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NNN Carl’s Jr. for Sale
Carl’s Jr. is a quick-service burger chain owned by CKE Restaurants Holdings, a privately held company based in Franklin, Tennessee, that also owns Hardee’s (Verdict Foodservice). Roark Capital bought a majority stake in CKE in 2013 (Roark Capital). The Boulder Group lists Carl’s Jr. as not rated by S&P (The Boulder Group, September 2026).
Boulder shows typical new leases at 15 years, triple net, with 10% rent increases every five years. With no credit rating to lean on, the tenant behind each lease matters: a California franchisee with 59 Carl’s Jr. locations filed for bankruptcy protection in April 2026 (KTLA, citing the Los Angeles Times).
Not Rated
S&P credit rating
1,063
Locations
15 Years
Typical lease term
10%
Increase every 5 years
3,000 SF
Typical building size
Triple Net
Typical lease type
Sources: The Boulder Group, Net Lease Tenant Profiles, September 2026 (Carl’s Jr. is not covered in the Matthews 2026 Net Lease Tenant Report); KTLA, citing the Los Angeles Times, on the California franchisee bankruptcy.
Key Takeaways
Private Tenant, No Credit Rating
Carl’s Jr. is owned by CKE Restaurants Holdings, a privately held company in which Roark Capital bought a majority stake in 2013 (Roark Capital). Boulder lists it as not rated by S&P, so underwrite the tenant or franchisee directly.
15-Year Triple Net Leases
Boulder lists a typical new lease as triple net with a 15-year term and 10% rent increases every five years, which works out to about 2% a year. Confirm the actual terms, and who handles roof and structure, on any property.
Higher Cap Rates, No Credit Rating
Carl’s Jr. properties currently show asking cap rates of 6.45% – 6.75% with 10 years remaining and 6.15% – 6.45% for a new 15-year lease (The Boulder Group, September 2026), above Burger King’s 6.30% – 6.60% and 5.80% – 6.10% in the same report.
A Franchisee Bankruptcy in California
A California franchisee filed for bankruptcy protection in April 2026 and plans to close 10 of its 59 Carl’s Jr. locations and sell 49 (KTLA, citing the Los Angeles Times). CKE has said the situation does not affect other locations (When in Your State).
Carl’s Jr. NNN Cap Rates and Lease Data
If you’re weighing a Carl’s Jr. property, three things shape what you’ll earn: who the tenant is, how the lease is structured, and what yield you’re paying for. Here’s how they fit together.
On the tenant, there is no rating to lean on. Boulder lists Carl’s Jr. as privately owned and not rated by S&P, and typical new leases as triple net with a 15-year term and a 10% rent increase every five years, which works out to about 2% a year.1 Because there is no public credit, the tenant behind the lease matters. Ask whether it is CKE or a franchisee, who guarantees the lease, and who handles roof and structure.
That’s where cap rates come in. Boulder shows asking cap rates of 6.15% – 6.45% on a new 15-year lease, 6.45% – 6.75% with 10 years left, and 7.15% – 7.45% with 5 years left.2 The pattern is worth knowing: as the remaining term gets shorter, the yield goes up, because you’re taking on the question of whether the lease renews. These asking rates run above Burger King’s at every term in the same report. Matthews, which tracks closed sales, doesn’t cover Carl’s Jr., so these are asking rates rather than closed-sale averages.
In dollars, Boulder puts the average sale price at about $2.0 million with average rent of about $130,000 a year. On a typical 3,000 SF restaurant, that works out to roughly $667 per square foot, and $130,000 on $2.0 million is a yield of 6.5%, inside the 10-year range above.3
1. The Boulder Group, Net Lease Tenant Profiles, September 2026, p. 19. Ownership and credit rating (S&P) as reported by Boulder; lease terms are typical for new construction. The 2% a year figure is our calculation (10% over five years). Boulder defines a triple net lease as one with no landlord responsibilities and a double net lease as one where the landlord is generally responsible for roof and structure. ↩
2. The Boulder Group, Net Lease Tenant Profiles, September 2026, p. 19 (Carl’s Jr.) and p. 17 (Burger King). Asking cap rates as of September 2026. Carl’s Jr. is not covered in the Matthews 2026 Net Lease Tenant Report. ↩
3. The Boulder Group, Net Lease Tenant Profiles, September 2026, p. 19. Average sale price and average rent as reported by Boulder; the per-square-foot figure and the yield are our calculations ($2,000,000 and $130,000 for a typical 3,000 SF restaurant). ↩
Carl’s Jr. as a Tenant
How Carl’s Jr. operates
Carl’s Jr. is a quick-service burger chain owned by CKE Restaurants Holdings, which also owns Hardee’s. CKE is privately held and based in Franklin, Tennessee (Verdict Foodservice). Roark Capital, an Atlanta private equity firm, completed its acquisition of CKE in 2013 (Roark Capital) and is still listed as CKE’s owner (Orange County Business Journal).
