What is the construction completion deadline for a new development Even Hotels location from the date of the License?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
At least 120 days prior to ground break, you must submit final plans, specifications and drawings for the Hotel, including its proposed equipment, furnishings, facilities and signs, with the detail and containing the information that Holiday requests, and to commence construction. Unless Holiday grants your request for an extension to your construction completion deadline, you must complete construction and furnishing and obtain Holiday's authorization to open a new development hotel for business within 18 months from the date of commencement of construction and within 24 months from the date of the License.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 70–82)
What This Means (2025 FDD)
According to Even Hotels's 2025 Franchise Disclosure Document, a franchisee must complete construction and furnishing and obtain authorization to open a new development hotel for business within 24 months from the date of the License. This means that from the date the franchise agreement is signed, the franchisee has two years to complete the hotel's construction and have it ready for opening.
However, the franchisee must also commence construction within a certain timeframe. The FDD states that at least 120 days prior to ground break, the franchisee must submit final plans, specifications, and drawings for the Hotel. The franchisee must also submit preliminary plans at least 210 days prior to ground break. Starting construction requires Holiday's approval, and construction or remodeling costs are the franchisee's responsibility.
Even Hotels may grant a request for an extension to the construction completion deadline. The franchisor will consider factors such as the ability to obtain financing or building permits, zoning and local ordinances, weather conditions, and shortages or delayed installation of equipment, fixtures, and signs. However, approval of extension requests is not automatic, and the franchisee will be responsible for any expenses incurred by Holiday in processing the extension request. There is also a fee for extending these deadlines.
It is important to note that each license is subject to the agreed-upon construction commencement and completion dates contained in that specific license. The FDD estimates that the length of time between signing the License and the opening of a new development Hotel will be 18 to 24 months under normal circumstances. For conversion hotels, the length of time between the signing of the License and the completion of construction or upgrading typically ranges from 12 to 15 months.