Hyatt Regency Hotel Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Hyatt Regency is an upscale, full-service hotel franchise with restaurants, bars, and large meeting and event space. Franchisees own and operate individual properties, running rooms, dining, events, and guest services on Hyatt's systems.
FranchiseVerdict summary · 2026
A Hyatt Regency Hotel franchise does not disclose total investment in its current FDD, including a $100K – $400K franchise fee and an ongoing 6.0% royalty[2]. The 2024 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 2024 FDD issuance
Overview
- Investment
- $71.2M
- 70th pct Lodging
- Avg gross sales
- N/A
- Incl. company outlets
- Royalty
- 6.0%
- 52nd pct Lodging
- Units
- 103
- 46th 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 $71.2M including a $100K franchise fee, 6.0% ongoing royalty.
- RETURNSItem 21 financials are the audited consolidated financial statements of the parent guarantor, Hyatt Hotels Corporation (a public company), as of/for FY ended Dec 31, 2023 and 2022, audited by Deloitte & Touche LLP (auditor since 2003). All figures reported in millions of USD and converted to dollars here. The franchisor itself (Hyatt Franchising, L.L.C.) has never operated Hyatt Regency Hotels; Hyatt Hotels Corporation guarantees the franchisor's obligations.
- RISKVerdict A (Strongest tier), verdict score 78/100 (higher is better).
- DATAItem 19 reports operational metrics rather than annual gross sales, so unit revenue is not directly comparable. Ask franchisees directly for full unit-level revenue.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Hyatt Franchising, L.L.C.
- Parent company
- Hyatt Hotels Corporation
- CEO title
- Executive Vice President – Chief Growth Officer
- Jim Chu
- Incorporated in
- DE
- HQ
- 150 North Riverside Plaza, Chicago, Illinois 60606
- Auditor
- Deloitte & Touche LLP
- Audited financials
- Franchisor revenue
- $6.7B
- vs $5.9B prior year
Overview
About
- CEO
- Jim Chu
- Headquarters
- IL
- Founded
- 1957
- FDD year
- 2024
- States available
- 22
Can you afford it, and what does the money buy?
Source: FDD 2024 · Items 5–7
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $71.2M
- Bottom third — review vs category
- Liquid capital req'd
- $750K – $1.5M
- Middle of category vs category
- Franchise fee
- $100K – $400K
- Middle of category vs category
- Royalty
- 6.0%
- formula · typical 6–8%
- Ad fund
- No mandatory advertising fund contribution. Commercial Se…
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Transfer fee | $0 |
| Renewal fee | $10K |
| Total fee load | 6.0% of rev |
What do units actually make?
Source: FDD 2024 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Hyatt Regency Hotel 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 Hyatt Regency Hotel 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: 2024 FDD
Financial Performance
Item 21 financials are the audited consolidated financial statements of the parent guarantor, Hyatt Hotels Corporation (a public company), as of/for FY ended Dec 31, 2023 and 2022, audited by Deloitte & Touche LLP (auditor since 2003). All figures reported in millions of USD and converted to dollars here. The franchisor itself (Hyatt Franchising, L.L.C.) has never operated Hyatt Regency Hotels; Hyatt Hotels Corporation guarantees the franchisor's obligations.
Includes company-owned outlets
- Item 19 type
- operational metrics
- Sample size
- 40
- vs category median 99 · small
- Transparency tier
- none
- Categorical assessment of disclosure depth
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2024
- 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 6.0% — below the Lodging average of 10.4%.
Disclosure
Item 19 reports operational metrics rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System roughly stable (+2.6% 3-year CAGR) with 103 units.
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 Hyatt Regency Hotel Compares
Is the system healthy?
Source: FDD 2024 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 103
- Opened
- 1
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 5.0%
- Company-owned
- 63
- Corporate units in the system
- % franchised
- 39%
- vs corporate-owned
- Net growth (3-yr)
- +2.6%
- Net unit change over 3 years
- 3-yr CAGR
- +2.6%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 3
- Closed (3yr)
- 0
- Terminated (3yr)
- 2
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 4
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 22 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.
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
Missing financial disclosures, stagnant unit growth, above-market royalties, and unclear capital requirements create significant due diligence gaps for this luxury hotel franchise.
Litigation (Item 3)
No litigation is required to be disclosed in Item 3.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche 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: No
- Restricted to system-approved products: Yes
Score breakdown · what drove the 78 / 100 verdict
- 01MEDInvestment range listed as $0–$0 indicates missing or incomplete FDD disclosure of initial capital requirements
- 02MEDNo average unit volume (Item 19) or financial performance data disclosed, preventing ROI analysis
- 03MEDMinimal unit growth of 2.6% YoY suggests mature/stagnant system with limited expansion opportunity
- 04MINORDual royalty structure (6% rooms + 3% F&B) totaling up to 9% is above-market for upscale hotel brands
- 05MINOR103 units is relatively small for an established luxury brand, raising questions about franchise model viability
- 06MINOR20-year term is longer than industry standard (10-15 years), locking franchisee into extended commitment
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2024 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Termination groundsℹ | 3 |
| Curable defaultsℹ | 4 |
| Mandatory arbitration | Yes |
| Arbitration location | Chicago, Illinois (within 10 miles of principal business address) |
| Jury trial waiver | Yes |
| Governing law | IL |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in Item 3.
Items 10, 11
Training & Operations
- Classroom training
- 270 hrs
- On-the-job training
- 87 hrs
- Training location
- Chicago, Illinois headquarters, designated Hyatt hotel locations, Hotel site, and virtually
- Ongoing training
- Required
- Time to open
- 24 mo
- From signing to launch
- Site selection
- franchisor
- Franchisor financing
- Offered
- Item 10
- POS system
- Opera PMS
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Opera PMS
Item 20 · call current owners
Franchisee Contacts
45 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Hyatt Regency Hotel · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
What do Hyatt Regency Hotel franchise owners earn?
Hyatt Regency Hotel 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 Hyatt Regency Hotel 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 Hyatt Regency Hotel FDD and qualifies whose outlets they describe.
What is Hyatt Regency Hotel's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Hyatt Regency Hotel (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 Regency Hotel franchise locations are there?
As of their most recent FDD filing, Hyatt Regency Hotel has 103 total units in the United States, including 40 franchised units and 63 company-owned units. 1 new units were opened in the latest reporting year.
Is Hyatt Regency Hotel a good franchise to buy?
FranchiseVerdict rates Hyatt Regency Hotel as a A-grade franchise with a verdict score of 78 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?
If you represent Hyatt Regency Hotel, you can request corrections or provide updated information.
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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.