Arise Suites Extended Stay by WyndhamFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Arise Suites Extended Stay by Wyndham franchise requires a total initial investment of $304K – $2.5M, including a $25K franchise fee and an ongoing 6.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: D. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $304K – $2.5M
- 19th pct Lodging
- Avg gross sales
- N/A
- 2nd pct Lodging
- Royalty
- 6.0%
- 39th pct Lodging
- Units
- 0
- 0th pct Lodging
- SBA default
- N/A
Quick verdict · Lodging · color = vs category peers
Green = >15% above Lodging avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $304K – $2.5M including a $25K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict D (Below Average) with a risk score of 72/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- WHR Extended Stay, LLC
- Parent company
- Wyndham Hotels & Resorts, Inc.
- Ultimate parent
- Wyndham Worldwide Corporation (pre-2018 spinoff)
- CEO title
- President and Chief Executive Officer
- Geoff Ballotti
- CEO experience
- 2017 yrs
- Years in role or industry
- Incorporated in
- DE
- HQ
- 22 Sylvan Way, Parsippany, New Jersey 07054
- Auditor
- Deloitte & Touche LLP
- Audited financials
- Franchisor revenue
- $1.4B
- vs $1.5B prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
Franchisees would operate extended-stay hotel properties under the Arise Suites brand, managing daily operations including front-desk services, housekeeping, maintenance, and guest services for weekly/monthly-stay clientele. Franchisees pay 6% royalties on room revenue while adhering to brand standards and participating in Wyndham's central reservation system.
- CEO
- Geoff Ballotti
- Headquarters
- NJ
- Founded
- 2007
- FDD year
- 2024
- States available
- 0
FDD Item 7 · 2024 filing · 17 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Fee (inclusive of Application Fee) | $25K | $25K | |
| Photosnot refundable | $2K | $5K | |
| Training Tuitionnot refundable | $5K | $7K | |
| Training Expensesnot refundable | $3K | $4K | |
| Amenities and Temporary Signagenot refundable | $500 | $2K | |
| Architecture, Design and Engineering, Phase I Environmental, Permits, Licenses, Deposits and Related Feesnot refundable | $0 | $125K | |
| Facility Improvementsnot refundable | $46K | $250K | |
| Conversion Contingencynot refundable | $2K | $13K | |
| Technology Systemsnot refundable | $24K | $143K | |
| Property Management Set-Up and Installationnot refundable | $9K | $9K | |
| Furniture, Fixture and Equipmentnot refundable | $54K | $150K | |
| Signagenot refundable | $45K | $100K | |
| Opening Inventorynot refundable | $8K | $396K | |
| Insurancenot refundable | $25K | $45K | |
| Grand Opening Advertisingnot refundable | $2K | $15K | |
| Miscellaneous Non-Tangible Asset Costsnot refundable | $5K | $17K | |
| Additional Funds for 3-Month Initial Periodnot refundable | $47K | $76K | |
| Total initial investment | $304K | $1.4M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $304K – $2.5M
- Better than avg vs category
- Liquid capital req'd
- $47K – $76K
- Better than avg vs category
- Franchise fee
- $25K – $25K
- Better than avg vs category
- Royalty
- 6.0%
- Gross Room Revenue · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $1K |
| Training fee | $7K |
| Transfer fee | $35K |
| Renewal fee | $35K |
| Total fee load | 8.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Lodging averages
How Arise Suites Extended Stay by Wyndham Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 0
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Company-owned
- 0
- Corporate units in the system
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 6
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 13 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Pre-revenue franchise concept from litigation-plagued parent company with zero operating units, undisclosed financials, and structural barriers to franchisee recruitment represents extreme execution and financial risk.
