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Crowne Plaza Franchise Cost, Revenue & Review 2026

LodgingGeorgiaFranchising since 1990
BAbove averageAbove average58/100Editorial grade from public filings; not investment advice.
Investment
$16.7M – $77.8M
Disclosed sales
partial, no system average
SBA charge-off
Not SBA-matched

Investment, fees, disclosed sales, units, SBA record and risk, as one PDF. Free; no spam; one click to unsubscribe.

FV-00671Data QualityExcellent81%FDD 2024 · 2yr old
Manager-run OKNo: No territory protection

Data from FDD filing

Analysis by FranchiseVerdict Research · Methodology

This data is from a 2024 FDD. Current terms may differ. Always verify with the franchisor's latest disclosure document.

Crowne Plaza is an IHG upscale, full-service hotel franchise aimed at business and group travelers, with meeting space and dining. Franchisees own and operate individual properties, running rooms, food and beverage, and events.

FranchiseVerdict summary · 2026

A Crowne Plaza franchise requires a total initial investment of $16.7M – $77.8M, including a $75K franchise fee and an ongoing 5.0% royalty[2]. The 2024 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →

Sources, dates and evidence

FDD issued: · Data extracted: · Last cited check: · Staleness risk: high - issued more than two years ago

Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 5 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.

Overview

Investment
$16.7M – $77.8M
53rd pct Lodging
Avg gross sales
N/A
Incl. company outletsProjection
Royalty
5.0%
3rd pct Lodging
Units
85
45th pct Lodging
SBA charge-off
N/A

Quick verdict · Lodging · color = vs category peers

Total Investment
$16.7M – $77.8M
Median $8.9M
above median ↑, worse than category
Franchise Fee
$75K
Median $50K
above median ↑, worse than category
Liquid Capital Req'd
$300K – $625K
Median $312K
above median ↑, worse than category
Avg Revenue
Partial, no system average
No system average in Item 19
Royalty Rate
5.0%
Median 5.0%
near median
Ongoing Fees
25.1% of rev
Median 8.5%
above median ↑, worse than category
SBA Charge-Off Rate
Not SBA-matched
Not matched to SBA 7(a) loans
System Size
85 units
Median 60 units
above median ↑, better than category
Turnover Rate
3.5%
Median 0.7%
above median ↑, worse than category
Territory
None
The franchisor can open or license outlets nearby
Owner-Operator
Optional
Can hire a manager
Litigation
59 cases
Review carefully

Green = favorable by >10% vs Lodging median · 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 $16.7M – $77.8M including a $75K franchise fee, 5.0% ongoing royalty.
  • RETURNSItem 19 reports occupancy, ADR and RevPAR rather than annual gross sales, so unit revenue is not directly comparable.
  • RISKVerdict B (Above average), verdict score 58/100 (higher is better).
  • GROWTHNegative: net -2 franchised outlets in the latest year (1 opened, 3 closed); 6 signed but not yet open (Item 20).
  • LEGAL59 litigation matters disclosed in Item 3, higher than typical. Of the 15 listed on this page, 11 name the franchisor itself, 4 its parent, affiliates or predecessor. Pending claims are allegations, not findings.

Item 1 · who you're contracting with

The Franchisor

Corporate structure & franchisor financials
Legal entity
Holiday Hospitality Franchising, LLC
Parent company
Six Continents Hotels, Inc.
Ultimate parent
InterContinental Hotels Group PLC
Predecessor
Holiday Inns Franchising, Inc.
Prior franchisor entity
CEO title
Chief Executive Officer, InterContinental Hotels Group, PLC
Elie W. Maalouf
Incorporated in
Delaware
HQ
Three Ravinia Drive, Suite 100, Atlanta, Georgia 30346
Auditor
PricewaterhouseCoopers LLP
Audited financials
Franchisor revenue
$27.2M
vs $26.1M prior year

Affiliated brands

  • Six Continents Limited

Other brands the franchisor or its parent operates (Item 1).

