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Net Lease Dairy Queen

Net Lease Dairy Queen Property Profile and Cap Rates

Date April 17, 2017

Net Lease Dairy Queen – Typical Property and Lease Terms


Price Range:$1 mm - 3 mm
Cap Rate:6.35%
Net Income:$100,000
Price Per foot:$400 PSF
Building Size:2,800 SF
Lot Size:.75 Acre
Escalations:10% every 5 years
Lease Term:20 Years
Lease Type:NNN
Credit Rating:Franchisee


Tenant Company Information:

International Dairy Queen (IDQ) has been supplying brain-freezes for a long, long time. The company is a leading franchisor of frozen treat stores with more than 5,900 quick-service restaurants, most of which operate under the Dairy Queen banner. Popular DQ ice cream treats include Blizzards, sundaes, and cones. Many of the stores also serve burgers, fries, and other items. In addition to its flagship chain, IDQ has about 700 Orange Julius locations offering blended fruit drinks and a small number of Karmelkorn stands that feature popcorn snacks. Only a small number of units are company-owned. Tracing its roots back to 1938, the company is owned by Warren Buffett’s Berkshire Hathaway