How much does a La Quinta franchise cost in 2026?
La Quinta Franchising LLC discloses separate U.S. investment ranges for three materially different hotel projects. A 110-room new-construction La Quinta Inn & Suites requires an estimated $13,063,365 to $18,217,394. A 100-room conversion requires $1,670,705 to $7,399,531, assuming the franchisee already owns the hotel. A 103-room La Quinta and Hawthorn dual-brand new build is estimated at $14,445,089 to $19,896,600.
New construction: $13.06 million–$18.22 million for 110 rooms.
Conversion: $1.67 million–$7.40 million for 100 rooms.
Dual brand: $14.45 million–$19.90 million for 103 rooms, including 73 La Quinta rooms and 30 Hawthorn rooms.
Source: 2026 Franchise Disclosure Document, Item 7, pp. 42–50. Land acquisition and site-preparation costs are excluded from the new-construction totals; the conversion range excludes the cost of purchasing or leasing the real estate.
- Legal franchisor
- La Quinta Franchising LLC, a Nevada limited liability company and subsidiary of Wyndham Hotel Group, LLC.
- Disclosure basis
- Franchise Disclosure Document issued March 31, 2026; Items 5, 6, 7, 8, 10, 11 and 17.
- Formats covered
- 110-room new construction, 100-room conversion, and a 103-room La Quinta/Hawthorn dual-brand prototype.
- Public verification
- The official La Quinta development page lists new construction and high-quality conversions and identifies the March 31, 2026 FDD. No matching public FDD file was found on an official franchise-controlled domain.
- Information checked
- July 21, 2026.
Key cost figures
Each bar starts at the disclosed low estimate and ends at the disclosed high estimate on a $0–$20 million scale.
Official figures. Source: 2026 FDD, Item 7, pp. 42–50. The formats are not interchangeable: the conversion assumes an existing hotel, while the new-build totals exclude land.
What is included in the La Quinta initial investment?
The 2026 Item 7 totals include the Initial Fee, design and construction or renovation work, technology, Property Management System setup, Furniture, Fixtures and Equipment, signage, Opening Inventory, insurance, training, opening advertising and three months of Additional Funds. The cost categories differ by project type, so each format must be budgeted separately.
Costs shared by the new-build and conversion tables
| Item 7 category | 110-room new build | 100-room conversion | Payment timing |
|---|---|---|---|
| Initial Fee, including Application Fee | $60,500 | $55,000 | $5,000 with application; balance at Franchise Agreement signing |
| Photos | $2,750–$4,950 | $2,750–$4,950 | After opening |
| Training Tuition | $5,700–$7,200 | $5,700–$7,200 | After opening |
| Training Expenses | $3,200–$5,500 | $3,200–$5,500 | Third-party travel before opening; franchisor charges after opening |
| Market Study | $5,000–$15,000 | $5,000–$15,000 | Before construction or renovation if obtained or required |
| Property Management Set-Up and Installation | $6,000–$29,300 | $6,000–$29,300 | At least 30 days before opening |
| Signage | $45,000–$100,000 | $45,000–$100,000 | Before opening |
| Grand Opening Advertising | $3,000–$200,000 | $3,000–$200,000 | Before opening; range assumes at least a six-month digital campaign |
| Additional Funds for three-month initial period | $153,783–$219,378 | $147,375–$212,970 | As incurred after opening |
Source: 2026 FDD, Item 7, pp. 43–50. Additional Funds include labor costs and Recurring Fees, but exclude debt service and rent.