Same owner · FDD Item 1

8 other brands on this site name InterContinental Hotels Group PLC as parent or ultimate parent in their own FDD.

Grouped by the owner's name as each filing prints it (this page: the 2024 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.

Overview

About

CEO
Elie W. Maalouf
Headquarters
Georgia
Founded
1989
FDD year
2024
States available
30

Can you afford it, and what does the money buy?

Entry cost runs 431% above the typical lodging franchise.

Total investment (Item 7)$16.7M – $77.8MCited, not corroborated — printed on page 62 of the 2024 FDD (Item 7). Nothing else in our record independently restates or re-derives it.
Franchise fee$75,000Not cited — published from our reading of the franchisor's disclosure document; the page it is printed on has not been located.
Royalty5.0%Cited, not corroborated — printed on page 39 of the 2024 FDD (Item 6). Nothing else in our record independently restates or re-derives it.
Ad fund3.0%Cited, not corroborated — printed on page 50 of the 2024 FDD (Item 6). Nothing else in our record independently restates or re-derives it.
Working capital$300K – $625K

Source: FDD 2024 · Items 5–7

Full Item 7 breakdown28 line items

Initial investment breakdown

Item 7 initial investment line items
Line itemLowHigh
Application Feenot refundable$125K$125K
Property Improvement Plan (PIP) Feenot refundable$0$10K
Land (3 1/2 to 5 acres)not refundable——
Building Constructionnot refundable$9.5M$63.6M
Furniture, Fixtures & Equipmentnot refundable$5.2M$7.9M
Financing and Closingnot refundable——
Operating Supplies & Equipmentnot refundable$702K$1.1M
Primary Identification Signnot refundable$40K$80K
PMS Equipment, Software, Installation & Training; IHG Concerto Equipment & Training; NGP Equipment (Premise Based)not refundable$124K$187K
PMS Equipment, Software, Installation & Training (Hosted)not refundable$76K$95K
Guest Internet Access - Hardware (IHG Connect)not refundable$23K$49K
Guest Internet Access - Connect Bandwidth - Fiber Constructionnot refundable$500$3K
Key Card Systemnot refundable$11K$28K
Guest In-Room Entertainment - Hardware, Maintenance, Guest Support, & Contentnot refundable$27K$29K
Technology Systemsnot refundable$105K$182K
Employee Safety Devicesnot refundable$38K$45K
Openings Preopening Support Feenot refundable$9K$9K
IHG Learning Program (annual subscription)not refundable$6K$6K
Market Feasibility Studynot refundable$0$30K
Opening Date Extension Feenot refundable$0$5K
Total initial investment$16.9M$77.9M

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
$16.7M – $77.8M
Middle of category vs category
Liquid capital req'd
$300K – $625K
Top 40% of category vs category
Franchise fee
$75K
Middle of category vs category
Royalty
5.0%
typical 6–8%
Ad fund
3.0%
typical 3–5%
Total fee load
25.1%
vs 9–13% typical

Ongoing fees · Item 6

Crowne Plaza: Item 6 recurring fees
FeeAmount
Royalty5.0% of gross sales
Marketing / ad fund3.0% of gross sales
Technology fee$17
Training fee$6K
Transfer fee$25K
Inventory (initial)$702K – $1.1M
Total fee load25.1% of rev

What do units actually make?

Avg gross salesNot extracted
Median gross salesNot extracted
Item 19 typeoccupancy, ADR and RevPAR
Sample size67

Source: FDD 2024 · Item 19

ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Blue values = direct from FDD (Item 7 investment, Item 19 revenue, Item 6 fees)Not set = no filing supplies it and we will not substitute one. Enter your own

No Item 19 revenue figure for Crowne Plaza is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.

Returns model · single-unit ROIC

What would one Crowne Plaza unit return on the cash you put in?

From FDDNot set — you supply itYou overrode an FDD value
Revenue · per unit, per yearnot set
Item 19 not disclosed. Enter your own revenue assumption
Franchisor take · royalty + ad fundFDD
typ 6–8%
typ 3–5%
Operating costs · not in any FDDnot set

Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.

