How much does a SureStay by Best Western franchise cost in 2026?
Last updated: By Nate Solomon, Matthews Hotel Markets
SureStay, Inc.'s disclosure document, issued February 27, 2026, estimates $176,975 to $1,221,975 to convert an existing 60-room hotel to a SureStay by Best Western, and $5,354,975 to $8,265,975 to build one. The initial fee is $35,000 plus $100 per room over 100. The monthly royalty is 4 percent and the monthly sales and marketing fee 4 percent of gross rooms revenue.[1]
Key takeaways
- Initial fee: $35,000 plus $100 per guest room over 100, with a separate $2,500 application fee that is not credited toward it.[1]
- Royalty: 4 percent of gross rooms revenue. Sales and marketing fee: 4 percent, which SureStay may change at any time.[1]
- Term: 15 years, renewing automatically for further 15-year terms unless either side gives 12 months' notice.[1]
- Item 19: SureStay makes no financial performance representation.[1]
- Fees change every year. The current FDD and the signed franchise agreement govern, not this page.
Is SureStay a franchise or a Best Western membership?
It is a franchise. The 2026 FDD is issued by SureStay, Inc., and it describes Best Western International separately as a nonprofit membership association that licenses the Best Western brands to its members.[1]
That distinction drives the paperwork. A SureStay owner signs a franchise agreement with SureStay, Inc. and pays a royalty and a sales and marketing fee as percentages of rooms revenue. Best Western's membership brands are offered under a separate disclosure document, which this site covers at the Best Western guide. The SureStay FDD covers two brands, SureStay by Best Western and SureStay Studio by Best Western, and says the typical SureStay has 60 rooms and the typical SureStay Studio 100 (Item 1, pp. 1-2; Item 5, p. 15).[1]
Three terms stand out against other franchise documents in this series. The term is 15 years and renews automatically. The conversion timetable is short: the FDD's example gives a converting hotel 90 days after signing to renovate and open. And Item 19 contains no performance figures at all (Item 5, p. 16; Item 17, p. 56; Item 19, p. 65).[1]
What does SureStay charge up front?
The 2026 SureStay FDD lists a non-refundable $35,000 initial fee, plus $100 per guest room over 100, and a separate $2,500 franchise application fee.[1]
The application fee is not credited toward any other payment. SureStay states that in its fiscal year ended November 30, 2025 it accepted reduced initial fees ranging from $14,500 to $25,000 and reduced application fees of $0 to $2,000, each the result of arms-length negotiation (Item 5, pp. 15-16).[1]
If a Best Western member asks for an impact study when the application arrives, the applicant pays a $4,000 impact study fee, refunded if the application is denied. A deadline extension is $5,000 and a pre-activation re-inspection $2,500 plus a free room night. Technology set-up includes a $1,500 installation fee for the AutoClerk Atlas property management system, about $1,500 for the Best Western two-way interface, $550 for connectivity hardware and $2,100 to $3,500 for the managed security service. Opening photography starts at $1,150 and runs up to $8,000 (Item 5, pp. 16-17).[1]
What are the ongoing SureStay franchise fees?
The 2026 Item 6 lists a 4 percent monthly royalty and a 4 percent monthly sales and marketing fee, both on gross rooms revenue.[1]
Gross rooms revenue includes revenue from loyalty point redemptions, breakfast included in the room rate and guaranteed no-show revenue, and excludes taxes collected from guests. SureStay says it may change the sales and marketing fee rate at any time without limitation, and that fees in Item 6 are subject to change (Item 6, pp. 18, 28).[1]
The Best Western Rewards fee is 5.5 percent of PRR, as the FDD abbreviates it, at a cost of $0.0055 per point with 10 points issued per revenue dollar. For SureStay Studio it is 2.75 percent, with 5 points per dollar. Global distribution system bookings are $7.90 each, third-party internet bookings $4.60, and partner bookings $1.00 to $2.00. The performance based marketing charge is 10 percent of gross rooms revenue on each reservation received from a digital opportunity (Item 6, pp. 19-20).[1]
Property management system support is $3.97 per guest room per month, including $1.45 for the guest management system. The two-way interface is $41 per month and the managed security service $130 per month. On-boarding training is $3,000, the annual quality assessment is $1,000, and the online travel agency marketing fund is $250 a year. Revenue management service is optional at $524 to $1,524 per month depending on the program and room count (Item 6, pp. 18-19, 23-24, 27).[1] These charges apply to different bases, so they cannot be added into one rate.
How much does it cost to convert to or build a SureStay?
