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    Sonesta Hotels and Resorts Royal Sonesta

    Franchise research report · reviewed 2026 disclosure data

    Researching Sonesta Hotels and Resorts Royal Sonesta franchise opportunities? Every figure below is cited to the FDD.

    Reviewed sources

    Sonesta Hotels and Resorts and The Royal Sonesta are full-service hotel brands within Sonesta's portfolio. The brands offer lodging in city and resort destinations, with dining and meeting or event facilities.

    Headline figures

    Quick facts

    How much does it cost to open a Sonesta Hotels and Resorts Royal Sonesta franchise?
    The Sonesta Hotels and Resorts Royal Sonesta Franchise Disclosure Document reports separate estimated initial investments by format: $1,507,607–$110,540,099 for conversion only (sonesta hotels and resorts conversion total lower initial investment) (2026 FDD, Item 7, PDF p. 37); $1,872,107–$155,360,099 for conversion only (royal sonesta conversion total lower initial investment) (2026 FDD, Item 7, PDF p. 40); $87,716,578–$155,360,099 for royal sonesta new construction total lower initial investment (2026 FDD, Item 7, PDF p. 40); $57,729,078–$110,540,099 for sonesta hotels and resorts new construction total lower initial investment (2026 FDD, Item 7, PDF p. 37). These formats are not combined. Each is the franchisor's disclosed estimate, not a quote. Details
    What ongoing fees does Sonesta Hotels and Resorts Royal Sonesta charge?
    The disclosed ongoing royalty is 5% (2026 FDD, Item 6, PDF p. 24). Other recurring fees are listed in Item 6. Details
    Does Sonesta Hotels and Resorts Royal Sonesta disclose financial performance (Item 19)?
    Yes. The Sonesta Hotels and Resorts Royal Sonesta FDD includes an Item 19 financial performance representation (2026 FDD, Item 19, PDF p. 72). Figures apply only to the locations and period each one covers. Details
    How many Sonesta Hotels and Resorts Royal Sonesta locations are there?
    The FDD reports 18 outlets at the end of 2025 (2026 FDD, Item 20, PDF p. 77). Existing locations do not indicate territory availability. Details

    From reviewed FDD figures only. Not a recommendation or projection.

    What the disclosures show

    1. 1The 2026 FDD (Item 7) estimates opening costs separately by format: $1,507,607 – $110,540,099 (Sonesta Hotels and Resorts conversion Total lower initial investment); $1,872,107 – $155,360,099 (Royal Sonesta conversion Total lower initial investment); $87,716,578 – $155,360,099 (Royal Sonesta new construction Total lower initial investment); $57,729,078 – $110,540,099 (Sonesta Hotels and Resorts new construction Total lower initial investment); several initial fee options apply.
    2. 2Item 19 covers 8 separate groups: other measures for 25 SHR Company - Owned Hotels locations; other measures for 24 SHR Company - Owned Hotels locations; other measures for 2 SHR Franchised Hotels locations; other measures for 5 SHR Franchised Hotels locations; other measures for 30 SHR Company - Owned and Franchised Hotels locations; other measures for 26 SHR Company - Owned and Franchised Hotels locations; other measures for 18 RS Company - Owned Hotels locations; other measures for 17 RS Company - Owned Hotels locations. They are not combined.
    3. 3Outlets held steady in 2025, to 18 (Company- Owned, as labeled in the FDD, Item 20).

    From reviewed FDD figures only. Not a recommendation or projection.

    Costs · Items 5–7

    What does it cost to open?

    Estimated opening costs and the fees payable to the franchisor.

    Startup Investment — Item 7

    Range across 4 single-unit formats

    2026 FDD · Item 7

    Formats disclosed in Item 7 (4)

    Each format has its own total. The total depends on the format you choose.

    • Sonesta Hotels and Resorts conversion Total lower initial investmentPDF p. 37$1,507,607 – $110,540,099
    • Royal Sonesta conversion Total lower initial investmentPDF p. 40$1,872,107 – $155,360,099
    • Sonesta Hotels and Resorts new construction Total lower initial investmentPDF p. 37$57,729,078 – $110,540,099
    • Royal Sonesta new construction Total lower initial investmentPDF p. 40$87,716,578 – $155,360,099

    Ongoing Fees — Item 6

    Selected recurring charges; payment bases and conditions remain attached to each fee.