Total invested capital · what you put in to openFDD
FDD Item 7: $16.7M–$77.8M (midpoint used)
FDD reports $300K–$625K

Unlevered ROIC · per unit

Your modelled return on total invested capital, before any debt financing.

—

An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.


Store EBITDA · annual
—
EBITDA margin
—
Total invested
$47.7M
Payback
—
Single-unit only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even point.

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

Includes company-owned outlets

An occupancy metric, not unit revenue

Item 19 type
occupancy, ADR and RevPAR
Sample size
67
vs category median 98
Reporting year
2023
Fiscal year the figures cover
Source filing
FDD 2024
Disclosed in the 2024 filing, covering 2023
Gross sales rank
No comparison data
Investment cost rank53th
Lower investment ranks lower (better)
Royalty rate rank3th
Lower royalty = lower percentile (better)
Unit count rank45th
vs Lodging peers
Risk score rank43th
Lower risk = lower percentile (better)

Compared against 175 Lodging brands

Showing the headline figures — all 125 extracted fields are in the Full FDD Report · $19 →

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 25.1% — above the Lodging median of 8.5%.

Disclosure

Item 19 reports occupancy, ADR and RevPAR rather than annual gross sales, so unit revenue is not directly comparable.

Operator retention

System contracting at -3.4% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.

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 medians

How Crowne Plaza Compares

Metric
Crowne Plaza
Category median
vs median
Investment
$47.2M
$8.9Mmiddle half $1.2M–$18.3M · n=96
Above median, worse than category
Revenue
N/A
$1.4Mmiddle half $1.0M–$1.8M · n=2
N/A
Unit Count
85
60middle half 6–245 · n=126
Above median, better than category

Category median of published Lodging brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.

Is the system healthy?

Total units85Cited, not corroborated — printed on page 102 of the 2024 FDD. Nothing else in our record independently restates or re-derives it.
3-yr growth-3.4% (worth scrutinizing)
Turnover rate3.5% (favorable vs category)

Source: FDD 2024 · Item 20

Unit growth

Item 20 · unit dynamics

The Growth Chart

Total units
85
Opened
1
Last reporting year
Closed
3
Turnover rate
3.5%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Net growth (3-yr)
-3.4%
Net unit change over 3 years
3-yr CAGR
-3.4%
Compounded over last 3 years

Last fiscal year · Item 20 exits and transfers

Signed, not yet open
6
0.07 per open outlet · Item 20 Table 5
Projected new
3
Franchisor's next-year forecast
Ceased ops
16.7%
Units that stopped operating
2021
88
Franchised units
2022
87-1
Franchised units
2023
85-2
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 29 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Active operators · 29 states
No contacts on file

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.

Available to sell in · Item 12

  • Minnesota
  • New York
  • North Dakota
  • Rhode Island
  • South Dakota
  • Virginia
  • Washington
  • Wisconsin

States where the franchisor is registered to sell new franchises (FDD registration filings).

Where the owners are · Item 20 owner list

72 current owners across 29 states.

  • NY 7
  • TX 7
  • CA 6
  • FL 6
  • NJ 4
  • GA 3
  • IL 3
  • SC 3
  • VA 3
  • AZ 2
  • LA 2
  • MD 2
  • +17 more states

Counts only, from the list the franchisor prints in Item 20; 28 entries carry no state. Names and phone numbers are for your own due diligence and are not shown here.

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?

SBA charge-offNot SBA-matched
Verdict score58/100 (higher is better)
Litigation59 cases
Auditor going-concern doubtNo (favorable vs category)

Source: SBA 7(a) FOIA · FDD Items 3, 21

Risk analysis

FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21

Risk & Legal

BAbove average58Verdict score 58/100

Crowne Plaza exhibits HIGH RISK profile: massive capital requirement with undisclosed returns, shrinking franchise base, pervasive litigation including fraud and statutory violations, absent going concern status, and zero territory protection—presenting compounded legal, financial, and operational risks unsuitable for most investors.

