1973
100
$4,000,000
$30,000
$7,000,000
No
HomeTowne Studios by Red Roof is redefining affordable extended-stay lodging across America. Designed for business travelers, long-term guests, and families seeking comfort and value, this franchise offers a modern take on extended-stay hospitality—combining convenience, affordability, and consistency under a trusted national brand.
As part of the Red Roof family, one of the most recognized names in the economy lodging sector, HomeTowne Studios delivers a streamlined business model backed by decades of hospitality expertise. Each property is designed to provide a home-like experience with kitchenettes, modern amenities, and flexible stay options that appeal to travelers looking for comfort without high costs.
The brand’s proven operating systems, marketing power, and reputation for guest satisfaction make it an attractive opportunity for franchisees seeking to enter or expand within the hospitality industry. Whether you’re an experienced hotel operator or an investor diversifying your portfolio, HomeTowne Studios by Red Roof offers a scalable business model with strong nationwide demand for extended-stay accommodations.
Investing in a HomeTowne Studios franchise means joining a hospitality brand with decades of experience, strong brand recognition, and a powerful customer loyalty base. Red Roof’s name is synonymous with reliability, affordability, and quality—giving franchisees immediate credibility in the marketplace.
Extended-stay lodging is one of the fastest-growing sectors in U.S. hospitality. With travelers, contractors, corporate guests, and relocating families increasingly seeking longer stays at affordable rates, this segment offers consistent occupancy and steady revenue streams throughout the year.
HomeTowne Studios stands out for its flexible property conversion options, efficient operating model, and national marketing support. Franchisees benefit from a system designed to maximize profitability with low overhead, streamlined staffing requirements, and recurring long-term guests.
Key advantages include:
Association with a nationally trusted brand (Red Roof)
Consistent demand from extended-stay travelers
Multiple development options: new builds or conversions
Low entry costs compared to traditional hotels
Comprehensive franchise support and marketing power
National booking systems and loyalty programs
Established Year: HomeTowne Studios was introduced in 2018 as part of Red Roof’s strategic expansion into the extended-stay hospitality segment.
Parent Company: Red Roof Inn, founded in 1973, has grown into a leading economy lodging brand with over 700+ properties across the United States. The HomeTowne Studios brand was created to serve guests needing longer-term lodging options—combining affordable rates with the comfort and consistency of Red Roof’s service standards.
Founders and Ownership: Red Roof is privately owned by Red Roof Franchising, LLC, headquartered in Columbus, Ohio. Its leadership team brings deep expertise in hospitality management, real estate development, and franchise operations.
Franchise Units: As of recent data, there are 100+ HomeTowne Studios locations operating across the U.S., with ongoing expansion in major markets and secondary cities.
Market Presence: The brand has established a strong foothold in both urban and suburban markets, attracting a loyal customer base that includes corporate travelers, students, medical staff, and relocation guests.
Industry Category: Hospitality, Extended-Stay Hotel Franchise
Red Roof provides one of the most comprehensive support systems in the hotel industry, ensuring every franchisee is equipped for success from day one.
Pre-Launch Support:
Detailed site selection and feasibility analysis
Architectural and design assistance for new builds or conversions
Vendor and supplier introductions for standardized equipment and furnishings
Guidance with local permits, licenses, and operational setup
Training Program:
In-depth training at Red Roof University covering daily operations, guest services, and brand standards
Online learning tools and ongoing educational programs for owners and staff
Marketing and revenue management workshops to optimize occupancy and profitability
Ongoing Support:
National marketing and PR campaigns
Access to Red Roof’s advanced reservation system and loyalty programs
Regular quality assurance visits and operational audits
Dedicated franchise operations manager for continued performance coaching
24/7 access to corporate support and field teams
This extensive network of resources ensures every HomeTowne Studios franchisee benefits from Red Roof’s decades of expertise and industry relationships.
HomeTowne Studios by Red Roof welcomes entrepreneurs who share a passion for hospitality, customer service, and long-term business growth. Ideal candidates include:
Existing hotel owners looking to convert under a recognized national brand
Real estate investors interested in high-occupancy, cash-flow-positive assets
Multi-unit franchisees seeking diversification within the hospitality industry
Professionals with operational management experience and an eye for efficiency
Franchisees should be committed to maintaining Red Roof’s high service standards and operational excellence. While previous hospitality experience is an advantage, it’s not mandatory—comprehensive training and support ensure new owners can succeed even without a hotel background.
Investment Capability:
Minimum liquid capital of $500,000+ and a net worth of $1 million or more is generally recommended. The brand is ideal for owners seeking sustainable cash flow and long-term equity growth through real estate ownership and consistent guest demand.
Preferred Locations:
High-traffic urban areas, near airports, business hubs, universities, hospitals, and major highways across the United States.
| Financial Component | Estimated Range (USD) |
|---|---|
| Total Investment Required | $4,000,000 – $7,000,000 |
| Minimum Investment Required | $4,000,000 |
| Franchise Fee | $30,000 – $45,000 |
| Royalty Fee | 5% of gross room revenue |
| Marketing Fee | 2% of gross room revenue |
| Franchise Units (Approx.) | 100+ across the USA |
| Working Capital | $250,000 – $500,000 |
| Break-Even Time | Typically 3 – 5 years |
| Expected ROI | 12% – 18% annually (depending on market) |
| Potential Revenue Streams | Room rentals, corporate bookings, long-term guests, and online travel agency partnerships |
The combination of real estate ownership, consistent guest occupancy, and an affordable operational model makes HomeTowne Studios a compelling choice for investors seeking a strong, scalable franchise in the hospitality sector.
