Carl’s Jr. TENANT OVERVIEW
Updated: January 17, 2019
- Long-term lease with rent increases
- Lease guarantees every 5 years
- NNN eliminates landlord responsibility
- Regional chain
- Franchisee guarantee
- Privately owned
Western US burger chain.
Carl’s Jr. has grown into one of the most well-known fast food franchises not only in the United States but the world. The smaller space required for the restaurant allows the location to be more flexible. The space can also be easily interchanged with another tenant should Carl’s Jr. leave or not renew. Carl’s Jr. leases tend to be long term and require no landlord responsibilities from the owner.
Located primarily on the West Coast and the Southwest, Carl’s Jr. has been able to build its reputation with a contained audience and build brand recognition with consumers in those areas.
Following its founding as a modest BBQ joint in Anaheim, CA, Carl’s Jr. began to transform into one of the largest fast food conglomerates in the country. They are most known for their Thickburger line, but have expanded into hand breaded chicken tenders and recently vegetarian options for plant-based burgers.
Carl’s Jr. has a total of 1,322 restaurants with 500 of those being dual branded as a Carl Jr.’s/Green Burrito. Falling under the CKE umbrella, Carl’s Jr. is a sister company with fellow burger restaurant Hardee’s, effectively splitting the country in half geographically.
Average Cap Rate
12 mo avg with 10+ yr lease term
Average Property & Lease
|Average Sale Price
||$450 - $900
||2,000 - 4,000
||0.5 - 1.0 acres
Average Cap Rate Trend
Rates reflect last 12 mos, short and long-term
Recent Sales Comps
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Avg. Cap Rate: 5.48%
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