A weekly read for restaurant operators, owners, and franchisees navigating a market that keeps raising the stakes.

This week had no shortage of headlines. A Firehouse Subs franchisee in Utah filed for Chapter 11. Krispy Kreme sold off most of its Western U.S. operations to get out from under $900 million in debt. A 74-year-old Hawaiian barbecue chain lost another location — quietly, without explanation. And the National Restaurant Association reminded us that nearly half the industry isn’t profitable right now.

Let’s break it down — because each of these stories says something important about the moment we’re in.

1 · The franchisee bankruptcy wave keeps rolling

CN Holdings, the operator behind 11 Firehouse Subs locations in Utah and Idaho, filed for Chapter 11 protection on March 23rd. The story behind the filing is familiar by now: an ambitious development agreement, construction delays on new locations, cost overruns, slower-than-expected sales when those doors finally opened — and then a slow bleed that destabilized the whole operation.

The owners carried roughly $2.3 million in debt. One Utah location is already closed. They’ve engaged a restaurant brokerage to sell their underperforming units, and they’re hoping to reorganize around the profitable core.

What makes this particularly worth your attention: Firehouse Subs as a brand is actually doing fine. System-wide sales grew 8.6% in 2025. Same-store sales were up. Franchisee-level EBITDA has grown nearly 30% since Restaurant Brands International acquired the brand in 2021. This isn’t a brand in trouble — it’s a franchisee who overextended into expansion at the wrong moment.

That distinction matters enormously. And CN Holdings isn’t alone. In recent months we’ve also seen a 43-unit Subway operator file for Chapter 11 after merchant cash advance lenders seized their sales revenue, and a 130-unit Popeyes franchisee — one of the largest in the U.S. — go under carrying roughly $130 million in debt. A large Applebee’s franchisee. A Domino’s franchisee.

The pattern here is not random. Multi-unit operators who signed aggressive development deals in 2022 and 2023 — when capital was easier and optimism was higher — are now coming due on commitments they made in a very different environment. Construction delays pushed costs up and revenues back. Consumers tightened. Margins compressed. The math stopped working.

What to watch

If you’re a multi-unit operator with development agreements, now is the time to have an honest conversation with your franchisor about the pipeline. Many franchisors — including Firehouse in this case — are reportedly open to renegotiating terms rather than forcing liquidations. That conversation is easier to have before you’re in court than after.

2 · Krispy Kreme goes asset-light — and what it signals

Krispy Kreme announced this week that it’s selling most of its stake in a large Western U.S. joint venture to its partner, WKS Restaurant Group, for $90 million. WKS — a California-based multi-brand operator — is increasing its ownership from 45% to 80%, and will also absorb another 23 Krispy Kreme locations in California and Hawaii. The combined portfolio will cover 73 shops and around 1,000 retail delivery doors across the Western U.S.

Krispy Kreme isn’t doing this because things are going great. The company carries more than $900 million in long-term debt, and adjusted EBITDA fell nearly 30% last year. Earlier this month, they also sold their Japan operations to Unison Capital for $70 million — all proceeds going to pay down debt.

The strategy they’re pursuing is a familiar one: get out of direct operations, let experienced operators run the stores, and focus the corporate entity on the brand, the supply chain, and the delivery network. Asset-light as a survival mechanism. WKS’s CEO called it a signal of confidence in the brand — which may well be true — but the underlying driver is clearly financial pressure at the parent company level.

What to watch

When a major brand starts shedding owned locations to raise cash and cut debt, it often accelerates franchising activity. That can mean more opportunities for experienced operators — and also more competition for territory and deal flow. Watch how the brand’s franchise terms evolve as they lean harder into this model.

3 · The silent closures: what we’re not being told

Less dramatic than a bankruptcy filing — but in some ways more telling — is the quiet closure of L&L Hawaiian Barbecue’s only Berkeley, California, location this week. No press release. No explanation. The restaurant simply disappeared from the company’s store locator, marked “closed” on Google Maps, and that was it.

L&L is a 74-year-old brand with over 230 locations across 19 states and Japan. It’s not a struggling chain — California is actually one of its strongest markets. But franchised locations are independently operated, and a single unit can fail for dozens of reasons that have nothing to do with the brand: a lease dispute, a management change, the economics of one specific trade area, rising costs that a landlord won’t negotiate around.

Berkeley alone has seen at least five restaurant closures in the first quarter of 2026. This isn’t unique to Berkeley — it’s a snapshot of what’s happening in high-cost urban markets everywhere, where operating costs have simply outpaced what consumers are willing (or able) to spend.

What to watch

The silent closures are often the first indicator of a lease market about to soften. When established brands start pulling back from urban trade areas, landlords who’ve been holding firm on rents tend to get more flexible — eventually. That’s a conversation worth starting with your own landlord now, before the desperation is mutual.

4 · The big picture: the NRA’s report says it plainly

The National Restaurant Association’s 2026 State of the Industry report came out earlier this year, and if you haven’t read it, the headline number is this: 42% of operators reported their restaurant was not profitable last year. Nearly half the industry. In the red.

More than 90% of operators identified food, labor, insurance, and overall inflation as significant challenges. More than 80% cited credit card processing fees and energy costs. Average food costs are running more than 35% above pre-pandemic levels. Two-thirds of operators say tariffs drove their food or beverage costs higher last year.

Total industry sales are projected to reach $1.55 trillion in 2026 — a record number. But adjusting for inflation, real consumer spending at restaurants is expected to grow just 1.3%. The headline is big; the margin is thin.

The operators who are making it work share a few things in common: disciplined food cost management, labor models that flex with volume rather than carrying fixed headcount, and a clear value proposition for their customer base. The K-shaped economy is real — higher-income consumers are spending; everyone else is pulling back. If your concept doesn’t have a clear answer to the value question, that’s your most urgent problem.

The bottom line

What ties all of this together is simple: the math of running a restaurant is harder than it’s been in years, and the operators who made commitments — to new units, to aggressive expansion, to locations in expensive markets — are feeling that hardest right now.

That’s not a reason for panic. It’s a reason for clarity. Know your numbers cold. Know where your profitable units are. Know what your lease obligations look like over the next 24 months. And know that the operators who survive this period — and come out the other side in a stronger position — will be the ones who made decisions based on what the business actually is, not what they hoped it would be.

Own your restaurant real estate? I offer complimentary evaluations for operators curious about what their property is worth — whether you're considering a sale-leaseback, a 1031, or just want to know where you stand. No pressure, just numbers. All my contact info is below.

Roee Ben-Moshe Senior Director · Marcus & Millichap · Boca Raton, FL

I’ve spent 14 years advising QSR operators and franchisees on net lease and sale-leaseback transactions — $350M+ closed across 170 total deals, including work with 10% of the Top 200 franchisees in the U.S.

📞 561-705-1073 · ✉ Roee@caprates.com 🌐 www.caprates.com · www.saleleasebacks.com

Below is a snapshot of the most notable developments shaping the sector right now.

Wisconsin Targets Burger King Franchisee Over Labor Violations
Wisconsin labor officials are seeking more than $1 million from a Burger King franchisee after identifying over 1,600 alleged child labor and wage violations. The claims include minors working excessive hours, unpaid wages, and repeated breaches of state labor laws. The case underscores intensifying regulatory scrutiny on franchise operators and highlights growing compliance risk for multi-unit restaurant owners.

Bahama Breeze to Shut Down All Restaurants
Bahama Breeze, the Caribbean-themed casual dining chain owned by Darden Restaurants, is exiting the market entirely. All remaining locations will be closed or converted into other Darden concepts over the next 12–18 months. The move reflects a broader strategy shift away from underperforming brands and highlights how even well-capitalized restaurant groups are narrowing focus to core, higher-return concepts.

