FranchiseVerdict
Curio Collection by Hilton logo
FV-00684·MODERATEStandard71

Curio Collection by Hilton

Lodging - Hotels & MotelsFranchising since 2014Website
Investment
$4.0M
51st pct Hotels & Mote…
Avg revenue
7th pct Hotels & Mote…
Royalty
5.0%
7th pct Hotels & Mote…
Units
67
56th pct Hotels & Mote…
SBA default

Bottom line

  • Total investment $4.0M including a $85K franchise fee, 5.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 66/100.
  • System growing at 39.6% CAGR over 3 years with 67 total units — strong expansion trajectory.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Hilton Franchise Holding LLC
Parent company
Hilton Domestic Operating Company Inc.
Incorporated in
Delaware
HQ
7930 Jones Branch Drive, Suite 1100, McLean, Virginia 22102 USA
Auditor
Cherry Bekaert LLP
Audited financials
Franchisor revenue
$883.3M
vs $1.2B prior year

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one Curio Collection by Hilton unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: hospitality
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
Working capital
$
FDD reports $1.3M–$1.8M

Unlevered ROIC · per unit

1%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$83K
EBITDA margin
11.0%
Total invested
$5.5M
Payback
804 mo
Unit-level 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 Yale describes.

Overview

About

Curio Collection franchisees own and operate upscale, boutique hotels (typically 100-300 rooms) under Hilton's management brand. Day-to-day operations include managing guest services, housekeeping, food & beverage, front desk staff, and ensuring brand compliance with Hilton's standards, while paying 5% royalty on gross room revenue and adhering to strict operational requirements.

CEO
Christopher J. Nassetta
Founded
2007
FDD year
2023
States available
32

Item 7 · what it costs

The Vitals

Total investment
$4.0M
All-in to open one unit
Liquid capital
$1.3M – $1.8M
Cash you must have on hand
Franchise fee
$85K
Royalty
5.0%
Gross Rooms Revenue · typical 6–8%
Ad fund
4.0%
typical 3–5%
Total fee load
9.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
67
Opened
5
Last reporting year
Closed
1
Turnover rate
1.5%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Net growth (yr3)
+8.1%
Net unit change last year
3-yr CAGR
+39.6%
Compounded over last 3 years
2021
67+5
Franchised units
2022
62
Franchised units
2023
48
Franchised units

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

Item 20 · 37 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
Registered · 37 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

No SBA loan data available for this brand.

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

66
Risk · 0-100
MODERATE66 / 100

Curio Collection presents moderate-to-high risk due to missing financial transparency (no Item 19), active multi-category litigation, slow unit growth, and unprotected territory—unsuitable for franchisees requiring clear return projections.

Score breakdown · what drove the 66 / 100 rating

  1. 01MINORNo financial performance disclosure (Item 19) prevents ROI validation and creates opacity on average unit economics
  2. 02HIGHActive litigation across multiple categories (consumer protection, ADA compliance, trade secrets) suggests systemic operational and legal vulnerabilities
  3. 03HIGHModest unit growth of 8.1% YoY in a 67-unit system indicates slower expansion than premium hotel franchises; no going concern statement raises sustainability questions
  4. 04MINORUnprotected territory creates direct competition risk from other Curio properties within same market
  5. 05MEDHigh capital requirement ($3.98M+) paired with 5% royalty and undisclosed profitability creates significant downside risk

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Protected territory
No
Initial term
23 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
8
Right of first refusal
No
Franchisor can buy back on resale
Mandatory arbitration
No
Jury trial waiver
Yes
Owner-operator
Optional
Governing law
New York

Item 11

Training & Operations

Classroom training
159 hrs
On-the-job training
1 hrs
POS system
OnQ
Operating tech stack

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

58 numbers

Locked
(214) 520-••••
LCP Highland SPE, LLC, The Highland Dallas, TX,
TX
(816) 221-••••
HP Master Tenant, LLC, Hotel Phillips Kansas City, MO,
MO
(504) 528-••••
World War
LA

One-time purchase · CSV download · Validation questions included

FDD download

Curio Collection by Hilton · FDD (2023) PDF

Single-page checkout · instant download · CSV export of contacts available separately above