Hyatt House
Hyatt House Franchising, L.L.C.
Company Information
150 North Riverside Plaza Chicago, Illinois 60606
Hyatt House Franchising, L.L.C. was formed as a Kansas limited partnership called SF Hotel Company, L.P. and later changed its name to Summerfield Hotel Company L.P. In January 2006, one of their parent companies, Select Hotels Group, L.L.C., acquired all of the ownership interests in Hyatt House Hotel Holding Company, L.L.C. They then converted to a Kansas limited liability company named Summerfield Hotel Company, L.L.C. In September 2011 they changed their name to Hyatt House Franchising, L.L.C. Their principal business address is 150 North Riverside Plaza, Chicago, Illinois 60606.
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Franchise Rating
Franchimp Summary Rating
4/10
Investment Accessibility
4/10
Franchise System Development
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Distribution of Hyatt House Franchisee
Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $154,075 Maximum: $752,352
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $13,629,297 Maximum: $40,143,980
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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