Case study · Restaurants
Illustrative — not a closed transactionA 12-unit franchisee funds three new stores from the real estate under the first seven.
Development agreement said three more units by [YEAR]. The bank said 25% down per store at today's rates. The buildings said something else.
Written by Dwaine Clarke , Founder & Principal Broker, American Net Lease, LLC Reviewed
On this page: Read · Model · Structure · Market · Close
How it unfolded
Read → Model → Structure → Market → Close
Every figure below is bracketed until it comes from a closed file with the client's consent. The structure and sequence are real; the numbers are placeholders.
Seven owned parcels, [LOAN BALANCE] of debt at [RATE]%, unit economics that could carry rent at [COVERAGE]× coverage. Indicative value from the QSR franchisee-guarantee band: [LOW]–[HIGH].
Refinance reached [LTV]% of value and required new personal guarantees. Hold meant three stores unbuilt. The sale-leaseback retired the debt and left [NET] to fund development — at an occupancy cost within [X]% of the current payment.
Individual leases (to keep the option of selling or closing a single unit later), [TERM]-year primary, [OPTIONS] × 5-year options, escalations capped at [ESC]%, assignment rights preserved for a future sale of the business.
Scored and matched to [N] active investors the day the package was ready; [OFFERS] offers in [DAYS] days; buyer selected on certainty of close, not headline price.
Loan retired at closing; [NET] wired to the operating company; first new unit under construction [MONTHS] later. The operator is now also on our buyer list for the 1031 he will need when he sells the business.
The same sequence is how operator capital advisory runs a commercial sale-leaseback for restaurant franchisees. Size a first pass in the sale-leaseback calculator, then request a Portfolio Capital Analysis.
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