What does the higher figure for leasehold improvements assume for a Bhc Restaurant?

According to Bhc's 2025 Franchise Disclosure Document, the estimated costs for leasehold improvements or remodeling, including various construction-related expenses, are influenced by factors such as the site's condition, location, size, demand, previous use, required build-out, and any landlord allowances. The document specifies that the higher figure for these costs assumes a high square footage model for the Bhc restaurant. In contrast, the lower figure assumes the franchisee has a unique real estate model.

For a prospective Bhc franchisee, this means that the initial investment can vary significantly based on the size of the restaurant location. Opting for a larger location with a high square footage will likely result in higher leasehold improvement costs. Conversely, a smaller, uniquely designed location may lead to lower costs in this category. Franchisees should carefully consider the size and layout of potential locations in relation to their budget and business plan.

It's important to note that these estimates are for new leasehold improvements and do not include any potential tenant improvement allowances provided by landlords. Additionally, if a franchisee chooses to remodel an existing facility, the remodeling costs are expected to be lower depending on the condition of the premises. Therefore, franchisees should explore all available options, including negotiating tenant improvement allowances and considering existing facilities, to potentially reduce their initial investment.