Extended Stay America Premier Suites Franchise
Cost, fees, owner earnings, closure rate and litigation for a Extended Stay America Premier Suites franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Extended Stay America Premier Suites discloses earnings (Item 19) — but the grade is how honestly. We graded it B.
What their own earnings claim actually says
Provides occupancy, ADR, RevPAR, EsOcc metrics for 32 owned and 17 franchised hotels in 2025. Shows owned hotels averaging 78.1% occupancy vs franchised 72.0%. Includes reservation channel contribution and length-of-stay data.
What a Extended Stay America Premier Suites franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $50,000 | Item 5 — paid up front, before you open |
| Royalty | 5.5% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 4.5% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 10% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $10,070,070 – $15,289,995 | Item 7 — franchisor's own low/high estimate |
Royalty 5.5%, System Services 4.5% of Gross Room Revenue. Multiple additional fees for training, technology, compliance, marketing. Many fees capped at 10% annual increases.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Extended Stay America Premier Suites system size and owner turnover
| Total outlets | 57 |
| Ceased operations | 0 |
| Terminated by franchisor | 0 |
| Transferred to new owners | 1 |
| Closure rate | 0.0% of outlets |
Zero terminations, non-renewals, or ceased operations in 2025. Strong system growth.
From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Extended Stay America Premier Suites worth it? — how it compares to 436 similar franchises
| Ongoing fees | 10% of sales | steeper than 74% of other franchises franchises |
| Startup cost | from $10,070,070 | pricier than 97% of peers |
| Disclosure honesty | Grade B | more honest than 84% of other franchises franchises |
| Closure rate | 0.0% of outlets | better than most (median 1.5%) |
| Disclosed lawsuits | 5 | more litigious than 83% of peers |
Benchmarked against every other franchises franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Extended Stay America Premier Suites
The franchisor's framing: Provides occupancy, ADR, RevPAR, EsOcc metrics for 32 owned and 17 franchised hotels in 20… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
See a full sample report → · 30-day guarantee
Extended Stay America Premier Suites franchise — frequently asked
- How much does a Extended Stay America Premier Suites franchise cost?
- The FDD lists a total initial investment of about $10,070,070–$15,289,995, including a $50,000 initial franchise fee.
- How much do Extended Stay America Premier Suites franchise owners make?
- Provides occupancy, ADR, RevPAR, EsOcc metrics for 32 owned and 17 franchised hotels in 2025. Shows owned hotels averaging 78.1% occupancy vs franchised 72.0%. Includes reservation channel contribution and length-of-stay data. We grade this disclosure B for honesty.
- What are the Extended Stay America Premier Suites franchise fees?
- Extended Stay America Premier Suites' FDD discloses a $50,000 initial franchise fee, a 5.5% royalty on gross sales, a 4.5% advertising-fund contribution, for roughly 10% of gross sales in recurring fees before rent, labor, or debt service. Royalty 5.5%, System Services 4.5% of Gross Room Revenue. Multiple additional fees for training, technology, compliance, marketing. Many fees capped at 10% annual increases.
- What is the Extended Stay America Premier Suites franchise profit margin?
- Extended Stay America Premier Suites does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Provides occupancy, ADR, RevPAR, EsOcc metrics for 32 owned and 17 franchised hotels in 2025. Shows owned hotels averaging 78.1% occupancy vs franchised 72.0%. Includes reservation channel contribution and length-of-stay data. Recurring fees alone take about 10% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
- What is the Extended Stay America Premier Suites franchise failure rate?
- Zero terminations, non-renewals, or ceased operations in 2025. Strong system growth.
- How many Extended Stay America Premier Suites locations are there?
- Extended Stay America Premier Suites' FDD reports 57 total outlets, with 0 that ceased operations in the most recent reporting year and 1 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Extended Stay America Premier Suites have complaints or lawsuits?
- Extended Stay America Premier Suites discloses 5 legal matters in Item 3 of its FDD. Item 3 covers the franchisor's litigation history, which is the closest thing to a public record of how it treats franchisees — read the case descriptions, not just the count.
- Is a Extended Stay America Premier Suites franchise worth it?
- It depends on the numbers, not the pitch. Extended Stay America Premier Suites scores B on disclosure honesty, carries about 10% of sales in ongoing fees, and discloses 5 legal matters. Get the real owner take-home before you sign.
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Source: WI DFI Franchise Registration (2026). FranchiseValidate is independent and not affiliated with Extended Stay America Premier Suites or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.