Howard Johnson

Howard Johnson

Information based on 2024 FDD

Lodging & Hospitality · Hotels, Resorts

Investment min
$7M
Total: $7M–$11M
Avg gross revenue
N/A
Unit-level, 2024
Franchise fee
$35K
Per current disclosure
Royalty
5%
of gross revenue
Locations
143
Franchising since 1935

Description

What is Howard Johnson?

Howard Johnson, affectionately known as 'HoJo,' has been an iconic name in American hospitality since 1925. Now operating under the prestigious Wyndham Hotels & Resorts umbrella, Howard Johnson continues to deliver comfortable, reliable lodging experiences that have made it a trusted choice for both business and leisure travelers.

The brand seamlessly blends its rich heritage with modern amenities and contemporary comfort. Each Howard Johnson property offers thoughtfully designed accommodations, featuring clean, well-appointed rooms and a welcoming atmosphere that makes guests feel at home. The franchise has successfully maintained its reputation for delivering consistent quality while adapting to evolving traveler preferences.

What sets Howard Johnson apart is its commitment to providing value-driven hospitality without compromising on essential amenities. Properties typically offer complimentary breakfast, WiFi, and parking, making them an attractive option for cost-conscious travelers who don't want to sacrifice comfort. The brand's participation in the award-winning Wyndham Rewards program adds another layer of value for guests, allowing them to earn and redeem points across thousands of locations worldwide.

For potential franchisees, Howard Johnson represents an opportunity to join one of the most recognized names in hospitality, backed by Wyndham's robust support system and global distribution network. The brand's established presence in prime locations, combined with its strong reputation and loyal customer base, positions it well for continued growth in the competitive lodging industry.
  • Nearly century-old hospitality heritage since 1925
  • Strategic destination-focused market positioning
  • Premium investment tier with flexible property requirements
  • Established presence in 143 carefully selected locations
  • Specialized focus on experiential travel markets
  • Proven operational longevity and market resilience

Location Analysis

Where Howard Johnson wins

Howard Johnson maintains a strategic presence across multiple states, with widespread coverage throughout the United States, showing particular strength in coastal and high-tourism regions. The franchise has a strong presence in California, with notable concentrations in Florida, New York, Georgia, and Texas. This geographic footprint suggests a deliberate focus on major travel corridors and tourism destinations.

The brand's 4.0 average rating across locations indicates consistent service quality and customer satisfaction, particularly important in the competitive hospitality sector. This rating positions Howard Johnson as a reliable mid-market hotel option, appealing to both business and leisure travelers.

Successful Howard Johnson locations typically feature proximity to major highways, airports, or tourist attractions, with strong performance in both urban centers and suburban areas. The current distribution reveals opportunities for expansion in the Midwest and Mountain regions, where the brand has limited presence.

Ideal locations for new franchises should prioritize areas with strong tourism indicators, business travel activity, and growing population centers. Key considerations include proximity to transportation hubs, local business districts, and entertainment venues. Markets with limited mid-scale hotel competition and steady year-round travel patterns offer the strongest potential for success.
Total US locations
143
Franchise units
143
Corporate locations
0
Avg. sq. footage
N/A

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Financial Analysis

The numbers behind Howard Johnson

Avg gross revenueN/A
Investment range$6,668,995 – $11,490,271
Investment midpoint$9,079,633
Brand fund2%
Royalty5%
Franchise fee$35,000
Min. net worth
Min. liquid capital
Howard Johnson requires a substantial investment of $6.7-$11.5 million, positioning it in the premium tier of hotel franchising. This investment range significantly exceeds the typical Hotels, Resorts subsector averages of $8.4-$9.3 million, with Howard Johnson's minimum falling $2.2 million below and maximum extending $2.2 million above the sector norms, reflecting the brand's variable property requirements and premium positioning.

The lodging industry benefits from recovering travel demand and diversified revenue streams through business, leisure, and extended-stay segments. Howard Johnson's strategic focus on destination markets—including mountain escapes, beach locations, national parks, and college towns—aligns with growing experiential travel trends. However, revenue performance data is not available for comparative analysis.

With 99 years of operational history since 1925, Howard Johnson demonstrates exceptional brand longevity and market resilience. Its current 143-unit system represents a selective, destination-focused approach rather than mass market expansion, offering established operational systems and heritage brand recognition.

The investment suits experienced hospitality operators with substantial liquid capital and real estate expertise. Hotel operations require sophisticated management capabilities, including revenue optimization, staff coordination, and property maintenance. Territory opportunities exist in underserved destination markets aligned with the brand's strategic positioning.

Prospective investors should thoroughly review the Franchise Disclosure Document and conduct comprehensive due diligence, including market analysis and operational assessments, before making investment decisions.
Did you know? Starting your own Howard Johnson franchise - one of America's most iconic hospitality brands with its signature orange roofs and rich history dating back to 1925 - requires a total investment between $6,668,995 and $11,490,271, which includes the $35,000 franchise fee plus all the substantial costs needed to build, equip, and launch a full-service hotel that meets the brand's established standards for guest experience and operational excellence.

Financing partners

Vetted partners, tailored to franchisees

Your Franzy advisor can connect you with these partners later in the process — competitive rates, specialized in franchise financing.

FranFund

Lender

CRF USA

Nonprofit SBA lender; provides financing for franchise acquisitions, startups, and expansion.

Lender

First Bank of the Lake

Lender

Pension Pros

Lender

FDD Item 7

Initial investment range

$7M–$11M
Most common
$6,668,995
Minimum
$9,079,633
Midpoint
$11,490,271
Maximum

Per FDD Item 7, total initial investment ranges from $6,668,995 to $11,490,271. The midpoint $9,079,633 is what most franchisees report at signing — financing typically reduces cash-at-close by 80–90%. Knowing the investment range helps you plan confidently and ensure you're fully prepared to make the leap.

Growth over time

Franchise footprint

-3% YoY
20016012080400
2018
2019
2020
2021
2022
2023
2024
143 units open as of 2024 FDD-5 in last 12 mo

2024 Franchise Disclosure

FDD documents

Below are items 2, 3, 4, 7, 11 and 19 for Howard Johnson's 2024 FDD. The complete FDD is delivered to you directly by the franchisor, per the FTC Franchise Rule.

Estimated initial investment
FDD Item 7 · PDF
Financial performance representations
FDD Item 19 · PDF
Members-only items
Executive team
FDD Item 2 · PDF
Litigation
FDD Item 3 · PDF
Bankruptcy
FDD Item 4 · PDF
Franchisor assistance
FDD Item 11 · PDF
Members only
Unlock the 2024 FDD

Connect to download Items 2, 3, 4, and 11 — direct from the franchisor.

Buyer FAQs

Frequently asked questions

The initial investment for a Howard Johnson franchise typically ranges between $6,668,995.00 and $11,490,271.00. This includes the franchise fee, equipment, real estate, and other startup costs. To get a detailed breakdown and better understand the financial requirements, we recommend scheduling a call with the Franzy team. We'll walk you through the specifics and answer any questions you might have. For more detailed information, refer to the financial sections of the FDD.

Disclaimer. The information provided on this page is based on the latest Franchise Disclosure Document (FDD) that is publicly available and that we have on record, which was issued in 2024. This information is for informational purposes only and is not intended to constitute legal, financial, or business advice. We make no guarantees or claims regarding the completeness or accuracy. For the most current and detailed information, we recommend consulting the franchisor directly for the most recent FDD and regarding any questions that you may have about the information provided.

Howard Johnson
Howard Johnson
N/A avg revenue · 143+ US franchises

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