What is the maximum PIP Fee that Sonesta Simply Suites charges?

According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, if a quality assurance inspection is necessary to remediate guest satisfaction deficiencies, a franchisee may be required to pay up to $5,000 for such remediation inspection.

Sonesta Simply Suites conducts evaluations of hotels using Brand Standards, with a minimum of one inspection per year. Franchisees are responsible for writing off folio charges for the inspector. If a hotel's score falls below an acceptable level, additional inspections may be required, incurring fees of up to $4,000 for the first re-inspection and up to $5,000 for subsequent re-inspections. Franchisees also bear the costs of all inspections, including travel and meal expenses for Sonesta Simply Suites personnel.

The frequency and methodology of these inspections are subject to change annually, giving Sonesta Simply Suites the flexibility to adjust its oversight processes. This means that franchisees need to stay updated on the latest inspection protocols to ensure compliance and avoid potential fees. The potential for multiple re-inspections, each carrying significant costs, underscores the importance of maintaining high standards of guest satisfaction and operational quality at all times.

These fees are subject to a Fee Adjustment, which means an increase at Sonesta Simply Suites's discretion by up to the greater of (i) 5% annually (or 10% for TMC and Consortia Fees and Operations Insights fees) on a compounding basis regardless of whether Sonesta Simply Suites exercises such adjustment in any calendar year, or (ii) the difference, expressed as a percentage, in CPI as determined by comparing the CPI in effect as of the Effective Date to the CPI in effect as of the date of the Fee Adjustment, without reference to any prior Fee Adjustment, if any.