Joe Wheeling and Red Roof Inn continue to stay on the move. A year ago at this time, Wheeling and the economy brand were relocating offices after being sold by Accor. Corporate headquarters moved from outside Dallas back to Columbus, OH, the place where the brand started in 1972. Now, after introducing the new NextGen new-build prototype in June, Wheeling and Red Roof are looking to take the brand to new heights with an aggressive incentive plan for developers.

Investing in the prototype will guarantee thousands of dollars to the developer that can be applied to short- and long-term costs, including a $50,000 credit memo to offset royalty, marketing and/or reservation fees; four percent marketing and reservation fees; no royalty fees for seven years from the signing of the agreement and a two-percent cap for the remainder of the term.

"We want our new product out there and are serious about growing the brand," Wheeling says. "We wanted to make sure there was incentive on the developers' part to get going as quickly as possible."

The program, which keys all benefits from the point of signing the agreement, was created to spur development today, not tomorrow. NextGen construction is underway across the country at four properties with the first opening scheduled for early next year in Locust Grove, GA. Wheeling says the new program was retroactively made available to each of the first four and is available only for the first 50 agreements, because "this is such a cost-effective program we must limit it to a select number of franchise owners." He expects the offer to last through the first part of next year, depending on the response, which in large part will be dictated by the economy and credit markets.

"Clearly in today's environment, it is difficult to get financing, but we want Red Roof to be on the top of the line when new construction is thought of," Wheeling says. "We look at this as a real opportunity to move forward and we want to make sure we put enough momentum behind this to make that happen.

"I think there's a trade down starting to happen and we're seeing that Red Roof is one of the recipients of that. We are gaining market share in today's environment and we're very pleased by that given the overall market."

The NextGen design includes bathrooms with vessel sinks and spa-inspired showerheads; guestrooms with modern décor, wood-like floors, high-design lighting and flat screen TVs; and lobbies featuring glass and metal panel atriums with sliding glass entry doors, natural stone walls and stained concrete flooring. The cost-per-key to build is in the low $50,000s, excluding land, which "is very competitive," Wheeling says.

"We really believe the NextGen product is the future for the economy segment," he adds. "We think we've hit an absolute home run with this product. It's very affordable to build. We really worked hard on that affordability and now the offset with royalties makes this a home run from the investment perspective. We think the future at the top end of economy segment is a good one, particularly in this economy."