Hospitality Experience
Franchise Agreement Renegotiations for Park Inn Hotels
Horwath HTL was instructed on the Renegotiation of a Franchise Agreement for three Park Inn Hotels in Hungary.
Project Scope
Our firm was retained to oversee the renegotiation of franchise agreements for three Park Inn hotels located in key regional markets. These agreements required revision to reflect evolving market dynamics, operational objectives, and the long-term interests of the property owners. Leveraging our expertise in franchise negotiations, we aimed to secure updated terms that balanced brand standards with the specific needs of the hotels.
The process began with a detailed review of the existing franchise agreements, including financial terms, performance obligations, and brand requirements. We conducted a benchmarking exercise to assess how the agreements compared with industry standards and the performance metrics of similar properties. This analysis allowed us to identify areas where renegotiation could deliver greater flexibility and improved value for the owners.
We facilitated comprehensive discussions with the franchisor, focusing on key terms such as fee structures, marketing contributions, performance thresholds, and termination provisions. A central goal was to negotiate terms that aligned with the operational realities of the hotels while preserving the integrity and benefits of the Park Inn brand. Throughout the negotiations, we worked to ensure clear communication between all parties and to address potential areas of conflict proactively.
The renegotiated agreements provided more favourable financial terms, clarified performance expectations, and introduced mechanisms for ongoing review to adapt to future market changes. These improvements not only enhanced the financial viability of the properties but also strengthened their relationship with the franchisor.
By providing strategic guidance and thorough contract management, we delivered agreements that supported the long-term success of the three Park Inn hotels while maintaining alignment with brand standards and operational goals.
Τοποθεσία του έργου
Zalakaros, Sárvár, Budapest, Hungary
