What is a Sonesta Simply Suites franchisee required to provide if they do not own the premises?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
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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.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, if a franchisee does not own the hotel premises, they must provide a copy of their lease to Sonesta Simply Suites. This lease must grant the franchisee the right to enter into the Franchise Agreement. This documentation must be provided prior to the opening date, and no later than 30 days after the effective date of the agreement. Failure to provide the lease in a timely manner may result in the immediate termination of the Franchise Agreement.
Sonesta Simply Suites also requires that the franchisee represents and warrants that they will be entitled to possession of the premises throughout the term of the Franchise Agreement. This possession must be without restrictions that would interfere with their performance under the Franchise Agreement, although reasonable requirements of any financing secured by the hotel are permitted.
Furthermore, the franchisee is obligated to provide copies of any amendments, addenda, extensions, or other modifications to the lease to Sonesta Simply Suites within five days of their execution. This ensures that Sonesta Simply Suites remains informed of any changes to the franchisee's rights to the property. This requirement is in place to protect Sonesta Simply Suites's interests and ensure the franchisee can fulfill their obligations under the Franchise Agreement.