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Hometowne Studios By Red Roof Franchise Cost & 2026 FDD Data

LodgingOhioFranchising since 2018

79/100

Strongest tier

79 this brand65 Lodging medianlikely 73–85: narrower with more SBA loans (high confidence)

Higher is better · an editorial assessment, not investment advice

#188 of 3,069 graded brands

Why an A: Helped by financial health, unit growth, legal record and transparency. See all six factors

Total investment
$420K – $1.4M
excl. land
Avg gross sales
partial, no system average
SBA charge-off
1 resolved of 10 loans: too few to judge

Data from the FDD filing + SBA 7(a) records. Analysis by FranchiseVerdict · Methodology · Website · Report an error · Franchisor? Claim this listing

FranchiseVerdict summary · 2026 FDD

Per the 2026 FDD, a Hometowne Studios By Red Roof franchise requires a total initial investment of $420K – $1.4M, excluding land, including a $30K franchise fee. Once open, the ongoing royalty is 5.5%. The 2026 FDD on file does not yield a unit-revenue figure we can publish. Verdict grade: A (Strongest tier), an editorial assessment, not investment advice.

Sources: 2026 FDD · What one unit could make and lose →

Sources, dates and evidence

FDD issued: · Last cited check: · Staleness risk: low (issued within the last 12 months)

Evidence for the headline figures: 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

Bottom line

  • RETURNSItem 19 discloses hotel operating metrics (Average Daily Room Rate, Occupancy Rate, RevPAR, and Brand Contribution %) for 27 Affiliate-Owned, 51 Franchised, and 78 combined Hotels open at least one year during 2025 -- not whole-unit gross sales or net income figures, so avg_gross_sales/avg_net_income are not populated. 2025 figures: Franchised (51 hotels) avg Daily Room Rate $60.59, avg Occupancy 61.6%, avg RevPAR $37.30, avg Brand Contribution 36.5%; Affiliate-Owned (27 hotels) avg Daily Room Rate $53.31, avg Occupancy 69.8%, avg RevPAR $37.22, avg Brand Contribution 55.0%; Combined (78 hotels) avg Daily Room Rate $56.95, avg Occupancy 65.4%, avg RevPAR $37.26, avg Brand Contribution 45.2%.
  • GROWTHIn the latest Item 20 year, the number of franchised outlets grew by 8 (9 opened, 1 closed).
  • FLAGItem 4 discloses a bankruptcy of an officer or of a company an officer ran, not of the franchisor. Review Item 4 for details.

AT STAKEOne unit at the Item 7 midpoint: $115K a year in payments on assumed SBA 7(a)-style terms.You put in about $177K of your own cash and personally guarantee a $710K loan. Assumptions are labeled in Sales; not investment advice.See what one unit could make and lose

Things to check before you sign (2)

  • The franchisor keeps the right to compete inside your territory (Item 12, territory).
  • The franchisor receives rebates or payments from suppliers you buy from (Item 8, required suppliers).

Checked and clear: no auditor doubt that the franchisor can keep operating, no net loss of franchised outlets in the latest Item 20 years, no pending lawsuit naming the franchisor and the full filing on file, and an Item 19 average from 78 units. Not on file here, so ask: SBA charge-off rate against the category median, jury-trial waiver and owner-operator rule.

What to do next

  1. Step 1: Read the FDD itself.

    Free: the franchisor must give it to you at least 14 days before you sign or pay. Or look it up in a state registry (Wisconsin, Minnesota, California). What to read first.

  2. Step 2: Talk to current and former owners.

    Free: Item 20 of the FDD lists every current owner and those who left last year, most with a phone number. Questions to ask.

  3. Step 3: Talk to an SBA lender.

    Free: the SBA's Lender Match, or the lenders already lending to this brand in the SBA section. Ask what you would personally guarantee and what the monthly payment would be. If you plan to use retirement savings, ask a CPA about the rules for that first.

  4. Step 4: Have a franchise attorney review the FDD and agreement.

    Free: your state bar's lawyer referral service can name franchise lawyers, and many offer a short first consultation. Bring the checks listed above.

Research steps, not investment or legal advice.