Litigation (Item 3)
Three cases disclosed: (1) Norma Knuth v. Wyndham Worldwide et al. - PENDING class action in Saskatchewan Court of Queen's Bench (filed Dec 2014, amended twice through Dec 2015) alleging improper 3-4% Destination Marketing Fees charged to hotel guests in violation of Consumer Protection Act, claiming $403M in restitution plus damages; (2) Thomas Luca, Jr. v. Wyndham Worldwide et al. - SETTLED class action in U.S. District Court Western District of Pennsylvania (filed June 2016) regarding resort fees and Terms of Use violations under New Jersey Consumer Fraud Act, settled with class members receiving $22 or 2,200 Wyndham Rewards points with final approval Feb 24, 2020; (3) Jay Brodsky v. Hilton Worldwide Inc. et al. - PENDING individual lawsuit in U.S. District Court District of New Jersey (filed Aug 2018) against multiple hotel companies including Wyndham alleging Sherman Antitrust Act violations for bid rigging and group boycott regarding online advertising for hotel bookings.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 72 / 100 rating
- 01MINORZero operating franchise units with unknown growth trajectory indicates brand is pre-revenue or has failed to recruit franchisees despite 20-year term offering
- 02MEDNo Item 19 financial performance data disclosed — impossible to validate $304K-$2.4M investment ROI claims or 6% royalty sustainability
- 03HIGHMultiple active and resolved class action litigations (destination marketing fees pending, resort fees, website terms, advertising, retaliation, wiretapping) suggest systemic corporate governance and consumer trust issues
- 04MEDParent company (Wyndham) disclosed material cybersecurity breaches subject to FTC enforcement — heightened risk of data liability passed to franchisees
- 05MINORExtended-stay hotel model requires high capital and operational expertise; zero franchisees suggests market rejection or franchise structure failure
- 06MINOR20-year term with $25K franchise fee locks franchisees into relationship with litigious franchisor during uncertain brand establishment phase
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Allowed renewalsℹ | 0 |
| Territory type | Radius or irregular area |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | No |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | New Jersey |
| Litigation count | 8 |
View Item 3 litigation summary
Three cases disclosed: (1) Norma Knuth v. Wyndham Worldwide et al. - PENDING class action in Saskatchewan Court of Queen's Bench (filed Dec 2014, amended twice through Dec 2015) alleging improper 3-4% Destination Marketing Fees charged to hotel guests in violation of Consumer Protection Act, claiming $403M in restitution plus damages; (2) Thomas Luca, Jr. v. Wyndham Worldwide et al. - SETTLED class action in U.S. District Court Western District of Pennsylvania (filed June 2016) regarding resort fees and Terms of Use violations under New Jersey Consumer Fraud Act, settled with class members receiving $22 or 2,200 Wyndham Rewards points with final approval Feb 24, 2020; (3) Jay Brodsky v. Hilton Worldwide Inc. et al. - PENDING individual lawsuit in U.S. District Court District of New Jersey (filed Aug 2018) against multiple hotel companies including Wyndham alleging Sherman Antitrust Act violations for bid rigging and group boycott regarding online advertising for hotel bookings.
Items 10, 11
Training & Operations
- Classroom training
- 45 hrs
- On-the-job training
- 30 hrs
- Training location
- On-site and corporate
- POS system
- OPERA Cloud Foundation PMS
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: OPERA Cloud Foundation PMS
Item 20 · call current owners
Franchisee Contacts
14 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Arise Suites Extended Stay by Wyndham · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Arise Suites Extended Stay by Wyndham franchise?
The total investment to open a Arise Suites Extended Stay by Wyndham franchise ranges from $304K – $2.5M, with an initial franchise fee of $25K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Arise Suites Extended Stay by Wyndham franchise owners earn?
Arise Suites Extended Stay by Wyndham does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Arise Suites Extended Stay by Wyndham's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Arise Suites Extended Stay by Wyndham (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
Is Arise Suites Extended Stay by Wyndham a good franchise to buy?
FranchiseVerdict rates Arise Suites Extended Stay by Wyndham as a D-grade franchise with a risk score of 72 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.