Why this reads harsher than the B grade: the grade weighs financial health, unit economics, unit growth, scale, legal, and transparency across the whole filing, while this summary lists individual flags without that weighting. The flags are worth checking with current owners; neither is investment advice.

Low confidence±15 pts
4373

Litigation (Item 3)

Subject: the franchisor is a named party (defendant).

Pending matters include: (1) TJM Columbus/Syracuse v. Holiday (2022) re conversion interference and kickbacks; (2) Holiday v. Khatiwala (2020) re unpaid fees; (3) Marina di Castello v. IHG Hotels Limited (Italy, 2013) re license validity/fees; (4) Atlanta Hospitality Investment v. Holiday (2023) re unconscionable license; (5) Vasani v. Holiday (2023) re renovation scope misrepresentation; (6) Park 80 Hotels class action (2022) re data breach; (7) consolidated 5-plaintiff class action (2021-22) re kickbacks/unreasonable standards; (8) Scion Hotels v. Holiday (2021) re wrongful non-renewal; (9) Astoria Enterprises v. Holiday (Canada, 2007) re non-renewal; (10) K.J. Harjani v. SCH (Brazil, 2006) re wrongful termination. Nine suits filed by Holiday against licensees for unpaid fees in 2023.

Largest disclosed settlement: $10,900,000

Bankruptcy (Item 4)

None disclosed

Audited financials (Item 21)

Yes · PricewaterhouseCoopers LLP

Franchisor revenue (Item 21)

Yr 1: $27.2MYr 2: $26.1MNon-royalty: $0.3M

Franchisor entity revenue (not unit-level)

Item 21 audited financial statements (Holiday Hospitality Franchising, LLC, FYE Dec 31, 2023/2022; statements of operations report franchise royalty fees, franchise royalty fees from affiliate, and OLCC fees as total revenues) were rendered in a custom/CID font that decoded to garbled cipher text with all numeric digits dropped, so exact dollar figures are unrecoverable from the extracted text.

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

Score breakdown · what drove the 58 / 100 verdict

  1. 01MEDMassive capital requirement ($16.7M+) with zero disclosed average net income creates severe ROI opacity and repayment risk
  2. 02MEDNegative unit growth (-2.3% YoY decline with 85 units) signals system contraction and reduced peer support network
  3. 03HIGHExtensive litigation across multiple jurisdictions including fraud allegations, statutory violations, data breaches, and kickback schemes demonstrates governance failures and legal exposure
  4. 04MINORUnprotected territory invites cannibalization and direct franchisor competition in revenue streams
  5. 05MINOR5% royalty on gross rooms revenue (not net) creates fixed cost burden regardless of profitability, amplifying downside risk

Severity inferred from the FDD text · not a regulatory classification

Showing the headline figures — all 125 extracted fields are in the Full FDD Report · $19 →

Full litigation history from the FDD (Items 3 and 4) →

Litigation case detail59 matters · Item 3

Litigation cases

The franchisor

Pending (8)

  • Ahijit Vasani a/k/a Andy Vasani, Bhavna Vasani a/k/a Becky Vasani, Innvite Hospitality Group, LLC v. Holiday Hospitality Franchising, LLC, Surati Investment, LLC, Raiyan Rab, Numarix Real Estate Services, LLC, Mark Wolfe, Equity Central Realty, LLC

    pending

    Brought by a franchisee · filed 2023-07-17 · Court of Common Pleas, Lucas County, Ohio · Case No. G-4801-CI-0202303085-000

    “Plaintiffs claim that, in connection with the sale process related to the Hotel, they were misled into believing the scope of work required by the change of ownership license agreement for the hotel would be lighter in scope and less expensive than what it turned out to be.”Page 23 of the 2024 FDD, Item 3

    Outcome:“Appellate briefing is ongoing and the appeal remains pending.”

