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Clarion Inn & Suites

Clarion Inn & Suites

The total investment to open a Clarion Inn & Suites franchise ranges from $796,000 to $2.0M.

What is the Clarion Inn & Suites franchise?

Evaluating a hotel franchise requires careful review of the brand, operating model, market position, and growth plans. Clarion Inn Suites is headquartered in SAN ANTONIO, TX, and has 32 total units, including 27 franchised units and zero company owned units. That structure reflects a pure franchising model in which franchisees operate the properties. The hotel and motel market, excluding casino hotels, was approaching $1.2 trillion in 2023 and is expected to continue expanding. The market is divided by price, amenities, and customer type. Clarion Inn Suites often competes in the mid scale and upper mid scale segments, which serve business and leisure travelers seeking comfort, convenience, and value. Its 32 unit network gives the brand a foundation in this market and a value proposition centered on essential comforts and reliable service. Locations near transportation hubs and other demand generators can help properties attract a steady flow of guests. The brand's current size points to a focused development phase and may give franchisees an opportunity to grow with a system built around franchised operations.

The global hotel and motel industry is projected to exceed $1.4 trillion in total addressable market value by 2027, with growth of approximately 6.5% annually from 2023. Rising travel demand is a key factor. International tourist arrivals had recovered to more than 85% of pre pandemic levels by late 2023 and were projected to exceed 2019 levels by 2024. That recovery supports demand for lodging. Business trips that extend into leisure travel, along with digital nomads and remote workers, are creating additional demand for properties that combine work amenities with comfortable accommodations. Many travelers seek value while still expecting essential services, which supports the mid scale segment. New airports, convention centers, and tourist attractions are expanding the reach and capacity of the hospitality market. Franchise investment also benefits from established brand recognition, centralized reservation systems, and operating procedures in a capital intensive industry. Reliable, accessible lodging continues to create opportunities for properties with sound management and well chosen locations. A recognized brand can also provide shared marketing resources and operating efficiencies that would be difficult for an independent hotel to build alone.

A Clarion Inn Suites franchise requires an initial investment from $796,000 to $2.00M. The range covers the costs of opening a new hotel or converting an existing property to brand standards. Potential uses include real estate acquisition or long term leasehold improvements, construction or renovation, and the purchase of furniture, fixtures, and equipment, commonly called FF&E. The investment also includes pre opening needs such as supplies, linens, guest amenities, and working capital for expenses during the period before revenue stabilizes. The current FDD does not disclose specific franchise fees, royalty percentages, or advertising fund contributions for Clarion Inn Suites. A buyer must also budget for substantial operating expenses. These can include payroll for front desk, housekeeping, maintenance, and possibly food and beverage employees, as well as electricity, water, gas, property taxes, insurance, repairs, and routine maintenance. Hotels also require periodic capital spending for renovations and upgrades. Brand standards often require this work every 5 to 7 years. Projects may range from smaller property refreshes to major renovations, making these cycles a central part of long term financial planning.

A Clarion Inn Suites property follows an operating model common to the mid scale hotel segment, with an emphasis on essential services and consistent quality. Front desk operations provide 24/7 guest service, including check ins, check outs, reservations, and local information. Housekeeping maintains rooms and common areas across the network's 32 units and works to meet brand cleanliness and comfort standards. Depending on the property, food and beverage services may be limited to offerings such as complimentary breakfast or a small convenience market. Those services require inventory control and food preparation. Maintenance personnel handle repairs and preventive work, while keeping HVAC, plumbing, and electrical systems operating properly. A property of this type may employ a general manager, front desk agents, housekeeping supervisors, housekeeping attendants, maintenance technicians, and breakfast attendants. These roles require structured hiring, training, and human resource management. Clarion Inn Suites operates in the Hotels except Casino Hotels and Motels category and may support both new construction and conversions of existing hotels. A conversion can shorten the development schedule and reduce development costs, creating a faster route to opening.

