About St. Regis Residences Franchise
St.
Regis Residences is a luxury branded residential franchise operated under the Marriott International, Inc.
portfolio.
St. Regis Residences Franchise Cost & Fees
Minimum Investment
$805K
Average Investment
$3.3M
Maximum Investment
$5.7M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $100,000 to $1,000,000 | One-time payment upon signing |
| Royalty Fee | 6% of the aggregate Residential Gross Revenues of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | None | National brand fund |
| Total Investment Range | $805,000 – $5,745,000 | Includes build-out, inventory, working capital |
The investment range of $805K–$5.7M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of the aggregate Residential Gross Revenues) and marketing fee (None) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Technical Services Fee | $150,000 | $1,000,000 |
| Brand Commitment Fee | $100,000 | $1,000,000 |
| Insurance | $0 | $0 |
| Sales Office | $350,000 | $2,000,000 |
| Licensor Office Space | $25,000 | $50,000 |
| Initial Training | $10,000 | $20,000 |
| Operating Supplies | $15,000 | $25,000 |
| Start-Up Costs | $100,000 | $1,500,000 |
| Advertising | $0 | $0 |
| Market Study | $30,000 | $100,000 |
| Additional Funds (first 3 months) | $25,000 | $50,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | None |
| Renewal Fee | None |
| Technology Fee | None |
| Audit Fee | None |
| Construction Defects Reserve | 1% of the Residential Gross Revenues of each Unit |
| Default Fees | $10,000 for the first default, $20,000 for the second default, and $30,000 for each additional default |
| Indemnification/Contribution | Will vary under the circumstances |
| Attorneys’ Fees and Costs | Will vary under the circumstances |
| Additional Compensation | Will vary under the circumstances |
| Ongoing Training | Will vary under the circumstances |
| Management Fee | For the 1st year, the greater of 10% of the 1st year budget for the Residential Condominium or $2,300 (in 2025 dollars) per unit; thereafter, 10% of the annual budget for the Residential Condominium, but no less than the Minimum Fee increased in each subsequent year by 5% |
| Residential Program and Service Bundle | $144 per year per unit sold with an annual cap of $25,000 |
| Advances and Reimbursements | All costs and expenses Condominium Manager incurs in providing the Management Services |
| Manager Personnel Wages | Will vary under the circumstances |
| Indemnification (Management Agreement) | Will vary under the circumstances |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Initial training course and periodic (not more frequent than annual) update courses. |
| Classroom Training | Trademark and Graphics: 2 hours; Initial Brand Orientation: 6 hours |
| On-the-Job Training | Trademark and Graphics: 0 hours; Initial Brand Orientation: 0 hours |
| Training Location | Trademark and Graphics: By Telephone; Initial Brand Orientation: Your Site or Marriott Headquarters |
| Additional Training | Franchisor may require annual re-training for agents, employees, salespersons, and other entities responsible for offering and selling Units. Franchisees must provide initial training materials to new marketing team members. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Limited restricted territory |
| Exclusive Territory | No |
| Territory Size | Varies by market |
| Description | Franchisees will not receive an exclusive territory. A limited restricted territory may be granted, where the franchisor agrees not to open or authorize other luxury residential projects under the Marks for 2-3 years or until 85% of units are under contract. This restricted territory does not apply to hotels, overnight lodging, timeshare/vacation club products (including St. Regis Residences Club), or mixed-use developments where St. Regis branded units are 35 or fewer and represent less than 35% of combined Destination Club Units and St. Regis branded units. The franchisor and its affiliates retain the right to develop, operate, franchise, or manage other residential condominiums or lodging products at any location, including those adjacent to the franchisee's project. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | Earlier of (i) the fifth anniversary of the Effective Date or (ii) the sale and closing of all Residential Units. |
| Renewal Term | None |
| Renewal Fee | None |
| Renewal Conditions | The License Agreement and Management Agreement are not renewable, and there is no expectation of additional rights to operate the Licensed Business using the brand after expiration. |
| Transfer Fee | None |
| Transfer Conditions | No transfer may occur without franchisor's prior approval, which may be withheld for any reason. Franchisor may condition a transfer for any reason. |
