Burger King NNN Investor Hub | Cap Rate Trends, Credit Rating Trends, Lease Terms & Due Diligence
Last Year Cap
6.0%
This Year Cap
6.3%
Cap Change
0.3%
Last Year Rating
BB
This Year Rating
BB
Rating Change
No change
Burger King – NNN Cap Rate Trend
Cap Rate Trends
| wdt_ID | wdt_created_by | wdt_created_at | wdt_last_edited_by | wdt_last_edited_at | Tenant | Year | Cap Rate |
|---|---|---|---|---|---|---|---|
| 5779 | admin2 | 2026 04:17 AM | admin2 | 2026 04:17 AM | 7 Brew | 2,020 | 6.5 |
| 5780 | admin2 | 2026 04:17 AM | admin2 | 2026 04:17 AM | 7 Brew | 2,021 | 6.3 |
| 5781 | admin2 | 2026 04:17 AM | admin2 | 2026 04:17 AM | 7 Brew | 2,022 | 6.0 |
| 5782 | admin2 | 2026 04:17 AM | admin2 | 2026 04:17 AM | 7 Brew | 2,023 | 6.3 |
| 5783 | admin2 | 2026 04:17 AM | admin2 | 2026 04:17 AM | 7 Brew | 2,024 | 6.6 |
| 5784 | admin2 | 2026 04:17 AM | admin2 | 2026 04:17 AM | 7 Brew | 2,025 | 6.6 |
| Tenant | Year | Cap Rate |
Credit (what net-lease buyers care about)
Credit Snapshot
Burger King
Burger King Net Lease: Secure, Essential Investment
Burger King is a globally recognized quick-service restaurant brand operating under Restaurant Brands International. Unlike investment-grade tenants, most Burger King properties are franchise-operated, making tenant credit dependent on the individual operator rather than the corporate entity.
This guide reviews cap rates, lease terms, tenant credit, and key due diligence considerations for buyers and sellers.
For 1031 exchange buyers, Burger King properties should be compared carefully, as franchise-backed fee simple assets and ground leases can differ in pricing, financing, and long-term resale value.
Investors often target Burger King assets for:
- Higher Yield Potential
- Strong QSR & Drive-Thru Demand
- Recognized Global Brand
- 1031 Exchange Compatibility
Burger King ground lease properties require close comparison of rent escalations, remaining lease term, renewal options, and underlying land value versus fee simple ownership.
Burger King Ground Lease Properties for 1031 Exchange Buyers
Burger King ground lease properties often trade differently than fee simple assets. Buyers should carefully evaluate lease structure, franchisee strength, remaining term, renewal options, landlord responsibilities, and reversion rights to understand long-term risk and return.
Burger King – Credit Trend (S&P vs Moody’s)
Tenant_Rating_Trend
| wdt_ID | wdt_created_by | wdt_created_at | wdt_last_edited_by | wdt_last_edited_at | TenantKey | Tenant | Year | Moody | SP | Moody_Grade | SP_Grade | Moody_GradeRank | SP_GradeRank |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | admin2 | 2025 03:43 PM | admin2 | 2025 03:43 PM | 7eleveninc | 7-Eleven, Inc. | 2022 | Baa2 | A | Lower Medium Grade | Upper Medium Grade | 5 | 6 |
| 2 | admin2 | 2025 03:43 PM | admin2 | 2025 03:43 PM | 7eleveninc | 7-Eleven, Inc. | 2023 | Baa2 | A | Lower Medium Grade | Upper Medium Grade | 5 | 6 |
| 3 | admin2 | 2025 03:43 PM | admin2 | 2025 03:43 PM | 7eleveninc | 7-Eleven, Inc. | 2024 | Baa2 | A | Lower Medium Grade | Upper Medium Grade | 5 | 6 |
| 4 | admin2 | 2025 03:43 PM | admin2 | 2025 03:43 PM | 7eleveninc | 7-Eleven, Inc. | 2025 | Baa2 | A | Lower Medium Grade | Upper Medium Grade | 5 | 6 |
| 5 | admin2 | 2025 03:43 PM | admin2 | 2025 03:43 PM | 99centsonlystoresllc | 99 Cents Only Stores, LLC | 2022 | Caa2 | CCC+ | Substantial Risk | Substantial Risk | 2 | 2 |
Burger King Stock Price (NYSE:QSR)
Burger King Investment Market Statistics
AVERAGE SALE PRICE
BUILDING SIZE
AVERAGE NOI
LAND
$/SF RANGE
LEASE TERM SHOWN
Burger King Investor Snapshot (Quick Facts)
Origins & Growth (Past)
- Founded as a small hamburger restaurant in Florida
- Pioneered the flame-grilled burger concept
- Expanded rapidly through franchising across the U.S.
