Franchises · 2026 FDD · Wisconsin DFI filing 641690
Penn Station East Coast Subs franchise cost, unit revenue and closures
Opening a Penn Station East Coast Subs cost $440,600 to $819,700 in the 2026 FDD; the median unit sold $779,031 in the franchisor's 2025 calendar year figures; 5.0% of franchised units closed over three years.
Franchisor: Penn Station, Inc.. FDD issued 2026-04-20. Fiscal year end 2025-12-31. Figures re-found on the cited page 2026-11-03.
What a unit costs to open
single-unit franchisee; $454,100 to $833,200 for the first Restaurant under a Multi-Unit Agreement; does not include lease expenses.
What a unit pays the franchisor
| Initial franchise fee | $25,000 | Item 5, p. 5 |
|---|---|---|
| Royalty | Royalty on a sliding scale by monthly net sales: 2% below $30,000 a month, rising a point per $5,000 band to 8% above $55,000 | Item 6, p. 7 |
| Advertising fund | National Fund currently 2% of monthly net sales, may be raised to 4%; plus up to 2% local advertising | Item 6, p. 7 |
$12,500 under the Multi-Store Incentive Program; a $13,500 Site Development Fee for a Single-Unit Development Agreement.
The 8% applies above $55,000 of net sales in a month (about $660,000 a year); lower months carry lower rates.
What a unit sells
Item 19 is optional and is the franchisor's own representation. It is shown here as filed, with the franchisor's measure, sample and period, and nothing is estimated where it is missing.
| Measure | Net Sales, calendar 2025, all 317 franchised Restaurants open all of 2025 (Unit Financial Data Document) | |
|---|---|---|
| Sample | 317 units: 317 franchised Restaurants open all of 2025 (the one company-owned Restaurant, $1,398,742, is shown separately); excludes 4 that opened in 2025; the documents also give controllable costs, overhead and EBITDA, and top-25% and middle-50% subsets | |
| Period | 2025 calendar year | |
| High / low | $1,882,862 / $273,520 | |
Revenue to investment
Formula: Item 19 median / Item 7 single-unit total (midpoint, low, high). A ratio of 1.00 means one year of median unit revenue equals the investment; it says nothing about profit.
How many units open and close
| Franchised units | 2023 | 2024 | 2025 |
|---|---|---|---|
| Start of year | 318 | 322 | 321 |
| Opened | 9 | 6 | 4 |
| Terminated | 0 | 0 | 0 |
| Not renewed | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 0 | 0 |
| Ceased, other reasons | 5 | 7 | 4 |
| End of year | 322 | 321 | 321 |
| Company-owned, end of year | 1 | 1 | 1 |
Item 20, Table 1 p. 71; Table 3 totals p. 74.
Closures are the franchisor's Item 20 counts of units terminated, not renewed, or ceased for other reasons, summed over 2023–2025 and divided by franchised units at the start of 2023. Units the franchisor reacquired are not closures. This is an Item 20 count, not a failure rate.
Source and method
Every figure above comes from the Penn Station East Coast Subs Franchise Disclosure Document issued 2026-04-20, as filed with the Wisconsin Department of Financial Institutions (filing 641690, registry record). The PDF is the franchisor's and is not hosted here; the item and page beside each figure is where to check it. Item 7 and Item 20 tables were read cell by cell; Item 19 was read by hand; each Item 20 year was checked to sum (start + opened − exits = end) before it was recorded.
Informational only, not professional, legal or investment advice. Unitnomics computes from the filing and does not advise on, rank, or refer to any franchise. Last reviewed: November 2026.