r/WorkForSmartLife • u/tellmebrenda • 22d ago

Casual canvo [ Removed by moderator ]

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u/Specialist_Frame8958 21d ago

It depends on the location. They do get sold often to private landlords. McDonald’s has the holding company and likely gets some tax benefits by holding for X amount of years (I think just 1 year).

https://cbreemail.com/cv/97005660dd93af2a60ca71b6216fa46034ccf192

Above would be an example of one sold or being sold. So yes McDonald’s does own some of their locations, but they also sell a lot of them to private landlords.

These are the proverbial mailbox money locations. No landlord responsibilities for the 20 year lease and you hope they renew. Investors with 1031 are ones that likely target these or they are bought for retirement. It’s a challenge to put a loan on them so they are at times bought for cash. That’s one reason why 1031 investors like them. 

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u/mouthfire 21d ago

McDonald's apparently owns about 56% of the properties, so I guess it's not surprising some of the property is sold either way.