Yum! Brands Posts Revenue Growth Led by Taco Bell and KFC
Yum! Brands reported higher revenue driven by strong performance at Taco Bell and KFC, offsetting weaker results at Pizza Hut. Same-store sales rose modestly, with Taco Bell continuing to outperform through value positioning and menu innovation. The results reinforce the resilience of global QSR brands that balance pricing power, scale, and operational efficiency.

Chipotle Rolls Out a Four-Part Growth Strategy
Chipotle announced a four-part plan to reignite sales momentum, centered on menu innovation, more frequent limited-time offers, expanded loyalty engagement, and continued unit growth. The strategy leans heavily into brand discipline rather than discounting, signaling confidence in pricing power and customer loyalty even as traffic growth moderates.

Bankrupt Restaurant Chains Permanently Close Locations
Several well-known restaurant chains have permanently closed locations following bankruptcy filings, highlighting continued strain in casual dining. Brands impacted include Johnny Carino’s, Fazoli’s, Hurricane Grill & Wings, and Smokey Bones, all tied to operators undergoing restructuring. Dozens of company-owned restaurants have shut their doors as operators attempt to cut losses, renegotiate debt, and stabilize remaining units. The closures underscore how weaker concepts and over-leveraged ownership structures are struggling to survive in the current cost and demand environment.

Chili’s Refreshes Menu and Value Messaging
Chili’s is adjusting its menu and value offerings to better align with consumer expectations around affordability and consistency. The changes include refreshed pricing tiers and targeted updates to core items. The move reflects a broader trend among casual dining brands attempting to protect traffic without sacrificing margins.

Twin Peaks Files for Chapter 11 Bankruptcy
Twin Peaks, the sports bar chain based in Texas, filed for Chapter 11 bankruptcy as it seeks to restructure operations and balance sheet obligations. While restaurants remain open, the filing highlights the challenges facing mid-scale experiential dining concepts amid rising costs and uneven consumer spending.

Red Robin Closes Underperforming Restaurants
Red Robin is closing multiple underperforming locations as part of a broader turnaround initiative. The company is aiming to streamline operations, reduce costs, and refocus on profitable core assets. The closures reflect a continued shakeout among legacy casual dining brands with large physical footprints.

The Big Picture

Taken together, these stories reveal a restaurant industry in active transition. Strong QSR brands with scale, value positioning, and disciplined growth strategies continue to gain ground, while casual dining concepts face mounting pressure from labor costs, compliance risks, debt loads, and shifting consumer behavior. For operators, investors, and real estate owners alike, the message is clear: adaptability, balance sheet strength, and operational discipline matter more than ever.

Recent Listings:

📍 Wendys in Jacksonville Florida ($2,401,042 - 385 Unit Operator)

📍 Wendys in Hilliard Florida ($2,433,828 - 385 Unit Operator)

📍 Popeyes in Ellenton Florida ($2,656,650 - 130 Unit Operator)

📍 Corporate Captain Ds ($1,500,000 - Corporate)

📍 Golden Corrals Multiple Locations ($4M-10M)

Sincerely,

Roee Ben-Moshe

Senior Director | Veteran Led Group | 14 Years at Marcus & Millichap | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

$350M+ in QSR & Sale-Leaseback Transactions Closed | 180 Total Closings

Proud to have advised 10% of the Top 200 franchisees in the U.S

Visit us online: www.caprates.com or www.saleleasebacks.com

Hooters Sells 100+ Company-Owned Restaurants to Franchisees

Hooters has sold more than 100 company-owned restaurants to franchisees as part of a broader effort to stabilize the system following financial stress and a Chapter 11 filing. The move shifts operational control away from corporate and back to local operators who are closer to day-to-day performance. This is less about expansion and more about resetting the platform and improving unit-level accountability.

Why this matters
Control is shifting to franchisees who are directly exposed to labor, food costs, and local demand — often leading to faster operational adjustments than corporate ownership.

Real estate takeaway
Ownership transitions like this are where leases get tested. Rent levels, remaining term, and landlord flexibility often determine which locations survive and which don’t.

