Where is the Development Area for the Cilantro Taco Grill franchise set forth?
Cilantro_Taco_Grill Franchise · 2024 FDDAnswer from 2024 FDD Document
open and operate one (1) Cilantro Taco Grill outlet within the Development Area set forth in Attachment 2. Multi-Unit Operator shall be granted rights to establish additional Cilantro Taco Grill outlets in the Development Area, up to the total number of outlets set forth in the Mandatory Development Schedule set forth in Section 5.2 hereof, subject to Multi-Unit Operator's full compliance with all conditions precedent to the grant of such rights outlined below, which rights shall be exercised in accordance with Section 4.1 hereof. The Development Area is typically described in terms of municipal boundaries, county boundaries or specified trade areas within a municipality. Trade areas cannot overlap or interfere with an existing trade area, designated territories or development areas. Franchisor reserves the right to provide a two (2) mile buffer between trade areas, designated territories and development areas. Franchisor reserves the right to adjust or reassign the Development Area, including trade areas, to best serve Multi-Unit Operator's interests, or in the event there is a conflict with an existing trade area, designated territory or development area. Franchisor reserves the right to: (i) move that trade area to an unoccupied area, or (ii) refund to Multi-Unit Operator the pro-rata portion of the Development Fee that was paid for the number of outlets to be developed in those specific trade areas. The Development Rights granted to Multi-Unit Operator herein do not include the right to develop Restaurants at any Non-Traditional Sites. As used herein, a "Non-Traditional Site" includes, without limitation: gas stations or convenience stores; transportation facilities, including airports, train stations, subways and rail and bus stations; military bases and government offices; sports facilities, including stadiums and arenas; amusement parks, zoos and convention centers; car and truck rest stops and travel centers; educational facilities; recreational theme parks; hospitals; hotels; business or industrial foodservice venues; venues in which food service is or may be provided by a master concessionaire or contract food service provider; Indian reservations; casinos; or any similar captive market location.
Source: Item 23 — RECEIPT (FDD pages 52–208)
What This Means (2024 FDD)
According to Cilantro Taco Grill's 2024 Franchise Disclosure Document, the Development Area for multi-unit operators is detailed in Attachment 2 of the agreement. This area is where the multi-unit operator is granted the rights to establish multiple Cilantro Taco Grill outlets, up to the number specified in the Mandatory Development Schedule outlined in Section 5.2.
The Development Area is typically defined by municipal or county boundaries, or by specified trade areas within a municipality. These trade areas are designed to avoid overlap or interference with existing territories or development areas. Cilantro Taco Grill reserves the right to maintain a two-mile buffer between these areas and may adjust or reassign the Development Area to better serve the multi-unit operator's interests or to resolve conflicts with existing territories.
It is important to note that the development rights do not extend to Non-Traditional Sites, which include locations such as gas stations, transportation facilities, military bases, sports facilities, amusement parks, educational facilities, hospitals, hotels, and casinos. The specifics of the Mandatory Development Schedule are found in Attachment 3.