    Royalty percentage of gross rooms revenueMain ongoing fee

    101 reported fees, each with its payment basis, are listed below; they haven't been sorted into recurring, initial and occasional groups yet.

    Financial Performance — Item 19

    What results are disclosed—and for which locations?

    8 separate populations, shown apart. Revenue is not owner income.

    Locations counted: not stated in the reviewed record

    Other measures · 25 locations

    Who is counted
    SHR Company - Owned Hotels one full years
    Period
    Average
    Excluded
    SHR one closure excluded; full-year and three-full-year cohorts separately. RS has company-owned only.
    Method
    Aggregate ADR, occupancy and RevPAR; median and ranges per hotel. Contribution Sonesta channels excludes direct/OTAs. Source franchisee/STR reports; no cost deductions.

    Locations counted: not stated in the reviewed record

    Other measures · 24 locations

    Who is counted
    SHR Company - Owned Hotels three full years
    Period
    Average
    Excluded
    SHR one closure excluded; full-year and three-full-year cohorts separately. RS has company-owned only.
    Method
    Aggregate ADR, occupancy and RevPAR; median and ranges per hotel. Contribution Sonesta channels excludes direct/OTAs. Source franchisee/STR reports; no cost deductions.

    Locations counted: not stated in the reviewed record

    Other measures · 2 locations

    Who is counted
    SHR Franchised Hotels three full years
    Period
    ADR index
    Excluded
    SHR one closure excluded; full-year and three-full-year cohorts separately. RS has company-owned only.
    Method
    STR Chain Scale Index: SHR Upscale; RS Upper Upscale; source index unchanged.

    Locations counted: not stated in the reviewed record

    Other measures · 5 locations

    Who is counted
    SHR Franchised Hotels one full years
    Period
    Average
    Excluded
    SHR one closure excluded; full-year and three-full-year cohorts separately. RS has company-owned only.
    Method
    Aggregate ADR, occupancy and RevPAR; median and ranges per hotel. Contribution Sonesta channels excludes direct/OTAs. Source franchisee/STR reports; no cost deductions.

    Locations counted: not stated in the reviewed record

    Other measures · 30 locations

    Who is counted
    SHR Company - Owned and Franchised Hotels one full years
    Period
    Average
    Excluded
    SHR one closure excluded; full-year and three-full-year cohorts separately. RS has company-owned only.
    Method
    Aggregate ADR, occupancy and RevPAR; median and ranges per hotel. Contribution Sonesta channels excludes direct/OTAs. Source franchisee/STR reports; no cost deductions.

    Locations counted: not stated in the reviewed record

    Other measures · 26 locations

    Who is counted
    SHR Company - Owned and Franchised Hotels three full years
    Period
    Median
    Excluded
    SHR one closure excluded; full-year and three-full-year cohorts separately. RS has company-owned only.
    Method
    Aggregate ADR, occupancy and RevPAR; median and ranges per hotel. Contribution Sonesta channels excludes direct/OTAs. Source franchisee/STR reports; no cost deductions.

    Locations counted: not stated in the reviewed record

    Other measures · 18 locations

    Who is counted
    RS Company - Owned Hotels one full years
    Period
    Median
    Excluded
    SHR one closure excluded; full-year and three-full-year cohorts separately. RS has company-owned only.
    Method
    Aggregate ADR, occupancy and RevPAR; median and ranges per hotel. Contribution Sonesta channels excludes direct/OTAs. Source franchisee/STR reports; no cost deductions.

    Locations counted: not stated in the reviewed record

    Other measures · 17 locations

    Who is counted
    RS Company - Owned Hotels three full years
    Period
    Average
    Excluded
    SHR one closure excluded; full-year and three-full-year cohorts separately. RS has company-owned only.
    Method
    Aggregate ADR, occupancy and RevPAR; median and ranges per hotel. Contribution Sonesta channels excludes direct/OTAs. Source franchisee/STR reports; no cost deductions.

    These groups are never combined.

    Outlet Changes — Item 20

    How has the outlet count changed?

    Company- Owned, as labeled in the FDD · counts as of 2025 of each year.

    2026 FDD · Item 20 · PDF p. 80

    Net −3 outlets, 2023–2025

    0212023242024182025+3−6

    Year-end counts reported in Item 20. The scale starts at zero; the labels between the dots show each year's change. Openings and closures for 2025 haven't been pulled from the Item 20 tables yet, so no turnover or churn is shown.