The 2026 Item 7 estimates $176,975 to $1,221,975 to convert an existing 60-room hotel to a SureStay by Best Western.[1]
Renovation work runs from $0 to $500,000 and furniture, fixtures and equipment from $0 to $375,000, which is why the range is wide. SureStay says the low end presumes a hotel that was open and operating immediately before converting. New construction of a 60-room SureStay is estimated at $5,354,975 to $8,265,975, with construction work at $4,675,000 to $7,300,000 (Item 7, pp. 29-32, 38).[1]
For the 100-room SureStay Studio, the estimates are $243,225 to $1,433,225 for a conversion and $9,230,225 to $13,662,225 for new construction. Each table includes three months of additional funds, which the FDD says does not include debt service or lease costs. The FDD does not state a per-room total, so none is printed here (Item 7, pp. 32-35, 38).[1] Financing for this work is covered at brand conversion financing and PIP and renovation loans. The plan itself is defined at PIP.
How long is a SureStay franchise agreement, and what does leaving cost?
The SureStay term is 15 years from opening, or another term SureStay approves, and the agreement renews automatically for successive 15-year terms unless one party gives written notice at least 12 months before the term ends.[1]
Item 17 lists termination by the franchisee as not applicable, subject to state law. SureStay may terminate without cause only after a condemnation, or a casualty the owner elects not to repair, and in those cases it releases the owner from liquidated damages if the owner does not run a competitor's hotel at the site within three years (Item 17, pp. 56-57).[1]
Liquidated damages after opening are the prior 12 months of sales and marketing fees and royalty fees, divided by 12, multiplied by the lesser of 24 or the months remaining in the term. They are payable if SureStay terminates for cause or the owner terminates without cause. Before opening the figure is $1,500 for each authorized guest room. Opening without authorization costs $1,000 per day (Item 6, p. 26).[1]
What happens to the SureStay franchise when I sell the hotel?
A change of ownership needs SureStay's consent on 60 days' written notice, and the change of ownership transfer fee is the then current initial fee.[1]
The buyer must meet SureStay's requirements for new franchisees, submit a change of ownership application, pay the franchise application fee, sign the then current franchise agreement and agree to SureStay's requested upgrades, which may include a PIP fee. The seller signs a termination agreement with a general release and pays all amounts due through closing. A permitted transfer to an affiliate, family member or trust carries a $1,000 processing fee (Item 6, pp. 18-19; Item 17, pp. 61-62).[1]
The FDD lets an owner mortgage or pledge the hotel to an acquisition, development or operating lender without notice or consent if the owner is the sole borrower and the loan is not secured by other hotels. A lender comfort letter is $500 (Item 6, p. 24; Item 17, p. 62).[1] Best Western-flagged hotels on the market are listed at Best Western hotels for sale, and the flag decision is weighed at Should I buy a branded or independent hotel?.
What does Item 19 say about SureStay performance?
Nothing. The 2026 SureStay Item 19 states: "We do not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets."[1]
The FDD adds that SureStay does not authorize its employees or representatives to make such representations, and that a buyer of an existing hotel may be given that hotel's actual records (Item 19, p. 65).[1] So there is no occupancy, rate or RevPAR figure from the franchisor to quote, and this page prints none.
Item 20 does give the system count. Franchised hotels numbered 238 at the end of the 2023 fiscal year, 222 at the end of 2024 and 218 at November 30, 2025, with no company-owned hotels (Item 20, p. 66).[1] A buyer who wants performance data should ask for the subject hotel's own records and its competitive set report. The measures are defined at RevPAR and ADR.