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

Entry cost (the Item 7 midpoint) is 90% below the Lodging median ($8.5M).

Total investment$420K – $1.4M
2026 FDD p.38, show the quoted text2026 Franchise Disclosure Document, page 38, Item 7$112,000 $154,000 As Arranged As Incurred Vendors & Employees TOTAL (Note 14) $420,000 $1,354,100 …Quoted from the franchisor's filing; the figure on this page is rounded. Table text, cells in reading order; column headings may sit outside the quoted lines.
Excludes land (p.28)
Franchise fee$30,000Not cited
Royalty5.5%
2026 FDD p.17, show the quoted text2026 Franchise Disclosure Document, page 17, Item 6… Brand Hotel, which are disclosed in RRF’s franchise disclosure document. ITEM 6 OTHER FEES Type of Fee Amount Due Date Remarks Royalty 5.5% of Gross Room Revenues …Quoted from the franchisor's filing. Table text, cells in reading order; column headings may sit outside the quoted lines.
Ad fund3.0%
2026 FDD p.25, show the quoted text2026 Franchise Disclosure Document, page 25, Item 6Marketing Program Currently, the fee is no less than 3%Quoted from the franchisor's filing.
Working capital$112K – $154K

Source: FDD 2026 · Items 5–7 (fees and startup costs)

published investment is a conversion of an existing 65-room property. The same filing prices new construction separately at $11,734,393-$14,457,291.

Do you qualify? The filing states no minimum net worth or liquid capital. Ask HomeTowne Studios, LLC (Item 1: 7815 Walton Parkway, New Albany, Ohio 43054) and your lender what they require, and keep living costs for the first year outside the deal.

Full Item 7 breakdown13 line items

Initial investment breakdown

Item 7 initial investment line items
Line itemLowHigh
Application Fee/Initial Franchise Fee$35K$35K
Opening Package$2.5K$2.5K
Landscaping$0$44K
Facility Renovation$117K$475K
Furniture, Fixtures, Soft Goods and Equipment$120K$417K
Guest Wi-Fi System$0$25K
Signage$6.5K$56K
Opening Inventory and Supplies$5K$17K
Voice Telephone System$0$24K
Reservation Platform / PMS Software License Fee and Computer Systems including Front Desk and Back-Office$16.5K$22K
Insurance$0$73.5K
Training Expenses$5.5K$9.1K
Additional Funds$112K$154K
Total initial investment$420K$1.4M

Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. The total row is the total as printed in Item 7. Actual costs may fall outside this range depending on market and build-out scope.

Item 6 · what you pay once you are open

Ongoing fees

Hometowne Studios By Red Roof: Item 6 recurring fees
FeeAmount
Royalty5.5% of gross sales
Marketing / ad fundBrand-wide marketing pool. 3% of Gross Room Revenues (subject to increase up to a maximum of 5%)3.0% of gross sales
Technology fees
The filing's detail Reservation Platform/PMS software license fee $15,000 (Item 5); recurring Reservation Platform/PMS, Help Desk, Hardware and Software Support fee currently $490/month plus $3.85/room/month (Item 6).
See the list
Transfer fee$15,000
Total fee loadnear the Lodging median of 8.5%8.5% of sales

What do units actually make?

Avg gross salesPartial, no system average
Median gross salesNot extracted
Item 19 typeNot extracted
Sample size78

Source: FDD 2026 · Item 19 (sales and earnings)

Items 6 (other fees), 7 (startup costs) and 19 (sales and earnings) · assumptions labeled

What you could make and lose: one unit

What one Hometowne Studios By Red Roof unit would ask of you, from the filing's Item 7 total and labeled assumptions.

How these figures are worked out
  • Loan (assumption): 80% of the $887K Item 7 midpoint is a $710K loan, paid over 10 years at 10.5%: $115K a year. SBA 7(a)-style terms on a long-term rate; your lender sets yours. Hometowne Studios By Red Roof's past SBA 7(a) loans averaged 7.3% at approval; 7(a) rates move with the prime rate, so 10.5% is a current-rate assumption, not this brand's history.

What you put at risk

Your own cash in: about $177K Assumption (the part the loan does not cover of the $887K Item 7 midpoint), plus whatever anything Item 7 leaves out (its notes say what). The loan is $710K.

