towneplace suites by marriott® franchise › wp-content › ... · 2019-03-25 · franchise hotel...

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. TOWNEPLACE SUITES BY MARRIOTT® TownePlace Suites by Marriott is designed to appeal to extended-stay travelers who want to feel at home and stay productive. Featuring compelling economics and strong performance in Average Daily Rate (ADR), Occupancy, and Extended Stay Occupancy, the brand also appeals to owners, franchisees and investors looking for an excellent growth opportunity. Backed by Marriott’s robust demand generation engines and featuring the best Extended Stay sales tools in the industry, TownePlace Suites® is primed to perform. The current prototype design offers guests extraordinary value and features modern spacious suites with full kitchens, larger public spaces and a complimentary hot breakfast. The décor expresses today’s design trends with an emphasis on comfort and creating a sense of well-being. TownePlace Suites also features innovative partnerships with powerful brands like elfa® closets from The Container Store® and Weber® grills, creating unique opportunities to spark interest and drive demand. With many superior development opportunities available in the U.S. and Canada, and the newly designed, flexible prototype that easily adapts to markets ranging from cities to airports to suburbs, TownePlace Suites is ready to grow with you. FRANCHISE HOTEL PERFORMANCE* COMPETITIVE FEE STRUCTURE* OPTIMIZED COST PLAN* DISTRIBUTION (YE 2018) With the brand nearing 400 properties and over 200 projects in the pipeline, TownePlace Suites continues to identify secondary and tertiary markets throughout the U.S. and Canada. Loyal Customer Base: Marriott Rewards® Member Paid Nights represent 55.9% of total TownePlace Suites Nights Lower Cost Bookings: Marriott’s channels generate 65.9% of TownePlace Suites’ reservations Application Fee: The greater of $50,000 or $400 per suite Royalty Fee: 5.5% of Gross Room Sales Marketing Fund Fee: 2% of Gross Room Sales 80 – 110 keys Average Cost Per Key: $92,000– $150,000 120 – 150 keys Average Cost Per Key: $89,000 – $143,000 *2018 TownePlace Suites Franchise Disclosure Document. For all other costs and fees, refer to the FDD. RECENT OPENINGS U.S. AND CANADA (Units / Rooms) Open: 388 / 39,231 Pipeline: 224 / 23,248 $ KEY COMPETITORS: Home2 Suites by Hilton, Staybridge Suites, Candlewood Suites Average Occupancy: 75.4% Average Extended Stay Occupancy: 38.7% Average Daily Room Rate: $109.40 Average RevPAR: $82.45 Average Extended Stay RevPAR: $41.48 Average RevPAR Index: 110.2 TownePlace Suites Las Vegas City Center, NV Opened February 2019 TownePlace Suites Salt Lake City Downtown, UT Opened January 2019 TownePlace Suites Austin North/Lakeline, TX

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Page 1: TOWNEPLACE SUITES BY MARRIOTT® FRANCHISE › wp-content › ... · 2019-03-25 · FRANCHISE HOTEL PERFORMANCE* COMPETITIVE FEE STRUCTURE* OPTIMIZED COST PLAN* DISTRIBUTION (YE 2018)

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TOWNEPLACE SUITES BY MARRIOTT® TownePlace Suites by Marriott is designed to appeal to extended-stay travelers who want to feel at home and stay productive. Featuring compelling economics and strong performance in Average Daily Rate (ADR), Occupancy, and Extended Stay Occupancy, the brand also appeals to owners, franchisees and investors looking for an excellent growth opportunity. Backed by Marriott’s robust demand generation engines and featuring the best Extended Stay sales tools in the industry, TownePlace Suites® is primed to perform.

The current prototype design offers guests extraordinary value and features modern spacious suites with full kitchens, larger public spaces and a complimentary hot breakfast. The décor expresses today’s design trends with an emphasis on comfort and creating a sense of well-being. TownePlace Suites also features innovative partnerships with powerful brands like elfa® closets from The Container Store® and Weber® grills, creating unique opportunities to spark interest and drive demand.

With many superior development opportunities available in the U.S. and Canada, and the newly designed, flexible prototype that easily adapts to markets ranging from cities to airports to suburbs, TownePlace Suites is ready to grow with you.

FRANCHISE HOTEL PERFORMANCE*

COMPETITIVE FEE STRUCTURE*

OPTIMIZED COST PLAN*

DISTRIBUTION (YE 2018)

With the brand nearing 400 properties and over 200 projects in the pipeline, TownePlace Suites continues to identify secondary and tertiary markets throughout the U.S. and Canada.