Key stats

• 100+ company-owned restaurants sold

• Targeted exit from Chapter 11 within months

Shipley Do-Nuts Sold to Levine Leichtman

A regional doughnut brand with real momentum changed hands.

Shipley Do-Nuts has been acquired by private equity firm Levine Leichtman Capital Partners after several years of strong performance. Unlike many deals driven by turnaround potential, Shipley’s sale was backed by consistent same-store sales growth and steady, disciplined unit expansion across core markets.

Why this matters
Consistency sells. Shipley delivered nearly five years of positive same-store sales, proving that quiet, operationally sound brands continue to attract premium capital.

Real estate takeaway
Brands like this become more selective on sites post-acquisition, often tightening prototype standards and prioritizing higher-quality trade areas.

Key stats

• ~375 units systemwide

• 18 consecutive quarters of same-store sales growth

Potbelly Sold to RaceTrac for $566M

A convenience store operator buying a restaurant brand.

Potbelly was acquired in an all-cash deal by RaceTrac, a large convenience store operator with deep experience in site selection and real estate ownership. The acquisition signals a strategic bet that food can drive traffic, frequency, and margin inside a broader convenience retail ecosystem.

Why this matters
Food is no longer an add-on — it’s a traffic engine. RaceTrac sees restaurant brands as a way to deepen customer engagement and diversify revenue.

Real estate takeaway
A buyer with strong real estate DNA can materially improve site selection, co-location strategies, and long-term portfolio quality.

Key stats

• $566M all-cash acquisition

• 445+ units today

• Long-term target of ~2,000 units

Freddy’s Acquired by Rhône Capital

A scaled fast-casual brand with momentum gets new ownership.

Freddy’s Frozen Custard & Steakburgers was acquired by Rhône Capital, marking another example of private equity targeting brands with proven economics rather than distressed turnarounds. Freddy’s has quietly built scale with a disciplined approach to growth and strong franchise performance.

Why this matters
Private equity is paying for consistency, not hope. Brands with repeatable models and predictable cash flow are commanding attention.

Real estate takeaway
Expect more of what already works — disciplined expansion, tighter underwriting, and a focus on high-performing markets rather than aggressive footprint growth.

Key stats

• 550+ units systemwide

• Approximately $1B in systemwide sales

Dave’s Hot Chicken Sells Majority Stake to Roark Capital

The headline deal of the year.

Dave’s Hot Chicken sold a majority stake to Roark Capital, one of the most influential investors in restaurant franchising. The deal validates Dave’s explosive growth, strong unit economics, and brand resonance — and positions it for the next phase of national and international expansion.

Why this matters
This is the modern QSR playbook executed perfectly: simple menu, viral marketing, strong franchise demand, and disciplined growth — all amplified by institutional backing.

Real estate takeaway
Institutional ownership immediately upgrades perceived credit quality and growth confidence, which can materially impact lease terms, site access, and capital availability.

Key stats

• Deal reportedly valued around $1B

• ~250 units systemwide

• ~57% systemwide sales growth in 2024

Where Capital Is Actually Going

Taken together, these transactions tell a much more constructive story than the headlines about closures and bankruptcies. Capital hasn’t left restaurants — it has simply become more selective. It’s flowing toward brands that demonstrate consistency, scalability, and discipline, not toward speculative turnarounds or growth-at-all-costs models.

Investors are backing concepts with repeatable unit economics, clean prototypes, and operators who understand how real estate, operations, and capital work together. Whether it’s Shipley’s steady same-store sales, Freddy’s proven scale, Potbelly’s real estate-driven buyer, or Dave’s Hot Chicken pairing explosive growth with institutional sponsorship, the common thread is quality over quantity.

Just as important, these deals highlight how central real estate has become to the investment thesis. Site selection, lease structure, and flexibility are no longer secondary considerations — they’re foundational. Brands that treat real estate as a strategic asset, rather than a fixed expense, are the ones attracting long-term capital.

