The Market for Franchisors

Some of the more prominent owners of commercial real estate in the United States are the franchisors of the well-known brands frequented every day. McDonald’s, for example, is well-known to have an extensive real estate portfolio. However, there are also many lesser known franchisors – often regional – who operate anywhere from 50 to several hundred free-standing units, particularly in the restaurant field. Some of this commercial real estate is used for company-owned units, and some is leased to franchisees.A majority of these properties are also net leased to investors. Though it is somewhat unknown, there is actually a viable market for these franchisors.

Typical investors in the franchisor market include: