Hotel and Real Estate Investment Franchises Anticipate Rapid Growth
Successful franchises can be found in all places, sizes, ages, and markets. From its headquarters in Aberdeen, South Dakota, My Place Hotels of America has built a system with 31 open locations within a few years. Ryan Rivett, president and COO, says the concept’s appeal is based on its fresh approach to a neglected niche between economy and midlevel hotels.
“In a marketplace mostly over-supplied with aging economy hotels and rebranded midscale properties, as well as oversaturated with upper midscale and upscale properties, My Place is the all-new construction niche concept that is refreshing to franchisees and investors alike,” Rivett says.
My Place has hotels either operating or under construction in 19 states from Georgia to Washington and Texas to Alaska. By the end of 2017, Rivett says, the chain will have 50 properties open or under construction. Much of the growth is occurring in the 50 largest markets, Rivett says. “That said, we have a number of developers working in smaller markets from coast to coast,” he adds. HomeVestors of America has approximately 800 locations in 44 states and 144 cities and should reach 900 locations within the next year, says David Hicks, co-president of the Dallasbased real estate investment franchise. Investor interest in real estate is supporting their rapid growth as wouldbe property tycoons look for leads on investment properties, Hicks says. “Our trademark—We Buy Ugly houses— generates leads they can’t otherwise get. That’s probably the biggest reason people are attracted to us,” he says. Having strong franchises in most major metropolitan areas, HomeVestors anticipates expanding in the remaining IPN THYRL[Z ^OPSL ÄSSPUN PU TPKKSL THYRL[ cities. Target markets include Midwestern states, the Northwest, and in the Northeast, New York and New Jersey.