About GuestHouse Franchise
GuestHouse is a hotel franchise brand operating under the Sonesta hospitality family, offering comfortable accommodations for both business and leisure travelers.
The brand is positioned in the midscale hotel segment, providing guests with a welcoming, home away from home experience that emphasizes value, cleanliness, and friendly service.
The franchise fee for a GuestHouse property is $20,000.
GuestHouse Franchise Cost & Fees
Minimum Investment
$579K
Average Investment
$3.9M
Maximum Investment
$7.3M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $20,000 | One-time payment upon signing |
| Royalty Fee | N/A | Ongoing; paid monthly |
| Total Investment Range | $579,445 – $7,263,245 | Includes build-out, inventory, working capital |
The investment range of $579K–$7.3M reflects variability in build-out costs, store size, lease terms, and market.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Fee (Note 2) | $21,500 | $21,500 |
| Onboarding Administration Fee | $1,000 | $1,000 |
| System Installation Fee | $13,000 | $27,000 |
| PIP Fee (Note 3) | $0 | $1,000 |
| PMS Interface and Tokenization Set Up Fee (Note 4) | $445 | $445 |
| Market Study (Note 5) | $0 | $7,500 |
| Permits, Licenses, Plans, Etc. | $135,000 | $290,000 |
| Construction Costs | $2,250,000 | $4,800,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $1,000 |
| Technology Fee | $2,000 |
| Brand Fee | $60 |
| Operations Insights Fee | $69.50 |
| Brand Conference Fee | $100 |
| PMS-to-CRS Enhanced Connectivity Fee with HAPI | $99 |
| Brand Training Fee | $1,500 |
| In-Person Ongoing Training Fee | $1,000 |
| Subsequent Onboarding Administration Fee in connection with change of ownership | $1,000 |
| Late Payment Charge | The lesser of (a) 1.5% of the overdue amount or (b) the maximum rate allowed by |
| Reactivation Fee | $2,000 |
| Guest Relations Program Fee | $25 |
| Online Review Response Program Fee | $39 |
| Accelerated Property Experience (“APEx”) Fee | $1,000 |
| Liquidated Damages for Unauthorized Opening | $5,000 |
| Pre-Opening Termination Fee | $1,200 |
| Public Relations & Crisis Management | $1,000 |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | exclusive |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Renewal Term | The Franchise Agreement is non-renewable. |
GuestHouse Franchise Earnings — Item 19
GuestHouse does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
GuestHouse does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
GuestHouse Litigation & Risk Flags
Clean Litigation RecordGuestHouse has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
GuestHouse System Growth
Total Units
19
Franchised
19
Company-Owned
0
GuestHouse currently operates 19 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 19 | ||
| 2020 | 16 |
GuestHouse Franchise — FAQ
The total investment to open a GuestHouse franchise ranges from $579,445 to $7,263,245, per their Franchise Disclosure Document. This includes the initial franchise fee of $20,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
GuestHouse charges a royalty fee of N/A of gross sales. These fees are paid on an ongoing basis.
You can download the GuestHouse Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from GuestHouse to ensure you have the most up-to-date version.
GuestHouse does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
GuestHouse has been offering franchise opportunities. The FDD shows an investment range of $579,445-$7,263,245, a N/A royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $20,000 and the total investment ranges from $579,445 to $7,263,245 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from GuestHouse and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with GuestHouse or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com