Personal guarantee. SBA 7(a) loans require a personal guarantee from anyone who owns 20% or more of the business. If the unit cannot pay, the lender can collect from you personally, which can include your savings and your home. The worst case is losing the cash you put in and still owing the rest of the loan.

Gross sales are not profit, and none of these figures is take-home pay until tax and every operating cost are paid. The assumptions are ours, not the filing's. Not investment advice.

Returns modelOne unit · several units · editable

Item 19 of the Hometowne Studios By Red Roof FDD discloses figures for part of the system but no single average across all outlets. The return models need one gross sales figure to start from, plus the operating costs that turn gross sales into a profit. Enter your own and the calculator runs on your assumptions; nothing here is modelled until you do.

Returns model · one unit

What would one Hometowne Studios By Red Roof unit leave you each year after the loan payment?

FDDFrom the filingNot set: not on this page yet; this brand's Item 19 prints it. Read it there and enter itYou overrode an FDD valueAssumed: our stated assumption, edit it
Gross sales · per unit, per year

Not disclosed in Item 19. Enter your own gross sales assumption

Gross sales, not profit: the costs below decide what is left.

Franchisor take · royalty + ad fund
Operating costs · you supply them

This brand's Item 19 prints cost or operating-income lines that are not on this page yet. Read them in Item 19 and enter them here.

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 open

Item 7 midpoint of $420K to $1.4M

Item 7's $112K to $154K additional funds are already in the total

Financing · assumed SBA 7(a)-style loan

Left after the loan payment · per year

The unit's EBITDA minus the assumed loan payment. Before tax, depreciation and any cost your inputs leave out (insurance, accounting and legal, licenses, technology fees): not take-home pay.

Gross sales are not profit. Neither the filing nor a stated assumption on this page supplies annual revenue, direct costs, labor, rent / occupancy and other operating costs. Enter your own (a lease quote, owner calls) and the model runs on it.


Unit EBITDA · annual
Needs the inputs above
EBITDA margin
Needs the inputs above
Total invested
$887K
Your cash in
$177K
Loan payment · assumed
$115K/yr
Return on invested capital
Needs the inputs above
Payback
Needs the inputs above

Loan of $710K at 10.5% over 10 years, an assumption, not a quote. Return and payback are before tax, depreciation and the costs above. The loan usually needs your personal guarantee.

One unit only. An owner of several units also pays for shared services (managers, accounting, a head office), which the multi-unit model adds on top of these figures.

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 · filed by HomeTowne Studios, LLC

Financial performance

Item 19 discloses hotel operating metrics (Average Daily Room Rate, Occupancy Rate, RevPAR, and Brand Contribution %) for 27 Affiliate-Owned, 51 Franchised, and 78 combined Hotels open at least one year during 2025 -- not whole-unit gross sales or net income figures, so avg_gross_sales/avg_net_income are not populated. 2025 figures: Franchised (51 hotels) avg Daily Room Rate $60.59, avg Occupancy 61.6%, avg RevPAR $37.30, avg Brand Contribution 36.5%; Affiliate-Owned (27 hotels) avg Daily Room Rate $53.31, avg Occupancy 69.8%, avg RevPAR $37.22, avg Brand Contribution 55.0%; Combined (78 hotels) avg Daily Room Rate $56.95, avg Occupancy 65.4%, avg RevPAR $37.26, avg Brand Contribution 45.2%.

Percentile ranks within Lodging
Gross sales rank
No comparison data
Investment cost rank28th percentile
among 128 brands with the figure · a high percentile means costlier to open
Royalty rate rank57th percentile
among 119 brands with the figure · a low percentile means a lower royalty
Unit count rank59th percentile
among 131 brands with the figure

Each rank is among the Lodging brands that report that figure (the count is under each bar).

Who are you contracting with?

HomeTowne Studios, LLC, owned by Red Roof Franchising, LLC.

Item 21 (audited financials) · audited statements · 2026 FDD

The franchisor's own finances

The franchisor paid out about 104% of its latest net income as dividends. A franchisor that keeps little of its own profit has less of a cushion if the system has a bad year; ask how support and the ad fund are funded.