- Established a strong national and international restaurant network
- Introduced the iconic Whopper and value menu offerings
- Innovated with drive-thru and quick-service formats
- Became one of the largest global fast-food chains under Restaurant Brands International
Where Burger King Stands Today
- Large U.S. and global footprint across 100+ countries
- One of the leading global burger QSR brands
- High drive-thru and takeout traffic volumes
- Strong franchise-led, asset-light operating model under Restaurant Brands International
- Expanding menu innovation and value offerings
- Growing digital ordering and delivery platforms
- Focus on cost efficiency and margin improvement
Where Burger King Stands Today
- More menu innovation (premium burgers, value deals, limited-time offers)
- More digital growth (mobile ordering, delivery partnerships)
- Stronger value positioning to drive traffic
- Optimized restaurant formats (modern designs, drive-thru focused)
- Ongoing global expansion across key markets
- Focus on efficiency and franchisee profitability
Why investors buy Burger King NNN Properties or Burger King ground Lease Properties?
Pros (what buyers like)
- Recognized global brand
Operates under Restaurant Brands International with strong consumer awareness - Higher yield potential
Typically offers higher cap rates than investment-grade tenants - Strong QSR demand
Drive-thru model supports consistent daily traffic - Prime retail locations
Many sites are on high-traffic corridors and signalized intersections - 1031 exchange friendly
Accessible price points for private and exchange buyers
Cons (what can bite you)
- Franchisee credit risk
Most locations are not corporate-backed, depends on operator strength - Lease structure variability
Some deals are NN or modified NNN, with landlord responsibilities - Flat or limited rent growth
Rent bumps may be infrequent or minimal - Re-tenanting risk
QSR-specific layouts can limit replacement tenant options - Sales-dependent performance
Store performance impacts long-term stability and value
Investor Decision Framework (Buy / Hold / Sell)
Strong “Buy Box” for a Burger King Net Lease
• 15+ years lease term (or 10+ years with solid renewal options) • NNN or clean NN lease structure with minimal landlord responsibilities • Strong multi-unit franchisee operator with proven performance • High-traffic location with drive-thru access (signalized intersection preferred) • Modern restaurant prototype (updated design, good reusability) • Rent aligned with store sales (supports long-term stability and resale)
02
⚠ Yellow Flags (Price Accordingly)
• Franchisee credit risk (single-unit or weak operator financials) • NN or modified NNN lease with landlord roof/structure responsibility • Flat rent or minimal escalations during the primary term • Short remaining lease term without strong renewal options • Older or outdated building (limited reusability or higher capex risk) • Non-prime location (low traffic, poor visibility, weak drive-thru access)
Find out more
Burger King Background & History
Burger King is a globally recognized quick-service restaurant brand best known for its flame-grilled burgers and drive-thru service. What began as a single hamburger restaurant evolved into one of the largest fast-food chains in the world, focused on quick, affordable meals and high-volume customer service.
Over time, the brand expanded rapidly through franchising, building a strong presence across the United States and international markets. Today, Burger King operates under Restaurant Brands International, with thousands of locations serving dine-in, takeout, and drive-thru customers.
As consumer preferences shifted toward convenience and value, the brand adapted through drive-thru expansion, digital ordering, and standardized restaurant formats, supporting efficient operations and consistent customer traffic.
Why Burger King Matters to NNN Investors
Burger King operates within the quick-service restaurant (QSR) sector, driven by repeat visits and everyday dining demand. Many locations benefit from high-traffic sites and drive-thru access, which help support consistent sales performance.
The business model is largely franchise-driven, meaning individual operators control store-level performance. This creates variability in tenant credit but also allows for broad market coverage and unit growth.
The company continues to invest in menu innovation, value offerings, and digital platforms, helping maintain relevance in a competitive fast-food landscape.
What Buyers and Sellers Should Evaluate
For investors evaluating Burger King NNN properties or ground leases, the investment thesis is typically centered on cash flow supported by location quality and franchisee strength.
Common searches include Burger King real estate, Burger King cap rate, Burger King lease term, Burger King tenant credit, and franchise vs corporate-backed deals. Ultimately, Burger King net lease value is driven by operator quality, lease structure, and site fundamentals.
Buyers and sellers should evaluate each property individually, including:
- Franchisee financial strength and experience
- Traffic counts, visibility, and drive-thru access
- Location quality and surrounding demand drivers
- Building condition and long-term reusability
- Lease terms, rent structure, and landlord responsibilities
In addition, investors should consider lease term remaining, rent sustainability, and exit strategy, as Burger King assets typically offer higher yields with corresponding tenant risk compared to investment-grade net lease properties.
our team of experts are here for you
Our team helps investors evaluate NNN properties with practical, market-based guidance. In addition, we support buyers and sellers with lease review, pricing analysis, and due diligence strategy.
Whether you are comparing Burger King ground lease properties or fee simple Burger King assets, we can help you review the details that affect risk and long-term value. As a result, clients can make more confident decisions based on lease structure, location quality, and investment goals.
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