What is the deadline for a Sonesta Simply Suites franchisee to provide the Deed or Lease to the franchisor?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
forms part of the Franchise Agreement. This Rider is being signed because you are converting an existing hotel into a Brand Hotel, pursuant to the Franchise Agreement. Capitalized terms used, but not defined, herein shall have the meanings given them in the Franchise Agreement.
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- Interest in Premises. You must deliver to us, prior to the Opening Date, and in any event no later than thirty (30) days after the Effective Date, either a deed reflecting your ownership of the Premises (the "Deed") or a copy of your lease for the Premises that allows you the right to enter into the Franchise Agreement (the "Lease"). If you fail to timely provide us the Deed or Lease, we may immediately terminate the Franchise Agreement. You represent and warrant that, throughout the Term of the Franchise Agreement, you will be entitled to possession of the Premises and your Hotel without restrictions that would interfere with your performance under the Franchise Agreement, subject to the reasonable requirements of any financing secured by your Hotel. You will provide us copies of all documentation reflecting your right to possession of the Premises at any time upon our request. Further, if you do not own the Premises, you must provide us with copies of any amendment, addendum, extension, or other modification to the Lease within five days following execution.
You acknowledge and agree that any of our involvement in the approval of location is for our sole benefit. You further acknowledge that you have been advised to obtain the advice of your own professional advisors in connection with your purchase of the Premises or the Lease, as applicable.
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- Property Improvement Plan. You or your Principal and the Management Company, if applicable as provided under Section 8.D, will meet with us to conduct an initial inspection of the Premises and develop a property improvement plan (the "PIP") of improvements required to meet Brand Standards. We may assign you a project manager or onboarding specialist. The PIP is attached as Exhibit D-1(A) to the Franchise Agreement and is incorporated herein by reference. On or prior to the Renovation Work Completion Date (as defined below), you will cause the renovation and construction work required in the PIP (the "Renovation Work") to be completed.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, the deadline for a franchisee to provide either the deed or lease to Sonesta RL Hotels Franchising Inc. depends on whether the franchisee is converting an existing hotel or constructing a new one.
For franchisees converting an existing hotel into a Sonesta Simply Suites location, the deadline to submit the deed or lease is no later than thirty (30) days after the Effective Date of the Franchise Agreement. For franchisees constructing a new Brand Hotel, the deadline to deliver the deed or lease is before construction commences, but in any event, no later than thirty (30) days after the Effective Date.
Failure to provide the Deed or Lease within the specified timeframe grants Sonesta Simply Suites the right to immediately terminate the Franchise Agreement. The franchisee must also guarantee their entitlement to possess the premises throughout the Franchise Agreement term without limitations that could impede their obligations under the agreement, subject to reasonable financing requirements. Additionally, franchisees must provide copies of any lease amendments, addenda, extensions, or modifications within five days of execution.