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№ 01Buying & Selling a Business · Franchise Resale · Ontario

Buying a Microtel Inn & Suites by Wyndham franchise

Microtel Inn & Suites is franchised in Canada through MasterBUILT Hotels rather than the master developers behind some of Wyndham's other banners, and it's marketed to prospective owners as one of the faster-growing mid-scale entrants — meaning more of its Ontario properties, in markets like Aurora and Kanata, tend to be newer builds than some longer-established economy banners. That can mean a lighter Property Improvement Plan scope at resale, though a brand-standards review still happens regardless of the building's age.

№ 01.1The Resale, End to End

From offer to ownership

Microtel Inn & Suites by Wyndham resales follow the franchisor's own approval process on top of the usual purchase mechanics — here's how the two run together.

Getting approved

01

Offer on the property & the flag

The offer covers both the real estate and the Microtel franchise agreement together, conditioned on MasterBUILT Hotels approving the transfer to the incoming owner.

2–4 weeks
02

Brand & property review

The franchisor reviews the incoming operator and conducts a property inspection — often a lighter review where the building is newer construction with less deferred maintenance.

3–5 weeks
03

Financing & title diligence

Because real property is usually involved, mortgage financing, title, survey, and environmental review run alongside the brand approval.

4–7 weeks, in parallel

Getting to closing

04

Licensing & AGCO, if applicable

A licensed lounge or restaurant is uncommon at this select-service tier, but where one exists, an AGCO licence transfer proceeds on its own timeline.

4–8 weeks, if applicable
05

New franchise agreement

The incoming owner signs a new, current-form franchise agreement, incorporating any required upgrades as a closing condition.

negotiated alongside brand approval
06

Closing

Real property, business assets, and the franchise agreement all close together, with a defined timeline for completing any required work after taking over.

1 day, plus a short completion tail
Timelines vary by franchisor approval speedWe track every deadline so nothing lapses.
№ 01.2About the System

About the Microtel Inn & Suites by Wyndham system

Franchised in Canada through MasterBUILT Hotels, which holds Canadian development rights and markets Microtel as one of Canada's fastest-growing mid-scale hotel brands to prospective owners.

Ontario holds a notable share of the brand's Canadian locations, including Aurora and Kanata.

№ 01.3Deal Structure

Asset sale or share sale?

This is the first real decision in a Microtel Inn & Suites by Wyndham resale — and it changes what you're buying, what you're taking on, and how the franchise agreement moves.

QuestionAsset purchaseShare purchase
What you buyThe real property (if included), the hotel's operating assets, and the benefit of the Microtel franchise agreement, subject to MasterBUILT Hotels' consent.The shares of the corporation holding the property and the franchise agreement — everything it owns and owes.
Seller's liabilitiesGenerally stay behind with the seller, apart from anything specifically assumed in the agreement.Generally come with the company, known and unknown, including any mortgage or lease obligations.
Franchisor consent & PIPRequired for the transfer, typically paired with a property-standards review that tends to be lighter where the building is a newer construction.Required for the change of control, with the same property review still applying to the building itself.
Real propertyTitle, financing, survey, and environmental due diligence proceed as a standard commercial real estate closing.The property stays titled in the corporation's name — diligence still confirms what the company actually holds.
Staff (ESA)Employment Standards Act continuity rules typically apply to how hotel staff carry over.Employment generally continues uninterrupted — the employer doesn't change.
Tax angleBuyer generally gets a stepped-up cost base on the real property and business assets purchased; HST self-assessment applies to the real property transfer.Seller may access the lifetime capital gains exemption on qualifying shares; the property's cost base carries over.
What you buy
Asset sale

The real property (if included), the hotel's operating assets, and the benefit of the Microtel franchise agreement, subject to MasterBUILT Hotels' consent.

Seller's liabilities
Asset sale

Generally stay behind with the seller, apart from anything specifically assumed in the agreement.

Franchisor consent & PIP
Asset sale

Required for the transfer, typically paired with a property-standards review that tends to be lighter where the building is a newer construction.

Real property
Asset sale

Title, financing, survey, and environmental due diligence proceed as a standard commercial real estate closing.

Staff (ESA)
Asset sale

Employment Standards Act continuity rules typically apply to how hotel staff carry over.

Tax angle
Asset sale

Buyer generally gets a stepped-up cost base on the real property and business assets purchased; HST self-assessment applies to the real property transfer.

We tell you which structure fits — before you sign anything.

№ 01.5Costs & Fees

You'll know the number before we start

No open-ended hourly surprises — the cost is confirmed in writing before any work begins.

Type of workFeeHow it's confirmed
Straightforward purchase or saleStarting from $3,388.87
Our charges · taxes included
Confirmed in writing once we see the agreement.
Larger or more complex dealQuoted to scopeShort call → fixed written quote before any work begins.
Searches, filings & third-party feesAt costItemized on your invoice, not marked up.
Franchisor transfer/application fees, landlord consent costs, and a broker's success fee if the deal was listed — all confirmed once we see your agreement.
Most deals start here

An owner-run business

A single, already-flagged Microtel property changing hands, with the real estate and franchise agreement moving together in one transaction.

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A bit more involved

A larger or more complex deal

A deal involving an existing mortgage, a property older than the brand's typical construction era with a larger-than-usual PIP, or a buyer acquiring more than one flagged property at once.

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Not sure which you are? That's our job to figure out, not yours. As a rough guide, most deals under a couple of million dollars are the first kind — above that, you're usually in Mergers & Acquisitions territory.

№ 01.6Before You Ask

Common questions

Who actually reviews a Microtel resale — Wyndham or a Canadian company?

Day-to-day, that's MasterBUILT Hotels, which holds Microtel's Canadian development rights and markets the brand to prospective owners here, rather than Wyndham's US head office directly.

Does a newer property mean less Property Improvement Plan work at resale?

Often, yes, in a general sense — Microtel is positioned as one of the brand family's faster-growing entrants, so more of its Ontario locations tend to be newer builds than some longer-established economy banners, which can mean a shorter upgrade list. That said, the inspection still determines the actual scope for each specific property; we don't assume it based on the brand's general profile.

Does the property need a liquor licence to operate as a Microtel?

No — a licensed lounge or restaurant isn't part of this select-service format, and most properties don't have one. Where one does exist, an AGCO transfer runs alongside the real estate and brand approvals.

The property is in a smaller Ontario market, not downtown Toronto — does that change the legal process?

The legal mechanics — consent, PIP review, real estate closing, training — stay the same regardless of market size. What can differ is the pool of comparable transactions available when you're sanity-checking the deal terms, which is a business question we can help you think through alongside the legal file.

Microtel's Canadian development rights sit with MasterBUILT Hotels — does that affect how quickly brand approval moves alongside mortgage financing?

It can move on its own timeline — brand approval through MasterBUILT Hotels runs in parallel with, not dependent on, the lender's own mortgage review, so the deal's overall timeline needs to account for both tracks rather than assuming one waits for the other.

Related

Where we close franchise resale deals

Treadstone Law is an independent law firm. We act for buyers and sellers of franchise businesses. We are not affiliated with, endorsed by, or retained by Microtel Inn & Suites by Wyndham or its franchisor.

Ready to begin?

Tell us about your Microtel Inn & Suites by Wyndham resale — we'll point you the right way and confirm the cost in writing before any work begins.

Prefer to talk first? Call 1-844-900-1070 — it’s free.
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