Hyatt CentricFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Hyatt Centric franchise does not disclose total investment in its current FDD, including a $100K franchise fee and an ongoing 5.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $41.4M
- 53rd pct Lodging
- Avg gross sales
- N/A
- 2nd pct Lodging
- Royalty
- 5.0%
- 4th pct Lodging
- Units
- 31
- 25th pct Lodging
- SBA default
- N/A
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
Bottom line
- Total investment $41.4M including a $100K franchise fee, 5.0% ongoing royalty.
- Item 19 discloses "Occupancy Rate, ADR, RevPAR" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict B (Above Average) with a risk score of 57/100.
- Item 19 reports "Occupancy Rate, ADR, RevPAR" instead of annual gross sales. Ask franchisees directly for full unit-level revenue.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Hyatt Franchising, L.L.C.
- Parent company
- Hyatt Hotels Corporation
- Incorporated in
- DE
- HQ
- 150 North Riverside Plaza, Chicago, Illinois 60606
- Auditor
- Deloitte & Touche LLP
- Audited financials
- Franchisor revenue
- $5.9B
- vs $6.7B prior year
Overview
About
Franchisees develop and operate upscale, boutique-style hotels under the Hyatt Centric brand, typically 150-200 rooms in urban markets. Day-to-day operations include guest services, housekeeping, food & beverage management, staff oversight, and local marketing while adhering to strict Hyatt brand standards and generating revenue primarily from room bookings (subject to 5% royalty).
- CEO
- Jim Chu
- Headquarters
- IL
- Founded
- 2015
- FDD year
- 2024
- States available
- 12
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $41.4M
- Near category avg vs category
- Liquid capital req'd
- $650K – $1.0M
- Near category avg vs category
- Franchise fee
- $100K
- Near category avg vs category
- Royalty
- 5.0%
- Gross Rooms Revenue · typical 6–8%
- Ad fund
- -n/d
- Total fee load
- 11.7%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Technology fee | $6 |
| Transfer fee | $100K |
| Renewal fee | $0 |
| Total fee load | 11.7% of rev |
Financial Performance
This brand's FDD disclosed "Occupancy Rate, ADR, RevPAR" 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 Hyatt Centric Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 31
- Opened
- 0
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 11
- Corporate units in the system
- % franchised
- 65%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- +5.3%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 1
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 15 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.
Available to sell in · Item 12
- Illinois
States where the franchisor is registered to sell new franchises (FDD registration filings).
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.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Hyatt Centric presents high capital risk with an unproven small-scale system and complete absence of financial performance transparency, making true due diligence nearly impossible.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 57 / 100 rating
- 01MEDMassive capital requirement ($41.4M) with zero disclosed average revenue or net income data prevents ROI assessment
- 02MEDOnly 31 units across entire system suggests limited scale, unproven franchise model, and weak brand penetration
- 03MINORNo Item 19 financial performance disclosure (Avg Revenue/Net Income) is a major transparency red flag
- 04MEDUnclear unit growth trajectory with no disclosed expansion rate raises questions about franchisee demand and system viability
- 05MED20-year term is unusually long for hotel franchises, locking franchisees into relationship with limited exit options
- 06MINOR5% royalty on gross (not net) rooms revenue means royalties paid regardless of profitability
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 | 20 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Geographic |
| Protected territory | Yes |
| Online sales rights | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 3 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Illinois |
| Litigation count | 0 |
Items 10, 11
Training & Operations
- Classroom training
- 72 hrs
- On-the-job training
- 56 hrs
- Training location
- On-site and corporate
- Site selection
- franchisor
- Franchisor financing
- Offered
- Item 10
- POS system
- Opera
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Opera
Item 20 · call current owners
Franchisee Contacts
22 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Hyatt Centric · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
What do Hyatt Centric franchise owners earn?
Hyatt Centric 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 Hyatt Centric's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Hyatt Centric (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 Hyatt Centric franchise locations are there?
As of their most recent FDD filing, Hyatt Centric has 31 total units in the United States, including 19 franchised units and 11 company-owned units.
Is Hyatt Centric a good franchise to buy?
FranchiseVerdict rates Hyatt Centric as a B-grade franchise with a risk score of 57 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.
For franchisors
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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.