SureStay by Best Western and SureStay Studio by Best Western franchise fees, 2026 FDD issued February 27, 2026
| Fee | Amount | Where in the FDD |
|---|---|---|
| Franchise application fee | $2,500, non-refundable, not credited toward other payments[1] | Item 5, p. 15 |
| Initial fee | $35,000 plus $100 per guest room over 100[1] | Item 5, p. 15 |
| Monthly royalty fee | 4% of gross rooms revenue[1] | Item 6, p. 18 |
| Monthly sales and marketing fee | 4% of gross rooms revenue; SureStay may change the rate at any time[1] | Item 6, pp. 18, 28 |
| Best Western Rewards fee | 5.5% of PRR (2.75% for SureStay Studio), at $0.0055 per point issued[1] | Item 6, p. 20 |
| Performance based marketing | 10% of gross rooms revenue on each reservation from a digital opportunity[1] | Item 6, p. 20 |
| GDS and third-party internet booking fees | $7.90 per GDS booking; $4.60 per third-party internet booking[1] | Item 6, pp. 19-20 |
| Property management system support | $3.97 per guest room per month, including $1.45 for the guest management system[1] | Item 6, p. 19 |
| On-boarding training | $3,000[1] | Item 6, p. 23 |
| Change of ownership transfer fee | Then current initial fee[1] | Item 6, p. 19 |
| Lender comfort letter processing fee | $500[1] | Item 6, p. 24 |
| Liquidated damages, after opening | Average monthly royalty and sales and marketing fees for the prior 12 months, times the lesser of 24 or the months remaining[1] | Item 6, p. 26 |
| Estimated initial investment, 60-room SureStay conversion | $176,975 to $1,221,975[1] | Item 7, p. 32 |
| Estimated initial investment, new 60-room SureStay | $5,354,975 to $8,265,975[1] | Item 7, p. 30 |
Worked example
Hypothetical: a year of SureStay brand fees on assumed rooms revenue
Hypothetical. Assume a 60-room SureStay by Best Western earns $1,000,000 of gross rooms revenue in a year. The revenue figure and the member share below are assumptions for arithmetic. They are not forecasts and they are not figures from the FDD.
Monthly royalty fees at 4 percent: $1,000,000 x 0.04 = $40,000.[1]
Monthly sales and marketing fees at 4 percent: $1,000,000 x 0.04 = $40,000.[1]
Together: $80,000, or 8 percent of rooms revenue.
Property management system support: 60 rooms x $3.97 = $238.20 per month, or $2,858.40 for the year. The two-way interface at $41 per month is $492, and the managed security service at $130 per month is $1,560.[1]
If Best Western Rewards members earn points on $300,000 of revenue, 10 points per dollar at $0.0055 per point is $16,500.[1]
On the same assumptions, liquidated damages with 24 or more months left would be $80,000 / 12 x 24 = $160,000.[1] Booking fees, commissions and the 10 percent performance based marketing charge come on top and depend on the hotel's booking channels, so they are not estimated here.
Frequently asked
- How much does a SureStay by Best Western franchise cost?
- The 2026 FDD lists a $35,000 initial fee plus $100 per room over 100, a $2,500 application fee, a 4 percent royalty and a 4 percent sales and marketing fee. Item 7 estimates $176,975 to $1,221,975 to convert a 60-room hotel.[1]
- Is SureStay a franchise or a membership like Best Western?
- A franchise. The franchisor is SureStay, Inc. The FDD describes Best Western International as a nonprofit membership association that offers its membership brands under a separate disclosure document.[1]
- What percent of revenue does SureStay take?
- A 4 percent royalty plus a 4 percent sales and marketing fee on gross rooms revenue. Best Western Rewards, booking fees, the 10 percent performance based marketing charge and technology fees are billed on other bases on top.[1]
- How fast do I have to convert my hotel to SureStay?
- The 2026 FDD's example timetable is 90 days after signing for a conversion and 2 years for new construction. An extension costs $5,000 if SureStay approves it.[1]
- How long is a SureStay franchise agreement?
- Fifteen years from opening, or another approved term. It renews automatically for successive 15-year terms unless either party gives written notice at least 12 months before the term ends.[1]
- Does the SureStay FDD say what a SureStay earns?
- No. Item 19 makes no financial performance representation. A buyer of an existing hotel may be given that hotel's actual records.[1]
- Will these SureStay fees be the same next year?
- Not necessarily. The FDD says fees are subject to change without limitation, and that the sales and marketing fee rate can change at any time. The current FDD and the signed agreement govern.[1]
Who wrote this
Hospitality Associate, Matthews Hotel Markets
(512) 839-6999nate.solomon@matthews.comLinkedIn
Reviewed by Luke Thompson, VP & Director, Capital Markets.
Sources
- SureStay by Best Western and SureStay Studio by Best Western Franchise Disclosure Document (issued February 27, 2026): Item 1, pp. 1-2; Item 5, pp. 15-17; Item 6, pp. 18-28; Item 7, pp. 29-38; Item 17, pp. 56-65; Item 19, p. 65; Item 20, p. 66. Minnesota CARDS document 35444-202602-05, file number 9264, Clean FDD · SureStay, Inc., filed with the Minnesota Department of Commerce · accessed September 18, 2026
- Matthews Hotel Markets September 2026 rate sheet · Matthews Hotel Markets · accessed September 18, 2026
Related
Other questions in this guide
Terms defined in the glossary
Our own data
Matthews Hotel Markets sells and finances franchised hotels, so we read these disclosure documents alongside owners and buyers.