What was the average room rate of all comparable Embassy Suites hotels in 2023?

According to Embassy Suites's 2025 Franchise Disclosure Document, the average room rate for all comparable hotels in 2023 was $182.63. This data is based on hotels that meet specific criteria, including being active in the system for at least a full calendar year, not undergoing significant changes in brand or ownership, and not experiencing substantial property damage or large-scale capital projects. The comparable hotels consist of 220 properties, with 32 being company-managed and 188 being franchisee-managed.

It's important to note that this average room rate is calculated from information routinely reported to Hilton Worldwide by individual System Hotels. However, the FDD also indicates that the room rate for all comparable hotels ranged from $116.58 to $385.46 in 2023. This wide range suggests that individual hotel performance can vary significantly based on factors such as location, competition, and management effectiveness.

For a prospective Embassy Suites franchisee, this information provides a benchmark for potential revenue. However, it is crucial to conduct thorough market research and consider local conditions to estimate potential room rates accurately. The FDD advises consulting with professional advisors and obtaining a market study to develop realistic financial projections. Keep in mind that the average room rate is just one factor influencing a hotel's overall financial performance, and other metrics like occupancy rate and RevPAR should also be considered.