New-construction premises and asset costs
| 110-room new-build category | Low | High | What drives the range |
|---|---|---|---|
| Development Open House Fee | $1,499 | $1,499 | Required in-person event within six months of signing |
| Architecture, Design and Engineering; environmental, permits, licenses and deposits | $275,000 | $1,500,000 | Local codes, professional services and utility deposits; certain impact and civil-site fees are excluded |
| Facility Construction | $10,376,800 | $13,415,000 | Materials, labor, construction type, local code and location |
| Construction Contingency | $518,840 | $670,750 | Calculated as 5% of Facility Construction |
| Technology Systems | $76,145 | $78,145 | Internet, telephone, television and PMS-operating equipment |
| Furniture, Fixtures and Equipment | $986,552 | $1,189,460 | Approved interior package and procurement fees; tax, freight and installation excluded |
| Opening Inventory and OS&E | $411,107 | $414,789 | Required operating supplies plus optional quantities; tax and freight excluded |
| Insurance | $30,000 | $120,000 | Location, size, history and coverage; several policies are excluded from the estimate |
| Pre-Opening Wages | $83,293 | $148,888 | Employees and contractors before opening |
| Miscellaneous Non-Tangible Asset Costs | $19,196 | $37,035 | Legal, accounting, licensing, banking and back-office startup costs |
| Total Estimated Initial Investment | $13,063,365 | $18,217,394 | Land and site preparation are not included |
Conversion premises and asset costs
| 100-room conversion category | Low | High | What drives the range |
|---|---|---|---|
| Architecture, Design and Engineering; environmental, permits, licenses and deposits | $50,000 | $350,000 | Existing condition versus comprehensive renovation and local requirements |
| Facility Improvements | $375,000 | $4,535,000 | Condition of exterior, public areas, rooms and building systems |
| Conversion Contingency | $18,750 | $226,750 | Calculated as 5% of Facility Improvements |
| Technology Systems | $1,500 | $71,632 | Reuse of compliant systems versus replacement of internet, phone, television and PMS equipment |
| Furniture, Fixtures and Equipment | $908,967 | $1,081,328 | Existing FF&E condition and approved design package; tax, freight and installation excluded |
| Opening Inventory and OS&E | $11,086 | $381,935 | Limited replacement of brand items versus full replacement and optional quantities |
| Insurance | $25,000 | $100,000 | Property, location, loss history and required coverage |
| Miscellaneous Non-Tangible Asset Costs | $7,377 | $22,966 | Legal, accounting, licensing, banking and startup systems |
| Total Estimated Initial Investment | $1,670,705 | $7,399,531 | Assumes the franchisee already owns the hotel; acquisition or lease cost is excluded |
Bars show the difference between each category's official high and low estimate. This is a derived calculation, not a franchisor forecast.
Derived from official endpoints in the 2026 FDD, Item 7, pp. 47–50. The calculation is high estimate minus low estimate for each category. The largest uncertainty is the Property Improvement Plan and physical condition of the existing hotel.
La Quinta/Hawthorn dual-brand cost contract
The FDD separately estimates a 103-room dual-brand new build at $14,445,089 to $19,896,600. It is not a blended average of the single-brand ranges. The prototype combines 73 La Quinta rooms and 30 Hawthorn rooms, with shared and brand-specific costs governed by both franchise agreements. The official dual-brand development page describes the shared prototype.
Source: 2026 FDD, Item 7, p. 46, footnote 20.
When is the money paid?
The cash requirement is staged. The Application Fee is paid first, the remaining Initial Fee is normally paid at signing, most construction and procurement costs are paid as incurred before opening, PMS setup is due at least 30 days before opening, and several training, photography and working-capital costs continue into the first three operating months.
- Franchise Application: pay the non-refundable $5,000 Application Fee. If La Quinta approves the application, it credits this amount toward the Initial Fee.
- Franchise Agreement: pay the balance of the Initial Fee, calculated as the greater of $55,000 or $550 per guest room. A discretionary short-term Initial Fee deferral may be documented by an Initial Fee Note.
- Design, construction or conversion: fund professional fees, construction or Facility Improvements, contingency, FF&E, technology, signage, insurance, Opening Inventory, wages and advertising as incurred.
- At least 30 days before opening: pay $6,000 for SynXis setup or $15,550–$29,300 for OPERA setup, plus applicable interface costs. New-build franchisees also pay the $1,499 Development Open House Fee before opening.
- Opening and first three months: pay photography, training-related charges, Recurring Fees, labor and other expenses included in Additional Funds. These amounts are already inside the Item 7 totals.
The official new-hotel construction page and hotel franchise cost guidance provide public context on construction, conversion, FF&E and FDD review, but the binding payment amounts and deadlines remain those in the current FDD and agreements.
Which La Quinta fees continue after opening?
