For an Annex Brands franchise, what is the range of estimated costs for construction services?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
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Note 6: The cost for construction services will vary widely depending on the size, condition and location of your standard, flex or express retail center, your lease, and other factors, but typically will be between $50 and $75 per square foot for a standard, flex or express retail center. For a new standard or flex retail center, the constructions services include the purchase and installation of a 24-hour access security gate and digital keypad entry ranging in cost from $10,000 to $15,000. Based on the location and previous
use of the facility, and other factors, a 24-hour access security gate and digital keypad entry may not be required for a new express retail center or if you are converting a qualified existing business to a standard or flex retail center. For a new express retail center, or a conversion standard or flex retail center, the construction services include the purchase and installation of a 24-hour access security gate and digital keypad entry ranging in costs from $0 to $15,000. Our estimate assumes standard development based on a leased facility delivered to you in "vanilla shell" condition. If the leased facility is delivered to you in any condition other than "vanilla shell" (i.e., "grey shell" or other condition), your build-out costs will be higher.
Note 7: We will designate a contractor for your use who is familiar with our requirements. If you use our designated contractor, you do not pay this fee. If you want to use, and we approve, a substitute contractor, you must pay us a construction consultation fee of $2,500 before construction begins. In addition, if your contractor does not supply a 24-hour access security gate and digital keypad entry, you may have to purchase it on your own (see Note 6 above). Any substitute contractor must have a state license and be insured as required by law. See Items 5 and 8 for further details.
Note 8: The equipment cost estimate assumes that you will finance (and not purchase) 2 walk-up self-serve photocopiers and 1 multi-function color photocopier. The full purchase cost for the 3 photocopiers would be about $25,000.
Source: Item 7 — Estimated Initial Investment (FDD pages 32–39)
What This Means (2025 FDD)
According to Annex Brands' 2025 Franchise Disclosure Document, the cost for construction services varies depending on the type of retail center. For a new standard, flex, or express retail center, the construction costs typically range from $50 to $75 per square foot.
For a new standard or flex retail center, construction services include the purchase and installation of a 24-hour access security gate and digital keypad entry, which ranges from $10,000 to $15,000. However, this security gate may not be required for a new express retail center or if converting an existing business to a standard or flex retail center, potentially reducing costs. In these cases, the cost for the security gate ranges from $0 to $15,000.
The FDD also provides estimated costs for construction services in table format. For a standard or flex retail center, these costs range from $70,000 to $90,000. For an express retail center, the estimated construction services range from $20,000 to $50,000. For a conversion standard or flex retail center, the estimated construction services range from $0 to $60,000. These estimates assume standard development based on a leased facility delivered in "vanilla shell" condition; build-out costs will be higher if the facility is in any other condition.