What is the estimated cost for real estate leasing for a Petro Stopping Center?
Petro_Stopping_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
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ESTIMATED INITIAL INVESTMENT
YOUR ESTIMATED INITIAL INVESTMENT FOR THE RENOVATION AND CONVERSION OF AN EXISTING TRAVEL CENTER INTO A PETRO CENTER1
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Paid |
|---|---|---|---|---|
| Initial Franchise Fee | $80,000 – $130,000 | Lump Sum | At signing of the Franchise Agreement | Petro Franchise |
| Opening Extension Fees2 | $0 – $120,000 | Lump Sum | At signing of the Franchise Agreement or upon subsequent agreement as to an extension | Petro Franchise |
| Training3 | $7,000 – $35,000 | As Arranged | As Incurred | Transportation Lines, Hotel, Restaurants, Employee Wages |
| Opening Assistance4 | $10,000 - $30,000 | As Arranged | As Incurred | Petro Franchise |
| Computer System | $30,000 - | Lump Sum | As Incurred | Petro Franchise |
| Installation fee | $50,000 | |||
| Leasing Review Fee | $0 – $7,500 | Lump Sum | As Incurred | Petro Franchise |
| Financing Review Fee | $0 – $7,500 | Lump Sum | As Incurred | Petro Franchise |
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Paid |
| Real Estate Leasing | $0 – | Installment | As Arranged | Landlord |
| Costs for 3 Months5 | $800,000 | |||
| Site Improvements and | $390,000 - | As Arranged | As Arranged | Landlord or |
| Construction6 | $17,000,000 | Contractors | ||
| Equipment, Furniture | $200,000 - | As Arranged | As Arranged | Vendors |
| & Fixtures7 | $3,419,000 | |||
| Computer System and Software | $140,000 – $400,000 | As Incurred | As Arranged | TA Operating and Vendors |
| 8 | $88,000 – | As Incurred | As Arranged | Insurance Company |
| Insurance | $600,000 | |||
| Additional Funds – 3 9 Months | $450,000 – $2,500,000 | As Incurred | As Arranged | Vendors, Employees |
| Vehicles10 | $0 - $350,000 | As Incurred | As Arranged | Vendors |
| Inventory | $0 - $800,000 | As Incurred | As Arranged |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 32–37)
What This Means (2025 FDD)
According to Petro Stopping Center's 2025 Franchise Disclosure Document, the estimated initial investment for real estate leasing ranges from $0 to $800,000 for three months of costs. This figure does not include a security deposit. The method of payment is in installments, and payments are arranged with the landlord.
The FDD indicates that leasing costs can vary significantly based on the size and location of the site, as well as market conditions for commercial properties. If a franchisee already owns the site, they will not incur any leasing costs. However, Petro Stopping Center expects franchisees operating existing travel centers to make improvements to meet the brand's facility standards, which may involve leasing additional real estate.
Prospective franchisees should carefully consider these factors and conduct thorough market research to estimate realistic leasing costs for their specific location. It is also important to discuss potential site improvements and additional real estate needs with Petro Stopping Center to get a more accurate estimate of the overall investment required.