What are the development obligations for a Sonesta Simply Suites franchise, as specified in Exhibits D-1 or D-2?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
et your expectations. You acknowledge and agree that your acceptance of the Franchise at the Premises is based on your own independent investigation of the site's suitability for a Brand Hotel.
- B. Conversion of Your Hotel. If you are converting an existing hotel into a Brand Hotel, you will execute the Conversion Rider, attached hereto as Exhibit D-1, simultaneously with this Agreement.
- C. New Construction. If you are constructing a new Brand Hotel, you will execute the New Construction Rider, attached hereto as Exhibit D-2, simultaneously with this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, Exhibit D-1 pertains to the Property Improvement Plan if you are converting an existing hotel into a Sonesta Simply Suites Brand Hotel. Exhibit D-2 is the New Construction Rider, which applies if you are constructing a new Sonesta Simply Suites Brand Hotel. These exhibits are executed simultaneously with the Franchise Agreement.
For franchisees converting an existing hotel, the Property Improvement Plan (Exhibit D-1) will outline the specific upgrades and modifications needed to meet Sonesta Simply Suites' brand standards. This could involve renovations, new furnishings, or changes to the hotel's layout. The franchisee is responsible for completing these improvements according to the franchisor's timeline and specifications.
For franchisees constructing a new hotel, the New Construction Rider (Exhibit D-2) will detail the requirements for building the hotel from the ground up. This includes architectural designs, construction materials, and adherence to Sonesta Simply Suites' brand standards. Franchisees must ensure the new construction meets all specifications and is completed in a timely manner. Opening a hotel before authorization from Sonesta Simply Suites constitutes unauthorized use of the Marks and a material breach of the Franchise Agreement.