The figures, with their pages
Net income
$13.4Mlatest year · FDD Item 21
Dividends paid
$14.0M104% of net income (our arithmetic) · FDD p.92
Total assets
$51.8MFDD Item 21
Equity
$26.7MFDD Item 21

Item 1 (the franchisor) · who you're contracting with

The franchisor

Corporate structure & franchisor financials
Legal entity
HomeTowne Studios, LLC
Parent company
Red Roof Franchising, LLC
FDD Item 1, page 8 of the 2026 FDD
Ultimate parent
WRRH LP
FDD Item 1, page 9 of the 2026 FDD
Predecessor
Crossland Suites
Prior franchisor entity
CEO title
President
Zack Gharib
Incorporated in
Delaware
HQ
7815 Walton Parkway, New Albany, Ohio 43054
Franchisor revenue
$84.8M
latest fiscal year in the 2026 FDD; $92.0M the year before

Same owner · FDD Item 1, page 9

2 other brands on this site name WRRH LP as parent or ultimate parent in their own FDD.

Grouped by the owner's name as each filing prints it (this page: the 2026 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

HomeTowne Studios, LLC franchises economy extended-stay and transient lodging hotels under the HomeTowne Studios by Red Roof, HomeTowne Studios & Suites by Red Roof, HomeTown Inn, and HomeTowne Inn brand names. Hotels feature full or queen beds, in-room kitchens/kitchenettes, on-site guest laundry, weekly housekeeping, and vending, typically without full-service amenities like restaurants or room service.

CEO
Zack Gharib
Franchised outlets in
18 states and territories
Item 20 Table 3, at year end

Is the system healthy?

+28 franchised outlets over the two years to 2025 (25 to 53, +112.0% in total, +45.6% a year compounded).

Franchised units53+27 company-owned (80 in all)
Verified · 2026 FDD p.67, show the quoted text2026 Franchise Disclosure Document, page 67, Item 20Franchised Outlets 2023 18 25 +7 2024 25 45 +20 2025 45 53 +8 Affiliate-Owned Outlets 2023 50 48 -2 2024 48 39 -9 2025 39 27 -12 Total Outlets 2023 68 73 +5 2024 73 84 +11 2025 84 80 …Quoted from the franchisor's filing. Table text, cells in reading order; column headings may sit outside the quoted lines.
Transferred7
Net change, latest year+8 (favorable)(+17.8%)
Turnover rate1.3%

Source: FDD 2026 · Item 20 (outlets opened, closed and transferred)

Item 20 (outlet counts) · unit dynamics

The growth chart

Company-owned
27
Corporate units in the system
% franchised
66%
vs corporate-owned

Last fiscal year · Item 20 rates and pipeline

Reacquired
0
Franchisor bought back
Signed, not yet open
19
0.24 per open outlet · Item 20 Table 5
Projected new
9
Franchisor's next-year forecast

Item 20 · franchised units at year end

Franchised units rose from 25 in 2023 to 53 in 2025

Axis does not start at zero.

Source and method
FDD Item 20, franchised outlets at each year end. Opened and closed are the latest year's counts.

Item 20 (outlet counts) Table 3 · franchised outlets at year end

Where current outlets are

Franchised outlets at year end by state, as the filing's Item 20 Table 3 counts them. Not a list of where the franchisor may sell new units.

Current outlets (count on the tile) · 18 statesNo current outlet

53 franchised outlets at year end in 18 states (Item 20 Table 3).

Government records

SBA loan data

Matched to this brand from SBA 7(a) and 504 FOIA loan records.

Loans on file
10
SBA 7(a) loans matched to this brand, incl. those still being repaid
Loan volume
$30.9M
Average loan
$3.1M
loan volume divided by loans
Charge-off rate
1 resolved of 10 loans: too few to judge
Limited SBA coverage: 10 loans, rate hidden until 10 have resolved and loans reach 2% of franchised units
Paid in full
1 resolved of 10 loans: too few to judge
Recent-loan charge-off
1 resolved of 10 loans: too few to judge
Lenders
5
Average interest rate
7.3%
Jobs reported
111
Lender concentration
40%
top lender's share

Cumulative: every 7(a) loan matched to this brand in the SBA’s FOIA files, approved FY1991 onward. Historical lending data, not predictive of future performance. How SBA charge-off rates are calculated

Borrower mix: of the 10 loans with a recorded business age, 1 (10%) went to startups or businesses under two years old and 9 (90%) to established businesses or ownership changes.

