According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, the net value of property and equipment was $816,000 as of December 31, 2023. This figure represents the depreciated value of assets such as building improvements, furniture, fixtures, and landscaping. It is important to note that depreciation expense for property and equipment was $1.4 million for the year ended December 31, 2023.

For a prospective Sonesta Simply Suites franchisee, this indicates the level of investment the company has in its physical assets. The depreciation expense suggests that these assets are being utilized and are wearing down over time, which is a normal part of business operations.

It's worth noting that the FDD also lists the estimated useful lives of various property and equipment components. For example, building improvements have a useful life of up to 40 years, while furniture and fixtures have a useful life of up to 10 years. Landscaping and land improvements are depreciated over the lesser of their useful life or the remaining lease term. Understanding these depreciation schedules can help a franchisee anticipate future capital expenditures and manage their finances accordingly.