DoubleTree by Hilton Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
DoubleTree by Hilton is an upscale, full-service hotel franchise famous for its warm welcome cookie. Franchisees own and operate individual properties, running rooms, food and beverage, and guest services to Hilton standards.
FranchiseVerdict summary · 2026
A DoubleTree by Hilton franchise does not disclose total investment in its current FDD, including a $85K franchise fee and an ongoing 5.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $31.5M
- 66th pct Lodging
- Avg gross sales
- N/A
- Incl. company outlets
- Royalty
- 5.0%
- 3rd pct Lodging
- Units
- 372
- 60th 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 $31.5M including a $85K franchise fee, 5.0% ongoing royalty.
- RETURNSItem 21 audited financials of Hilton Franchise Holding LLC (the franchisor entity), in thousands, year ended Dec 31 2025. Total revenues comprise franchise royalty fees $1,502,299K, franchise sales and change of ownership fees $52,254K, and franchise termination fees and other $5,514K. Audited by Cherry Bekaert (cbh.com), Tysons Corner, VA, March 18, 2026.
- RISKVerdict A (Strongest tier), verdict score 76/100 (higher is better).
- FLAG20 units terminated last reporting year (5.4% of the system). Ask existing franchisees why.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Hilton Franchise Holding LLC
- Parent company
- Hilton Domestic Operating Company Inc.
- Ultimate parent
- Hilton Worldwide Holdings Inc.
- Predecessor
- Doubletree Franchise LLC (October 2007 to March 2015); Doubletree Hotel Systems, Inc. (February 1989 to October 2007)
- Prior franchisor entity
- CEO title
- Chief Executive Officer and President
- Christopher J. Nassetta
- Incorporated in
- Delaware
- HQ
- 7930 Jones Branch Drive, Suite 1100, McLean, Virginia 22102
- Auditor
- Cherry Bekaert LLP
- Audited financials
- Franchisor revenue
- $1.6B
- vs $1.5B prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
- CEO
- Christopher J. Nassetta
- Headquarters
- VA
- Founded
- 1946
- FDD year
- 2026
- States available
- 48
Can you afford it, and what does the money buy?
Source: FDD 2026 · Items 5–7
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $31.5M
- Middle of category vs category
- Liquid capital req'd
- $900K – $1.3M
- Middle of category vs category
- Franchise fee
- $85K
- Middle of category vs category
- Royalty
- 5.0%
- percentage · typical 6–8%
- Ad fund
- 4.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 4.0% of gross sales |
| Training fee | $20K |
| Transfer fee | $175K |
| Inventory (initial) | $1.2M – $1.8M |
| Total fee load | 9.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
DoubleTree by Hilton 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 DoubleTree by Hilton unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
0%
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: 2026 FDD
Financial Performance
Item 21 audited financials of Hilton Franchise Holding LLC (the franchisor entity), in thousands, year ended Dec 31 2025. Total revenues comprise franchise royalty fees $1,502,299K, franchise sales and change of ownership fees $52,254K, and franchise termination fees and other $5,514K. Audited by Cherry Bekaert (cbh.com), Tysons Corner, VA, March 18, 2026.
Includes company-owned outlets
- Item 19 type
- operational metrics
- Sample size
- 294
- vs category median 99 · large
- Reporting year
- 2026
- Fiscal year the figures cover
- Source filing
- FDD 2026
- The FDD edition these figures were read from
- Transparency
- 0 / 10
- vs category median 0 / 10 · typical
Compared against 174 Lodging brands
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 9.0% (near the Lodging average).
Disclosure
Item 19 reports operational metrics rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System expanding at 5.1% CAGR over 3 years across 372 units — operators are staying and new ones are joining.
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 DoubleTree by Hilton Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 372
- Opened
- 46
- Last reporting year
- Closed
- 4
- Terminated
- 20
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 8
- Term expired, not renewed (per Item 20)
- Turnover rate
- 2.4%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +5.1%
- Net unit change over 3 years
- 3-yr CAGR
- +5.1%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 22
- Terminated (3yr)
- 4
- Non-renewed (3yr)
- 5
- Transfers (3yr)
- 9
- Reacquired (3yr)
- 0
- Franchisor bought back
- Transfer rate
- 2.4%
- Owners selling to other franchisees
- Continuity rate
- 97.6%
- Units that stayed open
- Termination rate
- 2.4%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 9 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 loan disclosures. This brand has only 5 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 5
- Loan volume
- $20.1M
- Median loan
- $5.0M
- 50th percentile
- Charge-off rate
- N/A
- limited sample (5 loans) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 4
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
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
DoubleTree presents moderate-to-caution risk: lack of financial transparency (no Item 19), slow growth, active antitrust litigation, unprotected territory, and aggressive termination enforcement create profitability uncertainty and operational vulnerability.
