Item 2. Properties
ITEM 2. PROPERTIES
Restaurant Locations
As of June 30, 2021, our system of Company-owned and franchise-operated restaurants included 1,648 restaurants. The below table contains a breakdown of our portfolio of restaurants:
June 30, 2021
Domestic International Total
Chili’s
Company-owned 1,064 5 1,069
Franchise 171 354 525
1,235 359 1,594
Maggiano’s
Company-owned 52 — 52
Franchise 2 — 2
54 — 54
System-wide 1,289 359 1,648
Our Company-owned and franchise-operated restaurants in the United States are located in 49 states and Washington, D.C. We and our franchisees also have restaurants in two United States territories, Guam and Puerto Rico, and 27 countries: Canada, Chile, China, Costa Rica, the Dominican Republic, Ecuador, Egypt, Germany, Guatemala, Honduras, India, Japan, Kuwait, Lebanon, Malaysia, Mexico, Morocco, Oman, Peru, Philippines, Qatar, Saudi Arabia, South Korea, Taiwan, Tunisia, the United Arab Emirates, and Vietnam.
June 30, 2021
Domestic International
No. of States No. of countries
and U.S. territories
Chili’s 49 29
Maggiano’s 23 & D.C. —
Restaurant Property Information
The following table illustrates the approximate dining room capacity for a prototypical restaurant of each of our brands:
Chili’s Maggiano’s
Square feet 3,200-8,100 8,200-28,400
Dining seats 140-350 260-770
Dining tables 20-70 60-100
As of June 30, 2021, we own 42 properties of the 1,121 Company-owned restaurant locations. The related book value of these owned restaurant locations as of June 30, 2021 includes Land of $33.1 million and the net book value of Buildings and leasehold improvements totaling $11.0 million. The remaining 1,079 Company-owned restaurant locations were leased by us and the net book value of the Buildings and leasehold improvements totaled $466.3 million. These leased restaurant locations can be categorized as follows: 738 ground leases (where we lease land only, but construct the building and leasehold improvements) and 341 retail leases (where we lease the land/retail space and building, but construct the leasehold improvements). We believe that our properties are suitable, adequate, well-maintained and sufficient for the operations contemplated. Our leased restaurants typically have an initial lease term of 10 to 20 years, with one or more renewal terms typically ranging from 1 to 10 years. The leases typically provide for a fixed rental or a fixed rental plus percentage rentals based on sales volume.
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Other Properties
We lease an office building in Dallas, Texas containing approximately 216,300 square feet which we use for our corporate headquarters and menu development activities. We also lease but have ceased use of our previous headquarters location consisting of 198,000 square feet.
ITEM 3. LEGAL PROCEEDINGS
This information is set forth within Part II, Item 8 - Financial Statements and Supplementary Data, Notes to Consolidated Financial Statements, Note 16 - Commitments and Contingencies of this Annual Report on Form 10-K is incorporated herein by reference.
ITEM 4. MINE SAFETY DISCLOSURES
Not applicable.
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PART II
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.