What specifications and requirements must the land developer or seller follow when building the community amenity for Epcon Communities?
Epcon_Communities Franchise · 2025 FDDAnswer from 2025 FDD Document
Note 5.B Large Pavilion Expenses when Purchasing Developed Lots:
If you purchase developed lots for your project, the community amenity is constructed by the land developer or seller from whom you purchase your developed lots, and the costs incurred by the land developer or seller to purchase the land upon which the community amenity is located and to construct the community amenity are typically included in the purchase price for the developed lots as outlined in your land purchase agreement (with the total costs of the land and amenity allocated over the purchase price that you pay for each developed lot within your project). These costs include the costs incurred by the land developer or seller to build the community amenity in accordance with the specifications and requirements in our Development System.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 22–32)
What This Means (2025 FDD)
According to Epcon Communities' 2025 Franchise Disclosure Document, if a franchisee purchases developed lots, the land developer or seller is responsible for constructing the community amenity. The construction must adhere to the specifications and requirements outlined in Epcon Communities' Development System. The costs incurred by the land developer or seller for purchasing the land and constructing the community amenity are typically included in the purchase price of the developed lots, as specified in the land purchase agreement. The total costs of the land and amenity are allocated over the purchase price that the franchisee pays for each developed lot within the project.
Epcon Communities typically includes an amenity such as a pavilion, clubhouse, or other common area (like a pool and recreation center) to be constructed on common ground for use by all residents. The specific type and size of the community amenity will vary depending on the number of units in the community. For instance, the FDD includes an estimate for a Large Pavilion, which is appropriate for a project of thirty units.
Upon completion of the amenity and the formation of the condominium or homeowners association, the land and the community amenity are transferred to the association. Epcon Communities provides prototypical architectural plans for various community amenities that franchisees can offer, depending on the number of units in their project. This ensures that the amenities meet certain standards and are appropriate for the scale of the community being developed.