    Questions to investigate

    Prompts based on what this brand's reviewed disclosures do and don't show — not conclusions. Join free as a member to save questions to your research.

    For the franchisor

    • Which line items in the 2026 Item 7 estimate ($1,507,607 – $155,360,099) vary most by market, and why?

    • Which initial fee option would apply to my situation, and what conditions or discounts affect it?

    • Which locations are included in the Item 19 figures, and which were excluded?

    • Reported units went from 18 to 18 in 2025. How many new units opened, closed or changed hands?

    • Is a territory available in my area, and how is it defined in my agreement?

    For current and former owners

    • How did your actual startup costs and timeline compare with the Item 7 estimate?

    • How many hours a week do you work in the business, and in what role?

    • How do your results compare with the Item 19 figures, and what explains the difference?

    • What support from the franchisor has been most and least useful?

    For your advisors

    • Ask a franchise attorney to review the territory, renewal, transfer and termination terms.

    • Ask an accountant to build a cash-flow plan using your own assumptions, not the franchisor's.

    Sources & vintage history

    Every displayed fact is retained with its disclosure vintage, item, page, and reviewed status. Prior vintages remain on file rather than being overwritten.

    Citations (2026 FDD)

    1. [1]Item 19 — Locations counted not stated in the reviewed record — SHR Company - Owned Hotels one full years · PDF p. 72; PDF p. 74
    2. [2]Item 19 — Locations counted not stated in the reviewed record — SHR Company - Owned Hotels three full years · PDF p. 72; PDF p. 73; PDF p. 74
    3. [3]Item 19 — Locations counted not stated in the reviewed record — SHR Franchised Hotels three full years · PDF p. 74; PDF p. 73
    4. [4]Item 19 — Locations counted not stated in the reviewed record — SHR Franchised Hotels one full years · PDF p. 73; PDF p. 74
    5. [5]Item 19 — Locations counted not stated in the reviewed record — SHR Company - Owned and Franchised Hotels one full years · PDF p. 73; PDF p. 75
    6. [6]Item 19 — Locations counted not stated in the reviewed record — SHR Company - Owned and Franchised Hotels three full years · PDF p. 73; PDF p. 75
    7. [7]Item 19 — Locations counted not stated in the reviewed record — RS Company - Owned Hotels one full years · PDF p. 74; PDF p. 75
    8. [8]Item 19 — Locations counted not stated in the reviewed record — RS Company - Owned Hotels three full years · PDF p. 74; PDF p. 75
    9. [9]Outlet counts — Item 20, Table 1 · PDF p. 80

    "PDF p." is the page in the PDF file; "printed p." is the number printed on the FDD page. Source document: FDD

    Territory & operations

    12 addresses in Franopolis's imported location list. Coverage may differ from Item 20 outlet counts.

    These are contract disclosures, not confirmation that any territory is currently available.

