What does 'Remodel' mean in the context of a Desi District franchise?

According to Desi District's 2024 Franchise Disclosure Document, a 'Remodel' refers to the refurbishment, renovation, and remodeling of the franchise location. This is done to ensure it conforms to the current building design, exterior facade, trade dress, signage, fixtures, furnishings, equipment, decor, color schemes, presentation of the Marks, and other System Standards. The goal is to maintain an image consistent with a new Desi District business.

Desi District may require franchisees to undertake and complete a Remodel of their location to the company's satisfaction. Franchisees must complete the remodel within the timeframe specified by Desi District, and the company may require franchisees to submit plans for approval before starting the remodel.

However, Desi District's right to require a remodel is limited. A remodel will not be required in the first two or last two years of the franchise term, unless it is a condition for renewal or transfer. Additionally, a remodel will not be required more than once every five years from the date the prior remodel was completed. This provides some predictability for franchisees in terms of capital expenditure requirements.