Curio Collection by Hilton logo

Curio Collection by Hilton Franchise

Audited Financials
HospitalityEst. 1946McLean, VA
www.hiltonworldwide.com
Financing Available

Risk Score

Pending analysis

Investment Range

$4,683,359 - $143,454,204

Total US Locations

80

Business Summary

Curio Collection by Hilton operates and licenses high-quality, independently owned or leased hotel properties under the Curio brand. These hotels offer various guest lodging and hospitality services, including rooms, dining, recreational facilities, and potentially spas and branded restaurants. The business focuses on providing a distinctive guest experience within the Hilton Worldwide Network.

Corporate History

Hilton Franchise Holding LLC was formed in September 2007 in Delaware and began operating under the Curio brand in the U.S. on October 15, 2014. Its parent company, Hilton Domestic Operating Company Inc., and its ultimate parent, Hilton Worldwide Holdings Inc., have a guest lodging business history dating back to 1946 through its predecessor, Hilton Hotels Corporation (originally established in 1946). Over the years, the corporate structure and names changed, with Hilton Hotels Corporation becoming Hilton Worldwide, Inc., and then Park Hotels & Resorts Inc. before a spin-off in 2017. Hilton Franchise Holding LLC is now the franchisor for Curio and other Hilton Worldwide Brands in various regions.

Financial Overview

Investment Range

$4,683,359 - $143,454,204

Franchise Fee (High)

$150,000

Royalty %

5%

Marketing %

4%

Equipment Costs (Low)

$288,300

Equipment Costs (High)

$119,714,595

Working Capital

$1,750,000

Audited Financials

Yes

Offers Financing

Yes

Audit Opinion

Unqualified opinion

Financial Health Notes

Hilton Franchise Holding LLC's financial statements are audited and present fairly its financial position. The company's revenues from franchise royalty fees, sales, and change of ownership fees were substantial, reaching $1.5 billion in 2024. The company's retained earnings for the past three years have consistently been distributed to its Hilton affiliates. All of Curio Collection by Hilton's assets and franchise contracts are pledged as collateral for certain debt obligations of its parent company, Hilton, which mature between 2025 and 2033. The company also engaged in intercompany transactions, including a short-term note payable for acquired franchise contract intangible assets, which was settled in February 2024.

Financing Details

Curio Collection by Hilton generally does not offer direct or indirect financing to franchisees, except for a development incentive program. This incentive is a financial contribution that does not need to be repaid unless the franchise terminates before the term ends or a transfer occurs without the transferee assuming the obligation. The repayable amount of the incentive decreases annually over the franchise term. The franchisor may also occasionally allow franchise application fees to be paid in installments without interest or security. In unique or rare cases, Curio Collection by Hilton may offer other types of financing, such as mezzanine loans or guarantees for franchisee obligations.

Performance Metrics

Total US Locations

80

Franchised Units

80

Corporate Units

0

Franchising Since

2014

Agreement Terms

Initial Term

23 years

Renewal Conditions

Curio Collection by Hilton franchisees do not have a right to renew or extend their franchise agreement. However, if Curio Collection by Hilton agrees, in its sole discretion, to re-license a franchisee, the franchisee may be required to sign a new contract with materially different terms and conditions and must comply with any specified Property Improvement Plan (PIP) performance conditions.

Training & Support Program

Franchisor Assistance

Curio Collection by Hilton provides comprehensive support to its franchisees. Before opening, it loans copies of its Manual, reviews and approves architects, interior designers, general contractors, and major subcontractors, provides guidance on plans and designs (including accessibility compliance), approves hotel management, and makes various purchase/lease arrangements available for signs, equipment, and supplies. If a spa or branded restaurant is added, Curio Collection by Hilton provides design guidelines, collateral, menus, and approved supplier lists. Mandatory training programs are specified for general managers and other key personnel, covering operational functions of the hotel, and include various online, virtual, and on-site courses. Ongoing support includes publishing hotel directories, providing access to the global reservation service, administering a quality assurance program with periodic inspections and guest satisfaction surveys, and offering consultation services in areas like operations and marketing. Curio Collection by Hilton also provides various computer systems, such as the OnQ system for reservations and property management, Guest Internet Access, Connected Room, GRO system for pricing recommendations, and Delphi Sales and Events system, with initial setup and ongoing maintenance support.

Initial Training Hours

113

Training Location

A mix of virtual, online, and on-site training.

Ongoing Support

After opening, Curio Collection by Hilton provides ongoing support to its franchisees through several key programs. It publishes directories of System Hotels and includes them in national and regional marketing programs. Franchisees have access to the global Reservation Service, subject to compliance with the Franchise Agreement. Curio Collection by Hilton also administers a quality assurance program, including periodic inspections and guest satisfaction surveys, to ensure adherence to System Standards. For hotels with an eforea spa or a Restaurant Brand, team members periodically provide suggestions for operational improvements. Additionally, franchisees are required to use and maintain various computer systems such as OnQ for property and revenue management, Guest Internet Access, Connected Room, GRO for pricing, and Delphi for sales and events. These systems often come with ongoing hardware and software maintenance and support, and require periodic refreshes. Optional ongoing training programs are also offered.

Franchise Requirements

Ideal Candidate Profile

Curio Collection by Hilton seeks franchisees who can provide qualified and experienced management for their hotel. Candidates, or their proposed management company, must demonstrate experience and capability in managing similar first-class, full-service hotels and be able to fully adhere to the obligations and requirements of the Franchise Agreement. If an owner wishes to manage the hotel directly, they must obtain prior written approval and successfully complete a training program. Strong financial capacity is also implied for successful operation.

Industry Experience Required

Yes

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Retail

Owner Participation

Supervisory

Territory Type

Non-Exclusive

Staffing Notes

Curio Collection by Hilton requires franchisees to provide qualified and experienced management for their hotel operations. This management team must ensure the hotel operates in accordance with the brand's Standards. While Curio Collection by Hilton provides training content deemed necessary for business functions, it does not directly supervise franchisee personnel or dictate employment matters. Key personnel, such as general managers, commercial and sales leaders, and other essential staff, must complete mandatory training programs. For hotels with an eforea spa, the spa director, leadership team, administration, and technical positions (e.g., estheticians, therapists) must complete product and service training provided by specified suppliers before the spa opens. Similarly, for hotels utilizing a Restaurant Brand, staff must complete training related to the restaurant's operation. If a management company is hired, its employees must have the authority to fulfill all franchisee obligations under the agreement. Curio Collection by Hilton emphasizes that the management and operation of the hotel remain the franchisee's sole responsibility.