Del Taco NNN Investor Hub | Cap Rate Trends, Credit Rating Trends, Lease Terms & Due Diligence
Last Year Cap
4.7%
This Year Cap
5.4%
Cap Change
0.8%
Last Year Rating
B-
This Year Rating
B-
Rating Change
No change
Del Taco – 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
Del Taco
Del Taco Net Lease: Secure, Essential Investment
Del Taco is a nationally recognized quick-service restaurant brand known for Mexican-inspired fast food, drive-thru convenience, and value-oriented menu offerings. This guide reviews cap rates, lease terms, franchisee strength, and key due diligence considerations for buyers and sellers of Del Taco net lease properties.
For 1031 exchange buyers, Del Taco ground lease properties are important to compare against fee simple Del Taco assets, as lease structure can materially impact pricing, financing, and long-term resale value.
Investors often target Del Taco assets for:
- Strong QSR Brand Recognition
- Drive-Thru Focused Restaurant Model
- Consistent Consumer Demand
- Attractive 1031 Exchange Compatibility
Del Taco ground lease properties require close comparison of rent escalations, remaining lease term, extension options, franchise operator strength, and residual land value versus fee simple ownership.
Del Taco Ground Lease Properties for 1031 Exchange Buyers
Del Taco ground lease properties often trade differently than fee simple Del Taco assets. Buyers should carefully evaluate lease structure, franchisee credit quality, remaining term, renewal options, landlord responsibilities, and reversion rights to understand long-term risk and return.
Del Taco – 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 |
| TenantKey | Tenant | Year | Moody | SP | Moody_Grade | SP_Grade | Moody_GradeRank | SP_GradeRank |
Del Taco Investment Market Statistics
AVERAGE SALE PRICE
BUILDING SIZE
AVERAGE NOI
LAND
$/SF RANGE
LEASE TERM SHOWN
Del Taco Investor Snapshot (Quick Facts)
Origins & Growth (Past)
- Founded in 1964 in Yermo
- Built around Mexican-inspired quick-service dining
- Expanded across Western and Southern U.S. markets
- Grew through corporate and franchise development
- Added drive-thru and digital ordering capabilities
- Became a recognized QSR restaurant brand
Where Del Taco Stands Today
- Expanding U.S. restaurant footprint
- Recognized Mexican-inspired QSR brand
- High drive-thru and takeout customer demand
- Mix of corporate and franchise-operated locations
- Expanding digital ordering platforms
- Focus on operational efficiency and restaurant growth
Where Del Taco Stands Today
- More digital ordering adoption
- Increased operational efficiency
- Growth in drive-thru and delivery demand
- Stronger customer engagement
- Expanding restaurant footprint
- Focus on franchise growth
- Benefiting from QSR demand trends
Why investors buy Del Taco NNN Properties or Del Taco ground Lease Properties?
Pros (what buyers like)
- Recognizable QSR Brand
Established quick-service restaurant brand with loyal customer base - Drive-Thru Focused Model
Strong consumer demand for convenient drive-thru dining - Consistent Consumer Traffic
Affordable menu supports recurring customer visits - Attractive Real Estate Locations
Often positioned on high-traffic retail corridors and signalized intersections - Passive Lease Structures
Long-term NNN or ground leases appeal to passive and 1031 buyers
Cons (what can bite you)
- Franchisee Credit Risk
Many locations are franchise-operated rather than corporate-guaranteed - Lease Structure Variability
Some assets are NN or modified NNN with landlord responsibilities - Limited Rent Growth
Some leases contain minimal or infrequent rent escalations - Competitive QSR Sector
Heavy competition within fast-food and Mexican-inspired dining categories - Re-Tenanting Challenges
Restaurant-specific layouts may limit future tenant flexibility
Investor Decision Framework (Buy / Hold / Sell)
✓ Strong “Buy Box” for a Del Taco Net Lease
• 10–15+ years term remaining (or shorter term with strong options) • Absolute NNN or clean NNN lease structure • Strong franchise or corporate operator • Prime retail corridor with strong visibility and access • Modern drive-thru format with consistent customer traffic • Rent aligned with market fundamentals, supporting resale potential
02
⚠ Yellow Flags (Price Accordingly)
• NN lease (not true NNN) with landlord responsible for roof, structure, or parking lot • Flat rent with limited or no rent escalations • Weak or undercapitalized franchise operator • Older or outdated restaurant format with renovation risk • Non-prime location with weak visibility or access • Heavy competition within the quick-service restaurant sector • Restaurant-specific layout that may limit future re-tenanting flexibility
Find out more
Del Taco Background & History
Del Taco is a nationally recognized quick-service restaurant brand best known for its Mexican-inspired menu, drive-thru convenience, and value-oriented dining model. What began as a small restaurant concept in California evolved into a multi-state quick-service chain focused on affordable food, operational efficiency, and convenient customer access.
Over time, the company expanded across Western and Southern U.S. markets through a mix of corporate and franchise development. Today, customers rely on Del Taco locations for convenient breakfast, lunch, late-night dining, and drive-thru service supported by strong brand familiarity and recurring consumer demand.
As consumer preferences have shifted toward convenience and off-premise dining, Del Taco has adapted through digital ordering platforms, delivery partnerships, drive-thru optimization, and operational efficiencies designed to support higher transaction volumes.
Why Del Taco Matters to NNN Investors
Del Taco operates within the large and competitive quick-service restaurant sector, serving customers through drive-thru focused locations positioned along major retail corridors and dense suburban trade areas. The business model benefits from affordable pricing, recurring consumer traffic, and extended operating hours.
Many Del Taco properties feature strong street visibility, signalized intersections, and convenient ingress and egress that help support consistent customer traffic. In addition, the company continues investing in digital ordering capabilities, operational improvements, and restaurant modernization initiatives.
This focus on convenience-oriented dining helps explain why Del Taco remains relevant as consumer behavior increasingly shifts toward quick-service, takeout, and digital ordering trends.
What Buyers and Sellers Should Evaluate
For investors evaluating Del Taco NNN properties, a Del Taco net lease, or a Del Taco ground lease, the investment thesis is typically centered on franchise operator strength, real estate quality, and long-term site performance. As a result, buyers often place greater emphasis on lease structure, drive-thru performance, and local market fundamentals than on brand recognition alone.
Common searches include Del Taco real estate, Del Taco cap rate, Del Taco lease term, Del Taco franchisee credit, and restaurant sales performance. Ultimately, Del Taco net lease value is driven by site-specific factors, lease economics, operator quality, and the long-term viability of the location within its trade area.
As quick-service dining continues evolving toward convenience and digital ordering, the strongest Del Taco locations tend to be those with modern drive-thru formats, strong traffic counts, excellent visibility, and durable consumer demand. Buyers and sellers should evaluate each property individually, including visibility, access, surrounding demographics, nearby competition, and lease language outlining landlord responsibilities.
In addition, investors should consider long-term cash-flow durability, franchise renewal probability, local market trends, and how the property may perform across different hold periods and exit strategies.
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 Del Taco ground lease properties or fee simple Del Taco 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.