Training for new franchisees and management teams typically covers pre opening procedures, brand standards, guest service, property management systems, and revenue management. Support may continue at the property during opening and later through field consultants, regional meetings, and online learning. Franchise support can also include centralized reservations, national marketing programs, purchasing access through preferred vendors, and operating manuals and best practices. Specific territory provisions are not available, but hotel franchise systems commonly establish protected territories to limit competition between locations within a defined area. Operators who perform well with one property are often encouraged to consider additional Clarion Inn Suites locations. Building on existing management skills and infrastructure can support that multi unit path.

A buyer therefore needs to rely on industry benchmarks, discussions with existing franchisees where permitted, and independent market research. For similar mid scale hotels, room nights are the main source of revenue. Meeting room rentals, limited food and beverage sales, and vending may provide additional revenue. Occupancy can range from 60% to 75%, depending on location, demand, and operating performance. Labor, utilities, and property management have a significant effect on those margins. These figures are industry averages, and results for an individual property can differ based on its exact location, local competition, economic conditions, management quality, and local marketing. Conversations with existing franchisees can help a buyer assess operating economics and guest feedback at the 27 active locations with Google ratings available through independent research.

Clarion Inn Suites has 32 total units, including 27 franchised properties, placing the brand in a focused development phase. The source does not provide historical unit counts or net new unit additions, so the existing network is the clearest indication of its current scale and suggests deliberate expansion. Compared with larger and more mature hotel chains, a smaller system may give new franchisees more direct access to corporate personnel and a closer relationship with the franchisor. Across hospitality, conversions of existing properties to established brands have become a common growth approach. That method can help a system expand by using existing buildings and infrastructure. Clarion Inn Suites' competitive position rests on its operating standards, reservation systems, and ability to provide a consistent experience for mid scale travelers. No specific loyalty program is mentioned, although many hotel brands participate in broader loyalty networks or provide their own incentives for repeat visits. Modern hotel operations also depend on digital systems. Clarion Inn Suites may use property management systems, online travel agency partnerships, and direct booking platforms to improve occupancy and revenue. Its Loan Activity Score is 19, rated Limited. That score indicates a recognized presence but less publicly available historical information than larger, more established systems. It may also indicate an earlier or more focused stage of franchising, with attention directed toward quality growth and a stable foundation rather than rapid expansion. Franchisees joining at this stage may have an opportunity to become meaningful participants in the brand's future development.

A potential Clarion Inn Suites franchisee may be an individual or investment group with experience in hotel management, real estate development, or multi unit operations. Useful qualifications include business judgment, financial management experience, and knowledge of the local market where the property will operate. Guest service and compliance with brand standards are central because they affect satisfaction and repeat business. Specific liquid capital and net worth requirements are not available. However, a candidate should generally have the financial capacity to cover the initial investment of $796,000 to $2.00M, along with working capital and reserves for operations and future capital needs. Successful single unit operators may later pursue multiple properties. The franchisor may encourage and support that expansion because multi unit ownership can improve operating efficiencies and market reach. Territory decisions are likely based on market demand, competition, and growth plans. Potential opportunities may exist in different geographic regions across the country, subject to site availability and feasibility studies.

The time from signing a franchise agreement to opening varies by project. A new build can take 18 to 36 months for site acquisition, design, permits, financing, construction, and pre opening marketing. A conversion of an existing hotel can often take 9 to 18 months, depending on the renovations needed to meet Clarion Inn Suites specifications. Hotel franchise agreements are generally long term commitments, commonly lasting 10 to 20 years with renewal options. Those terms reflect the substantial capital required and the long operating horizon of a hotel property.

Clarion Inn Suites operates in a global hospitality market that is expected to continue growing and offers an entry point into the mid scale hotel segment. The brand has 32 total units, including 27 franchised properties, and uses a pure franchising model. Buyers should therefore examine industry benchmarks, study the target market, review comparable properties, and speak with members of the existing network where permitted. The brand's operating structure includes corporate support and a focus on guest service, but property results will depend on location, management, financing, labor, operating costs, and capital planning. This opportunity is best suited to an experienced operator or investor prepared to evaluate a hotel asset over a long ownership horizon.