The principal continuing charges are the Royalty Fee and System Assessment Fee, both based on Gross Room Revenues. La Quinta also requires or may require revenue-management, remote-sales, booking-distribution, loyalty, technology, training and conference charges. Percentage fees must be read with their exact disclosed basis; they cannot be converted into a reliable annual dollar amount without hotel-specific revenue data.
Core system, revenue-management and technology fees
| Fee | Amount or basis | Timing | When it applies |
|---|---|---|---|
| Royalty Fee | 5.5% of GRR, then 6.0% | Monthly by the third day after the month in which GRR accrues | 5.5% through the first 24 full calendar months; 6.0% for the remainder of the term |
| System Assessment Fee | 3.5% of GRR | Same as Royalty Fee | Funds marketing, reservations, training and other system services; subject to change on notice |
| Wyndham Connect Plus Fee | 3.5% of GRR for each WCP reservation | When invoiced | Required participation |
| Standard RMS Fee | 0.75% of GRR; $645–$1,395 monthly floor/ceiling | Invoice terms or 15 days after receipt | Minimum required revenue-management level unless alternate criteria are met |
| Premium RMS Fee | 1% of GRR; $1,450–$2,450 monthly, or $3,500 at stated GRR threshold | Invoice terms or 15 days after receipt | Optional unless occupancy trigger requires participation |
| Premium Plus RMS Fee | $5,425/month | Invoice terms or 15 days after receipt | Optional specialized service |
| Remote Sales Service | $1,500/month | When invoiced | Required unless alternate System Standards criteria are met |
| PMS Monthly Support and Service | $734–$1,050/month, or $13.25/room/month for OPERA Premium | Monthly | Depends on PMS level and room count |
| Mobile Operations Program | $0.60/guest room/month | Monthly | Currently mandated for all facilities |
Booking, distribution, loyalty and required participation fees
| Fee | Disclosed basis | Trigger | FDD context |
|---|---|---|---|
| GDS Fee | $7.85/reservation | Global Distribution System booking | Third-party vendor and service costs |
| Third Party Channel Fee | $2.60/reservation | Partner-channel booking | Processed through the distribution platform |
| Internet Booking Fee | $2.60/reservation | Alternate distribution system booking | Subject to modification with channel costs |
| Agency Commissions | Up to 20% of GRR | Qualifying consumed agency reservations | Plus a 1.5% service charge on commissionable revenue for specified activity |
| Digital Pay-For-Performance Commission | Currently 7%; up to 10% of GRR | Consumed reservations generated through designated digital sources | Required and additional to other booking fees |
| Member Benefits Commissions | Up to 10% of GRR | Reservations through member-benefit programs | Plus a 1.5% service charge on commissionable revenue |
| Loyalty Program Charge | 4.25%–5.5% of amounts on which members earn points | Eligible Wyndham Rewards member stays | Rate varies under the disclosed Loyalty Metric |
| Continuing Education and Chain Conference | $1,200/year; $2,000 first attendee and $1,750 each additional attendee | Annual education access and conference cycle | Conference is approximately every 18–24 months and attendance is required |
Source: 2026 FDD, Item 6, pp. 28–42. “GRR” means Gross Room Revenues as defined in Item 6, including guest-room rental revenue and specified meeting-room revenue, with stated exclusions.
Which costs depend on events, property condition or non-compliance?
Several material charges do not apply to every owner at opening. They arise from a transfer, renewal application, room addition, custom design, delayed opening, failed inspection, late payment, default, termination or failure to de-identify the property.
- Transfer or renewal: the current Relicense Fee is the greater of $55,000 or $550 per room, plus the Application Fee unless the disclosed administrative assignment rule applies. The franchisor may negotiate a lower amount in some circumstances.
- Administrative assignment: $30,000 including the Application Fee for an approved affiliated-entity assignment; $7,500 including the Application Fee for an approved assignment to a financial institution or court-appointed receiver.
- Added guest rooms: currently $550 for each additional room, payable when the addition is approved.
- Custom design or post-opening PIP preparation: currently up to $6,000 for Custom Interior Design Review and $2,500 per PIP request prepared after opening.
- Opening deadline extension: $10,000 if assessed for a new construction or conversion project.
- Failed inspection: $3,000–$5,500 per reinspection, plus inspector travel, lodging and meal expenses.
