What is the minimum estimated CAPEX remodel expenditure for a Burger King Traditional Restaurant to be included in the remodel uplift information?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
eled Restaurants
- (2) Multi-year Sales Uplift for Remodeled Restaurants
This information should be read together with all the related information about the factual basis and material assumptions underlying them.
A total of 930 Traditional Restaurants with an estimated CAPEX remodel expenditure of $650,000 or more, were completely remodeled in the United States to our Modern Image standards between January 1, 2018, and December 31, 2023. Of these 930 Traditional Restaurants, 921 of them were open and operating for the entire 12 month period ended December 31, 2024. Of these 921 Restaurants, 893 had sufficient data to be included in the "remodel sample" (the "Remodeled Restaurants"). (The 28 Restaurants that were excluded because they did not have sufficient data were missing construction start and/or completion dates or complete sales data for the relevant periods.). 9 Restaurants were also excluded because they permanently closed between January 1, 2018 and December 31, 2024. All of the Restaurants that pe
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 95–109)
What This Means (2025 FDD)
According to Burger King's 2025 Franchise Disclosure Document, a Traditional Restaurant must have an estimated CAPEX remodel expenditure of $650,000 or more to be included in the remodel uplift information. This data is based on restaurants that were completely remodeled to Burger King's Modern Image standards between January 1, 2018, and December 31, 2023.
This means that if a franchisee spends less than $650,000 on a remodel, the sales uplift data provided by Burger King may not be representative of their restaurant's potential performance. The data focuses on restaurants that underwent significant renovations, so a smaller investment might yield different results.
Prospective franchisees should consider this minimum expenditure when budgeting for remodels and evaluating the potential return on investment. It's important to note that this is just one factor influencing sales uplift, and other variables such as location, market conditions, and management effectiveness can also play a significant role.