Explore lender portfolios on Bank Reports or regional data on State Reports.

Full SBA lending reportlenders · charge-off rate · trend

Lender network · SBA 7(a)

SBA Lending Report

Lender, state and yearly detail for Hometowne Studios By Red Roof from SBA 7(a) FOIA loan records.

Average SBA guarantee
83%
Average interest rate
7.3%
Lender concentration
40%
Jobs reported
111

Top 10 SBA lenders by loan count

LoansVolumeCharge-off
GBank
4$15.7MNot on file
Cadence Bank
2$5.8MNot on file
Wallis Bank
2$2.9MNot on file
The MINT National Bank
1$1.5MNot on file
Everwise Credit Union
1$5.0MNot on file

A lender’s rate counts only its resolved loans, the loans that have finished (paid in full or charged off); a 0.0% often means few of its loans have finished. Under 10 resolved loans, the rate reads “Too few”.

Charge-off rate by state (top 10 by loans)

StateLoansCharged offRate
TX Texas20Too few1 resolved
FL Florida10Too few0 resolved
IL Illinois10Too few0 resolved
IN Indiana10Too few0 resolved
MI Michigan10Too few0 resolved
NC North Carolina10Too few0 resolved
PA Pennsylvania10Too few0 resolved
SC South Carolina10Too few0 resolved
VA Virginia10Too few0 resolved

Rate: charged-off loans over resolved loans (paid in full plus charged off), shown from 10 resolved loans. "Too few": under 10 resolved. The Loans column counts every approval in the window, including loans still being repaid.

SBA 7(a) loans approved per year

2021
5
2023
1
2024
2
2025
2

Borrower profile

The SBA's own business-age labels (3)
Ownership change8 (80%)
New (2 years or less)1 (10%)
Existing (over 2 years)1 (10%)

Source: SBA 7(a) FOIA loan-level data, matched to the brand by FranchiseVerdict.

What are the risks?

SBA charge-off1 resolved of 10 loans: too few to judge
Litigation3 cases
Auditor going-concern doubtNo (favorable)

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

Litigation case detail3 matters · Item 3

Litigation cases

Parent, affiliates, master franchisor and subfranchisor

Pending (1)

  • HP Holding LLC and HP Holding Hospitality LLC v. Red Roof Inns, Inc. and Red Roof Franchising, LLC

    pending

    Brought by a franchisee · Red Roof Franchising, LLC (RRF, our parent) and Red Roof Inns, Inc. (RRI, a higher parent) · filed 2023-10-05 · United States District Court for the District of New Jersey · 23-cv-20907-RMB-MJS

    “… Civil Action No. 23-cv-20907-RMB-MJS (United States District Court for the District of New Jersey).”Page 13 of the 2026 FDD, Item 3

Concluded (1)

  • State of Maryland v. Red Roof Franchising, LLC

    concluded

    Government or regulatory action · Red Roof Franchising, LLC (RRF, our parent) · filed 2014-09-24 · Securities Commissioner of Maryland · 2014-0330

    “… No. 2014-0330 (Securities Commissioner of Maryland, September 24, 2014) As of September 24, 2014 the Securities Division of the Office of the Attorney General of Maryland (the “Securities Division”) initiated an”Page 13 of the 2026 FDD, Item 3

Status not stated in the filing (1)

  • Red Roof Franchising, LLC v. Janam Madison Lodging LLC et al

    Brought by the franchisor · Red Roof Franchising, LLC (RRF, our parent) · filed 2025 · State Court of Rockdale County, Georgia · 2025-SV-4277

    “… Case No. 2025-SV-4277 (State Court of Rockdale County, Georgia).”Page 14 of the 2026 FDD, Item 3

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 8.5% of sales (royalty + ad fund), before your own operating costs.

