What was the weighted-average remaining lease term in years for Jersey Mikes as of December 31, 2023?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | |
|---|---|---|
| Weighted-average remaining lease terms (in years) | 7.7 | 5.9 |
| Weighted-average discount rate | % | 3.59 |
| 3.59 | % |
Source: Item 22 — CONTRACTS (FDD page 77)
What This Means (2025 FDD)
According to Jersey Mike's 2025 Franchise Disclosure Document, the weighted-average remaining lease term was 5.9 years as of December 31, 2023. This figure represents the average length of time left on the leases for Jersey Mike's locations, weighted by factors such as the size or revenue of each location.
For a prospective franchisee, this information is relevant because it provides insight into the lease obligations Jersey Mike's has. A longer weighted-average remaining lease term could indicate stability in location control, but it could also mean less flexibility if the franchisee wants to relocate or renegotiate lease terms. Conversely, a shorter term might offer more flexibility but could also signal potential lease renewal risks.
Understanding the remaining lease terms can help a franchisee assess the long-term real estate commitments associated with the franchise. It is important to note that this is an average across all locations, and individual franchise locations may have lease terms that vary significantly from this average. Therefore, a prospective franchisee should investigate the specific lease terms for their desired location during their due diligence process.