What is the franchisee required to own regarding the real property of the Beehive Homes location?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee will own, directly or indirectly, fee simple title to the real property and improvements (the "Real Property") that comprise the Home and
the Location, together with all personal property ("Personal Property") used in connection with the operation of the Franchise, at all times during the Term of this Agreement, subject to such liens and encumbrances as the Franchisor has agreed to in writing. Franchisee shall not transfer any interest in such Real Property or Personal Property except in compliance with this Agreement. The Franchisee shall maintain legal possession and Control of the Home and the Location at all times during the Term of this Agreement and shall promptly deliver to Franchisor a copy of any notice of default received from any mortgagee or other lien holder.
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, the franchisee is required to own the real property where the Beehive Homes location is situated. Specifically, the franchisee must possess fee simple title to the real property and any improvements made upon it. This ownership must be maintained throughout the entire term of the Franchise Agreement.
In addition to the real property, the franchisee is also required to own all personal property used in connection with operating the Beehive Homes franchise. This includes furnishings, equipment, and supplies necessary for the home's operation. However, the franchisee's ownership of both the real and personal property is subject to any liens or encumbrances that Beehive Homes has agreed to in writing.
The franchisee is restricted from transferring any interest in the real property or personal property unless they comply with the Franchise Agreement. Furthermore, the franchisee must maintain legal possession and control of the home and its location throughout the term of the agreement. The franchisee is also obligated to promptly provide Beehive Homes with a copy of any default notice received from a mortgagee or other lien holder, ensuring transparency and communication regarding the property's status.