What is the estimated annual rent for a 7 Brew location?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
g in the table.
Your rent will likely be based on development costs and reflect a rate of return on the landlord's initial investment (as well as other factors). Commercial leases are typically "triple net" leases, requiring you to pay rent, all taxes, insurance, maintenance, repairs, common-area-maintenance costs, merchants' association fees, and all other costs associated with the property. Rent will likely exceed the landlord's cost of leasing or financing the purchase of the outlet. You might also have to pay percentage rent and make an initial payment into an escrow fund to cover estimated real estate taxes. The landlord will likely require a security deposit. Rent can range significantly depending on the market and site-specific factors described in this Note 2. The Item 7 table provides an estimate for one month's rent plus one month's security deposit. We currently estimate annual rent to be between $30,0
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 23–27)
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, the estimated annual rent for a location is between $30,000 and $120,000. The FDD also notes that rent can vary significantly depending on the market and site-specific factors. The Item 7 table provides an estimate for one month's rent plus one month's security deposit, which ranges from $5,000 to $20,000.
Commercial leases for 7 Brew are typically "triple net" leases. This means that in addition to rent, the franchisee is responsible for paying all taxes, insurance, maintenance, repairs, common-area-maintenance costs, merchants' association fees, and all other costs associated with the property. The franchisee might also have to pay percentage rent and make an initial payment into an escrow fund to cover estimated real estate taxes. The landlord will likely require a security deposit.
Real property costs can vary considerably depending on geographic location and immediate surrounding factors, such as traffic, property values, and demographics. For example, rent costs are likely to be higher on the West Coast and East Coast and in dense major metropolitan areas and central business districts like Chicago. A typical 7 Brew store generally requires a lot ranging from 8,000 to 50,000 square feet on which the modular building—itself 510 square feet in size—will be placed. 7 Brew stores are typically placed on an out-parcel to a shopping center with street exposure in an urban or downtown location with heavy population, preferably with highway exposure or proximity.
Prospective franchisees should carefully consider these factors and conduct thorough market research to estimate potential rental costs in their desired location. Franchisees also have the option to buy the real estate on which the store will be located, but the Item 7 table does not include potential real estate purchase costs.