  • Atlanta Hospitality Investment, LLC, a Georgia limited liability company, and Mohammad Sarower Hossain, individually v. Holiday Hospitality Franchising, LLC

    pending

    Brought by a franchisee · filed 2023-10-31 · DeKalb County, Georgia Superior Court · Civ. Action No. 23-CV-9509

    “The amended petition alleges that Holiday made certain misrepresentations to plaintiffs in advance of the execution of the license agreement but asserted no claim for damages.”Page 22 of the 2024 FDD, Item 3

    Outcome:“Holiday believes the plaintiff’s summary judgment motion has no merit and will file its own summary judgment motion at the appropriate time.” (page 23)

  • Park 80 Hotels, LLC, PL Hotels, LLC, Mayur Patel, JSK Exton LLC, Jay Z. Kuber Hospitality, Inc., Parmattma Corporation and Synergy Hotels, LLC, individually and on behalf of all others similarly situated v. Holiday Hospitality Franchising, LLC and Six Continents Hotels, Inc. d/b/a InterContinental H

    pending

    Brought by a franchisee · filed 2022 · N.D.Ga. · Case 1:22-cv-03709-LMM

    “The putative class action lawsuit brought on behalf of putative classes of Holiday licensees relates to an unauthorized access to certain of IHG’s systems by third party bad actors that resulted in a temporary disruption of certain services which plaintiffs allege had a negative impact on their businesses.”Page 23 of the 2024 FDD, Item 3

    Outcome:“Holiday, SCH and IHG Technology Solutions, LLC believe the allegations to be meritless and are defending vigorously.”

  • TJM Columbus, LLC d/b/a Crowne Plaza-Columbus North and TJM Syracuse, LLC d/b/a Crowne Plaza Syracuse v. Holiday Hospitality Franchising, LLC and Six Continents Hotels, Inc. d/b/a InterContinental Hotels Group

    pending

    Brought by a franchisee · filed 2022-05-23 · DeKalb County, Georgia Superior Court (removed twice to N.D. Ga., 1:22-cv-2541-VMC and 1:24-cv-00055-VMC; remanded) · Civ. Action No. 22-cv-5181

    “Plaintiffs are Crowne Plaza® licensees (for the Crowne Plaza® Columbus North – Worthington and the Crowne Plaza® Syracuse, respectively). Plaintiffs assert a breach of contract claim against Holiday and SCH related to a proposed sale of the subject hotels to a developer that intended to convert the subject hotels out of the Crowne Plaza® system.”Page 21 of the 2024 FDD, Item 3

    Outcome:“Holiday and SCH filed a renewed motion for summary judgment on all claims on May 23, 2024, which remains pending.”

  • Park 80 Hotels LLC, a Louisiana limited liability company, PL Hotels, LLC, a Louisiana limited liability company, individually, and on behalf of a class of similarly situated individuals and entities v. Holiday Hospitality Franchising, LLC, Six Continents Hotels, Inc. D/b/a Intercontinental Hotels G

    pending

    Brought by a franchisee · filed 2021-05-19 · United States District Court, Northern District of Georgia (consolidated; lead case filed in E.D. La.) · Civil Action No. 1:21-cv-04650-ELR (consolidated)

    “Each of the lawsuits allege that Holiday and SCH engages in unlawful and otherwise improper franchise business practices, including, imposing unreasonable products, services and requirements and receiving improper kickbacks from required purchases.”Page 24 of the 2024 FDD, Item 3

    Outcome:“On March 13, 2024, Holiday and SCH filed their opposition to class certification and a motion to exclude Plaintiffs’ expert, and Plaintiffs filed a response to Holiday and SCH’s summary judgment motion. Both motions remain pending.” (page 25)

  • Scion Hotels LLC vs. Holiday Hospitality Franchising, LLC

    pending

    Brought by a franchisee · filed 2021-02-18 · D.N.J · Case No. 2:21-cv-02276-MCA-MAH

    “Scion Hotels LLC (“Scion”), a New Jersey licensee of a Holiday Inn hotel, filed a civil complaint against Holiday to obtain damages for violation of the New Jersey Franchise Practices Act in allegedly wrongfully imposing unreasonable standards of performance upon Scion and then wrongfully refusing to renew its license agreement.”Page 25 of the 2024 FDD, Item 3

    Outcome:“The parties have completed fact and expert discovery, and Holiday filed a motion for summary judgment on all claims on April 28, 2023, which has been fully briefed, and the parties are awaiting the Court’s ruling.”