Litigation (Item 3)
Pending: Bow Hospitality (franchise termination), In re Extended Stay Hotel Antitrust Litigation (Sherman Act), Hanson Dai v. SAS Institute (Sherman Act, hotel rate-setting), Ryan Segal v. Amadeus IT Group (Sherman Act), Jeanette Portillo v. CoStar Group (Sherman Act). Concluded: AAAA Property Partners (breach of contract, settled), State of Texas v. Hilton (deceptive trade practices, settled $2.1M), State of Nebraska v. Hilton (consumer protection, settled $300K), Hilton v. Portland Hotel Ownership (breach/fraudulent inducement, settled), San Pedro Inn v. Hilton (wrongful termination NJ, settled), U.S. v. HHC (1970 Sherman Act, injunction). Collection suits against franchisees also disclosed.
Largest disclosed settlement: $2,100,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Cherry Bekaert 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: No
- Can negotiate own supplier terms: Yes
Score breakdown · what drove the 76 / 100 verdict
- 01MEDNo Item 19 financial disclosures (Avg Revenue and Net Income not disclosed) prevents ROI validation and creates opacity around profitability
- 02MINORSlow unit growth of 3.6% YoY suggests market saturation or franchisee dissatisfaction in a mature 372-unit system
- 03HIGHMultiple active antitrust litigations alleging price-fixing and improper rate-setting software create legal/reputational risk and potential for franchisor liability
- 04MINORBreach of contract termination lawsuits indicate aggressive enforcement and compliance standards that may expose franchisees to termination risk
- 05MINORNo territory protection means new DoubleTree locations can be placed adjacent to existing franchisees, cannibalizing revenue
- 06MED23-year term is unusually long and locks franchisees into Hilton ecosystem with limited exit flexibility
- 07HIGHConsumer protection litigation regarding mandatory guest fee disclosure suggests potential brand reputation damage and guest dissatisfaction
- 08MED$31.4M+ investment requirement is capital-intensive with no disclosed average returns to evaluate payback period
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 9.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 23 years |
|---|---|
| Allowed renewalsℹ | 0 |
| Territory type | none |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | No |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Termination groundsℹ | 17 |
| Curable defaultsℹ | 4 |
| Mandatory arbitration | No |
| Arbitration location | Fairfax County, Virginia (Puerto Rico only); standard disputes in U.S. District Court for Eastern District of Virginia, Alexandria, VA |
| Jury trial waiver | Yes |
| Governing law | NY |
| Litigation count | 9 |
View Item 3 litigation summary
Pending: Bow Hospitality (franchise termination), In re Extended Stay Hotel Antitrust Litigation (Sherman Act), Hanson Dai v. SAS Institute (Sherman Act, hotel rate-setting), Ryan Segal v. Amadeus IT Group (Sherman Act), Jeanette Portillo v. CoStar Group (Sherman Act). Concluded: AAAA Property Partners (breach of contract, settled), State of Texas v. Hilton (deceptive trade practices, settled $2.1M), State of Nebraska v. Hilton (consumer protection, settled $300K), Hilton v. Portland Hotel Ownership (breach/fraudulent inducement, settled), San Pedro Inn v. Hilton (wrongful termination NJ, settled), U.S. v. HHC (1970 Sherman Act, injunction). Collection suits against franchisees also disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 49 hrs
- On-the-job training
- 1 hrs
- Training location
- Virtual, Online, On-site (varies by program)
- Ongoing training
- Required
- Franchisor financing
- Not offered
- Item 10
- POS system
- OnQ
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: OnQ
Item 20 · call current owners
Franchisee Contacts
14 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
DoubleTree by Hilton · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
What do DoubleTree by Hilton franchise owners earn?
DoubleTree by Hilton 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 DoubleTree by Hilton 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 DoubleTree by Hilton FDD and qualifies whose outlets they describe.
What is DoubleTree by Hilton's franchise failure rate?
SBA 7(a) loan charge-off data is not available for DoubleTree by Hilton (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 DoubleTree by Hilton franchise locations are there?
As of their most recent FDD filing, DoubleTree by Hilton has 372 total units in the United States, including 372 franchised units and 0 company-owned units. 46 new units were opened in the latest reporting year.
Is DoubleTree by Hilton a good franchise to buy?
FranchiseVerdict rates DoubleTree by Hilton as a A-grade franchise with a verdict score of 76 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?
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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.