- Late payment or system suspension: interest at the lesser of 1.5% per month or the legal maximum; a $5,000 Reconnection Fee may apply to restore Central Reservation System service.
- Early termination: Liquidated Damages can be based on a per-room minimum or a multiple of average Royalty and System Assessment Fees. Before opening or before the first anniversary, the disclosed minimum formula is the greater of $250,000 or $2,500 per authorized room, subject to the agreement and dual-brand rules.
- Failure to de-identify: $2,000 per day until the property meets de-identification requirements, plus the cost of franchisor action.
Source: 2026 FDD, Items 5, 6 and 17, pp. 25–42 and 78–84. Other smaller or circumstance-specific charges include photography additions, training no-show charges, remedial and product-quality training, Regional Meeting expenses, returned or paper check fees, audit costs, comfort-letter fees, complaint-resolution costs and indemnification or dispute expenses.
Does La Quinta disclose liquid-capital or net-worth requirements?
No fixed brand-wide Liquid Capital, Net Worth or Non-Borrowed Funds minimum appears in the 2026 FDD's cost and financing disclosures. That does not mean the franchisor will approve an undercapitalized applicant. The Franchise Application, site, financing plan, equity investment and credit review remain part of approval and any Development Incentive decision.
What financing does Item 10 disclose?
Item 10 states that La Quinta generally does not offer financing except for specific discretionary arrangements. It may defer some or all of the Initial Fee, usually for approximately 90 days or until opening, through an Initial Fee Note. It may also offer a Development Incentive loan for a new construction or conversion project. The incentive is typically funded shortly after opening and forgiven over the Franchise Agreement term, but the unamortized balance becomes repayable after an early transfer or termination, with a 10% Development Incentive Acceleration Fee.
The Women Own the Room program has a disclosed target Development Incentive of $2,500 per guest room, capped at 50% of the franchisee's equity investment, subject to qualification and La Quinta's discretion. BOLD support may include a Development Incentive but does not publish one fixed amount. Official supplemental descriptions are available on the Women Own the Room program page and the BOLD program page.
Wyndham also announced a relationship with Lafayette Square intended to connect qualified diverse hotel owners with external financing. That official financing announcement is supplemental company information, not a guarantee of approval and not a replacement for the La Quinta Item 10 terms.
Which costs are not fully resolved by the official ranges?
The disclosed totals leave several major variables outside the range or dependent on local facts. A buyer should not treat the Item 7 high estimate as a guaranteed maximum.
- Land and site preparation: excluded from the new-construction range. The table also excludes certain impact fees, site evaluation fees, geotechnical reports and civil engineering charges.
- Hotel acquisition or lease: excluded from the conversion range, which assumes the franchisee already owns the Facility.
- FF&E and OS&E add-ons: taxes, freight and some installation costs are excluded and must be confirmed before purchasing.
- Insurance gaps: Item 7 does not include workers' compensation, employer's liability, business interruption and certain other policies, even though Item 8 describes required insurance coverage.
- Additional Funds limits: the three-month estimate includes labor and Recurring Fees but excludes rent and debt service.
- PMS interfaces and upgrades: optional or required OPERA interfaces can add $525–$3,050 each, including the disclosed mandatory $750 RevIQ interface; an existing hotel may need a system upgrade or replacement.
- Conversion condition: obtain the Property Improvement Plan and reconcile each required improvement against the conversion table before relying on the low end.
- Current disclosure: request the most recent FDD and any updates before signing or paying. The FTC's franchise buying guide explains the federal 14-calendar-day disclosure period and the importance of reviewing updates.
What capital distinction matters most?
The central distinction is between the Total Estimated Initial Investment, the Initial Fee and the applicant's actual financing capacity. For La Quinta, the total project range is driven primarily by hotel format, real estate responsibility and the condition of the physical asset—not by the franchise fee alone. The 2026 FDD includes three months of Additional Funds inside Item 7, but it excludes land from new construction, acquisition or lease cost from conversions, and rent and debt service from Additional Funds.
A prospective franchisee should therefore verify the exact format, room count, Property Improvement Plan, site and real-estate costs, PMS configuration, supplier quotations, insurance package and financing conditions before treating any disclosed range endpoint as the available cash requirement.