| Metric | Details |
|---|---|
| Entity / Legal Name | Burger King Corporation (subsidiary of Restaurant Brands International Inc.) |
| Parent Company | Restaurant Brands International Inc. (NYSE: QSR) |
| S&P / Moody‑s Rating | BB / Ba3 |
| Rating Outlook | Positive (S&P) / Stable (Moody‑s) |
| Investment Grade Status | Non‑Investment Grade — Speculative |
| Sector | Restaurant / Quick Service (QSR) |
| Headquarters | Miami, Florida (RBI HQ: Toronto, Canada) |
| US Location Count | ~7,000+ restaurants |
| Global Location Count | ~19,600+ across 120+ countries |
| Cap Rate Range | 5.50% – 7.00% |
| Typical Lease Term | 15 – 20 years (NNN or Ground Lease) |
| Guarantee Type | Varies: Corporate (Burger King Corp) or franchisee |
| Typical Building Size | 3,000 – 4,500 SF (freestanding with drive-thru) |
| Typical Price Range | $1,800,000 – $5,500,000 |
Burger King Business Overview & NNN Investment Profile
Burger King is the second-largest hamburger QSR chain in the world by restaurant count, operating approximately 7,000 locations in the United States and over 19,600 globally across more than 120 countries. The brand is owned by Restaurant Brands International Inc. (NYSE: QSR), a Toronto-based holding company that also owns Popeyes, Tim Hortons, and Firehouse Subs. RBI is majority-controlled by 3G Capital, the Brazilian-American private equity firm, and generated approximately $7 billion in total revenue in 2025 across its four brands with $33+ billion in system-wide sales.
For NNN investors, Burger King is one of the highest-volume QSR tenants in the NNN market. The brand produces more sale-leaseback and NNN transaction volume than almost any other restaurant chain due to its massive U.S. footprint and the ongoing recapitalization of its franchise base. The critical underwriting distinction on every Burger King NNN deal is the guarantee structure: a corporate-guaranteed BK lease backed by Restaurant Brands International’s BB/Ba3 credit trades at a meaningfully different cap rate than a franchisee-guaranteed lease backed by a local or regional operator. RBI launched a major “Reclaim the Flame” turnaround plan investing $400 million in remodels, advertising, and operations, which has stabilized same-store sales and positioned the brand for S&P’s positive outlook.
Restaurant Brands International carries S&P BB with a positive outlook (as of March 2025) and Moody‑s Ba3 with a stable outlook. The positive S&P outlook signals a potential upgrade path toward BB+ or higher if RBI continues to improve operational performance and reduce leverage. RBI’s credit profile reflects its massive global franchise system generating strong royalty cash flows, offset by the elevated debt load carried since 3G Capital’s original leveraged buyout. The “Reclaim the Flame” initiative has driven improved franchisee profitability and unit economics at Burger King U.S., which S&P views favorably. NNN leases guaranteed at the RBI corporate level carry meaningfully stronger credit than franchisee-guaranteed deals.
Why Burger King Matters for NNN Investors
Burger King’s NNN investment appeal rests on several structural advantages. The brand occupies prime drive-thru real estate across virtually every U.S. market, typically on high-traffic corner pad sites and outparcels that carry strong underlying land value regardless of the tenant. BK properties are among the most re-tenantable in the QSR NNN market because of their standard freestanding drive-thru format: if Burger King were to close a location, the building could be converted to virtually any other QSR brand with minimal capital investment. This re-tenanting optionality provides a meaningful floor on property value.
The franchise system is dominated by large multi-unit operators. Carrols Restaurant Group was formerly the largest BK franchisee with over 1,000 locations before being acquired by RBI itself. The trend toward consolidation among BK franchisees means that NNN investors increasingly encounter larger, better-capitalized operators behind franchisee-guaranteed leases, though the financial strength still varies significantly from one operator to the next. Lease structures typically feature 15 to 20 year initial terms with 10% bumps every five years or 1.5% annual escalations, and properties range from $1.8 million to $5.5 million depending on market and format.
