Red Roof Inn is owned by Chatham Lodging Trust, a publicly traded real estate investment trust
Chatham Lodging Trust acquired Red Roof Inn in 2017 and remains the owner today. Chatham is a real estate investment trust (REIT) listed on the NASDAQ stock exchange under the ticker symbol CLDT. The company owns and operates a portfolio of mid-scale hotels across the United States, with Red Roof as its largest brand by number of properties.
Before Chatham's purchase, Red Roof had changed hands several times. The brand was founded in 1962 and went through multiple ownership structures over decades, including periods under private equity firms and other corporate owners. Chatham's acquisition marked a shift toward a more stable, publicly accountable ownership model.
As a REIT, Chatham is required to distribute at least 90 percent of its taxable income to shareholders, which shapes how the company reinvests in properties and sets pricing. This structure affects everything from room rates to maintenance budgets and renovation schedules across Red Roof locations.
Key Takeaways
- Chatham Lodging Trust, a publicly traded REIT, has owned Red Roof Inn since 2017 and operates hundreds of Red Roof properties nationwide.
- Individual Red Roof locations are often franchised to independent operators, so the local manager may not be a Chatham employee even though Chatham owns the brand.
- Red Roof's ownership structure as part of a REIT means the company prioritizes shareholder returns, which can influence pricing and property maintenance decisions.
- You can look up Chatham's financial reports and property performance on the NASDAQ website or through the company's investor relations page.
How the franchise model works at Red Roof properties
While Chatham owns the Red Roof brand and many of its properties outright, not every Red Roof location is directly operated by Chatham. Many Red Roof hotels are franchised, meaning a separate business owner or company has purchased the right to use the Red Roof name, systems, and standards while running the day-to-day operations.
When you stay at a franchised Red Roof, you are dealing with a local owner or management company that handles hiring, maintenance, and guest services. That owner pays Chatham a percentage of revenue in exchange for the brand name, reservation system access, and corporate support. This is why service quality and property condition can vary between Red Roof locations — each franchisee makes their own decisions about staffing and upkeep within brand guidelines.
If you have a complaint about a specific Red Roof property, the local franchisee is usually the first point of contact. However, Chatham maintains brand standards and can take action against franchisees who fall below them, including revoking their franchise agreement.
What Chatham Lodging Trust does beyond Red Roof
Chatham owns and operates other hotel brands in addition to Red Roof. The company's portfolio includes properties under brands like Sonesta, La Quinta, and Cambria Suites. Red Roof remains Chatham's largest holding by property count, but the company's strategy involves diversifying across multiple mid-scale and upper-mid-scale hotel brands.
Chatham's business model centers on acquiring established hotel brands and properties, then optimizing operations to generate returns for shareholders. The company typically focuses on properties in secondary and tertiary markets — smaller cities and towns rather than major metropolitan centers — where mid-scale hotels fill a specific market need.
How to find out who owns a specific Red Roof location
If you want to know whether a particular Red Roof property is company-operated or franchised, you can call the property directly and ask. The front desk or manager can tell you whether Chatham operates the location or whether it is run by a franchise owner.
You can also check Chatham's investor relations website, where the company publishes quarterly reports listing its owned and operated properties. These reports break down the portfolio by brand and sometimes by region, though they do not always list every individual franchised location.
For general inquiries about Red Roof corporate policies, customer service, or brand standards, you can contact Red Roof's corporate office through the main Red Roof website. Franchise-specific issues are usually handled at the property level or through the franchisee's management company.
Why ownership structure matters for guests
Knowing who owns a hotel chain affects what you can expect as a guest. A publicly traded REIT like Chatham has obligations to shareholders and must report financial performance quarterly, which creates pressure to maintain occupancy rates and revenue. This can influence pricing strategies and how aggressively the company pursues cost-cutting measures.
The franchise model also matters: a company-operated Red Roof may have more direct oversight and consistency with corporate standards, while a franchised location may have more flexibility in how it runs but less direct accountability to Chatham. Neither is inherently better — it depends on the individual property's management and investment.
If you are a frequent Red Roof guest or considering staying regularly, understanding that Chatham is the owner and that individual properties may be franchised helps you set realistic expectations about consistency and gives you a clearer path for escalating complaints or feedback.
Frequently Asked Questions
Is Red Roof still family-owned?
No. Red Roof has not been family-owned since the 1980s. It has been owned by various corporate entities over the past four decades, and Chatham Lodging Trust has owned it since 2017. Chatham is a publicly traded company, so ownership is distributed among shareholders rather than held by a single family or private group.
Can I find Red Roof's financial information?
Yes. Chatham Lodging Trust files quarterly and annual reports with the Securities and Exchange Commission (SEC), which are available on the SEC's EDGAR database and on Chatham's investor relations website. These reports include revenue, property performance, and strategic updates about the Red Roof brand.
Does Chatham own all Red Roof properties?
Chatham owns the Red Roof brand and operates many properties directly, but a significant portion of Red Roof locations are franchised to independent owners and operators. The exact breakdown changes as Chatham buys and sells properties, but you can find current information in the company's quarterly investor reports.
What happens if I have a problem at a Red Roof?
Start with the property manager or front desk. If the issue is not resolved locally, you can escalate to Red Roof's corporate customer service through the main Red Roof website. For serious complaints or unresolved issues, you can also contact Chatham Lodging Trust through its investor relations or corporate office contact information.