Two Wendy's Trade at 96% of Asking Price

CAPITOL HEIGHTS, MD—Two Wendy’s properties, one located in Capitol Heights and the other Leonardtown, MD, have traded to a single buyer at 96% of their original asking price. The deal illustrates, of course, the near-insatiable demand for net lease properties in good locations under national brands. But it also shows how other factors important to buyers, such as the strength of the actual franchisee, can make a difference in a sale as well.

The two properties traded for a combined $5.1 million. Nathan Pealer, senior associate in Marcus & Millichap’s Washington, D.C. office, marketed the properties on behalf of the seller, DavCo Restaurants, one of the world’s largest Wendy’s franchisees, which owns 152 restaurants in the Washington DC-Baltimore area. The buyer was a private investor that acquired the properties via limited liabilities companies. Pealer represented the buyer as well.