What is the estimated range for land acquisition costs for a Buona franchise?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
filiate Five Flavors the initial franchise fee of $20,000 for a Rainbow Express.
- (2) Land This estimate assumes that you will acquire land and build a building for the restaurant. The estimate covers the cost of acquiring land. Your initial investment will be less if you lease the land upon which your Restaurant sits. The estimated low range for leasing land is $75,000 annually and the estimate high range for leasing is $225,000 annually. The cost of purchasing unimproved land or leasing land will vary significantly depending on location, availability of utilities and other factors. Depending on the market conditions and other factors in your geographic area, your land costs may vary from the estimates provided in this Item 7. We
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 23–32)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, if a franchisee chooses to purchase land for their restaurant, the cost of acquiring land is an expense to consider. The document estimates that the size of the land needed will range from 45,000 to 60,000 square feet.
The FDD states that the estimated low range for leasing land is $75,000 annually, while the high range is $225,000 annually. These costs can vary significantly based on location, the availability of utilities, and other factors. The document cautions that land costs may differ from the estimates provided, depending on market conditions and other factors specific to the franchisee's geographic area.
It's important to note that these figures apply if the franchisee chooses to lease the land. If a franchisee chooses to lease a building for their Buona restaurant, they will not incur these land acquisition costs. The FDD also mentions the possibility of buying land with an existing building to convert into a Buona Restaurant, which would also change the expenses related to land and site work.