Cap Rate Analysis & Pricing for Burger King NNN Properties
Burger King NNN properties trade in the 5.50% to 7.00% cap rate range as of Q1 2026. Corporate-guaranteed leases from RBI trade at the tighter end (5.50% to 6.00%), while franchisee-guaranteed deals range from 6.00% to 7.00%+ depending on the operator’s financial profile, remaining term, and location quality. The S&P positive outlook has provided modest cap rate compression over the past year as the market prices in the improving credit trajectory.
| Comparable Restaurant NNN Tenant | S&P / Moody‑s | Cap Rate Range |
|---|---|---|
| Popeyes (RBI portfolio) | BB / Ba3 | 5.25% – 6.50% |
| Dairy Queen (Berkshire) | AA / Aa2 | 4.50% – 5.75% |
| Wendy‑s | B / Ba3 | 5.50% – 6.75% |
No. Burger King’s parent, Restaurant Brands International (NYSE: QSR), carries S&P BB and Moody‑s Ba3 ratings, placing it in the non-investment grade speculative category. However, S&P revised RBI’s outlook to positive in 2025, signaling a potential path toward upgrade.
Burger King NNN properties trade in the 5.50% to 7.00% cap rate range as of Q1 2026. Corporate-guaranteed leases trade tighter (5.50% to 6.00%) than franchisee-guaranteed deals (6.00% to 7.00%+).
A corporate-guaranteed BK lease is backed by Restaurant Brands International’s $7 billion revenue platform and BB/Ba3 credit. A franchisee-guaranteed lease is backed by the individual franchise operator, whose financial strength can range from a large multi-unit group managing hundreds of locations to a single-unit owner. This distinction can move cap rates by 100 to 150 basis points.
RBI owns four brands: Burger King (~19,600 global locations), Popeyes (~5,200), Tim Hortons (~6,100), and Firehouse Subs (~1,400). All carry the same RBI BB/Ba3 corporate credit on corporate-guaranteed leases.
The Only Burger King NNN Advisor Whose Fee Comes From the Deal, Not From You
In NNN buyer representation, the listing broker typically pays a cooperating commission to the buyer’s broker. On the majority of transactions, this means there is no separate fee to you as the buyer. Where a cooperating commission is not available, our compensation is agreed upon with you in advance so there are never surprises.
Find It — Burger King NNN properties sourced with corporate vs. franchisee guarantee verification, RBI credit analysis, drive-thru location quality assessment, and Reclaim the Flame remodel status before you commit.
Fund It — RBI’s BB/Ba3 credit with S&P positive outlook attracts competitive permanent financing. We have 150+ lender relationships to find best execution for QSR NNN.
Exit It — Selling a Burger King property? Drive-thru QSR NNN on prime pad sites commands deep buyer demand across both institutional and private capital. We maximize your exit.
Get Your Free Burger King NNN Consultation →
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Related NNN Tenants
Own a Burger King Property? Capital Markets Strategies Beyond Selling
Maturing debt and considering refinancing? Our capital markets team maintains 150+ lender relationships underwriting NNN properties across investment-grade and non-investment-grade credit tiers. We structure rate-and-term refinancing, cash-out refis, and bridge-to-perm takeouts.
Evaluating a 1031 exchange or disposition? We represent both sides of Burger King NNN transactions — whether you are looking to exit at peak value, exchange into a higher-quality credit tenant, or reposition within the same sector.
Need a current valuation? We maintain live comps on Burger King NNN transactions and can produce a Broker Opinion of Value within 48 hours reflecting today’s cap rate market.
Own multiple Burger King properties? Considering an off-market sale?
Investment Grade represents owners on confidential disposition of Burger King portfolios and individual properties through off-market direct-to-principal distribution to specialty REITs, private equity funds, and family offices. Burger King buyer demand runs deep, and portfolio sales consistently produce stronger pricing than sequential individual sales because the institutional buyer pool is structured around portfolio acquisition.
For multi-property owners considering a portfolio disposition, see Selling Investment Grade NNN Off-Market: Tenant-by-Tenant Buyer Demand. For the full off-market framework covering individual property dispositions, sale-leasebacks, and 1031 coordination, see Off-Market CRE Sales: The Complete 2026 Guide.
The pre-listing conversation is at no cost and fully confidential. Email team@investmentgrade.com or see contact Investment Grade.
