Arise Suites Extended Stay by Wyndham Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Arise Suites Extended Stay by Wyndham is an extended-stay hotel franchise offering suites for weekly and monthly guests. Franchisees own and operate the properties, managing front desk, housekeeping, and revenue.
FranchiseVerdict summary · 2026
A Arise Suites Extended Stay by Wyndham franchise requires a total initial investment of $304K – $1.4M, including a $25K franchise fee and an ongoing 6.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2024 FDD issuance
Overview
- Investment
- $304K – $1.4M
- 16th pct Lodging
- Avg gross sales
- N/A
- 0 outlets
- Royalty
- 6.0%
- 52nd pct Lodging
- Units
- 0
- 0th pct Lodging
- SBA charge-off
- N/A
Quick verdict · Lodging · color = vs category peers
Green = favorable by >10% vs Lodging avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $304K – $1.4M including a $25K franchise fee, 6.0% ongoing royalty.
- RETURNSItem 21 financial statements are the audited consolidated statements of Wyndham Hotels & Resorts, Inc. (the public ultimate parent), not the franchisor WHR Extended Stay, LLC. Figures in millions USD; FY ended Dec 31, 2023 (yr1) and 2022 (yr2). Net revenues $1,397M include $13M cost reimbursements; fee-related and other revenues were $1,384M. WHR guarantees the franchisor's performance.
- RISKVerdict D (Below average), verdict score 33/100 (higher is better).
- DATANo 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
Corporate structure & franchisor financials
- Legal entity
- WHR Extended Stay, LLC
- Parent company
- Wyndham Hotels & Resorts, Inc. (WHR)
- Ultimate parent
- Wyndham Hotels & Resorts, Inc.
- 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
- CEO
- Geoff Ballotti
- Headquarters
- NJ
- Founded
- 2007
- FDD year
- 2024
- States available
- 0
Can you afford it, and what does the money buy?
Entry cost runs 91% below the typical lodging franchise.
Source: FDD 2024 · Items 5–7
Full Item 7 breakdown17 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 – $1.4M
- Top 40% of category vs category
- Liquid capital req'd
- $47K – $76K
- Top 40% of category vs category
- Franchise fee
- $25K – $25K
- Top 40% of category vs category
- Royalty
- 6.0%
- tiered · 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 | $849 |
| Training fee | $5K |
| Transfer fee | $35K |
| Renewal fee | $35K |
| Inventory (initial) | $8K – $396K |
| Total fee load | 8.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Arise Suites Extended Stay by Wyndham did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Arise Suites Extended Stay by Wyndham unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
10%
Below the 30–60% attractive-franchise band
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2024 FDD
Financial Performance
Item 21 financial statements are the audited consolidated statements of Wyndham Hotels & Resorts, Inc. (the public ultimate parent), not the franchisor WHR Extended Stay, LLC. Figures in millions USD; FY ended Dec 31, 2023 (yr1) and 2022 (yr2). Net revenues $1,397M include $13M cost reimbursements; fee-related and other revenues were $1,384M. WHR guarantees the franchisor's performance.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 8.0% — below the Lodging average of 10.4%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Lodging averages
How Arise Suites Extended Stay by Wyndham Compares
Is the system healthy?
Source: FDD 2024 · Item 20
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
- Opened (3yr)
- 0
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 6
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
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.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
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)
No pending litigation against franchisor (WHR Extended Stay, LLC). One pending class action against Lodging Affiliates (Knuth v. Wyndham Worldwide et al., Saskatchewan, 2014, re Destination Marketing Fee). Six resolved matters against Lodging Affiliates (Luca resort fees; Brodsky Sherman Act; Pooniwala franchise termination; Roberts recording; Stone recording; FFC Capital breach; FTC cyberattack). No litigation against franchisees in past fiscal year.
Largest disclosed settlement: $220,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 33 / 100 verdict
- 01MINORZero operating franchise units with unknown growth trajectory indicates brand is pre-revenue or has failed to recruit franchisees despite 20-year term offering
- 02HIGHMultiple 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
- 03MEDParent company (Wyndham) disclosed material cybersecurity breaches subject to FTC enforcement — heightened risk of data liability passed to franchisees
- 04MINORExtended-stay hotel model requires high capital and operational expertise; zero franchisees suggests market rejection or franchise structure failure
- 05MINOR20-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
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2024 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Allowed renewalsℹ | 0 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | No |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Mandatory arbitration | No |
| Arbitration location | Morris County, New Jersey (mediation and litigation only; no mandatory arbitration) |
| Jury trial waiver | Yes |
| Governing law | NJ |
| Litigation count | 1 |
View Item 3 litigation summary
No pending litigation against franchisor (WHR Extended Stay, LLC). One pending class action against Lodging Affiliates (Knuth v. Wyndham Worldwide et al., Saskatchewan, 2014, re Destination Marketing Fee). Six resolved matters against Lodging Affiliates (Luca resort fees; Brodsky Sherman Act; Pooniwala franchise termination; Roberts recording; Stone recording; FFC Capital breach; FTC cyberattack). No litigation against franchisees in past fiscal year.
Items 10, 11
Training & Operations
- Classroom training
- 34 hrs
- On-the-job training
- 0 hrs
- Training location
- Corporate designated location (Parsippany, NJ) or online (hybrid or virtual-only)
- Ongoing training
- Required
- Site selection
- franchisee selects; franchisor approves
- Franchisor financing
- Offered
- Item 10
- POS system
- OPERA Cloud Foundation
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: OPERA Cloud Foundation
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 – $1.4M, 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 Item 19 in the Arise Suites Extended Stay by Wyndham FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Arise Suites Extended Stay by Wyndham FDD and qualifies whose outlets they describe.
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 verdict score of 33 out of 100 (higher is better), 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.
For franchisors
Are you the franchisor?
If you represent Arise Suites Extended Stay by Wyndham, you can request corrections or provide updated information.
Other Lodging franchises
Compare similar franchise opportunities in the Lodging category
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.