Epcon Communities Franchise Cost, Revenue & Review 2026
- Investment
- $3.8M – $6.4M
- Disclosed sales
- not disclosed
- SBA charge-off
- Not SBA-matched
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Epcon Communities is a real-estate franchise for building and developing low-maintenance, active-adult communities for buyers 55 and older. Franchisees run a homebuilding operation handling land, construction, and sales in a market.
FranchiseVerdict summary · 2026
A Epcon Communities franchise requires a total initial investment of $3.8M – $6.4M, including a $75K franchise fee and an ongoing 2.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 4 headline figures on this page cite a page of the filing.
Overview
- Investment
- $3.8M – $6.4M
- 88th pct Real Estate
- Avg gross sales
- N/A
- Royalty
- 2.0%
- 2nd pct Real Estate
- Units
- 105
- 50th pct Real Estate
- SBA charge-off
- N/A
Quick verdict · Real Estate · color = vs category peers
Green = favorable by >10% vs Real Estate median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $3.8M – $6.4M including a $75K franchise fee, 2.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict A (Strongest tier), verdict score 70/100 (higher is better).
- GROWTHNegative: net -3 franchised outlets in the latest year (9 opened, 12 closed) (Item 20).
- DATAThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Epcon Communities Franchising, LLC
- Parent company
- EC Franchising, LLC / Epcon JV LLC / Epcon Holding LLC
- FDD Item 1, page 8 of the 2026 FDD
- Predecessor
- Epcon Communities Franchising, Inc. (formerly Epmark, Inc.)
- Prior franchisor entity
- CEO title
- Chief Executive Officer
- Joel D. Rhoades
- Incorporated in
- Ohio
- HQ
- 500 Stonehenge Parkway, Dublin, Ohio 43017
- Auditor
- GBQ Partners LLC
- Audited financials
- Franchisor revenue
- $7.8M
- vs $7.2M prior year
Overview
About
- CEO
- Joel D. Rhoades
- Headquarters
- Ohio
- Founded
- 1996
- FDD year
- 2026
- States available
- 21
Can you afford it, and what does the money buy?
Entry cost runs 3752% above the typical real estate franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $75K | $75K |
| Working capital (3–6 mo) | $17K | $33K |
| Equipment, build-out, other | $3.8M | $6.3M |
| Total initial investment | $3.8M | $6.4M |
Source: Epcon Communities 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $3.8M – $6.4M
- Bottom third — review vs category
- Liquid capital req'd
- $17K – $33K
- Bottom third — review vs category
- Franchise fee
- $75K – $75K
- Bottom third — review vs category
- Royalty
- 2.0%
- Set by a formula · typical 6–8%
- Ad fund
- Marketing Program Fee of $625/month per project (may incr…
- Total fee load
- 2.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 2.0% |
| Technology fee | $2K |
| Training fee | $2K |
| Total fee load | 2.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Epcon Communities makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Epcon Communities unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 2.0% — below the Real Estate median of 7.5%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System roughly stable (0.0% 3-year CAGR) with 105 units.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Real Estate medians
How Epcon Communities Compares
Category median of published Real Estate brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 105
- Opened
- 9
- Last reporting year
- Closed
- 12
- Terminated
- 5
- Franchisor ended the franchise (per Item 20)
- Turnover rate
- 11.4%
- Company-owned
- 25
- Corporate units in the system
- % franchised
- 76%
- vs corporate-owned
- Net growth (3-yr)
- +0.0%
- Net unit change over 3 years
- 3-yr CAGR
- +0.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 5
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 25 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
66 current owners across 25 states.
- OH 10
- TX 9
- NC 7
- FL 5
- IA 4
- PA 3
- AZ 2
- CO 2
- IL 2
- IN 2
- KS 2
- MA 2
- +13 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Five concluded cases: (1) Price v. Epcon Communities et al. - plumbing defect claims, settled $95,000 ($35,000 paid by Epcon entities); (2) Marrington Villas at Cobblestone Association v. Epcon - construction defect/fraud claims, settled $1,000,000; (3) Lipari v. Epcon Nantz Road - fraud/misrepresentation re: drainage and lake access, settled $52,500 plus drain installation; (4) M.E. Stores Property v. Epcon Nantz Road - dust/nuisance property damage claim, settled $25,000 total ($22,000 paid by Epcon); (5) Fair Housing Advocates Association/HUD/DOJ v. Epcon Communities re: ADA/Fair Housing accessibility violations at multiple Ohio projects, resolved via Consent Decree with $2,200,000 retrofit fund, $51,303 civil penalty, $40,000 settlement to FHAA, and $300,000 fund for aggrieved persons.
