For the 50 company-owned Sonesta Simply Suites hotels in 2024, what metrics are detailed in Table 1?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
In Part A, we provide the ADR, Occupancy, RevPAR, and Contribution data (each defined below) for (a) the Company-Owned Hotels, (b) the Franchised Brand Hotels, and (c) the combination of the Company-Owned Hotels and the Franchised Brand Hotels. See Tables 1, 2, and 3.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 70–74)
What This Means (2025 FDD)
According to Sonesta Simply Suites' 2025 Franchise Disclosure Document, Table 1 details the ADR (Average Daily Rate), Occupancy, RevPAR (Revenue Per Available Room), and Contribution data for 50 company-owned hotels in 2024. The FDD specifies that Part A includes data for company-owned hotels, franchised brand hotels, and a combination of both, as shown in Tables 1, 2, and 3.
For a prospective Sonesta Simply Suites franchisee, this means that Table 1 provides a financial performance representation of company-owned hotels. The ADR is the average rental income earned for an occupied room in a given day. Occupancy is the percentage of rooms occupied in the hotel. RevPAR is the average revenue earned per available room, whether occupied or not. Contribution refers to the net rooms revenue from reservations made through various channels, excluding those made directly with the hotel.
It is important to note that the FDD includes a disclaimer that individual results may differ, and there is no assurance that a franchisee will earn as much as the figures presented. Franchisees should carefully review these metrics to understand the potential financial performance of a Sonesta Simply Suites hotel, while also considering that their own results may vary based on factors such as location, management, and local market conditions.