DoubleTree by HiltonFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
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). Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $31.5M
- 52nd pct Lodging
- Avg gross sales
- N/A
- 2nd pct Lodging
- Royalty
- 5.0%
- 4th pct Lodging
- Units
- 372
- 45th pct Lodging
- SBA default
- 0.0%
- system-wide median varies by category
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
Franchised units fell from 372 to 361 over 3 years. Investigate why operators are leaving.
15 legal cases disclosed in the FDD. Read Item 3 before signing.
Bottom line
- Total investment $31.5M including a $85K franchise fee, 5.0% ongoing royalty.
- Item 19 discloses "Historical RevPAR, Occupancy, and Room Rate data" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict A (Top Quintile) with a risk score of 33/100.
- 15 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Hilton Franchise Holding LLC
- Parent company
- Hilton Domestic Operating Company Inc.
- Ultimate parent
- Hilton Worldwide Holdings Inc.
- CEO title
- Chief Executive Officer and President
- Christopher J. Nassetta
- Incorporated in
- DE
- 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
DoubleTree franchisees operate upscale hotel properties (typically 200-400 rooms) under the Hilton brand, managing daily guest services, housekeeping, food & beverage operations, and front-office functions. They pay 5% royalties on gross room revenue and must comply with Hilton's brand standards, technology systems, and pricing protocols. Revenue generation depends heavily on occupancy rates, average daily rates (ADR), and ancillary services.
- CEO
- Christopher J. Nassetta
- Headquarters
- VA
- Founded
- 2007
- FDD year
- 2026
- States available
- 48
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $31.5M
- Near category avg vs category
- Liquid capital req'd
- $900K – $1.3M
- Near category avg vs category
- Franchise fee
- $85K – $175K
- Near category avg vs category
- 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
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 4.0% of gross sales |
| Training fee | $5K |
| Transfer fee | $175K |
| Total fee load | 9.0% of rev |
Financial Performance
This brand's FDD disclosed "Historical RevPAR, Occupancy, and Room Rate data" in Item 19 rather than annual gross sales. This metric cannot be directly compared across brands, so we omit it from rankings.
vs Lodging averages
How DoubleTree by Hilton Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 372
- Opened
- 22
- Last reporting year
- Closed
- 4
- Terminated
- 4
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 5
- Term expired, not renewed (per Item 20)
- Turnover rate
- 1.1%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +3.6%
- Net unit change last year
- 3-yr CAGR
- +3.0%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 9
- 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 · 20 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
- 0.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 100.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 4
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into DoubleTree by Hilton's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 4 lenders with concentration factor
- Per-state charge-off rates across 3 states
- Startup risk premium and job creation velocity
- 4-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
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)
Three pending litigation matters: (1) Bow Hospitality LLC v. Hilton Franchise Holding LLC - franchisee suit alleging breach of contract and breach of covenant of good faith and fair dealing related to franchise termination for non-compliance with brand standards; (2) In re Extended Stay Hotel Antitrust Litigation - class action alleging Sherman Act violations for improper information sharing and revenue management practices; (3) Hanson Dai v. SAS Institute Inc. - putative class action (incomplete in document)
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Cherry Bekaert LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 33 / 100 rating
- 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
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 23 years |
|---|---|
| Allowed renewalsℹ | 0 |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rights | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | New York |
| Litigation count | 15 |
View Item 3 litigation summary
Three pending litigation matters: (1) Bow Hospitality LLC v. Hilton Franchise Holding LLC - franchisee suit alleging breach of contract and breach of covenant of good faith and fair dealing related to franchise termination for non-compliance with brand standards; (2) In re Extended Stay Hotel Antitrust Litigation - class action alleging Sherman Act violations for improper information sharing and revenue management practices; (3) Hanson Dai v. SAS Institute Inc. - putative class action (incomplete in document)
Items 10, 11
Training & Operations
- Classroom training
- 111 hrs
- On-the-job training
- 1 hrs
- Training location
- On-site and corporate
- POS system
- OnQ
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: OnQ
Item 20 · call current owners
Franchisee Contacts
28 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 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. 22 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 risk score of 33 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.