What was the average room rate for all comparable Embassy Suites By Hilton hotels in 2024?
Embassy_Suites_By_Hilton Franchise · 2025 FDDAnswer from 2025 FDD Document
-Managed and Franchisee-Managed Comparable Hotels that met or exceeded the average. Average Room Rate and Average Occupancy are calculated based on information routinely reported to Hilton Worldwide by individual System hotels.
| Room Rate | 2023 | 2024 |
|---|---|---|
| Average Room Rate of all Comparable Hotels | $182.63 | $184.12 |
| Median Room Rate of all Comparable Hotels | $168.88 | $171.32 |
| Number & Percentage of Comparable Company-Managed Hotels which met or | 16/50.0% | 17/53.1% |
| exceeded Average Room Rate | ||
| Number & Percentage of Comparable Company-Managed Hotels which met or | 24/75.0% | 23/71.9% |
| exceeded Median Room Rate | ||
| Number & Percentage of Comparable Fr |
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 87–91)
What This Means (2025 FDD)
According to Embassy Suites By Hilton's 2025 Franchise Disclosure Document, the average room rate for all comparable hotels in 2024 was $184.12. This is based on data from 220 comparable hotels operating in the U.S., excluding territories and possessions. These comparable hotels were active in the Embassy Suites By Hilton system for at least one full calendar year as of the end of the current period, open January 1st of the previous year, and met specific criteria related to brand, ownership, property damage, and guest room counts.
It's important to note that this average room rate is calculated from information routinely reported to Hilton Worldwide by individual System hotels. While this provides a general benchmark, prospective franchisees should understand that their individual results may differ. The FDD explicitly states that there is no assurance that franchisees will achieve the same room rates. Factors such as competition, location, amenities, and the length of time the hotel has been open and affiliated with Embassy Suites By Hilton can all impact financial performance.
For prospective Embassy Suites By Hilton franchisees, this information serves as a starting point for their own financial projections. The FDD recommends consulting with professional advisors and conducting a market study to assess the potential room rates and overall financial performance that can be achieved in their specific location. Understanding the local market dynamics and competitive landscape is crucial for developing a realistic business plan.
Furthermore, the FDD also provides data on 'New Generation Comparable Hotels,' which are hotels opened during or after 2015. The average room rate for these newer hotels was $205.12 in 2024, which is higher than the average for all comparable hotels. This may indicate a trend towards higher room rates in newer Embassy Suites By Hilton properties, but it's essential to consider the specific characteristics and market conditions of these hotels when evaluating this data.