Loyal Customer Base: Marriott Rewards® Member Paid Nights represent 55.9% of total TownePlace Suites Nights

Lower Cost Bookings: Marriott’s channels generate 65.9% of TownePlace Suites’ reservations

Application Fee: The greater of $50,000 or $400 per suite

Royalty Fee: 5.5% of Gross Room Sales

Marketing Fund Fee: 2% of Gross Room Sales

80 – 110 keys Average Cost Per Key: $92,000– $150,000 120 – 150 keys Average Cost Per Key: $89,000 – $143,000

*2018 TownePlace Suites Franchise Disclosure Document. For all other costs and fees, refer to the FDD.

RECENT OPENINGS

U.S. AND CANADA (Units / Rooms)

Open: 388 / 39,231 Pipeline: 224 / 23,248

$KEY COMPETITORS: Home2 Suites by Hilton, Staybridge Suites, Candlewood Suites

Average Occupancy: 75.4%

Average Extended Stay Occupancy: 38.7%

Average Daily Room Rate: $109.40

Average RevPAR: $82.45

Average Extended Stay RevPAR: $41.48

Average RevPAR Index: 110.2

TownePlace Suites Las Vegas City Center, NV Opened February 2019

TownePlace Suites Salt Lake City Downtown, UT Opened January 2019

TownePlace Suites Austin North/Lakeline, TX

Page 2: TOWNEPLACE SUITES BY MARRIOTT® FRANCHISE › wp-content › ... · 2019-03-25 · FRANCHISE HOTEL PERFORMANCE* COMPETITIVE FEE STRUCTURE* OPTIMIZED COST PLAN* DISTRIBUTION (YE 2018)

TOWNEPLACE SUITES FRANCHISE DISCLOSURE:The data above reflects the performance of all 253 franchised TownePlace Suites by Marriott hotels open and operating in North America for 24 months as of December 31, 2017, for which Smith Travel Research, Inc. has data and which did not undergo material renovations or expansions during the 24 months preceding December 31, 2017. Of the 253 TownePlace Suites hotels, 144 (56.9%) achieved an average occupancy rate equal to or greater than 75.4%; 94 (37.2%) achieved an average daily room rate equal to or greater than $109.40; 105 (41.5%) achieved or exceeded the average RevPAR of $82.45; and 118 (46.6%) achieved an average RevPAR Index equal to or greater than 110.2. For the 254 N.A. Included Franchised Hotels that represent the one-year period ended December 31, 2017; 123 (48.4%) achieved or exceeded the average ESOcc of 38.7%; and 106 (41.7%) achieved or exceeded the average ESRevPAR of $41.48. There were 254 franchised TownePlace Suites by Marriott hotels open and operating in North America for at least two years as of December 31, 2017, and did not undergo any material renovations during that time. Of the 254 TownePlace Suites hotels, 140 (55.1%) had at least 65.9% of their gross room nights booked through the Marriott Channels; and 129 (50.8%) achieved or exceeded the average percentage of Marriott Rewards contribution to Occupancy of 55.9%. There is no assurance that you will do as well. OFFER AND SALE BY PROSPECTUS ONLY. See Item 19 of our Franchise Disclosure Document dated March 31, 2018, for additional details.

TOWNEPLACE SUITES PROTO MODEL ATTRIBUTES

GUEST SUITE• Flexible plans are available for studio and one bedroom suites which all have

fully equipped kitchens and living areas.

• New guest suite decor package availabe in mid-2019.

• The HomeOffice features intuitive workspace with storage options and a pull-out table to work where you choose.

• The elfa® closet system, designed in partnership with The Container Store® offers guests a custom closet loaded with storage options and flexibility.

• A residential glass enclosed walk-in shower is available.

PUBLIC SPACE• The lobby offers expansive public space with soft seating and areas to

collaborate and enjoy meals.

• The lobby décor package, TurningPointS 2.0, provides warm colors and upgraded wood features.

• New decor package for public space to be launched in mid-2019.

• The Welcome Desk offers a quick check-in process and features the TowneMap® which provides a snapshot of the neighborhood and local recommendations.

• In A Pinch®, the 24/7 convenience market provides “grab and go” food offerings.

• On Us, a designated space in the lobby offers complimentary coffee and tea.

• Morning Break, offers complimentary hot breakfast daily.

OTHER AMENITIES• Fitness center and pool allows guests to stay in shape.

• An exclusive partnership with Weber® features grills in the front BBQ patio along with Weber® tools and spices.

• On site guest laundry offers an added convenience for extended stay guests.

• Scalable meeting space options to meet the demands of your market.

BRANDS. LOYALTY. PARTNERSHIPS. RESULTS. MADE HERE. VISIT MARRIOTTDEVELOPMENT.COM OR CALL: 301.380.3200