| Termination for Cause | Franchisor can terminate with 30 days' notice if franchisee fails to close and fund construction loan by first anniversary, fails to enter signed contracts for 50% of units annually, or fails to begin construction by the set date. Termination can also occur if a circumstance or event adversely reflects on the MI Trademarks and is not cured within 30 days. Immediate termination is possible if the Management Agreement terminates or the Residential Condominium Association fails to execute it. |
| Non-Compete Period | None |
| Non-Compete Details | No non-competition covenants are specified during or after the term of the franchise. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The franchisee must participate in the operation of the Licensed Business and maintain ownership and control of all its components. If the franchisee lacks satisfactory in-house sales experience, they must engage a franchisor-approved third-party marketing and sales team with experience in luxury residential projects. If they have in-house experience, they must retain an in-house sales manager and marketing manager, subject to franchisor approval for selection and replacement. The marketing and sales teams must complete initial and any required additional training. Franchisee principals may be required to sign a guaranty of obligations. |
| Required Suppliers | Franchisees must use only FF&E, supplies, and other goods and services that conform to franchisor's Standards and specifications. If approved suppliers exist, items must be obtained from them. The franchisor may designate itself, an affiliate, or a third party as the exclusive source for any particular item. The Residential Condominium Association must enter into a Management Agreement with Condominium Manager (an affiliate of the franchisor). Franchisees must use franchisor-approved forms of sales contracts or purchase agreements. If sales are below projection, franchisees may be required to engage a nationally-recognized market research firm for a market analysis. |
| Supply Restrictions | Franchisor may modify Standards and specifications at its sole discretion. Franchisor may change the number of approved suppliers at any time and may designate itself, an affiliate, or a third party as the exclusive source for any particular item. Franchisees must obtain items from approved suppliers if they exist. Franchisees must use franchisor-approved sales contract forms. Franchisees may be required to conduct market analyses if sales targets are not met. |
| Franchisor Revenue from Suppliers | Franchisor or its affiliates may receive rebates from approved or designated sources. In 2024, sponsorship contributions of $53,000 were received from vendors to sponsor meetings and events. Neither the franchisor nor its affiliates received any revenue from the sale of products or services to licensees or payments from designated sources in the last fiscal year from transactions with licensees. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Neither the franchisor nor any agent or affiliate offers direct or indirect financing, nor do they guarantee the franchisee's note, lease, or obligations. |
St. Regis Residences Franchise Earnings — Item 19
St. Regis Residences does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
St. Regis Residences does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
St. Regis Residences Litigation & Risk Flags
7 Pending Actions ListedReview the full FDD for details on pending litigation.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
St. Regis Residences System Growth
Total Units
11
Franchised
11
Company-Owned
0
St. Regis Residences currently operates 11 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 1 | 0 | 11 |
| 2023 | 2 | 0 | 13 |
| 2024 | 1 | 3 | 11 |
Transfers: 0 | Closures: 3
State Registrations
Registered in 3 states: HI, IL, NY
Franchisor Financials (Item 21)
Revenue
$103K
Net Income
$64K
Total Assets
$477K
Audited by Ernst & Young LLP for year ending December 31.
St. Regis Residences Franchise — FAQ
The total investment to open a St. Regis Residences franchise ranges from $805,000 to $5,745,000, per their Franchise Disclosure Document. This includes the initial franchise fee of $100,000 to $1,000,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
St. Regis Residences charges a royalty fee of 6% of the aggregate Residential Gross Revenues of gross sales, plus a None contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the St. Regis Residences Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from St. Regis Residences to ensure you have the most up-to-date version.
St. Regis Residences does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
St. Regis Residences has been franchising since 2020. The FDD shows an investment range of $805,000-$5,745,000, a 6% of the aggregate Residential Gross Revenues royalty, and no Item 19 earnings disclosure. There are 7 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $100,000 to $1,000,000 and the total investment ranges from $805,000 to $5,745,000 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from St. Regis Residences and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with St. Regis Residences or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com