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Hotel franchise fees › Graduate by Hilton

Graduate by Hilton Franchise Fees 2026: Royalty, Marketing and Initial Fee

Graduate by Hilton is a lifestyle brand from Hilton. Here is what it charges to join and to stay in the system, where the numbers come from, and how they compare with similar brands.

5%Royalty
4%Marketing or program fee
9%Royalty plus marketing

Graduate by Hilton fees at a glance

Initial fee$100,000 plus $400 for each additional guest room or suite over 250 (new development or conversion)
Royalty5%
Marketing or program fee4%
Royalty plus marketing9% of rooms revenue
FranchisorHilton
SegmentLifestyle
Disclosure year2026

Source: Read in Graduate by Hilton’s 2026 Franchise Disclosure Document (FDD). Source 1

How Graduate by Hilton compares

Graduate by Hilton’s royalty and marketing fees add up to 9% of rooms revenue. That is above the 8.5% average for the 10 lifestyle brands in our table with a comparable headline figure, the highest of the 10.

Lifestyle brandFranchisorRoyaltyMarketingHeadline
Motto by HiltonHilton5%3%8%
Unscripted by HyattHyatt5%3% (Commercial Services Fee; 3.5% with more than 5,000 sq ft of meeting space)8%
TRYP by WyndhamWyndham5%3% (Marketing and Reservation Fee)8%
Hotel IndigoIHG5%3.5% (Services Contribution)8.5%
Caption by HyattHyatt5%3.5% (Commercial Services Fee)8.5%
The StandardXHyatt5%3.5% (Commercial Services Fee)8.5%
The James HotelsSonesta5%3.5% (Brand Promotion Fee; can rise to 4.5%)8.5%
Canopy by HiltonHilton5%4%9%
Tempo by HiltonHilton5%4%9%
AC HotelsMarriott6%2.5%—

What it costs on a typical hotel

Take a 100-room Graduate by Hilton running 70% occupancy at a $130 average daily rate. That is about $3,321,500 in rooms revenue a year.

Royalty (5%)$166,075 a year
Marketing (4%)$132,860 a year
Royalty plus marketing$298,935 a year

Illustrative math by The Hotelier Times, not a quote. It leaves out reservation, loyalty, technology and other program fees, which usually push the real total higher.

What the headline number leaves out

Royalty and marketing are only the start. Most brands also charge for reservations and distribution, loyalty-program assessments on member stays, required technology and property-management systems, training and quality assurance. Brands also negotiate: ramp-up royalty discounts, key money and conversion incentives are common. Ask Hilton for its estimate of total fees as a share of rooms revenue, and read Items 5 and 6 of the current FDD before you sign. Our analysis of what owners really pay a brand puts the typical all-in bill at 10% to 13% of rooms revenue.

Other Hilton brands

Hampton by Hilton · Hilton Garden Inn · Home2 Suites by Hilton · Tru by Hilton · Homewood Suites by Hilton · DoubleTree by Hilton · Embassy Suites by Hilton · Hilton Hotels & Resorts · Curio Collection by Hilton · Tapestry Collection by Hilton · Canopy by Hilton · Motto by Hilton · Spark by Hilton · LivSmart Studios by Hilton · Tempo by Hilton · LXR Hotels & Resorts · Outset Collection by Hilton · Apartment Collection by Hilton · Undergraduate by Hilton

Keep going

The Hotelier Times is a publisher, not a franchise adviser. Fees change; confirm every figure in the brand’s current Franchise Disclosure Document. Spot an error? Email nathan@hoteliertimes.com.

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