    Legal & agreement

    Franchisor financial statements

    Fiscal yearMeasureReported value
    2025cash and cash equivalents$16,410
    2025prepaid expenses and other current assets$10,218
    2025total current assets$41,698
    2025intangible assets, net$20,615
    2025operating lease right of use assets$1,216
    2025goodwill$19,680
    2025other long term assets$36,987
    2025total assets$122,224
    2025accrued expenses and other current liabilities$2,726
    2025operating lease liabilities$593
    2025total current liabilities$8,470
    2025operating lease liabilities, net of current portion$716
    2025due to related parties$29,117
    2025deferred income taxes$235
    2025total long term liabilities$43,216
    2025total liabilities$51,686
    2025accumulated deficit-$17,369
    2025total liabilities and shareholders' equity$122,224
    2025franchise fees$17,437
    2025system, reservation and marketing fees$30,295
    2025loyalty program fees$1,172
    2025other fee revenue$5,521
    2025total fee revenue$54,425
    2025hotel operationsMore than one value recorded for this year — open the FDD source before comparing$4,062
    2025total revenues$58,487
    2025sales and marketing$29,209
    2025general, administrative and other$32,683
    2025depreciation and amortizationMore than one value recorded for this year — open the FDD source before comparing$501
    2025total operating costs and expenses$66,633
    2025operating income-$8,146
    2025income-$7,463
    2025income tax expense-$230
    2025net incomeMore than one value recorded for this year — open the FDD source before comparing-$7,693
    2025net incomeMore than one value recorded for this year — open the FDD source before comparing-$7,693
    2025depreciation and amortizationMore than one value recorded for this year — open the FDD source before comparing$501
    2025amortization of key money and contract costs$2,407
    2025amortization of contract assets and liabilities$110
    2025change in current assets and liabilities accounts receivable, net-$8,005
    2025accounts payableMore than one value recorded for this year — open the FDD source before comparing$905
    2025loyalty program liabilityMore than one value recorded for this year — open the FDD source before comparing$396
    2025accrued compensation, accrued expenses, and other liabilities$6,039
    2025net cash used in operating activities-$17,722
    2025capital expenditures-$1,082
    2025collection of notes receivable$15
    2025net cash provided byMore than one value recorded for this year — open the FDD source before comparing-$1,067
    2025cash transfers from$21,883
    2025net increase$3,094
    2025cash and cash equivalents at beginning of period$13,316
    2025accounts receivable, net$15,070
    2025accrued compensation$4,726
    2025provision$3,860
    2025net cash provided byMore than one value recorded for this year — open the FDD source before comparing$21,883
    2025accounts payableMore than one value recorded for this year — open the FDD source before comparing$425
    2025cash and cash equivalents at end of period$16,410
    2025additional paid in capital$87,652
    2025property and equipment, net$2,028
    2025other long-term liabilities$12,613
    2025hotel operationsMore than one value recorded for this year — open the FDD source before comparing$4,240
    2025loyalty program liabilityMore than one value recorded for this year — open the FDD source before comparing$535
    2025total shareholders' equity$70,538
    2025other income and expenses, net$683
    2024cash and cash equivalents$13,316
    2024accounts receivable, net$9,258
    2024prepaid expenses and other current assets$4,632
    2024property and equipment, net$1,178
    2024intangible assets, net$20,884
    2024goodwill$19,680
    2024other long term assets$30,308
    2024total assets$100,942
    2024accounts payableMore than one value recorded for this year — open the FDD source before comparing$1,481
    2024accrued compensation$4,202
    2024operating lease liabilities$581
    2024total current liabilities$7,132
    2024due to related parties$7,234
    2024deferred income taxes$235
    2024loyalty program liabilityMore than one value recorded for this year — open the FDD source before comparing$139
    2024other long-term liabilities$6,753
    2024total long term liabilities$15,579
    2024total liabilities$22,711
    2024additional paid in capital$87,652
    2024accumulated deficit-$9,676
    2024total shareholders' equity$78,231
    2024franchise fees$15,110
    2024system, reservation and marketing fees$24,752
    2024loyalty program fees$149
    2024total fee revenue$46,474
    2024total revenues$51,051
    2024hotel operationsMore than one value recorded for this year — open the FDD source before comparing$5,383
    2024depreciation and amortizationMore than one value recorded for this year — open the FDD source before comparing$489
    2024total operating costs and expenses$54,595
    2024operating income-$3,544
    2024other income and expenses, net$921
    2024gain-$153
    2024income-$2,776
    2024net incomeMore than one value recorded for this year — open the FDD source before comparing-$2,913
    2024depreciation and amortizationMore than one value recorded for this year — open the FDD source before comparing$489
    2024amortization of contract assets and liabilities$192
    2024loss$153
    2024change in current assets and liabilities accounts receivable, net-$3,111
    2024loyalty program liabilityMore than one value recorded for this year — open the FDD source before comparing$139
    2024net cash used in operating activities-$22,170
    2024capital expenditures-$735
    2024disbursement of notes receivable-$12
    2024collection of notes receivable$14
    2024net cash provided byMore than one value recorded for this year — open the FDD source before comparing-$733
