2011
7
$3,100,000
Inquire
$19,500,000
No
Centerstone Hotels is a nationally recognized hotel franchise offering a unique blend of affordability, quality, and flexibility in the lodging industry. With a focus on providing clean and comfortable accommodations, Centerstone Hotels caters to both business and leisure travelers. Each hotel is individually owned and operated, ensuring personalized service and community engagement.
The brand operates under the umbrella of Vimana Franchise Systems LLC, led by industry veteran Steven Belmonte. Centerstone Hotels is part of a diverse portfolio that includes Centerstone Inns and Plaza Hotels, as well as Key West Inns, Hotels, and Resorts. This structure allows for a range of options to suit various market segments, from economy to upper mid-tier.
Centerstone Hotels stands out in the industry for its commitment to franchisee success. The company offers a flexible business model with low franchise fees and minimal operational mandates, empowering owners to make decisions that best suit their local markets. This approach fosters a strong sense of ownership and community involvement, leading to high guest satisfaction and repeat business.
Established Year:
Centerstone Hotels was founded in 2011 by Steven Belmonte, the CEO of Vimana Franchise Systems LLC, an experienced hospitality entrepreneur. The brand was created to provide a flexible, affordable hotel franchising model that empowers individual owners while maintaining quality service standards.
Franchise Units:
As of the latest available data (2017), Centerstone Hotels operates 7 franchised properties across the United States. These include a mix of newly constructed hotels and converted properties, providing opportunities for both new entrants and experienced operators.
Founders and Leadership:
Founder & CEO: Steven Belmonte
Ownership: Operates under Vimana Franchise Systems LLC
Brand Journey and Company History:
Centerstone Hotels emerged from Belmonte’s experience in managing hotel brands such as Lexington Collection.
The company focuses on flexible franchising, allowing operators to adapt to their local markets while maintaining consistent brand quality.
Over the years, the brand expanded to include Centerstone Inns, Plaza Hotels, and partnerships with Key West Inns, Hotels, and Resorts, creating a diverse portfolio catering to different market segments.
Ownership:
Privately owned under Vimana Franchise Systems LLC, providing centralized support while encouraging entrepreneurial autonomy for franchisees.
Market Presence in the USA:
Centerstone Hotels operates in multiple U.S. states, targeting both urban and suburban locations with high demand for quality lodging. The brand’s flexibility allows it to penetrate markets underserved by traditional hotel chains.
Industry Category:
Lodging / Hotel Franchising
Other Information:
The brand emphasizes low franchise fees and royalty rates (approx. 2.6% of gross room revenue), making it highly attractive to investors.
Centerstone Hotels provides ongoing operational, marketing, and training support to ensure franchise success.
The flexible model allows franchisees to customize operations, suppliers, and services to meet local market demands, fostering strong community engagement and high guest satisfaction.
Centerstone Hotels offers comprehensive support to its franchisees, including:
Pre-Launch Assistance: Guidance in site selection, design, and construction to ensure brand standards are met.
Operational Training: Programs covering hotel management, guest services, and daily operations to ensure smooth business operations.
Marketing Support: Access to national advertising campaigns, digital marketing strategies, and promotional materials to drive bookings.
Ongoing Support: Regular communication from the corporate team, including updates on industry trends, operational best practices, and new initiatives.
Technology Tools: Provision of property management systems and other technological tools to streamline operations and enhance guest experience.
The ideal franchisee for Centerstone Hotels is an entrepreneur or investor with a passion for the hospitality industry, strong business acumen, and the financial capacity to operate a hotel business. The brand is designed to attract operators who want flexibility, independence, and support from a national franchisor.
1. Business and Hospitality Experience:
Prior experience in hotel management, hospitality, or business operations is highly beneficial.
Knowledge of staffing, guest services, operations, and revenue management improves chances of success.
2. Financial Capability:
Ability to invest between $3.1 million and $19.5 million, depending on location, property type, and scale.
Access to sufficient working capital to cover operational costs, staffing, and marketing during the initial launch period.
3. Entrepreneurial Mindset:
Willingness to embrace a flexible business model, making operational and supplier decisions based on the local market.
Ability to identify market opportunities, drive revenue growth, and innovate within the brand guidelines.
4. Leadership and Management Skills:
Ability to recruit, train, and manage a hotel team effectively.
Strong leadership ensures high service standards, operational efficiency, and guest satisfaction.
5. Community Engagement Orientation:
Commitment to integrating the hotel into the local community, creating partnerships, and attracting loyal customers.
Focus on providing personalized guest experiences that encourage repeat bookings and positive reviews.
6. Location Preference:
Urban or suburban markets with steady travel demand.
Areas underserved by existing hotel chains are ideal for maximizing occupancy and ROI.
7. Commitment to Brand Standards:
Adherence to Centerstone Hotels’ quality, cleanliness, and guest service standards while maintaining flexibility for local operations.
Emphasis on maintaining the brand reputation and delivering a consistent guest experience.
| Financial Item | Estimated Range / Details |
|---|---|
| Total Investment Required | $3.1 million – $19.5 million |
| Minimum Investment Required | $3.1 million |
| Franchise Fee | Approximately 2.6% of gross room revenue |
| Franchise Units | 7 units (as of 2017) |
| Infrastructure / Facility Cost | Varies based on property size, location, and construction type (new construction vs conversion) |
| Marketing Budget | Included in franchise fee; additional local marketing may range $10,000 – $50,000 |
| Working Capital | Estimated $50,000 – $500,000 (staffing, operations, supplies) |
| Royalty Fees | 2.6% of gross room revenue |
| Expected ROI | Varies by location and management; generally 10% – 20% annual ROI |
| Break-Even Time | Typically 2–3 years |
| Potential Revenue Streams | Room bookings, event hosting, food & beverage, spa/amenity services, conference rentals |
