What is the total amount of lease payments for Benihana, as outlined in the provided table?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
h the provisions of this Agreement at the Location, and Franchisee shall not relocate the Restaurant without BNC's prior written consent.
- 2.2 Franchisee shall acquire or lease the Location at Franchisee's expense. If Franchisee leases the Location, Franchisee must obtain BNC's prior written approval before entering into a lease agreement. Franchisee shall provide BNC with a copy of Franchisee's fully executed lease agreement immediately after signing. BNC is not required and has no obligation to negotiate the terms of Franchisee's lease. BNC
may require the inclusion of certain provisions in the lease, including, but not limited to:
- (a) The requirement that Franchisee and Franchisee's landlord execute and deliver to BNC a collateral assignment of Franchisee's rights under the lease in the form attached to this Agreement as Exhibit D, pursuant to which Franchisee must, at BNC's option, assign all of Franchisee's rights under the lease to BNC or its designee upon termination or expiration of this Agreement.
- (b) A provision which restricts the use of the premises solely to the operation of a BENIHANA Restaurant.
- (c) A provision which prohibits Franchisee from subleasing or assigning all or any part of Franchisee's occupancy rights, or extending the term of or renewing the lease, without BNC's prior written consent.
- (d) A provision giving BNC the right to enter the premises to make modifications necessary to protect the Marks or the BENIHANA System, or to cure any default under this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
I am unable to provide the total amount of lease payments for Benihana, as the provided excerpts from the 2024 Franchise Disclosure Document do not contain a table or specific details outlining these costs. The excerpts do discuss lease agreements in general terms, stating that the franchisee is responsible for acquiring or leasing the location and must obtain Benihana's approval before entering into a lease agreement. Benihana may also require certain provisions in the lease, such as the right to enter the premises for modifications or to cure defaults.
While the FDD excerpts outline the franchisee's responsibility to acquire or lease a location, the specific amounts for lease payments are not disclosed. This information is crucial for prospective franchisees to understand their potential financial obligations.
To get a clear understanding of potential lease payments, a prospective Benihana franchisee should ask the franchisor for detailed information on typical lease costs, including average rent, security deposits, and any other associated fees. They should also inquire about any assistance Benihana provides in lease negotiation or site selection.