The takeaway is clear: this cycle isn’t about who can open the most stores, but who can grow intelligently. Capital is chasing durability, not noise — and it’s rewarding operators who build brands designed to perform through cycles, not just at the top of one.

For operators and investors navigating this environment, the right real estate strategy can be a meaningful source of flexibility and strength. I spend a lot of time helping groups evaluate when monetizing real estate through a sale-leaseback makes sense — and when it doesn’t — as part of a broader capital plan.

With 14 years at Marcus & Millichap and hundreds of millions in closed transactions for leading restaurant franchise groups, I’m always here to support any real estate needs you may have. I’m proud to advise nearly 10% of the Top 200 franchisees in the U.S.

Sincerely,

Roee Ben-Moshe

Senior Director | 14 Years at Marcus & Millichap | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

$350M+ in QSR & Sale-Leaseback Transactions Closed | 170 Total Closings

Proud to have advised 10% of the Top 200 franchisees in the U.S

Visit us online: www.caprates.com or www.saleleasebacks.com

Occasionally I share personal moments as a reminder of the “why.” Those are collected here:

Family & Life

Best,

Roee

📍For Raising Canes latest GA locations Click here

Bojangles Proves Portability With Record Franchise Growth Across New Markets
Bojangles is proving that its Southern chicken and biscuit concept can travel far beyond its traditional Southeast base. The brand continues expanding into new states and signing significant franchise agreements, fueling what industry observers are calling a record growth period and reinforcing its appeal with franchise partners and consumers alike.

Hawaiian Bros Strengthens Its National Footprint With Accelerated Franchise Growth
Hawaiian Bros is rapidly broadening its reach, signing new franchise deals that will bring its Hawaiian-inspired menu to more markets nationwide. The accelerated pace of development highlights the brand’s appeal with both franchisees and diners seeking differentiated fast-casual options.

Rocky Mountain Chocolate Factory Announces Major Expansion With New Franchise Agreements
Rocky Mountain Chocolate Factory is accelerating its retail footprint with a wave of new franchise agreements and a modern store prototype, signaling strong confidence from franchise partners and resilience in the specialty retail segment. This expansion reflects ongoing consumer appetite for experiential retail concepts tied to strong brand equity.

Chick-fil-A Projects Multiple New Restaurants in South Jersey Region
Chick-fil-A continues growth momentum in the Northeast with confirmed development updates in Glassboro, Blackwood, and Mount Laurel, NJ. These expansions reflect both franchise confidence and continued strong demand for the brand in suburban markets.

Red Robin Continues Restaurant Closures
Red Robin Gourmet Burgers has announced additional restaurant closures as it attempts to improve profitability. The chain has struggled with declining traffic, value competition, and high operating costs across older locations.

TGI Fridays Permanently Closes Locations Following Bankruptcy
TGI Fridays has permanently closed additional restaurants after filing for bankruptcy protection. The closures underscore the ongoing contraction of legacy casual-dining brands facing traffic declines and high fixed costs.

FAT Brands Faces Potential Chapter 11 Bankruptcy
FAT Brands — owner of Fatburger, Johnny Rockets, Fazoli’s, Twin Peaks, and other concepts — has defaulted on more than $1.3 billion of debt and may file for Chapter 11. The situation underscores the risks of highly leveraged, acquisition-driven growth strategies.

Denny’s Closes Restaurants After Ownership Changes
Several Denny’s locations have closed following changes in ownership and portfolio realignment, as franchisees reassess unit economics.

Papa John’s Accelerates Shift Away From Company-Owned Stores
Papa John’s continues selling company-owned restaurants to franchisees as part of its asset-light strategy, reducing capital exposure while focusing on royalty income.

Del Taco Quietly Closes Hundreds of Locations
Del Taco has quietly closed hundreds of underperforming restaurants, reflecting continued pressure on value-oriented chains with aging real estate.

