What was the weighted-average remaining lease term for City Wide's operating leases in 2022?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
any's lease agreement does not contain any material residual value guarantees or material restrictive covenants.
As of December 31, 2024, the Company has not entered into additional operating leases that have not yet commenced.
Quantitative Disclosures
The lease cost and other required information for the years ended December 31, 2024, 2023, and 2022 are:
| 2024 | 2023 | 2022 |
|---|
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the weighted-average remaining lease term for operating leases in 2022 was 7.75 years. This figure represents the average length of time left on City Wide's existing lease agreements, weighted by the size or value of each lease.
For a prospective franchisee, this information provides insight into the duration of City Wide's lease obligations and the stability of its leased properties. A longer weighted-average remaining lease term suggests that City Wide has secured its locations for a considerable period, reducing the risk of needing to relocate or renegotiate leases in the near future.
Franchisees may want to inquire about the specific properties covered by these leases and the terms of any renewal options. Understanding the nature and location of these leased properties can further inform a franchisee's assessment of City Wide's financial health and operational strategy.