Does Embassy Suites By Hilton permit franchisees to relocate their franchised hotels?

According to the 2025 Embassy Suites By Hilton Franchise Disclosure Document, franchisees are not permitted to relocate their franchised hotels. The FDD explicitly states that relocation is not allowed under the standard agreement. This means that an Embassy Suites By Hilton franchisee must maintain their hotel at the original, approved location throughout the term of the franchise agreement.

This restriction is significant for prospective franchisees as it limits their flexibility in responding to changing market conditions or unforeseen circumstances. For example, if the local economy declines or a new competitor opens nearby, an Embassy Suites By Hilton franchisee cannot simply move their hotel to a more favorable location. This lack of mobility could potentially impact the profitability and long-term viability of the franchise.

In the broader context of franchising, such a restriction is not uncommon, particularly in the hotel industry where location is a critical factor. However, it is essential for potential Embassy Suites By Hilton franchisees to carefully consider the implications of this restriction and conduct thorough due diligence on the chosen location before signing the franchise agreement. Understanding the local market dynamics and potential risks is crucial, given the inability to relocate should conditions change.