Initial term20 yrs
Renewal term10 yrs
TerritoryExclusive (favorable)
Initial trainingNot extracted

Source: FDD 2026 · Items 11, 12, 17

FDD Items 12 (territory), 15 (owner participation) and 17 (renewal, termination and disputes)

Contract and territory detail

Protected territoryYes
Exclusive territoryYes
Territory sizevaries (as small as one or two blocks or as large as a small town)
Franchisor can competeYes
Right of first refusalYes
Transfer requires consentYes
Termination notice30 days
Mandatory arbitrationNo
Governing lawOhio

Items 10 (financing), 11 (training and support)

Training and operations

On-the-job training
8 hrs
Ongoing training
Required
Field support
8 hrs/yr
On-site visits per year
Time to open
3–9 mo
From signing to launch, renovating an existing property, the format Item 7 headlines (newly built: 12 to 18 months) (FDD p.54)
Site selection
franchisee
Franchisor financing
Not offered
Item 10
POS system
Reservation Platform / PMS
Operating tech stack

Items 5 (initial fees) & 11 (training and support)

Franchisor support

Yes: Site selection assistance
Yes: Grand opening support
No: Lease negotiation help

Item 20 (outlet counts) · call current owners

Franchisee contacts

Who can you call before you sign?

6 current outlets listed

Each record has a phone number and state. No franchisee names or cities. 6 records. From the filing's Item 20 (the outlet list); the FDD itself is the free source. Our list covers 6 of the 53 franchised outlets Item 20 counts at year end; the owner exhibit prints the rest without a usable phone number, or omits them.

For your own due-diligence calls only. Not for telemarketing, marketing lists, or automated or prerecorded calls or texts.

The list is not offered for this brand yet. The FDD's Item 20 exhibit lists the owners.

Free preview
(734) 458-••••MI
6 contacts on file
(706) 737-••••GA
(281) 759-••••TX

Frequently asked questions

How much does it cost to open a Hometowne Studios By Red Roof franchise?

Per the 2026 FDD, the total investment to open a Hometowne Studios By Red Roof franchise ranges from $420K to $1.4M, with an initial franchise fee of $30K. This is the Item 7 total in the Franchise Disclosure Document (FDD): the startup costs the franchisor lists, such as build-out, equipment, inventory and working capital. The filing says these totals do not include land.

What do Hometowne Studios By Red Roof franchise owners earn?

Item 19 of the Hometowne Studios By Red Roof 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 Hometowne Studios By Red Roof?

Hometowne Studios By Red Roof is franchised by HomeTowne Studios, LLC. Its parent company is Red Roof Franchising, LLC. The ultimate parent named in the FDD is WRRH LP. Source: FDD Item 1, 2026 filing.

What is Item 19 in the Hometowne Studios By Red Roof 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 Hometowne Studios By Red Roof FDD and qualifies whose outlets they describe.

What is Hometowne Studios By Red Roof's franchise failure rate?

There is no published franchise failure rate, and Hometowne Studios By Red Roof has too few resolved SBA 7(a) loans on file (fewer than 10) to show an SBA charge-off rate that would mean anything. The SBA charge-off rate is the share of a brand's resolved SBA 7(a) loans to its franchisees that the SBA wrote off, including purchased guarantees. Resolved means paid in full or charged off; active loans are excluded because their outcome is not yet known. It is a lending outcome, not a count of closed businesses. Review the turnover and closure figures in Item 20 of the FDD and speak with current and former franchisees.

How many Hometowne Studios By Red Roof franchise locations are there?

Per the 2026 FDD, Hometowne Studios By Red Roof has 53 franchised units and 27 company-owned (80 in all). In the latest year, the number of franchised outlets grew by 8 (9 opened, 1 closed).

Is Hometowne Studios By Red Roof a good franchise to buy?

FranchiseVerdict gives Hometowne Studios By Red Roof an A Verdict grade (Strongest tier) with a verdict score of 79 out of 100 (higher is better), an editorial assessment, not investment advice. Helped by financial health (audited financials), unit growth, legal record and transparency. The “Why an A” section on this page lists all six dimensions and any adjustment. Speak with current franchisees before making any investment decision.

Other Lodging franchises

Similar investment first, then by grade

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.