My Place Hotels Franchise Cost, Revenue & Review 2026
- Investment
- $99K – $127K
- Disclosed sales
- partial, no system average
- SBA charge-off
- Limited · 16 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
My Place Hotels is an economy extended-stay hotel franchise with in-room kitchens for longer stays. Franchisees own and operate individual properties, running rooms, housekeeping, and revenue management.
FranchiseVerdict summary · 2026
A My Place Hotels franchise requires a total initial investment of $99K – $127K, including a $50K franchise fee. The 2026 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: 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 4 headline figures on this page cite a page of the filing.
Overview
- Investment
- $99K – $127K
- 2nd pct Lodging
- Avg gross sales
- N/A
- Incl. company outletsProjection
- Royalty
- Tiered by sales volume
- Units
- 78
- 42nd pct Lodging
- SBA charge-off
- N/A
Quick verdict · Lodging · color = vs category peers
Green = favorable by >10% vs Lodging median · 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 $99K – $127K including a $50K franchise fee.
- RETURNSItem 19 reports occupancy and ADR rather than annual gross sales, so unit revenue is not directly comparable.
- RISKVerdict A (Strongest tier), verdict score 78/100 (higher is better).
- GROWTHPositive: net +1 franchised outlets in the latest year (6 opened, 2 closed); 40 signed but not yet open (Item 20).
- DATAItem 19 reports occupancy and ADR 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
- My Place Hotels of America, LLC
- CEO title
- President, Chief Executive Officer, and Board of Managers
- Ryan J. Rivett
- CEO experience
- 2006 yrs
- Years in role or industry
- Incorporated in
- SD
- HQ
- 1910 8th Avenue Northeast, Aberdeen, South Dakota 57401
- Auditor
- Eide Bailly LLP
- Audited financials
- Franchisor revenue
- $10.5M
- vs $9.6M prior year
Overview
About
- CEO
- Ryan J. Rivett
- Headquarters
- SD
- Founded
- 2011
- FDD year
- 2026
- States available
- 31
Can you afford it, and what does the money buy?
Entry cost runs 99% below the typical lodging franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown15 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $781 | $781 | |
| Training Feenot refundable | $129 | $129 | |
| Architects and Engineers Fees | $1K | $2K | |
| Preconstruction Costs | $250 | $1K | |
| Building Costs | $83K | $106K | |
| Land | — | — | |
| Furniture, Fixtures and Equipment | $10K | $11K | |
| Insurance | $400 | $900 | |
| Business Permits and Utility Deposits | $5 | $150 | |
| Opening Advertising (Local) | $50 | $400 | |
| Startup Supplies | $150 | $300 | |
| Travel and Living Expenses While Training | $20 | $80 | |
| Signage | $750 | $1K | |
| Computer Hardware and Software | $350 | $450 | |
| Additional funds and expenses during the first 3 months after opening | $2K | $4K | |
| Total initial investment | $99K | $127K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $99K – $127K
- Top 40% of category vs category
- Liquid capital req'd
- $2K – $4K
- Top 40% of category vs category
- Franchise fee
- $50K – $50K
- Top 40% of category vs category
- Royalty
- 0% until first month Average Occupancy reaches 50%; 2.50%…
- Ad fund
- 3.0%
- typical 3–5%
- Total fee load
- 3.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | 0% until 50% occupancy, then 2.50% at 50-60% occupancy, then 4.75% at 60%+ occupancy |
| Marketing / ad fund | 3.0% |
| Technology fee | $16K |
| Training fee | $8K |
| Transfer fee | $25K |
| Renewal fee | $52K |
| Total fee load | 3.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for My Place Hotels is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one My Place Hotels unit return on the cash you put in?
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.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, royalty rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
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
Includes company-owned outlets
An occupancy metric, not unit revenue
- Item 19 type
- occupancy and ADR
- Sample size
- 71
- vs category median 98
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
Compared against 175 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 3.0% — below the Lodging median of 8.5%.
Disclosure
Item 19 reports occupancy and ADR rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System expanding at 6.1% CAGR over 3 years across 78 units — operators are staying and new ones are joining.
Multi-unit rate
Only 4% of franchisees own multiple units. Could indicate challenging economics or a young system where operators haven't had time to expand.
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 medians
How My Place Hotels Compares
Category median of published Lodging brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 78
- Opened
- 6
- Last reporting year
- Closed
- 2
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 7.7%
- Company-owned
- 26
- Corporate units in the system
- % franchised
- 67%
- vs corporate-owned
- Multi-unit owners
- 3.5%
- Net growth (3-yr)
- +6.1%
- Net unit change over 3 years
- 3-yr CAGR
- +6.1%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Signed, not yet open
- 40
- 0.51 per open outlet · Item 20 Table 5
- Projected new
- 5
- Franchisor's next-year forecast
- Transfer rate
- 7.7%
- Owners selling to other franchisees
- Ceased ops
- 3.8%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 29 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.
Where the owners are · Item 20 owner list
70 current owners across 29 states.
