Where can I find information about the Development Incentive Program(s) for Springhill Suites By Marriott?
Springhill_Suites_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
In certain circumstances, we may consider reducing our monthly franchise fees to less than the standard amount, with the reduction typically decreasing over time and applying only in the first few years.
If the monthly franchise fees are less than the standard amount, we may also adjust the term of your franchise agreement.
In deciding whether to make such changes, we will consider, among other factors: (i) market penetration opportunities; (ii) the location and size of the hotel; (iii) the economic and financial environment; (iv) the cost to the franchisee to complete the conversion of an existing hotel; (v) whether our reducing a portion of the fees would aid in the successful development or conversion of the hotel; (vi) whether the franchisee is willing to commit to playing an active role in growing the system; and (vii) other relevant factors pertinent to the project and the system.
Source: Item 6 — B. Other Fees That May Apply to Your Transaction (FDD pages 32–64)
What This Means (2025 FDD)
According to Springhill Suites By Marriott's 2025 Franchise Disclosure Document, Item 6 discusses the possibility of reduced monthly franchise fees under certain circumstances. Springhill Suites By Marriott may consider reducing the standard monthly franchise fees, with the reduction typically decreasing over time and applying only in the initial years of operation. In cases where monthly franchise fees are reduced, Springhill Suites By Marriott may also adjust the term of the franchise agreement.
In deciding whether to make such changes, Springhill Suites By Marriott will consider factors such as market penetration opportunities, the location and size of the hotel, the economic and financial environment, and the cost to the franchisee to complete the conversion of an existing hotel. Additionally, they will assess whether reducing a portion of the fees would aid in the successful development or conversion of the hotel, the franchisee's willingness to commit to playing an active role in growing the system, and other relevant factors pertinent to the project and the system.
This suggests that Springhill Suites By Marriott may offer some financial incentives to encourage development or conversion, but these are evaluated on a case-by-case basis considering various market and franchisee-specific conditions. A prospective franchisee should inquire with the franchisor about the specific conditions and eligibility requirements for these potential fee reductions.