Yum! Brands NNN Property Lease: Pros, Cons, and History

Contact us for a complimentary broker opinion of value for your off-market Yum! Brands NNN property for sale or Yum! Brands ground lease property for investment, specifically tailored to support your 1031 exchange requirements. This valuable assessment will provide you with the necessary clarity to make informed decisions regarding the sale of your Yum! Brands NNN property or the inclusion of a Yum! Brands ground lease property in your investment portfolio. As specialists in working with 1031 exchange buyers seeking off-market Yum! Brands properties, we are dedicated to delivering competitive offers with reduced fees to help you maximize your investment returns. Yum! Brands ground lease.

Number of locations

As of January 2023, Yum! Brands has over 56,000 restaurants in more than 155 countries and territories. Of these, over 20,000 are located in the United States.

Revenue and income

In 2022, Yum! The brand’s total revenue was $24 billion. Net income was $1.1 billion.

Future plans

Yum! Brands plans to continue expanding its global footprint. In 2023, the company plans to open over 4,000 new restaurants worldwide. Yum! Brands also invest in new technologies like digital ordering and contactless payments.

Corporate vs. franchise

About 90% of Yum! Brands restaurants are franchised. The remaining 10% are corporate-owned. Franchisees typically pay a franchise fee of $25,000 to $50,000 and a royalty fee of 4% to 6% of gross sales.

Additional information Yum! Brands Properties

1. Yum! Brands was founded in 1997 as a spin-off from PepsiCo.
2. The company’s brands include KFC, Pizza Hut, Taco Bell, and The Habit Burger Grill.
3. Yum! Brands is the world’s largest restaurant company regarding system sales.
4. The company’s most popular menu includes Original Recipe Fried Chicken, Stuffed Crust Pizza, and Crunchwrap Supremes.
5. Yum! Brands is dedicated to fostering social responsibility and sustainability. The company has a range of initiatives to minimise its environmental footprint and bolster the well-being of the communities it serves.

Yum! Brands History

Yum! Brands traces back to 1967 when Harland David Sanders founded Kentucky Fried Chicken (KFC). 1972, Taco Bell was acquired, followed by Pizza Hut in 1977. These three brands formed the foundation of Yum! Brands when it was spun off from PepsiCo in 1997.
Yum! Brands has since become the world’s largest restaurant company regarding system sales. The company operates over 56,000 restaurants in more than 155 countries and territories.

Why Invest in Ground Lease and NNN Lease of Yum! Brands?

Investing in Yum! Brands’ ground lease and triple net (NNN) lease properties offer compelling reasons:

1) Yum! Brands NNN Property Investment: Stable income

With a well-established brand and strong market presence, Yum! Brands provide reliable income streams. Ground and NNN leases offer predictable cash flows over the long term.

2) Yum! Brands NNN Property Investment: Established tenant

Yum! Brands’ success and recognizable brands reduce the risk of vacancy or lease default, ensuring a stable tenant for the property.

3) Yum! Brands NNN Property Investment: Low management responsibility

In-ground and NNN leases, the tenant manages property maintenance and expenses, minimizing the landlord’s management obligations.

4) Yum! Brands NNN Property Investment: Favorable lease terms

Long lease terms with built-in rent escalations provide predictable income and potential rental growth.

5) Yum! Brands NNN Property Investment: Real estate value

Yum! Brands’ strategic locations in high-traffic areas can increase property value, offering potential capital appreciation.

Pros and Cons of Yum! Brands Ground Lease and NNN Lease Investment

Pros:

1. Stable income from a well-established brand.
2. Established tenant reduces vacancy and lease default risks.
3. Minimal management responsibility for landlords.
4. Long lease terms provide stability and potential income growth.

Cons:

1. Lease renewal risk when the term expires.
2. Dependency on Yum! Brands’ success and operational challenges.
3. Market saturation and competition affect profitability.
4. Limited control over property decisions.
5. Economic and market risks inherent in real estate investments.

Thorough due diligence and consideration of location, lease terms, tenant strength, and investment strategy are essential. Seek guidance from real estate professionals and financial advisors to align with your goals and risk tolerance.

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Interested in selling your Yum! Brands NNN property or Yum! Brands ground lease property and was wondering what you can get for it in today’s changing market?