- SD 7
- ND 5
- UT 5
- IA 4
- ID 4
- MT 4
- NE 4
- AZ 3
- GA 3
- NC 3
- TX 3
- AK 2
- +17 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 16
- Loan volume
- $45.2M
- Median loan
- $4.4M
- 50th percentile
- Charge-off rate
- Limited · 16 loans
- Limited SBA coverage: 16 loans, rate hidden until 10 have resolved and loans reach 2% of franchised units
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Limited · 16 loans
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 6
- Defaults
- 0
- Typical loan rate
- 7.3%
- avg rate to borrowers
- Franchised industry avg
- 6.3%
- n=9,970 loans
- Jobs supported
- 39
- 0.2 per loan
- Lender concentration
- 33%
- top lender's share
Borrower mix: 17% went to startups / new businesses, 83% to established operators
Franchise vs independent — in hotels (except casino hotels) and motels, franchised businesses charge off at 6.3% vs 9.2% for independents — franchising is associated with 32% lower SBA default risk in this category.
Top lenders financing My Place Hotels franchisees
Showing 3 of 6 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for My Place Hotels from SBA 7(a) FOIA data.
- Principal loss rate
- 0.0%
- Avg SBA guarantee
- 71%
- Avg interest rate
- 7.33%
- Lender concentration
- 33.3%
- Job velocity
- 0.2 per $100K
- NAICS benchmark
- 7.6%
- NAICS 721110
- Jobs supported
- 39
Top SBA lendersTop lender holds 33% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Mountain America FCU | 2 | $3.7M | 0.0% |
| 2 | US Metro Bank | 1 | $5.0M | N/A |
| 3 | America First FCU | 1 | $3.5M | 0.0% |
| 4 | Open Bank | 1 | $5.0M | N/A |
| 5 | Celtic Bank Corporation | 1 | $5.0M | 0.0% |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| UTUtah | 3 | 0 | 0.0% |
| IDIdaho | 1 | 0 | 0.0% |
| NCNorth Carolina | 1 | 0 | -- |
| OROregon | 1 | 0 | -- |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
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
My Place Hotels presents caution-level risk due to active litigation alleging franchise sales misrepresentations, stagnant unit growth, absent financial disclosure, and an unconventional occupancy-based royalty model that may under-incentivize franchisor support for struggling properties.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
My Place Hotels of America, LLC v. Phillip S. Marrone and N.A. Lodging I, LLC (AAA Case No. 01-25-0009-0879). Franchisor initiated arbitration November 2025 for $212,973.65 in past due amounts. Respondents filed counterclaims alleging misrepresentations and violations of franchise law.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Eide Bailly LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Total revenues of $10,537,097 (FY2025) comprise franchise fees, royalty fees, marketing fees, loyalty program fees, training fees, website/portal fees, conference fees, and other income ($797,001). Audited by Eide Bailly LLP.
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: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 78 / 100 verdict
- 01HIGHActive litigation with former franchisee alleging misrepresentations and sales process violations raises credibility concerns about franchisor disclosures
- 02MINORMinimal unit growth (2.0% YoY) across 78 units suggests stagnant system expansion and potential market saturation or franchisee dissatisfaction
- 03MINORNo average revenue or net income disclosure (Item 19) prevents validation of the $50,000 franchise fee ROI and profitability claims
- 04MINORVariable royalty structure (0-4.75%) creates uncertainty; marginal properties may never reach 60% occupancy, limiting franchisor support incentives
- 05MINOROccupancy-based royalty floor of 0% until 50% occupancy may indicate franchisor prioritizes risk-transfer to franchisees during ramp-up periods
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 3.0% 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 | 20 years |
|---|---|
| Renewal term | 20 years |
| Allowed renewalsℹ | 1 |
| Territory type | Exclusive territory |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Aberdeen, South Dakota |
| Jury trial waiver | Yes |
| Governing law | SD |
| Litigation count | 1 |
View Item 3 litigation summary
My Place Hotels of America, LLC v. Phillip S. Marrone and N.A. Lodging I, LLC (AAA Case No. 01-25-0009-0879). Franchisor initiated arbitration November 2025 for $212,973.65 in past due amounts. Respondents filed counterclaims alleging misrepresentations and violations of franchise law.
Items 10, 11
Training & Operations
- Classroom training
- 60 hrs
- On-the-job training
- 48 hrs
- Training location
- My Place University, Aberdeen, South Dakota; and selected My Place hotels for on-site training
- Ongoing training
- Required
- Field support
- 48 hrs/yr
- On-site visits per year
- Time to open
- 12 mo
- From signing to launch
- Site selection
- franchisee
- Franchisor financing
- Not offered
- Item 10
- POS system
- Cloud-based PMS, CRS, and CRM
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Cloud-based PMS, CRS, and CRM
Item 20 · call current owners
Franchisee Contacts
70 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a My Place Hotels franchise?
The total investment to open a My Place Hotels franchise ranges from $99K – $127K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do My Place Hotels franchise owners earn?
Item 19 of the My Place Hotels 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 My Place Hotels?
My Place Hotels is franchised by My Place Hotels of America, LLC. Source: FDD Item 1, 2026 filing.
What is Item 19 in the My Place Hotels 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 My Place Hotels FDD and qualifies whose outlets they describe.
What is My Place Hotels's franchise failure rate?
SBA 7(a) loan charge-off data is not available for My Place Hotels (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 My Place Hotels franchise locations are there?
As of their most recent FDD filing, My Place Hotels has 78 total units in the United States, including 52 franchised units and 26 company-owned units. 6 new units were opened in the latest reporting year.
Is My Place Hotels a good franchise to buy?
FranchiseVerdict rates My Place Hotels as a A-grade franchise with a verdict score of 78 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.