What is the range of monthly base rent for a Christian Brothers Automotive location?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
For new CBA stores, the initial term of the lease will be 15 years, and the initial monthly lease payment will be approximately $22,000 to $38,000 for base rent, plus all triple net costs (insurance, maintenance, property tax, sales tax, property owner association dues and common area maintenance, if applicable). The initial monthly lease payment amount will vary depending on items such as the cost of land, development, and the construction of improvements. The high end of this range reflects locations where the land, development and construction costs are significantly higher than CBAC's average costs. If you request a site in an area where the land, development and construction costs result in the rent exceeding the high end of the range disclosed in this note, CBAC will require you to deliver written notice to CBAC stating: you requested this location, you are aware that the rent exceeds the high end of the disclosed rent range, and you agree to pay the rent CBAC determines is appropriate for that location. For transition stores, unless CBAC and the buyer agree otherwise, the initial term will be equal to the remainder of the current term under the seller's lease agreement and the rent will equal the rent amount under the current term of the seller's lease agreement. CBAC does not currently require you to give a security deposit to CBAC or an affiliate, but you will be required to pay all insurance premiums, property taxes, repairs & maintenance, association dues and utilities
owed in connection with your use and operation of the leased premises, plus all other costs, if any, specified in the Commercial Lease Agreement or the Commercial Sub-Lease Agreement. Each year the base rent will increase by 1.5% on the anniversary of your lease commencement for new CBA stores, or the existing date for transition stores (unless otherwise agreed by CBAC and the buyer). It will be your responsibility to monitor and appeal property tax assessments for your leased building. CBAC will advise or assist you upon request.
Source: Item 6 — OTHER FEES (FDD pages 17–25)
What This Means (2025 FDD)
According to Christian Brothers Automotive's 2025 Franchise Disclosure Document, new franchisees can expect to pay between approximately $22,000 and $38,000 per month for base rent, in addition to triple net costs. These triple net costs include insurance, maintenance, property tax, sales tax, property owner association dues, and common area maintenance, if applicable. The initial lease term for new Christian Brothers Automotive stores is 15 years.
The monthly lease payment can fluctuate based on factors such as the cost of land, development, and construction of improvements. The higher end of the rent range reflects locations where these costs are significantly higher than Christian Brothers Automotive's average costs. If a franchisee requests a site where these costs result in rent exceeding the disclosed range, they must acknowledge in writing that they are aware of the higher rent and agree to pay it.
For franchisees acquiring existing Christian Brothers Automotive locations (transition stores), the initial lease term will be the remainder of the current term under the seller's lease agreement, and the rent will equal the rent amount under the current term of the seller's lease agreement, unless Christian Brothers Automotive and the buyer agree otherwise. Base rent for new stores increases by 1.5% annually on the anniversary of the lease commencement. Franchisees are responsible for monitoring and appealing property tax assessments, with Christian Brothers Automotive offering advice and assistance upon request.
Christian Brothers Automotive does not require a security deposit, but franchisees are responsible for insurance premiums, property taxes, repairs and maintenance, association dues, and utilities, as well as any other costs specified in the Commercial Lease Agreement or Commercial Sub-Lease Agreement. These lease terms and payment responsibilities are important considerations for prospective franchisees as they evaluate the financial obligations associated with opening a Christian Brothers Automotive franchise.