  • Holiday Hospitality Franchising, LLC v. Niranjan Khatiwala, Nimesh D. Vesuwala and Mayur N. Khatiwala

    pending

    Brought against a franchisee · filed 2020-12-11 · State Court of Dekalb County, Georgia (transferred to Superior Court of DeKalb County, Civil Action No. 22CV4560) · Civil Action File No. 20A83898

    “On December 11, 2020, Holiday filed a lawsuit against the defendants seeking liquidated damages and unpaid system fees owed under a Crowne Plaza® license agreement that Holiday terminated as a result of the licensee’s failure to pay amounts owed to Holiday under the agreement.”Page 22 of the 2024 FDD, Item 3

    Outcome:“The case is currently pending in the Superior Court of DeKalb County, Georgia under Civil Action No. 22CV4560.”

  • Astoria Enterprises Ltd. v. Holiday Hospitality Franchising, Inc. and InterContinental Hotels Group PLC

    pending

    Brought by a franchisee · filed 2007-12-21 · The Queen’s Bench Winnipeg Centre · File No. CI-07-01-54936

    “On December 21, 2007, Astoria Enterprises (“Astoria”), a former Licensee, filed suit against Holiday demanding $541,000 in damages for failing to renew or extend an existing license beyond its original termination date and for loss of reputation. According to Astoria, Holiday’s refusal to renew the License was wrongful and commercially unreasonable.”Page 25 of the 2024 FDD, Item 3

    Outcome:“Holiday filed an answer denying any liability, and discovery is ongoing.”

Concluded (3)

  • Holiday Hospitality Franchising, LLC, f/k/a Holiday Hospitality Franchising, Inc. v. RD Secaucus, LP, RosDev Hospitality US, LLC, and Michael Rosenberg

    settled

    Brought against a franchisee · filed 2018-09-11 · State Court of DeKalb County, GA · Civil Action File No. 18A71055-7

    “On September 11, 2018, Holiday filed a lawsuit against the defendants seeking unpaid system fees and liquidated damages related to the termination of a Crowne Plaza® hotel license agreement. On November 27, 2018, defendants filed a counterclaim alleging breach of contract, failure to provide consultation and advice, and misrepresentation.”Page 27 of the 2024 FDD, Item 3

    Outcome:“The parties resolved the matter via a settlement that resulted in payments being made to Holiday and no payment made by Holiday. The litigation was dismissed on December 12, 2022.”

  • Allied Hotels Limited v. Holiday Hospitality Franchising, LLC f/k/a Holiday Hospitality Franchising, Inc., and Six Continents Hotels, Inc.

    settled

    Brought by a franchisee · filed 2012-09-04 · United States District Court, Northern District of Georgia, Atlanta Division · Case No. 1:12-cv-03086-rlv

    “On September 4, 2012, Allied Hotels Limited (“Allied”), a former Crowne Plaza licensee of Six Continents Hotels, Inc. (“SCH”), filed suit against SCH and Holiday Hospitality Franchising LLC, alleging breach of the License Agreement and breach of the implied covenant of good faith and fair dealing based upon SCH’s termination of its License Agreement with Allied.”Page 28 of the 2024 FDD, Item 3

    Outcome:“The parties resolved this matter with SCH and Holiday making a payment of $180,000 payment to Allied.”

