For a Potbelly Sandwich Works franchise, what is the estimated range for rental premises for 3 months?
Potbelly_Sandwich_Works Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Low Amount | High Amount | Method of Payment | When Due | To Whom Payment is Made |
|---|---|---|---|---|---|
| Initial Franchise Fee (1) | $20,000 | $40,000 | Lump Sum | Upon signing the Franchise Agreement | Us |
| Rental of Premises | $17,400 | $27,549 | As Agreed | As Incurred | Third Parties |
| (3 months) (2) |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 25–28)
What This Means (2025 FDD)
According to Potbelly Sandwich Works's 2025 Franchise Disclosure Document, the estimated initial investment for rental of premises for 3 months ranges from $17,400 to $27,549. This cost is paid as agreed to third parties as incurred.
Item 7 includes explanatory notes regarding rental of premises. A traditional Potbelly Sandwich Works shop occupies approximately 1,800 to 2,200 square feet of leased space in a strip shopping center, enclosed shopping mall, lifestyle center, or similar location. The estimated cost per square foot is between $35 to $60, but depends on geographic location, size, local rental rates, businesses in the area, site profile, and other factors and could be considerably higher in large metropolitan areas. The landlord will likely require a security deposit equal to one month's rent.
For Potbelly Sandwich Works shops which opened during the 2024 fiscal year, the shops occupied between 1,500 to 3,079 square feet. The cost per square foot ranged between $34 to $58 per square foot with the average cost per square foot equaling $44 (with a median of $43).