What is the estimated cost range for construction/leasehold improvements for an Apricot Lane franchise?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of expenditure | Amount (Estimated Cost) | Method of payment | When due | To whom payment is to be made |
|---|---|---|---|---|
| Construction/Leasehold | $0 - $100,000 | As Arranged | As Arranged | General Contractor |
| Improvements6 |
The cost of construction and leasehold improvements depends upon the size and condition of the premises, the nature and extent of leasehold improvements required, the local cost of contract work, lease or landlord requirements concerning the use of union or non-union construction workers, the nature and extent of leasehold improvements required, and the location of the Franchised Business.
The low end of the estimate is for remodeling retail space that has some suitable leasehold improvements in place and the high end is for unimproved retail space.
Regional mall locations typically entail higher leasehold improvement costs than other locations.
This range takes into account negotiated landlord tenant construction allowance based on our experience to date.
However, the landlord allowance can vary significantly between developers and landlords.
Construction allowances can range from $0 to $100,000.
Some centers or malls may have special fees related to construction, such as those for installation of temporary barricades and providing a construction dumpster.
Costs for demolition and restoration of space to "plain vanilla shell" are more likely to be assessed with a regional mall, but it is possible in other circumstances.
During your lease negotiations, you should determine if the lessor intends to impose any such charges.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 14–17)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, the estimated cost for construction and leasehold improvements ranges from $0 to $100,000. This significant range reflects the variability in costs depending on the condition of the premises. The low end of the estimate applies to remodeling a retail space that already has suitable leasehold improvements in place. Conversely, the high end of the estimate is for an unimproved retail space requiring more extensive work.
Several factors can influence these costs. The size and condition of the premises, the extent of required leasehold improvements, local labor costs, and any landlord requirements regarding union or non-union construction workers all play a role. Additionally, regional mall locations typically incur higher leasehold improvement costs compared to other locations. Franchisees should also be aware that the estimated range does not include the cost of construction plans specifically designed for the franchised business.
Prospective Apricot Lane franchisees should also consider potential construction allowances from landlords, which can range from $0 to $100,000. Some centers or malls may also impose special fees for construction-related activities, such as installing temporary barricades or providing a construction dumpster. Costs for demolition and restoration of the space to a "plain vanilla shell" are more likely in regional malls but can occur in other locations as well. It is crucial for franchisees to discuss these potential charges during lease negotiations to avoid unexpected expenses.