What is the latest year that Benihana's current office and restaurant space leases expire?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
those locations.
Our hospitality F&B services projects typically require limited capital investment from us. Capital expenditures for these projects are primarily be funded by cash flows from operations and equipment financing, depending upon the timing of these expenditures and cash availability.
We typically seek to lease our restaurant locations for periods of 10 to 20 years under operating lease arrangements, with a limited number of renewal options.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, Benihana typically seeks to lease restaurant locations for periods of 10 to 20 years. These leases generally include renewal options.
While the document states that many current leases are non-cancelable and typically have terms ranging from 10 to 15 years with renewal options for terms ranging from 5 to 10 years, it does not specify the latest year that current leases expire.
A prospective franchisee should inquire with Benihana's management about the specific expiration dates of their current leases to better understand the company's long-term real estate commitments and potential future costs or relocation risks.