What was the weighted average lease term in years for Buildingstars finance leases at the end of 2022?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
| Year Ended December 31, | |||||
|---|---|---|---|---|---|
| 2024 | 2023 | 2022 | |||
| Weighted average lease term (years) | |||||
| Finance leases | 1.54 | 1.36 | 1.69 | ||
| Third party operating leases | 2.43 | 2.42 | 2.78 | ||
| Related party operating leases | 1.79 | 4.29 | 1.86 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 34–43)
What This Means (2025 FDD)
According to Buildingstars' 2025 Franchise Disclosure Document, the weighted average lease term for finance leases at the end of 2022 was 1.69 years. This figure represents the average length of time remaining on Buildingstars' finance leases, weighted by the size or value of each lease.
For a prospective Buildingstars franchisee, understanding the weighted average lease term is important for assessing the company's financial obligations and potential future expenses related to leased assets. Finance leases are typically used for long-term assets, and the lease term reflects the period over which Buildingstars has committed to using and paying for these assets.
The FDD also provides the weighted average lease terms for finance leases for 2024 (1.54 years) and 2023 (1.36 years). Additionally, the weighted average lease terms for third-party operating leases and related party operating leases are provided for 2022, 2023, and 2024. This information allows potential franchisees to see how Buildingstars' lease obligations have changed over recent years.