Largest disclosed settlement: $2,200,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · GBQ Partners LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Consolidated Statements of Income for Epcon Communities Franchising, LLC and Subsidiary, years ended Dec 31, 2022 and 2021. FY2022 total franchising revenue $7,585,321 (franchise fees/royalties $6,710,985; advertising fees $388,428; conference fees $485,908). Total other income $42,346 (interest income, misc income, net of other tax). Net income $2,013,851. Auditor firm name not present in text (signed Columbus, Ohio, April 17, 2023).
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 70 / 100 verdict
- 01HIGHMultiple active litigation cases including Fair Housing Act violation with Consent Decree — regulatory compliance risk and reputational damage
- 02MEDNo average net income disclosed — impossible to validate actual profitability despite $598,881 average revenue claim
- 03MINORRoyalty structure ($3,000 minimum monthly) creates fixed cost burden regardless of actual sales performance
- 04HIGHConstruction defect litigation across multiple projects (Price, Marrington Villas, Lipari) indicates systemic quality/delivery issues
Severity inferred from the FDD text · not a regulatory classification
Litigation case detail5 matters · Item 3
Litigation cases
The franchisor
Concluded (1)
Fair Housing Advocates Association v. Epcon Communities, Inc., et al. (HUD Case No. 05-12-0088-8) and Assistant Secretary of Fair Housing and Equal Opportunity (“FHEO”) v. Epcon Communities, Inc. (HUD Case No. 05-13-0010-8); consolidated within United States of America v. Epcon Communities, LLC and
concludedGovernment or regulatory action · filed 2011 · U.S. Department of Housing and Urban Development, Fair Housing Office (Midwest Region, Region V); consolidated in the United States District Court, Southern District of Ohio, Eastern Division · HUD 05-12-0088-8 (Inquiry No. 329941); HUD 05-13-0010-8 (Inquiry No. 349829); 2:19-cv-4601
“Inquiry No. 329941 and Assistant Secretary of Fair Housing and Equal Opportunity (“FHEO”) v. Epcon Communities, Inc., HUD Case No. 05-13-0010-8, Inquiry No. 349829; United States of America v. Epcon Communities, LLC and Epcon Communities Franchising, Inc., Case No. 2:19-cv-4601 (United States District Court, Southern District of Ohio, Eastern Division, filed October 17, 2019).”Page 14 of the 2026 FDD, Item 3
Outcome:“The parties entered into a Consent Decree settling the matter on March 25, 2020. The Consent Decree has a term of three (3) years from the date of its entry and subjects ECFL and Epcon LLC to the following: (i) an injunction from discrimination on the basis of disability as prohibited by the Fair Housing Act, 42 U.S.C.” (page 15)
Parent, affiliates and predecessor
Concluded (4)
Robert Price and Linda Price v. Epcon Communities, LLC, Epcon Marrington, LLC, Epcon Communities North Carolinas, LLC, and Jenkins Plumbing Company, LLC
settledThird-party plaintiff · Epcon Communities, LLC; Epcon Marrington, LLC; Epcon Communities North Carolinas, LLC · filed 2022-08-18 · Court of Common Pleas for the Ninth Judicial District, Berkeley County, South Carolina · 2022-CP-0801974
“Robert Price and Linda Price v. Epcon Communities, LLC, Epcon Marrington, LLC, Epcon Communities North Carolinas, LLC, and Jenkins Plumbing Company, LLC, Case No. 2022-CP-0801974 in the Court of Common Pleas for the Ninth Judicial District, Berkeley County, South Carolina. Litigation commenced August 18, 2022.”Page 13 of the 2026 FDD, Item 3
Outcome:“This matter settled in November, 2024 and defendants agreed to pay plaintiffs $95,000, of which $35,000 was paid by the Epcon entities, and the remainder by subcontractors of the Epcon entities. This matter is concluded.”
Marrington Villas at Cobblestone Association, Inc. v. Epcon Communities, Inc., n/k/a Epcon Communities, LLC, Epcon Communities Carolinas, LLC, and Epcon Marrington, LLC
settledThird-party plaintiff · Epcon Communities, LLC (f/k/a Epcon Communities, Inc.); Epcon Communities Carolinas, LLC; Epcon Marrington, LLC · filed 2021-06-14 · Circuit Court for the Ninth Judicial Circuit, State of South Carolina, County of Berkeley · 2021CP0801194
“Marrington Villas at Cobblestone Association, Inc. v. Epcon Communities, Inc., n/k/a Epcon Communities, LLC, Epcon Communities Carolinas, LLC, and Epcon Marrington, LLC, Case No. 2021CP0801194 in the Circuit Court for the Ninth Judicial Circuit, State of South Carolina, County of Berkeley. Litigation commenced June 14, 2021.”Page 13 of the 2026 FDD, Item 3
Outcome:“This matter settled in August, 2024 as to the Epcon defendants with a payment of $1,000,000 to plaintiffs. This matter is concluded.”
