A long-established burger brand at higher cap rates, and how to judge the operator and the store, from a NNN buyer’s broker with 225+ transactions.
A Hardee’s NNN property is a freestanding quick-service restaurant with a drive-thru, usually leased on a long-term absolute NNN lease. Hardee’s is owned by CKE Restaurants Holdings, the private parent of Carl’s Jr., which is owned by private equity firm Roark Capital. About 87% of Hardee’s restaurants are franchised, so most leases are backed by the operator, not CKE. Hardee’s stores averaged about $1.15 million in sales in 2024, lower than many burger brands, which is one reason Hardee’s trades at higher cap rates.
Hardee’s ended fiscal 2026 with 1,485 restaurants, a net drop of 113 over two years. Most of those closures came from two franchisees: ARC Burger closed 77 stores in December 2025, and Superior Star closed 30 in 2025 and filed Chapter 11 in July 2026. That makes the operator and the store the heart of any Hardee’s 1031 exchange. Solid Investments FL has represented a buyer on a corporate Hardee’s in Jacksonville, Florida, and our buyer representation is always free to you.
| Tenant | Usually a franchisee operating company; corporate leases are less common. Confirm the tenant and every guarantor |
|---|---|
| Parent company | CKE Restaurants Holdings (private), owned by Roark Capital; based in Franklin, Tennessee |
| Parent credit | Private company, not publicly rated by S&P or Moody’s; franchisee credit varies by operator |
| Restaurants | 1,485 at fiscal 2026 year-end, about 87% franchised |
| Recent performance | CKE domestic same-store sales roughly flat (up 0.4%) in 2026; net 113 fewer Hardee’s over two years |
| Franchisee news | ARC Burger closed 77 stores (Dec. 2025); Superior Star filed Chapter 11 (July 2026) |
| Lease type | Mostly absolute NNN; fee-simple and ground-lease deals both trade |
| Rent increases | Varies by lease; some older leases add percentage rent. Check the rent schedule |
| Typical cap rate (2026) | About 6.25%–8%, depending on the operator and the store |
| Typical price range | About $1M–$3.5M |
Restaurant counts and franchisee news from franchise disclosure data and trade press as of 2026. Cap rates and pricing reflect current market conditions and vary by deal.
Most Hardee’s leases are guaranteed by a franchisee, not CKE. Read exactly who signs the lease and who guarantees it, including any personal guarantee.
Confirm how many units actually back the lease. Some Hardee’s leases are guaranteed by small operators with only a few stores, and large operators often hold stores in separate subsidiaries.
Recent closures were concentrated in a few large franchisees, including one in Chapter 11. Ask for the operator’s financials and check for closures, bankruptcies or dark stores.
Hardee’s sales per store are modest, so store-level sales matter. Rent at 6%–8% of sales is healthy, below 6% is very strong, and around 10% is close to break-even.
Compare the rent per square foot to what similar restaurants lease for nearby. Rent at or below market makes the site easier to re-lease.
Many Hardee’s sites are older stores with shorter remaining terms. Check the term, options and building age, and favor corner sites with strong traffic that other drive-thru users would want.
We’ve represented a buyer on a corporate Hardee’s in Jacksonville, Florida:
Fast Food / QSR
Solid Investments FL is a NNN buyer's brokerage based in Lakewood Ranch (Sarasota), FL, with 225+ NNN transactions, including a corporate Hardee's in Jacksonville, Florida. We help investors and 1031 exchange buyers find, underwrite and close quick-service restaurant properties nationwide, and our buyer representation is free.
As of 2026, Hardee's NNN properties generally trade around 6.25% to 8% cap rates. Strong operators and long remaining terms trade at the lower end, while small operators and short terms trade higher.
Then you own the land and the tenant owns the building. The main drawback is that you can't depreciate the building. The upsides: the tenant paid to build the store, so it has a strong vested interest in staying; ground rents are typically at or below market; and in most ground leases the building reverts to the landowner when the tenant vacates or the lease ends (verify it in your lease). That's why ground leases usually trade at lower cap rates.
Hardee's is owned by CKE Restaurants Holdings, a private company owned by Roark Capital that also owns Carl's Jr. CKE is not publicly rated by S&P or Moody's. Since most Hardee's are franchised, the operator's strength usually matters more than CKE's.
Usually franchisee. About 87% of Hardee's restaurants are franchised. Always confirm exactly who signs the lease and how many units back the guarantee.
Hardee's had a net 113 fewer restaurants over the two years ending fiscal 2026, mostly from two franchisees: ARC Burger closed 77 stores in December 2025, and Superior Star closed 30 in 2025 and filed Chapter 11 in July 2026. Hardee's has reopened 25 former ARC stores as company-run restaurants.
Start with how many restaurants actually back the guarantee. 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. Finally, check rent per square foot against the local market and confirm the operator is not in bankruptcy.
General information only, not investment, tax or legal advice. Credit ratings and market data change; verify current figures before investing.
We’ll help you vet the operator, the store and the site. Tell us your budget and timeline; our buyer representation is completely free.
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