Corporate and franchisee Burger King leases, and how to tell who really stands behind the rent, from a NNN buyer’s broker with 225+ transactions.
A Burger King NNN property is a freestanding quick-service restaurant with a drive-thru, usually on a pad site of under an acre, leased on a long-term absolute NNN lease. New leases typically run 20 years with 10% rent increases every five years, and both ground leases and fee-simple deals trade. Burger King is owned by Restaurant Brands International (NYSE: QSR), which S&P upgraded to BB+ in May 2026. Most Burger Kings are franchised, but a meaningful share of the Burger Kings for sale are corporate leases, many of them tied to the roughly 1,000 Carrols restaurants RBI bought in 2024 and is now selling to local franchisees. Knowing exactly who signs and guarantees the lease is the key to any Burger King purchase, and it is where a buyer’s broker earns their keep on a 1031 exchange.
Solid Investments FL has represented buyers on 225+ NNN transactions, including dozens of quick-service restaurants such as Wendy’s, Taco Bell, McDonald’s and Jack in the Box. See them in our track record. Our buyer representation is always free to you.
| Tenant | Burger King corporate (a Burger King or RBI entity) or a franchisee operating company; confirm the tenant and every guarantor on each lease |
|---|---|
| Parent company | Restaurant Brands International (NYSE: QSR), which also owns Tim Hortons, Popeyes and Firehouse Subs |
| Corporate credit | RBI: S&P BB+ (upgraded May 2026), one notch below investment grade; franchisee credit varies by operator |
| Restaurants | About 7,000 in the U.S. and Canada; the large majority franchised |
| Recent performance | U.S. comparable sales up 8.5% in Q2 2026, helped by the “Reclaim the Flame” remodel program |
| Typical lease term | 20 years on new leases |
| Lease type | Absolute NNN; ground leases and fee-simple sale-leasebacks both trade |
| Rent increases | Typically 10% every 5 years |
| Typical cap rate (2026) | Corporate: about 4.5%–5.5% on new 20-year leases. Franchisee leases trade higher, depending on the operator |
| Typical price range | About $1M–$3.5M, depending on market, lease type and whether you buy the land only or the building too |
Credit ratings, store counts and sales as of October 2026 (RBI Q2 2026 report). Cap rates and pricing reflect current market conditions and vary by deal.
A good share of on-market Burger Kings are corporate leases, which trade at lower cap rates. The rest are guaranteed by franchisees. Read exactly who signs the lease and who guarantees it before you compare prices.
In 2024 RBI bought Carrols, its largest franchisee, with about 1,000 restaurants, and is now selling most of them to local operators. If you buy one of these stores, check the lease’s assignment clause: if the store is sold to a franchisee, does the original guarantor stay on the lease or get released?
On a franchisee lease, confirm how many units actually back it. Franchisees often hold their restaurants in separate subsidiaries, so a lease from a large operator may be guaranteed by an entity with only a handful of stores. Get that entity’s unit count and financials.
Ask for store-level sales. For quick-service restaurants, rent at 6%–8% of sales is healthy and below 6% is very strong; around 10% is close to break-even for many operators. The lower the ratio, the more likely the operator renews.
Compare the rent per square foot to what similar restaurant buildings lease for nearby. If it is at or below market, you can likely re-lease the building at the same or even a higher rent if the operator ever fails.
Burger King is investing hundreds of millions in remodels. A recently remodeled or new-prototype store, on a corner with strong traffic and drive-thru stacking, is your best long-term protection.
Solid Investments FL is a NNN buyer's brokerage based in Lakewood Ranch (Sarasota), FL, with 225+ NNN transactions, including dozens of quick-service restaurants. We help investors and 1031 exchange buyers find, underwrite and close corporate and franchisee Burger King properties nationwide, and our buyer representation is free.
As of 2026, new 20-year corporate Burger King ground leases generally trade around 4.5% to 5.5%. Franchisee-guaranteed leases trade higher, depending on the operator's size and strength, the store's sales and the remaining lease term.
Both are common. Most Burger King restaurants are franchised, but a good share of the Burger Kings for sale are corporate leases, including many tied to the former Carrols restaurants that Restaurant Brands International bought in 2024. Always confirm exactly who signs and guarantees the lease.
Burger King's parent, Restaurant Brands International, was upgraded by S&P to BB+ in May 2026, one notch below investment grade. Franchisee operators are typically not rated, so their strength has to be judged from their size, financials and track record.
Start with how many restaurants actually back the guarantee, since franchisees often hold stores in separate subsidiaries. Next, compare rent to store sales: rent at 6% to 8% of sales is healthy, below 6% is very strong, and around 10% is close to break-even for many operators. Finally, check rent per square foot against the local market so the building could be re-leased at the same or a higher rent if needed.
It can be, with price points from about $1 million to $3.5 million and long, passive 20-year terms. Corporate leases offer more security; franchisee leases offer higher cap rates but need careful review of the operator and the store.
If you buy it fee simple, yes: you own the building and site improvements, which can be depreciated, and a cost segregation study can accelerate part of that. With a ground lease you own only the land, which is not depreciable. Confirm with your CPA.
General information only, not investment, tax or legal advice. Credit ratings and market data change; verify current figures before investing.
We know how to tell a strong corporate or franchisee Burger King from a weak one. Tell us your budget and timeline; our buyer representation is completely free.
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