M.E. Stores Property, LLC v. Epcon Nantz Road, LLC, Epcon Communities Carolinas, LLC, Epcon Communities, LLC et al.
settledThird-party plaintiff · Epcon Nantz Road, LLC; Epcon Communities Carolinas, LLC; Epcon Communities, LLC · filed 2020-10-28 · General Court of Justice Superior Court Division of Mecklenburg County, North Carolina; removed to the United States District Court for the Western District of North Carolina · 20-CVS-14594 (removed: 3:20-CV-631)
“M.E. Stores Property, LLC v. Epcon Nantz Road, LLC, Epcon Communities Carolinas, LLC, Epcon Communities, LLC et al., Case No. 20-CVS-14594 in the General Court of Justice Superior Court Division of Mecklenburg County, North Carolina. Litigation commenced on October 28, 2020.”Page 14 of the 2026 FDD, Item 3
Outcome:“The case was settled for total payments of $25,000 by defendants of which the Epcon defendants paid $22,000. The Notice of Voluntary Dismissal was filed on June 15, 2022. This matter is concluded.”
Lipari v. Epcon Nantz Road, LLC, et al.
settledThird-party plaintiff · Epcon Nantz Road, LLC; Epcon Communities, LLC; officers Philip G. Fankhauser and Edward A. Bacome named as defendants · filed 2019-01-07 · Superior Court Division of Mecklenburg County, North Carolina · 19-CVS-93
“Lipari v. Epcon Nantz Road, LLC, et al., Case Number 19-CVS-93, in the Superior Court Division of Mecklenburg County, North Carolina. This case was filed on January 7, 2019. The defendants include Epcon Communities, LLC, Philip G. Fankhauser and Edward A. Bacome, as well as other parties.”Page 14 of the 2026 FDD, Item 3
Outcome:“The settlement agreement provided that Epcon Nantz Road, LLC agreed to pay to Mr. and Mrs. Lipari the amount of $52,500, Epcon Nantz Road, LLC agreed to install up to two (2) yard drains in the Liparis’ side yard and/or back yard to connect to the main storm drainage system for the community, and the parties agreed to mutual releases of all claims. This matter is concluded.”
Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.
What are you signing up for?
Ongoing fees run about 2.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 4 years |
|---|---|
| Allowed renewalsℹ | 0 |
| Territory type | Exclusive territory |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory radius | 12 mi |
| Online sales rights | Granted |
| Franchisor can compete | No |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 23 |
| Curable defaultsℹ | 11 |
| Mandatory arbitration | Yes |
| Arbitration location | Columbus, Ohio |
| Jury trial waiver | Yes |
| Governing law | Ohio |
| Litigation count | 5 |
View Item 3 litigation summary
Five concluded cases: (1) Price v. Epcon Communities et al. - plumbing defect claims, settled $95,000 ($35,000 paid by Epcon entities); (2) Marrington Villas at Cobblestone Association v. Epcon - construction defect/fraud claims, settled $1,000,000; (3) Lipari v. Epcon Nantz Road - fraud/misrepresentation re: drainage and lake access, settled $52,500 plus drain installation; (4) M.E. Stores Property v. Epcon Nantz Road - dust/nuisance property damage claim, settled $25,000 total ($22,000 paid by Epcon); (5) Fair Housing Advocates Association/HUD/DOJ v. Epcon Communities re: ADA/Fair Housing accessibility violations at multiple Ohio projects, resolved via Consent Decree with $2,200,000 retrofit fund, $51,303 civil penalty, $40,000 settlement to FHAA, and $300,000 fund for aggrieved persons.
Items 10, 11
Training & Operations
- Classroom training
- 11 hrs
- On-the-job training
- 0 hrs
- Training location
- Greater Columbus, Ohio area
- Ongoing training
- Required
- Time to open
- 60 mo
- From signing to launch
- Site selection
- franchisee
- Franchisor financing
- Not offered
- Item 10
- POS system
- Higharc
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Higharc
Item 20 · call current owners
Franchisee Contacts
66 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Epcon Communities franchise?
The total investment to open a Epcon Communities franchise ranges from $3.8M – $6.4M, with an initial franchise fee of $75K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Epcon Communities franchise owners earn?
Epcon Communities makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Epcon Communities?
Epcon Communities is franchised by Epcon Communities Franchising, LLC. Its parent company is EC Franchising, LLC / Epcon JV LLC / Epcon Holding LLC. Source: FDD Item 1, 2026 filing.
What is Item 19 in the Epcon Communities FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Epcon Communities FDD and qualifies whose outlets they describe.
What is Epcon Communities's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Epcon Communities (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Epcon Communities franchise locations are there?
As of their most recent FDD filing, Epcon Communities has 105 total units in the United States, including 80 franchised units and 25 company-owned units. 9 new units were opened in the latest reporting year.
Is Epcon Communities a good franchise to buy?
FranchiseVerdict rates Epcon Communities as a A-grade franchise with a verdict score of 70 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.