Wingstop Inc. 10-K

Item 2. Properties During fiscal year 2019, we purchased an office building in Addison, Texas, which contains approximately 78,000 square feet of office space. The building is currently undergoing renovation in order to prepare it for use as our corporate headquarters. We also lease approximately 43,000 square feet of office space located in Dallas, Texas under an operating lease with a third-party landlord. All company-owned restaurants are leased by us, typically under five- to ten-year leases with one or two five-year renewal options, often contain rent escalation provisions, and generally require us to pay a proportionate share of real estate taxes, insurance and common area and other operating costs in addition to base or fixed rent. All domestic and international franchise restaurants are leased or owned directly by the respective franchisees. We believe that our existing headquarters and other leased and owned facilities are adequate to meet our current requirements. Due to lower square footage requirements, our restaurants can be located in a variety of locations. They tend to be located primarily in shopping centers, as in-line or end-cap locations. Our restaurants generally occupy approximately 1,700 square feet of leased retail space. As of December 26, 2020, we and our franchisees operated 1,538 restaurants in 44 states and 10 countries. Item 3. Legal Proceedings From time to time we may be involved in claims and legal actions that arise in the ordinary course of business. To our knowledge, there are no material pending legal proceedings to which we are a party or of which any of our property is the subject. Item 4. Mine Safety Disclosures Not applicable. 26 PART II