Where in the Camp Margaritaville Franchise Agreement can I find details regarding site selection and acquisition/lease obligations?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
Before the Resort opens for business, we or an affiliate will:
- Review and accept or reject the site for your Resort. We do not select the site for your Resort. It is your responsibility to select a potential site. You must obtain our approval of the site. We generally do not own or lease the premises for you. We strongly urge you to hire independent consultants to analyze and investigate your proposed site. In accepting or rejecting a site, we will consider the potential site's location, visibility, accessibility, and proximity to commercial, residential and tourist centers. Additional factors include size and layout of the facility, tenant mix of surrounding properties, market trends and lease terms, and our other criteria. (Franchise Agreement, Preliminary Statement).
In providing the pre-opening and post-opening assistance and the other services described in this Item 11, we act only in an advisory capacity. We are not responsible for: (i) the adequacy or coordination of any plans or specifications; (ii) the structural integrity of any structures or the systems thereof; (iii) compliance with Applicable Law such as the ADA and any building code of any governmental authority; (iv) compliance with any insurance requirement; or (v) obtaining any necessary permits. All of such items are your responsibility, and you must pay all associated costs. (Franchise Agreement, Section 2.10)
PRELIMINARY STATEMENT
Franchisee is the owner of, or has the right to occupy, certain real property located at the site identified in Exhibit B ("Site"). Franchisor has the right to grant franchises for the establishment and operation of Camp Margaritaville upscale RV resorts (each, a "Camp Margaritaville Resort" and collectively, the "Camp Margaritaville Resorts"). Franchisee wishes to enter into this Agreement to obtain a franchise to use the Camp Margaritaville System to operate a Camp Margaritaville Resort located at the Site (the "Resort"). The Site must contain concrete pads in a range of sizes and full water and sewer connections to accommodate a variety of recreational vehicles ("RVs") and may also contain a variety of other resort style accommodations, including tents, yurts and cabins. The Site must also contain a shower and restroom facility, laundry facility, wireless internet, cable television, and a camp store. Depending on the Site's unique geographical features, the Resort may contain a Lodge and offer a variety of additional amenities. Amenities may include Food and Beverage Service, sport courts, kids' area, swimming pools, water park, dog parks, hiking and walking trails and seasonal and other amenities that are part of the Camp Margaritaville System. In addition to other terms defined in this Agreement, the initial capitalized terms shall have the meanings set forth in Exhibit A.
Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD pages 45–46)
What This Means (2025 FDD)
According to Camp Margaritaville's 2025 Franchise Disclosure Document, details regarding site selection and acquisition/lease obligations can be found in multiple sections of the Franchise Agreement. Item 11 of the FDD states that the franchisor will review and accept or reject the site for your resort, but you are responsible for selecting a potential site. The franchisor does not typically own or lease the premises for you. The franchisor will consider factors such as location, visibility, accessibility, proximity to commercial centers, size and layout, tenant mix, market trends, and lease terms when reviewing a potential site.
The Preliminary Statement of the Franchise Agreement also addresses site-related obligations, stating that the franchisee either owns or has the right to occupy the real property at the identified site. The site must meet specific requirements, including concrete pads of varying sizes, full water and sewer connections, and other resort-style accommodations.
Additionally, Section 2.10 of the Franchise Agreement, as referenced in Item 11, clarifies that the franchisee is responsible for all costs associated with plans, structural integrity, compliance with laws (such as ADA), insurance requirements, and obtaining necessary permits. Therefore, prospective franchisees should carefully review these sections of the Franchise Agreement to fully understand their responsibilities and obligations related to site selection, acquisition, and lease obligations.