  • Lenexa Hotel, LP v. Holiday Hospitality Franchising, Inc.

    settled

    Brought by a franchisee · filed 2012 · United States District Court, District of Kansas, Kansas City Division, KS · Case No. 12CV2775; Case No. 15-9196

    “A lawsuit was filed by a Crowne Plaza® licensee in Lenexa, Kansas, initially on December 10, 2012 and later amended on January 17, 2013, alleging breach of contract, breach of the covenant of good faith and fair dealing and seeking declaratory relief as result of Holiday’s alleged failure to meet its contractual obligations concerning the reservation system.”Page 28 of the 2024 FDD, Item 3

    Outcome:“Following a mediation, the parties resolved this matter with no admission of liability by either party and Holiday making a payment to Plaintiff of $10.9M.”

Parent, affiliates and predecessor

Pending (2)

  • Marina di Castello SpA v. IHG Hotels Limited

    pending

    Brought by a franchisee · IHG Hotels Limited · filed 2013-11-22 · Court of Santa Maria Capua Vetere, Italy · Docket No. 4307/27

    “The former licensee of the Holiday Inn Resort Naples - Castel Volturno hotel and the Crowne Plaza Caserta hotel issued a claim against IHG Hotels Limited (“IHGHL”), brought in the Court of Santa Maria Capua Vetere, seeking to have the Court: 1) declare that the arbitration provisions in the license agreements are invalid; 2) determine whether or not IHGHL's conduct has resulted in damages to the”Page 22 of the 2024 FDD, Item 3

    Outcome:“On October 10, 2023 the former licensee filed an appeal which is now pending.”

  • K.J. Harjani & Cia Ltda v. Six Continents Hotels, Inc.

    pending

    Brought by a franchisee · Six Continents Hotels, Inc. · filed 2006-07-05 · 3rd Civil Court of Manaus, Brazil · Case No. 0022145-55.2006.8.04.0001

    “K.J. Harjani & Cia Ltda v. Six Continents Hotels, Inc., 3rd Civil Court of Manaus, Brazil, Case No. 0022145-55.2006.8.04.0001 (July 5, 2006). The former licensee of the Holiday Inn® hotel in Manaus, Brazil filed a lawsuit seeking damages for alleged wrongful termination of the license agreement. The license agreement was terminated due to non-compliance with brand standards in 2002.”Page 26 of the 2024 FDD, Item 3

    Outcome:“SCH intends to defend against this claim vigorously.”

Concluded (2)

  • Tsemex Global Enterprise PLC & Tsemex Hotels and Business PLC (“Tsemex”) v. IHG Hotels Limited and InterContinental Hotels Group, PLC (“IHG”)

    judgment

    Third-party plaintiff · IHG Hotels Limited; InterContinental Hotels Group, PLC · filed 2020-03-13 · International Chamber of Commerce

    “Claimant, owner of a proposed non-licensed hotel development project in Addis Abbaba, Ethiopia, filed a Statement of Claim with the International Chamber of Commerce alleging that IHG misrepresented its rights to license a Crowne Plaza in Ethiopia, causing damages. The Claimant’s memorial and witness statements were received on March 23, 2020. IHG served its responsive memorial on July 17, 2020.”Page 26 of the 2024 FDD, Item 3

    Outcome:“A partial award was issued on December 2, 2022 awarding damages to Claimant. The amount is confidential pursuant to requirements of the London Court of International Arbitration.” (page 27)

  • Kensington Close Hotel Limited (“KCH”) v. IHG Hotels Limited (“IHG Hotels”)

    settled

    Brought by a franchisee · IHG Hotels Limited · filed 2019-12-23 · London Court of International Arbitration

    “The licensee owner of the Holiday Inn London Kensington High Street hotel issued a Statement of Claim in the London Court of International Arbitration on December 23, 2019. Owners claim that they sustained losses due to the operation of a neighboring IHG branded hotel. IHG Hotels submitted its response in opposition on February 12, 2020 and a merits hearing was set for November 30, 2020.”Page 27 of the 2024 FDD, Item 3

    Outcome:“On November 27, 2020 the parties finalized a settlement agreement in respect of the dispute resulting in IHG Hotels making payment to KCH.”

This list shows 15 of the 59 matters Item 3 discloses; the rest are in the filing.

Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.

What are you signing up for?

