Choice Hotels International is teaming up with Access Point Financial to find financing for qualified franchisees to conduct a modernized redesign of its hotel rooms. The program is brand new.
"As far as how many franchisees are looking for financing, it’s really too early to tell since the program was just launched (in late August)," says Choice Hotels Spokeswoman Heather Soule. "We have had broad franchisee interest in this type of offering, which is why we developed the program."
Franchisees are having a hard time finding financing for Sleep Inn’s "Designed to Dream" renovation program. Started in 2010, the program calls for a redesign of guestrooms to include black-and-white nature photography; contemporary bedding with bed scarves; redesigned lobby with modern lighting, natural finishes and a large accent wall.
The Sleep Inn redesigns are necessary to stay competitive for its main customer—the road-weary traveler looking for a place to sleep.
The initial phase of the partnership will focus on creating lending programs to land renovation loans. Access Point Financial CEO Jon Wright says his company was selected because it can "reliably underwrite loans, provide high-quality loan servicing and maximize distribution opportunities in the capital markets."
Choice Hotels International franchises more than 6,100 hotels in the United States and more than 30 other countries and territories. As of June 30, more than 450 hotels were under construction, awaiting conversion or approved for development in the United States, according to the company.
