When is the PIP fee applicable for an Embassy Suites By Hilton franchise application?
Embassy_Suites_By_Hilton Franchise · 2025 FDDAnswer from 2025 FDD Document
NOTE: Applicant must also pay the applicable Property Improvement Plan ("PIP") fee if the Application is for a Conversion, Relicensing, or Change of Ownership.
Source: Item 23 — RECEIPTS (FDD pages 97–304)
What This Means (2025 FDD)
According to the 2025 Embassy Suites By Hilton Franchise Disclosure Document, the Property Improvement Plan (PIP) fee is applicable if the franchise application is for a Conversion, Relicensing, or Change of Ownership. This means that if an applicant is looking to convert an existing property into an Embassy Suites By Hilton, relicense an existing Embassy Suites By Hilton, or change the ownership of a current Embassy Suites By Hilton location, they will be required to pay the PIP fee.
The PIP fee is in addition to the franchise application fee, which must be paid when the application is submitted or promptly after the expiration of a waiting period. The application includes instructions for submitting the application, an application checklist, an application letter, and an application form.
For prospective Embassy Suites By Hilton franchisees, it's crucial to understand when the PIP fee applies, as it represents an additional cost on top of the standard franchise application fee. Franchisees should confirm the amount of the PIP fee with their developer, as the FDD excerpt does not specify the amount of the fee.