Ar Homes Franchise FDD, Profits & Costs (2025)
AR Homes® is a premier franchise network of luxury custom home builders established by Arthur Rutenberg in 1990 in Clearwater, Florida. Franchising began the following year, with the first location opening in the Tampa region. Since then, the brand has expanded to over 40 independently owned franchises operating across multiple U.S. states.
Based in St. Petersburg, Florida, AR Franchising, Inc. provides comprehensive support to its franchisees through a team of professionals specializing in residential architecture, marketing, purchasing, accounting, interior design, and technology.
The company focuses on crafting high-end, custom single-family homes and features furnished model residences, virtual design previews, and integrated interior design services. Its Smart Bid system also enhances cost efficiency during the building process.
AR Homes® distinguishes itself through the blend of luxury craftsmanship, advanced technology, and personalized local design. The brand pioneered both the model-home franchise concept and the open floor plan style that has become a hallmark of modern residential architecture.
Initial Investment
How much does it cost to start a Ar Homes franchise? It costs on average between $410,000 – $1,627,000 to start a Ar Homes franchised facility.
This includes expenses related to construction, furnishings, technology systems, and initial operating costs. The total investment varies based on factors such as the size and design of the model home, regional building costs, and whether the franchisee chooses to lease or purchase the property or land.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $50,000 |
| Model Home | $100,000 to $850,000 |
| Opening Inventory and Supplies | $1,000 to $5,000 |
| Computer System | $1,500 to $5,000 |
| Insurance | $5,000 to $7,000 |
| Training Expenses | $500 to $2,000 |
| Business Licenses and Permits | $1,000 to $3,000 |
| Professional Fees | $1,000 to $5,000 |
| Additional Funds – 12 months | $250,000 to $700,000 |
| TOTAL | $410,000 to $1,627,000 |
Average Revenue (AUV)
How much revenue can you make with a Ar Homes franchise? A Ar Homes franchised business makes on average $1,155,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
Download the Franchise Disclosure Document
Frequently Asked Questions
How many Ar Homes locations are there?
According to publicly available information, the AR Homes® franchise network consists of 43 independently-owned franchise locations.
What is the total investment required to open a Ar Homes franchise?
The total investment required to open a Ar Homes franchise ranges from $410,000 to $1,627,000.
What are the ongoing fees for a Ar Homes franchise?
AR Homes® franchisees pay a continuing royalty fee ranging from 3.5% to 4.25% of the selling price of homes or home and lot. In addition, franchise owners contribute 0.25% of sales toward national advertising and marketing efforts that help promote the brand and support local awareness campaigns.
Who owns Ar Homes?
Ar Homes franchise is owned by AR Franchising, Inc., the parent company that oversees the AR Homes® luxury custom-home building franchise network.
Disclaimer
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