Does the Sonesta Simply Suites Franchise Agreement outline requirements for the business opening of a Sonesta Simply Suites franchise?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
ve our written authorization to do so. We will only authorize your Hotel to open when we, at our sole discretion, are satisfied that you have complied with all the terms and conditions set forth in the Franchise Agreement, including but not limited to Section 2.E, and this Rider. Opening your Hotel before we authorize you to open will constitute unauthorized use of the Marks and a material breach of the Franchise Agreement. If you open your Hotel prior to our authorization, you agree to pay to us damages as set forth in Section 14.G(3) of the Franchise Agreement.
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IN WITNESS WHEREOF, the parties have executed this Rider as of the Effective Date of the Franchise Agreement.
SONESTA RL HOTELS FRANCHISING INC. [Franchisee Name] Ву: Ву: Ву: Ву: Ву:
EXHIBIT D-1(A)
Property Improvement Plan
EXHIBIT D-2
New Construction Rider
| THIS RIDER (the "F | Rider ") is entered i | into and made | effective as of | of the Effective | Date of t | the |
|---|---|---|---|---|---|---|
| Franchise Agreement in ac | cordance with the | terms of the F | ranchise Agre | ement signed | concurrer | ıtly |
| herewith ("Franchise Agree | ment") by and betw | een SONESTA | RL HOTELS | FRANCHISING | INC. ("w | / е ," |
| " us ," or " our ") and | ("yo | u" È | or | |||
| ʻyour"). |
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- Background. This Rider is annexed to and forms part of the Franchise Agreement. This Rider is being signed because you are constructing a new 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, before you commence construction, 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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- Construction Work. You agree to take all action necessary to perform the development and construction of your Hotel, renovation, furnishing, equipping, acquisition of supplies and the implementation of the Plans (as defined below) ("Construction Work") all in accordance with the terms and conditions of the Franchise Agreement, within the time frames that we specify. You will be solely responsible for obtaining all necessary licenses, permits and zoning variances required for the Construction Work. Before you begin the Construction Work, you will submit copies of applicable permits, licenses and zoning variances to us for approval. We may assign you a project manager or onboarding specialist.
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- Plans and Designs. You must submit to us your plans, layouts, specifications, and drawings for your Hotel (collectively, the "Plans"), and your plans, layouts, specifications, and drawings for the proposed furnishings, fixtures, equipment and décor of your Hotel (collectively, the "Designs") with respect to the Construction Work. We may supply you with representative prototype guest room and public area plans and schematic building plans as a guide for preparation of the Plans and Designs. Our approval of such Plans and Designs does not warrant the depth of our analysis or assume any responsibility for the efficacy of the Plans and Designs, or the resulting Construction Work. You acknowledge and agree that you will not rely upon any approval we may provide you for the Plans or Designs for any purpose whatsoever except compliance with our then prevailing Brand Standards.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, the Franchise Agreement does outline requirements for opening a Sonesta Simply Suites franchise. The agreement grants a non-exclusive franchise to operate a hotel under the Sonesta Simply Suites system, beginning on the "Opening Date" as defined in the agreement, and continuing for a term of 20 years, unless terminated earlier.
The Franchise Agreement specifies that opening a hotel before authorization from Sonesta Simply Suites constitutes unauthorized use of the brand's marks and a material breach of the agreement. If a franchisee opens their hotel prior to receiving authorization, they agree to pay damages as outlined in Section 14.G(3) of the Franchise Agreement.
Furthermore, franchisees must undertake all necessary actions for the development, construction, renovation, and equipping of their hotel, adhering to specified time frames and the terms of the Franchise Agreement. This includes obtaining all necessary licenses, permits, and zoning variances. Franchisees are required to submit their plans, layouts, specifications, and drawings for the hotel's construction and design to Sonesta Simply Suites for approval. Sonesta Simply Suites may provide prototype plans as a guide, but the franchisee is responsible for ensuring compliance with all applicable laws and regulations.
Sonesta Simply Suites also has the right to participate in progress meetings during construction and to access the hotel for inspections during reasonable business hours. Ultimately, the Franchise Agreement contains provisions regarding the opening and operation of a Sonesta Simply Suites franchise, emphasizing the importance of adhering to brand standards, obtaining necessary approvals, and complying with legal requirements.