Loan Activity Score

19/100

SBA Default Rate

31.0%

Active Lenders

36

According to its Franchise Disclosure Document or public business records, Clarion Inn & Suites has 27 locations, all owned by franchisees. Public SBA loan records show 36 lenders made 42 loans to franchisees of Clarion Inn & Suites. PeerSense calculates Clarion Inn & Suites's score as 19 out of 100, using public SBA loan performance and recent lending activity.

Franchising since 1987 · 27 locations

Investment

$796,000 to $2.0M

Total Units

27

27 franchised

Loan Activity Score
High
19
SBA Lending
0
Lender Quality
3
Transparency
4
Reach
9
Momentum
3

Proprietary PeerSense metric

Limited
Capital Sources
36SBA lenders

Distinct lenders in public SBA records for Clarion Inn & Suites

42

Total SBA loans

$1.3M

Average loan size

Source: public SBA 7(a) and 504 loan records through December 31, 2025

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SBA Lending Activity for Clarion Inn & Suites

Loan Activity Score Breakdown

Established (25 to 99 loans)

High Confidence
19out of 100
Limited
Market Momentum3/35

Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.

Loan Safety0/25

Blended default rate (recent + all time) compared to NAICS sector peers.

Lender Confidence3/15

Quality lenders actively backing this brand, with penalty for lender pullback.

Transparency4/15

FDD availability, Item 19 disclosure, and overall data completeness.

Footprint9/10

Geographic spread of SBA funded locations across states.

SBA Lending Performance

SBA Default Rate

31.0%

vs 10.3% peer avg

SBA Loans

42

Total Volume

$56.3M

Active Lenders

36

States

20

vs. SBA Sector Average

-20.7%higher default rate

SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors

Key Highlights

Data Insights

Key performance metrics for Clarion Inn & Suites based on SBA lending data

SBA Default Rate

31.0%

20.7% above peer avg

SBA Loan Volume

42 loans

Across 36 lenders

Lender Diversity

36 lenders

Avg 1.2 loans per lender

Investment Tier

Premium investment

$796,000 to $1,999,000 total

Clarion Inn & Suites: Deep SBA Data

Brand specific metrics derived directly from SBA 7(a) approval records: peak lending year, leading state, average loan size, and lender concentration. PeerSense computes these per brand so capital advisors and prospective franchisees can benchmark this opportunity against the rest of the franchise universe.

Peak SBA Year

2006

6 approvals. The best year on record for Clarion Inn & Suites.

Top SBA State

Texas

7 SBA financed Clarion Inn & Suites locations, the densest operator footprint.

Average Loan Size

$1.3M

Median $1.3M. Use as a sizing anchor when modeling your own Clarion Inn & Suites unit.

Lender Concentration

16.7%

Highly Diversified

Share of Clarion Inn & Suites approvals captured by the top 3 SBA lenders.

Clarion Inn & Suites's SBA lending pipeline peaked in 2006 (6 approvals). Operator density is highest in Texas with 7 SBA financed locations. Average funded ticket sits at $1.3M, with the median at $1.3M. Lender mix is highly diversified: the top three SBA lenders account for 16.7% of approvals. Borrowers have leverage to shop multiple credit boxes.

Payment Estimator

Loan Amount$637K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$8,240

Principal & Interest only

Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.

Locations

Clarion Inn & Suites, unit breakdown

Total Units
N/A
Franchisee Owned
n/a
System Owned
n/a
Closed
n/a

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Clarion Inn & Suites

Page Review

Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense

  • PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
  • Edward L. Freeman founded PeerSense in January 2020.
  • He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
  • His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
  • In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page

Last reviewed LinkedIn profileAbout Edward Freeman