What are the anniversary dates of the Opening Date that trigger the Refresh and Remodel obligations for a Carvel franchise?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
12.6 Refreshes and Remodels.
- A.
Refresh.
Within six months after the fifth and the fifteenth anniversaries of the Opening Date, you must, at your sole expense and in accordance with our then-current Standards and directives, refresh, refurbish, and renovate the Franchised Business to meet our then-current operational and branding Standards (a "Refresh").
Generally, a Refresh will require you to add, update, and/or replace components of the Franchised Business (including merchandising elements, graphics, paint or wall coverings, menu boards, interior and exterior signage, kitchen equipment, drive-thru equipment, Computer System components, and other furniture, fixtures, equipment, and décor that we may specify in our sole discretion) to meet our then-current Standards without significantly altering your Franchised Business' layout or structure.
- B.
Remodel.
Within six months after the tenth and (if you are entering into a Renewal Term) twentieth anniversaries of the Opening Date, you must, at your sole expense and in accordance with our then-current Standards and directives, remodel, refurbish, renovate, and modernize the Franchised Business to meet our then-current operational, branding, and architectural design Standards (a "Remodel").
Generally, a Remodel may include all of the modifications, upgrades, and replacements required in a Refresh, plus other more extensive alterations to your Franchised Business' layout, structure, or design, such as redesigning the interior and exterior appearance and interior layout of the Franchised Business or adding a drivethru to a Franchised Business.
- C.
Process for Refreshes and Remodels.
Before you begin a Refresh or a Remodel, we, our affiliate, or our designee will in-person or virtually inspect your Franchised Business and produce a site survey and/or design plan that will comply with our then-current Standards.
We may require you to pay us, our affiliate, or our designee our then-current fee for producing such site survey and/or design plan, which may be increased in any calendar year by no more than the Allowed Adjustment.
All plans, designs, furniture, fixtures, equipment, and décor related to a Refresh or a Remodel must be approved by us in writing, must conform to our then-current Standards and applicable Laws, and, if we so require, must be purchased from Approved Suppliers we designate or approve in writing.
For each Remodel, you must comply with Sections 6.1 (Leasehold Improvements), 6.2 (Architectural Plans), and 6.3 (Construction, Inspection, and Government Approvals) of this Agreement.
You acknowledge that each Refresh or Remodel may require you to make a significant capital investment into your Franchised Business.
You agree to incur, without limitation, any capital expenditures required in order to comply with this obligation and our requirements (even if those expenditures cannot be amortized over the remaining Term).
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, franchisees have specific obligations to refresh and remodel their locations at certain intervals. A "Refresh" is required within six months after the fifth and fifteenth anniversaries of the Opening Date. This generally involves updates to components like merchandising, graphics, paint, menu boards, signage, kitchen equipment, computer systems, furniture, and décor, without significantly altering the store's layout.
A "Remodel" is required within six months after the tenth and, if the franchisee enters a Renewal Term, the twentieth anniversaries of the Opening Date. A Remodel may include all modifications, upgrades, and replacements required in a Refresh, along with more extensive alterations to the Franchised Business' layout, structure, or design, such as redesigning the interior and exterior appearance and interior layout of the Franchised Business or adding a drive-thru.
Before starting a Refresh or Remodel, Carvel, its affiliate, or its designee will inspect the Franchised Business and produce a site survey and/or design plan. The franchisee may be required to pay a fee for this service, which can increase annually by no more than the Allowed Adjustment. All plans, designs, furniture, fixtures, equipment, and décor must be approved by Carvel and conform to their standards and applicable laws. The franchisee is responsible for significant capital investments to comply with these obligations, even if the expenditures cannot be amortized over the remaining Term.