What was the net value of Burger King's property and equipment leased as of December 31, 2023?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
efined in Note 12, Derivative Instruments.
Note 10. Leases
As of December 31, 2024, we leased or subleased approximately 4,600 restaurant properties to franchisees under operating leases, direct financing leases and sales-type leases where we are the lessor. Initial lease terms generally range from 10 to 20 years. Most leases to franchisees provide for fixed monthly payments and many provide for future rent escalations and renewal options. Certain leases also include provi
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 109–124)
What This Means (2025 FDD)
According to Burger King's 2025 Franchise Disclosure Document, the net value of their property and equipment leased as of December 31, 2023, was $1,329 million.
This figure represents the net book value of properties and equipment that Burger King leases, after accounting for accumulated depreciation and amortization. It is an important indicator of the company's financial health and its reliance on leased assets.
For a prospective franchisee, this information provides insight into the scale of Burger King's operations and its investment in property and equipment. It also highlights the significance of leased assets in the company's overall financial structure. Understanding these figures can help franchisees assess the financial stability and long-term viability of the Burger King franchise system.