factual

When must renovation of a Hawthorn Suites By Wyndham facility begin after the Effective Date?

Hawthorn_Suites_By_Wyndham Franchise · 2025 FDD

Answer from 2025 FDD Document

schemes for a Chain Facility that we deliver to you after the Effective Date.

Prototype Plans Agreement means the agreement that your designated architect will execute in order to receive a copy of the Prototype Plans.

SCHEDULE D ADDENDUM FOR CONVERSION FACILITIES

[Property Improvement Plan Attached]

SCHEDULE D ADDENDUM FOR NEW CONSTRUCTION FACILITIES

This Addendum and the attached Milestone Schedule apply if you are constructing a new Chain Facility.

1. YOUR IMPROVEMENT OBLIGATION.

1.1 Generally. You must select and acquire the Location and acquire, design, construct, equip and supply the Facility in accordance with this Agreement and System Standards. You must provide us with proof that you own or are the lessee under a ground lease for the Location by the earlier to occur of (a) 90 days after the Effective Date or (b) the Opening Date. You must maintain control of the Facility consistent with such documentation during the Term. You must submit "Preliminary Plans" and a copy of your agreement with your selected FF&E vendor and/or design company no later than 180 days from the Effective Date. You must obtain our approval for your plans and submit the Approved Construction Plans to applicable governmental authorities for permitting and submit to us a copy of your agreement with your general contractor no later than 9 months after the Effective Date. You must commence construction of the Facility no later than 18 months after the Effective Date, and complete construction, and properly deliver the Certification as described in subsection 1.3 of this Schedule, and open the Facility under the Chain with our authorization no later than 30 months from the Effective Date. Construction commences, for purposes of this Schedule, when all of the following occur: (x) we approve a site plan, completed working drawings and detail specifications for the Facility; (y) governmental permits are issued to commence foundation construction; and (z) you commence pouring concrete for building footings. Time is of the essence for the completion of the Improvement Obligation. We may, however, in our sole discretion, grant extensions of time to perform any phase of the Improvement Obligation. The grant of an extension will not waive any other default existing at the time the extension is granted. All construction must comply with System Standards, any Approved Plans, and this Agreement. Your general contractor or you must carry the insurance required under this Agreement during construction.

1.2 Pre-Opening. We may, in our sole discretion, terminate this Agreement by written notice to you (subject to applicable law) if you do not meet the deadlines above.

Source: Item 22 — CONTRACTS (FDD page 92)

What This Means (2025 FDD)

According to Hawthorn Suites By Wyndham's 2025 Franchise Disclosure Document, the timeframe for commencing renovations depends on whether the facility is a new construction or an existing building being converted. For new construction facilities, construction must commence no later than 18 months after the Effective Date. Commencement of construction is defined as when Hawthorn Suites By Wyndham approves the site plan, completed working drawings, and detail specifications; governmental permits are issued to commence foundation construction; and the franchisee begins pouring concrete for building footings.

For facilities undergoing conversion, the franchisee must complete all renovations specified as "prior to opening" on the Property Improvement Plan (PIP) before Hawthorn Suites By Wyndham considers the facility ready to open under the system. The deadline for completing the pre-opening phase of conversion and renovations is specified on the PIP attached to the agreement, but is otherwise 270 days from the Effective Date. The franchisee must also continue renovation and improvement of the facility after the Opening Date if the PIP requires it.

Hawthorn Suites By Wyndham may grant extensions of time to perform any phase of the Improvement Obligation at its sole discretion. However, the grant of an extension does not waive any other default existing at the time the extension is granted. All construction and renovations must comply with System Standards, any Approved Plans, and the Franchise Agreement. The franchisee or their general contractor must also carry the insurance required under the Franchise Agreement during construction or renovation.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.