Applebee’s Continues Closing Locations Nationwide
Applebee’s, the 50-year-old bar-and-grill chain, continues trimming locations as franchisees focus on profitability over footprint size.

McDonald’s Loses Lower-Income Customers
McDonald’s has reported declining visits from lower-income consumers, forcing the brand to rethink value menus and promotions.

Great story:

Closing Thoughts

The common thread across these headlines is not a lack of demand — it’s pressure on balance sheets, margins, and real estate decisions. Brands with clean capital structures, flexible occupancy costs, and disciplined real estate strategies are still expanding or consolidating. Those carrying excess debt, outdated leases, or owned real estate that isn’t working as hard as it could be are being forced to retrench.

What’s becoming clear is that real estate is no longer just a backdrop to the operating business — it’s a strategic lever. In many cases, owned real estate represents trapped capital that could be redeployed to reduce leverage, fund growth, or simply create breathing room during volatile cycles.

This is where sale-leasebacks continue to show up — not as a last resort, but as a proactive capital strategy. For the right operators, monetizing real estate can strengthen the balance sheet, preserve operational control, and create long-term certainty around occupancy.

I spend most of my time working with franchisees, sponsor-backed operators, and multi-unit owners evaluating whether and when a sale-leaseback makes sense — and just as importantly, when it doesn’t. In a market where capital discipline matters more than ever, having a real estate strategy can be the difference between reacting to the cycle and staying ahead of it.

If you’re an operator or investor thinking about how your real estate fits into your broader capital plan, this is a conversation worth having before pressure forces the decision.

👉 Read our Latest Recommendation Letter from the CEO of Captain Ds

Sincerely,

Roee Ben-Moshe

Senior Director | 14 Years at Marcus & Millichap | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

$350M+ in QSR & Sale-Leaseback Transactions Closed | 170 Total Closings

Proud to have advised 10% of the Top 200 franchisees in the U.S.

Visit us online: www.caprates.com or www.saleleasebacks.com

Confirmed New/Opening Locations

• 2221 Town Center Avenue, Suite 101, Melbourne, FL 32940 — Trader Joe’s at The Avenue Viera opened Dec. 3, 2025.

• 5335 Wisconsin Ave. NW, Washington, D.C. — Store opened Dec. 4, 2025.

• 600 Kingwood Drive, Kingwood, TX — Store opened early Dec. 2025.

• 275 Harbison Blvd., Columbia, SC — New Trader Joe’s opening Dec. 12, 2025 near Columbiana Centre Mall.

• 5017 Transit Road, Williamsville, NY 14221 — Opening Dec. 12, 2025.

Sincerely,

Roee Ben-Moshe

Senior Director | 14 Years at Marcus & Millichap | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

$350M+ in QSR & Sale-Leaseback Transactions Closed | 170 Total Closings

Proud to have advised 10% of the Top 200 franchisees in the U.S.

Visit us online: www.caprates.com or www.saleleasebacks.com

Confirmed & Planned Raising Cane’s Locations in Georgia

• 920 Buford Road, Cumming, GA — New restaurant opening mid-December 2025.

• 2094 Barrett Lakes Blvd., Kennesaw, GA — Planned opening late January 2026.

• 1530 GA-138, Conyers, GA — Planned opening (date TBD).

• 1198 N. St. Augustine Road, Valdosta, GA — Opening early Feb. 2026.

• 5720 Whittlesey Blvd., Columbus, GA — Opening Jan. 13, 2026.

Sincerely,

Roee Ben-Moshe

Senior Director | 14 Years at Marcus & Millichap | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

$350M+ in QSR & Sale-Leaseback Transactions Closed | 170 Total Closings

Proud to have advised 10% of the Top 200 franchisees in the U.S.

Visit us online: www.caprates.com or www.saleleasebacks.com

They opened a 10-foot burger stand in 1948.
Everyone told them to franchise.
They refused.
Today the company is valued at $8.7B.

In-N-Out Burger’s story isn’t about burgers.
It’s a masterclass in strategic control.

