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Summary of Refranchisings and Franchise Acquisitions
 12 Months Ended
Oct. 01, 2023
Summary Of Refranchisings, Franchisee Development And Acquisitions [Abstract]  
Summary of Refranchisings and Franchisee Acquisitions SUMMARY OF REFRANCHISINGS AND FRANCHISE ACQUISITIONS
Refranchisings — The following table summarizes the number of restaurants sold to franchisees and gains recognized in each fiscal year (dollars in thousands):
202320222021
Restaurants sold to Jack in the Box franchisees5 15 — 
Restaurants sold to Del Taco franchisees111 — — 
Proceeds from the sale of company-operated restaurants (1)$85,221 $6,391 $1,827 
Broker commissions(1,614)— — 
Net assets sold (primarily property and equipment)(17,101)(1,565)— 
Goodwill related to the sale of company-operated restaurants(35,544)(948)— 
Franchise fees(3,086)— — 
Sublease liabilities, net(8,559)— — 
Lease termination(393)— — 
Other (2)(926)— 2,376 
Gains on the sale of company-operated restaurants$17,998 $3,878 $4,203 
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(1)Amounts in 2023, 2022, and 2021 include additional proceeds of $0.9 million, $1.4 million, and $1.8 million, respectively, related to the extension of the underlying franchise and lease agreements from the sale of restaurants in prior years.
(2)Amount in 2023 is primarily related to charges for a restaurant that was closed due to refranchising the related market. Amount in 2021 relate to adjustments to contingencies that were included in underlying franchise and lease agreements from the sale of restaurants in prior years.
Franchise acquisitions — In 2022 and 2021, we acquired 13 and 20 franchise restaurants, respectively. There were no such acquisitions in 2023. We account for the acquisition of franchised restaurants using the acquisition method of accounting for business combinations. The purchase price allocations were based on fair value estimates determined using significant unobservable inputs (Level 3). The goodwill recorded primarily relates to the sales growth potential of the market acquired and is expected to be deductible for income tax purposes.
The following table provides detail of the combined acquisitions in 2022, and 2021 (dollars in thousands):
20222021
Restaurants acquired from Jack in the Box franchisees13 20 
Inventory$— $258 
Property and equipment540 1,136 
Intangible assets66 245 
Other assets— 10 
Goodwill — 613 
Gains on the acquisition of franchise-operated restaurants(309)(340)
Liabilities assumed— (277)
Total consideration$297 $1,645 
The total consideration of $0.3 million for the restaurants acquired in 2022 was comprised of franchise receivables owed to the Company as of the acquisition date. During the first quarter of 2022, we finalized certain estimates impacting total purchase consideration for the 2021 restaurant acquisitions and recorded the resulting measurement period adjustments which increased goodwill by $0.3 million.
Assets held for sale — Assets classified as held for sale consisted of the following at each fiscal year-end (in thousands):
20232022
Jack in the Box restaurant properties (1) $11,097 $14,151 
Other property and equipment (2)766 2,868 
Del Taco restaurants to be refranchised:
Property and equipment771 — 
Goodwill1,291 — 
Assets held for sale$13,925 $17,019 
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(1)Consists of properties that are currently leased to franchisees which we intend to sell the underlying real estate directly to the franchisee and/or sell and leaseback with a third party within the next twelve months.
(2)Consists primarily of owned properties of closed restaurants which we are actively marketing for sale.