What is the estimated range for real property/occupancy charges for a traditional Burger King facility?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure a | Freestanding Estimated Range | Method of Payment | When Due | To Whom Payment Is To Be Made | |
|---|---|---|---|---|---|
| Low | High | ||||
| Franchise Fee 1 | $50,000 | $50,000 | lump sum | execution | BKC |
| Trainingand Travel and Living | $7,500 | $25,000 | as arranged | as incurred | vendor |
| Expenses 2 | |||||
| Real Property / Occupancy Charge 3 | $300,000 | $1,500,000 | as arranged | as incurred | lessor/ vendor |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 46–54)
What This Means (2025 FDD)
According to Burger King's 2025 Franchise Disclosure Document, the estimated initial investment for real property/occupancy charges for a freestanding Burger King restaurant ranges from $300,000 to $1,500,000. These charges are paid as arranged and as incurred to the lessor or vendor.
It is important to note that this estimate covers a self-contained, full-size restaurant located and operated on a site as a freestanding building, which Burger King defines as a 'Traditional Facility.' This type of restaurant does not share common areas with other businesses and serves the standard approved Burger King menu.
The wide range in costs reflects variations in property values and lease terms depending on the specific location. Prospective franchisees should carefully research real estate costs in their target markets and negotiate favorable lease terms to manage this significant initial investment.