McDonald's Profit Rises 2.1%

McDonald's Profit Rises 2.1%


McDonald’s Corp., the world’s biggest restaurant chain, reported a 2.1 percent gain in fourth- quarter profit as new menu items attracted diners, offsetting slower-than-estimated December sales because of snowstorms.

Net income rose to $1.24 billion, or $1.16 a share, the Oak Brook, Illinois-based company said today in a statement. In the U.S., same-store sales advanced 2.6 percent last month, compared with a 4 percent average of five analysts’ estimates compiled by Bloomberg. MCDONALDS
AVERAGE PROPERTY AND LEASE
Price Range
$500,000 - $2.5M

CAP Rate (6 month avg)
5.65%

NOI
$65,000

$/sf
$305.00

Building Size
4,000 sf

Lot Size
1.10 +/- acres

Lease Term
20 Year Ground Lease

Escalations
10% Every 5 years

CREDIT RATING
A3 A

Moody's
RECENT SALES
Whitman, MA

$1,220,000 | 5.74%

Cape Coral, FL

$1,067,000 | 5.62%
MCDONALDS TREND

CAP Rate

2009 avg. 5.74%

2010 avg. 5.81%

McDonald's, with its "golden arches" and Dollar Menu, remains the dominant brand in the QSR space. With primary, secondary, and tertiary market locations, McDonald's size and reach provide a strategic competitive advantage, as well as varying risk/return investment opportunities for net lease property buyers. Brand recognition, operating stability, and strong credit ratings reinforce McDonald's standing as a prime net lease investment property.

McDonald's Corporation (NYSE: MCD) is the world's largest chain of quick-service restaurants (QSR), serving nearly 47 million customers daily, with about 32,000 restaurants serving burgers and fries in about 120 countries. McDonald's Corporation franchises and operates McDonald's restaurants that serve a varied, limited, value-priced menu in more than 100 countries globally.