as your Hotel, Holiday may require substantial modernization, renovation and other upgrading of your Hotel at any time. Holiday may make limited exceptions from those requirements based on local conditions or special circumstances.

Holiday's Inspection Before Opening:

Holiday inspects and approves your Hotel before Holiday authorizes it to open to confirm that you have completed all of the requirements under paragraph 13.J and/or Attachment "B" of the License. In the event that your Hotel fails its opening inspection or you need to r

Source: Item 10 — Financing (FDD page 69)

What This Means (2025 FDD)

Based on the 2025 Crowne Plaza Franchise Disclosure Document, upon completion of any required upgrades or remodeling, Holiday inspects and approves the franchisee's hotel before authorizing it to open. This inspection confirms that the franchisee has met all requirements outlined in paragraph 13.J and/or Attachment "B" of the License. Attachment B contains the Property Improvement Plan (PIP). The PIP provides specific renovations and alterations required to meet the requirements of the Standards and Holiday's product quality requirements. It also provides specific dates by which you must submit plans and drawings, and beginning construction dates and interim milestone and completion dates for the Hotel and for opening the Hotel for business.

If the Crowne Plaza hotel fails its opening inspection, or if the franchisee needs to reschedule the opening date or any visits that have not yet been completed by Holiday, the franchisee may be charged a fee of up to $5,000 for each extension and/or additional visit. Holiday's written approval is required for any extension request, and the franchisee must cover any expenses Holiday incurs in processing the extension request.

Prior to construction, the franchisee must submit preliminary plans within three months after the date of the License. Holiday will approve construction plans for new development (or conversion) if they meet the requirements of the License and the Standards. Franchisees may not start construction until they obtain Holiday's approval. The franchisee is solely responsible for construction or remodeling costs and arrangements. Holiday will supply prototype architectural plans which the franchisee must use. An architect approved by Holiday must adapt these plans for a specific site and construction type. The franchisee must commission and pay their architect directly.

Before detailed construction documents are started by the architect, representatives of the hotel must attend a kick-off meeting for consultation and coordination with Holiday. Various members of the Crowne Plaza team will be present to review all related business plans, target markets for operation, and building plans as well as scheduled timelines for the completion of these plans. Holiday expects the following representatives of the hotel to attend the kick-off meeting: Principal Contact (licensee), General Manager (if appointed), Designer or Architectural Representative, General Contractor, and all other principals involved in the construction, development and marketing of the property. There is no charge for the kick-off meeting. However, the franchisee must pay their representatives' travel, lodging and living expenses.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.