Ongoing fees run about 25.1% of sales (royalty + ad fund), before rent and labor.

Initial term20 yrs
Renewal termNot extracted
TerritoryNone (caution)
Initial training1,205 hrs

Source: FDD 2024 · Items 11, 12, 17

FDD Items 12, 15, 17 · continued from Risk & Legal

Contract & Territory Detail

Initial term20 years
Allowed renewalsℹ0
Territory typeNo territory protection
Protected territoryNo
Exclusive territoryℹNo
Online sales rightsℹRestricted
Franchisor can competeYes
Hire a manager?Allowed
Owner-operatorOptional
Right of first refusalℹYes
RoFR response window30 days
Transfer requires consentYes
Termination notice90 days
Mandatory arbitrationNo
Jury trial waiverYes
Governing lawGeorgia
Litigation count59
View Item 3 litigation summary

Pending matters include: (1) TJM Columbus/Syracuse v. Holiday (2022) re conversion interference and kickbacks; (2) Holiday v. Khatiwala (2020) re unpaid fees; (3) Marina di Castello v. IHG Hotels Limited (Italy, 2013) re license validity/fees; (4) Atlanta Hospitality Investment v. Holiday (2023) re unconscionable license; (5) Vasani v. Holiday (2023) re renovation scope misrepresentation; (6) Park 80 Hotels class action (2022) re data breach; (7) consolidated 5-plaintiff class action (2021-22) re kickbacks/unreasonable standards; (8) Scion Hotels v. Holiday (2021) re wrongful non-renewal; (9) Astoria Enterprises v. Holiday (Canada, 2007) re non-renewal; (10) K.J. Harjani v. SCH (Brazil, 2006) re wrongful termination. Nine suits filed by Holiday against licensees for unpaid fees in 2023.

Items 10, 11

Training & Operations

Classroom training
773 hrs
On-the-job training
432 hrs
Training location
Your Hotel, Atlanta (Holiday headquarters), or designated regional/virtual locations
Ongoing training
Required
Time to open
18 mo
From signing to launch
Site selection
Licensee (Holiday does not approve/deny site selection)
Franchisor financing
Not offered
Item 10
POS system
Oracle Opera (PMS); F&B POS (approved supplier)
Operating tech stack

Items 5 & 11

Franchisor Support

✗Site selection assistance
✓Grand opening support
✗Lease negotiation help

Technology: Oracle Opera (PMS); F&B POS (approved supplier)

Item 20 · call current owners

Franchisee Contacts

100 owners to call

Name · phone · city · state. Extracted from FDD Item 20

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650-223-••••CA
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866-826-••••
502-588-••••KY
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248-498-••••MI

Frequently asked questions

Frequently Asked Questions

How much does it cost to open a Crowne Plaza franchise?

The total investment to open a Crowne Plaza franchise ranges from $16.7M – $77.8M, with an initial franchise fee of $75K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).

What do Crowne Plaza franchise owners earn?

Item 19 of the Crowne Plaza FDD discloses figures for part of the system but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.

Who owns Crowne Plaza?

Crowne Plaza is franchised by Holiday Hospitality Franchising, LLC. Its parent company is Six Continents Hotels, Inc.. The ultimate parent named in the FDD is InterContinental Hotels Group PLC. Source: FDD Item 1, 2024 filing.

What is Item 19 in the Crowne Plaza 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 Crowne Plaza FDD and qualifies whose outlets they describe.

What is Crowne Plaza's franchise failure rate?

SBA 7(a) loan charge-off data is not available for Crowne Plaza (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.

How many Crowne Plaza franchise locations are there?

As of their most recent FDD filing, Crowne Plaza has 85 total units in the United States, including 85 franchised units and 0 company-owned units. 1 new units were opened in the latest reporting year.

Is Crowne Plaza a good franchise to buy?

FranchiseVerdict rates Crowne Plaza as a B-grade franchise with a verdict score of 58 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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 Crowne Plaza, you can request corrections or provide updated information.

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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.