Does 1 800 Packouts lease or sell space to franchisees?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
but which includes freight delivery to your location.
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- We expect that you will either purchase or lease the real estate for the Facility. This estimate assumes that you will be renting a 5,000 – 20,000 square foot Facility and the approximate cost at $10/sq ft for the security deposit, utilities deposit, and initial months of rent. We expect most Facilities will be approximately this size, but we may approve smaller Facilities in our sole discretion. Your rent may differ based on market factors in your area. We do not lease or sell space to you. The estimates in this table include your pre-operations rent expenses together with
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 23–26)
What This Means (2025 FDD)
According to the 2025 1 800 Packouts Franchise Disclosure Document, 1 800 Packouts does not lease or sell space to its franchisees. The FDD indicates that franchisees are expected to either purchase or lease the real estate for their facility. The estimated initial investment includes expenses for pre-operational rent and rent during the initial period of operations.
The FDD estimates that franchisees will rent a facility ranging from 5,000 to 20,000 square feet, with an approximate cost of $10 per square foot for the security deposit, utilities deposit, and initial months of rent. This means a franchisee could expect to pay between $5,500 and $18,000 for rent, security deposit, and utility deposits. While 1 800 Packouts anticipates most facilities will fall within this size range, they may approve smaller facilities at their discretion.
Prospective franchisees should consider local market factors, as rent can vary by area. Additionally, the facility must include permanent climate-controlled storage rooms, cleaning room(s), and an office, which may require additional costs for construction or remodeling to meet 1 800 Packouts' specifications and trade dress. These leasehold improvements are estimated to cost between $3,500 and $15,000. It is important for potential franchisees to carefully evaluate real estate options and associated costs in their target market.