Technomic data cited by the Orange County Business Journal put Carl’s Jr. sales at $1.5 billion across 1,033 restaurants in 2024 (OCBJ). Boulder lists 1,063 locations. Neither is a current company-reported count, so ask for the latest count in the market you are considering.
Boulder lists a typical building at about 3,000 SF. California is a large market for the brand, with roughly 610 locations (Money Digest), which is why the franchisee news below matters.
Financial strength and growth
CKE is privately held and Boulder lists Carl’s Jr. as not rated by S&P. Without a public rating or filings, the credit behind a lease depends on who signs it: CKE, a franchisee or a guarantor. Ask for financial statements before you make an offer.
The California case shows why. Harshad Dharod’s franchise group filed for Chapter 11 protection in April 2026 and plans to close 10 of its 59 California Carl’s Jr. locations and sell 49 (KTLA, citing the Los Angeles Times). Dharod blamed California’s $20 minimum wage for fast-food workers, saying it made his costs jump (When in Your State).
CKE has said the situation reflects the finances of one independent franchisee and does not affect other Carl’s Jr. locations (When in Your State).
Why Investors Buy Carl’s Jr. Properties
Carl’s Jr. trades at higher yields than the rated brands. With 10 years remaining, The Boulder Group’s September 2026 asking range of 6.45% – 6.75% compares with 5.75% – 6.05% for Bank of America and 6.30% – 6.60% for Burger King.
The leases are long and the rent steps up. Boulder shows 15-year terms with 10% increases every five years, about 2% a year, on typical new triple net leases. The average rent is about $130,000 a year on a typical 3,000 SF building.
Risks and Market Conditions
The tenant is the main risk. Carl’s Jr. is not rated by S&P, CKE is privately held, and in California a franchisee with 59 locations filed for bankruptcy protection in April 2026 and plans to close 10 and sell 49 (KTLA, citing the Los Angeles Times). Ask who the tenant is on any property you consider, and ask for the lease guarantor and financials.
Also check the structure and the term. Boulder lists triple net, which it defines as no landlord responsibilities, but confirm who handles roof and structure in the actual lease. Asking cap rates rise as the remaining term shortens, from 6.15% – 6.45% on a new 15-year lease to 7.15% – 7.45% with 5 years left (The Boulder Group, September 2026).
Build a Diversified NNN Portfolio
Pairing a Carl’s Jr. with other net-lease brands spreads risk across tenants, industries and markets. Compare other brands we help buyers acquire:
Carl’s Jr. NNN FAQs
What cap rates do Carl’s Jr. NNN properties offer?
Asking cap rates for Carl’s Jr. properties currently run 7.15% – 7.45% with 5 years remaining, 6.45% – 6.75% with 10 years remaining and 6.15% – 6.45% for a new 15-year lease (The Boulder Group, September 2026). Actual cap rates vary by location, remaining lease term, guarantor and rent history. Contact us for current cap rates on specific Carl’s Jr. opportunities.
What lease terms are common?
The Boulder Group lists a typical new Carl’s Jr. lease as triple net with a 15-year term and 10% rent increases every five years (September 2026). Ask about renewal options in the specific lease.
Is a Carl’s Jr. a good 1031 exchange property?
The Boulder Group reports an average sale price of about $2.0 million for a typical new Carl’s Jr. (September 2026). Whether that fits a 1031 exchange depends on the value and timing of the property you are selling, so talk to your qualified intermediary and tax advisor.
Questions about NNN Carl’s Jr. Properties for Sale?
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Market data, cap rates, and tenant statistics on this page come from third-party reports and company disclosures, cited in the footnotes. We believe these sources are reliable but do not guarantee their accuracy or completeness. Figures reflect the date of each source and change with market conditions, so verify current numbers before relying on them.