AR HOMES
Real Estate & Property · Real Estate Investment
- Active units
- 42
- Avg unit volume
- $14.7M
- Royalty
- 4.3%
Franchised, year-end 2024
of weekly Net Sales
About AR HOMES
AR Homes® is a trusted and esteemed brand that has been designing and constructing custom luxury homes for over 40 years. With a focus on meeting the distinct needs and lifestyles of discerning clients, AR Homes® has earned the satisfaction and trust of thousands of homeowners. Their meticulous craftsmanship and unwavering commitment to perfection are evident in every home they build. Each home is personalized and unique, reflecting the vision and preferences of the homeowner. AR Homes® offers a wide selection of celebrated and award-winning floor plans to serve as a starting point, which can be fully customized in a matter of days. Their talented designers work closely with clients to create homes that perfectly align with their individual tastes and requirements. For a firsthand experience of AR Homes®' exceptional designs and construction, you can explore their fully-furnished luxury model homes, available for tours seven days a week. When it comes to luxury custom-built homes, AR Homes® sets the standard with their impeccable design, unwavering attention to detail, and unparalleled craftsmanship.
Key terms
- Franchise fee
$65k
- Brand fund
0.3% of Net Sales
- Veteran discount
Not offered
Brand Percentile Rankings
Growth
- Total locations42
Franchised units open at year-end
- New openings1
Gross new units opened during the calendar year
- 1-year unit growth rate0.0%
Net unit growth versus prior year
- 3-year unit CAGR-4.4%
Compound annual growth rate of unit count over the trailing 3 years
- Unit growth ratio1.0×
Cumulative opens / closures through year-end
Unit economics
- Annual unit volume (Median)$14.7M
Average Closing Revenue for 29 franchised Building Companies in 2024.
- Annual unit volume (25th percentile)—
Per FDD Item 19 disclosure
- Annual unit volume (75th percentile)—
Per FDD Item 19 disclosure
- 1-year Median AUV growth rate—
Year-over-year change in median AUV
- Store-level EBITDA Margin—
Median unit-level EBITDA / AUV
Investment profile
- Estimated initial investment$1.4M
Midpoint of estimated initial investment range
↓ Lower is better - Time to open4 months
Midpoint of average time from agreement to opening
↓ Lower is better - Royalty rate4.3%
Percent of net sales paid to the franchisor
↓ Lower is better - Sales-to-investment ratio10.8×
Median AUV / estimated initial investment midpoint
- Cash-on-cash returns—
Median unit-level EBITDA / estimated initial investment midpoint. Steady-state estimate; year 1 returns will be lower as the unit ramps to median volumes.
Franchisee healthLocked
- Unit closure ratio
- Transfer vs. closure ratio
- Percent multi-unit franchisees
- Litigation rate
- EBITDA multiple on sales & transfers
Create your free Glidepath account to access full brand information.
Sources
Financial and operating figures are sourced from the brand's Franchise Disclosure Documents. Brand percentile rankings are based on comparisons to other brands that include the same metrics in their Franchise Disclosure Documents.