    2024cash transfers from-$1,534
    2024net increase-$24,437
    2024cash and cash equivalents at beginning of period$37,753
    2024cash and cash equivalents at end of period$13,316
    2024provision$1,112
    2024accrued expenses and other current liabilities$868
    2024operating lease liabilities, net of current portion$1,218
    2024total liabilities and shareholders' equity$100,942
    2024other fee revenue$6,463
    2024net incomeMore than one value recorded for this year — open the FDD source before comparing-$2,913
    2024amortization of key money and contract costs$1,514
    2024accounts payableMore than one value recorded for this year — open the FDD source before comparing-$434
    2024net cash provided byMore than one value recorded for this year — open the FDD source before comparing-$1,534
    2024operating lease right of use assets$1,686
    2024total current assets$27,206
    2024general, administrative and other$24,543
    2024income tax expense-$137
    2024accrued compensation, accrued expenses, and other liabilities$893
    2024hotel operationsMore than one value recorded for this year — open the FDD source before comparing$4,577
    2024sales and marketing$24,180
    2023franchise fees$17,139
    2023loyalty program fees$258
    2023total fee revenue$44,992
    2023hotel operationsMore than one value recorded for this year — open the FDD source before comparing$10,574
    2023total revenues$55,566
    2023sales and marketing$18,493
    2023hotel operationsMore than one value recorded for this year — open the FDD source before comparing$9,105
    2023depreciation and amortizationMore than one value recorded for this year — open the FDD source before comparing$1,691
    2023total operating costs and expenses$54,577
    2023operating income$989
    2023other income and expenses, net$440
    2023acquisition costs-$8
    2023income$1,581
    2023income tax expense-$104
    2023net incomeMore than one value recorded for this year — open the FDD source before comparing$1,477
    2023depreciation and amortizationMore than one value recorded for this year — open the FDD source before comparing$1,691
    2023amortization of key money and contract costs$396
    2023amortization of contract assets and liabilities$1,497
    2023deferred income taxes$1
    2023loss-$160
    2023change in current assets and liabilities accounts receivable, net-$942
    2023accounts payable-$436
    2023accrued compensation, accrued expenses, and other liabilities-$2,777
    2023net cash used in operating activities-$10,926
    2023collection of notes receivable$39
    2023net cash provided byMore than one value recorded for this year — open the FDD source before comparing$38,420
    2023net cash provided byMore than one value recorded for this year — open the FDD source before comparing$8,768
    2023net increase$36,262
    2023cash and cash equivalents at beginning of period$1,491
    2023cash and cash equivalents at end of period$37,753
    2023provision-$1,819
    2023system, reservation and marketing fees$21,364
    2023gain$160
    2023capital expenditures-$433
    2023cash transfers to parent for centralized cash management$38,264
    2023cash transfers from$8,768
    2023net incomeMore than one value recorded for this year — open the FDD source before comparing$1,477
    2023other long term assets-$9,440
    2023proceeds from sale of hotel$550
    2023other fee revenue$6,231
    2023general, administrative and other$25,288
    —common stock carrying amount in source thousandsMore than one value recorded for this year — open the FDD source before comparing$255
    —operating cash-flow change in prepaid expenses and other current assetsMore than one value recorded for this year — open the FDD source before comparing-$5,131
    —operating cash-flow change in prepaid expenses and other current assetsMore than one value recorded for this year — open the FDD source before comparing-$414
    —operating cash-flow change in other long term assetsMore than one value recorded for this year — open the FDD source before comparing-$19,498
    —common stock carrying amount in source thousandsMore than one value recorded for this year — open the FDD source before comparing$255
    —operating cash-flow change in prepaid expenses and other current assetsMore than one value recorded for this year — open the FDD source before comparing-$706
    —operating cash-flow change in other long term assetsMore than one value recorded for this year — open the FDD source before comparing-$11,111

    These figures describe the franchisor company, not individual franchise locations.

    SBA-backed loans to franchisees

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    Source: U.S. Small Business Administration 7(a) & 504 FOIA data. Loan volume is not a measure of franchisee success.

    Related research

    Brands in the same subcategory first, then the wider industry, ordered by shared business format and overlapping investment range. This is not a ranking or recommendation.

    Choice Hotels EverhomeChoice Hotels InternationalDHDelta Hotels by Marriott and ResidencesDoubleTree with PiebirdGHGrandStay HospitalityHSHomeTowne Studios by Red Roof

    Head-to-head comparisons

    Sonesta Hotels and Resorts Royal Sonesta vs Choice Hotels EverhomeSonesta Hotels and Resorts Royal Sonesta vs Choice Hotels InternationalSonesta Hotels and Resorts Royal Sonesta vs Delta Hotels by Marriott and Residences
    Compare reviewed facts

    At a glance

    Business history

    Not reviewed

    Owner participation

    Not reviewed

    Territory language

    Litigation disclosure

    Not reviewed

    Bankruptcy disclosure

    Not reviewed

    Agreement term

    Not reviewed

    Independent analysis of franchisor-provided data. Not investment advice. Franopolis does not distribute FDDs.