Harry Snyder had a vision long before the industry “experts” caught up.
He invented California’s first true drive-thru using a homemade two-way speaker system—built in his garage. Customers stayed in their cars. Lines wrapped around the block.

Then the pressure came.

“Franchise.”
“Scale faster.”
“Follow McDonald’s.”
“Don’t leave money on the table.”

Harry didn’t budge.

He watched what happened when other brands scaled too fast:
Quality dropped. Standards slipped. Corners got cut.
The brand lost its soul the moment someone else owned the decision-making.

So Harry made the most unpopular decision you can make in business:

He capped growth to protect excellence.

By 1976:
McDonald’s had 3,600 locations.
In-N-Out had 18.

And yet?
He built one of the most profitable per-store models in the world.

Three generations of Snyders endured tragedies, pressure, and endless industry criticism—but they never franchised. They never froze their beef. They never compromised the quality or the culture.

Seventy-five years later:
• 400+ locations
• 9 states
• Still family owned
• No franchises
• More profit per store than McDonald’s
• Lynsi Snyder worth $8.7B
• The product tastes the same as it did in 1948

Harry was never betting on scale.
He was betting on trust.
Consistency.
Control.
And the long game.

The world calls that “naive.”
History calls it “vision.”

Not every business needs to be the biggest.
But every business needs to decide what it refuses to compromise.

Growth isn’t always the goal.
Sometimes greatness is.

With hundreds of millions in closed transactions for top restaurant franchise companies, I’m always here to help with any of your real estate needs.

Sincerely,

Roee “Roy” Ben-Moshe

Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Senior Director Investments | 14 Years with Marcus & Millichap

$350M+ in QSR & Sale-Leaseback Transactions Closed | 170 Total Closings

Visit us online: www.caprates.com or www.saleleasebacks.com

With hundreds of millions in closed transactions for companies and 14 years at Marcus & Millichap, I’m always here to help with any of your real estate needs.

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Ben-Moshe Brothers of Marcus & Millichap | 14 Years at the Firm | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Visit us online: www.caprates.com or www.saleleasebacks.com

Outback Steakhouse – Bloomin’ Brands confirmed about 10 recent unit closures across eight states as part of its turnaround plan.

📍For access to the Addresses Click here

Wendy’s – The chain plans to close roughly 200-350 stores beginning late 2025. Same-store sales are down 4.7% and revenue has slipped 2% as budget-conscious consumers pull back. To counter this, the chain is pushing new value deals, limited-time menu items, and expanded AI-driven ordering to modernize operations and boost performance.

👉 View my latest Wendy’s listing (Meritage Hospitality 375 Unit Operator) by clicking here

Del Taco is undergoing major changes as parent company Jack in the Box announced it will sell the brand to long-time franchisee Yadav Enterprises for $115 million, with the deal expected to close by early 2026. At the same time, Del Taco is rolling out new value-focused initiatives to reignite customer traffic, including a $2.99 “Micro Meal” boxed combo and a new premium Del Dorado Chicken lineup. The combination of a new owner and refreshed menu strategy signals a significant effort to stabilize and reposition the chain for growth.

Bravo Brio – Bankruptcy Filing
A struggling Italian restaurant chain that previously filed for bankruptcy is now seeking Chapter 7 liquidation, marking the end of its attempts to reorganize. After selling off most of its assets, only seven locations remain open, and the company has determined it can no longer continue operating. The move signals a final shutdown as the remaining stores and assets are prepared to be fully dissolved.

Hooters – Post-bankruptcy Repositioning
Hooters has officially emerged from bankruptcy with a bold revival plan: the original founders have regained control and launched a “re-Hooterization” strategy that brings back the brand’s classic beach-bar vibe. They’re rolling out a simplified menu centered on higher-quality ingredients—hand-breaded wings, freshly made salad dressings—and refreshing uniforms to reflect the chain’s original look. With about 140 domestic and 60 international locations, the chain is positioning itself to move past costly debt and image issues and refocus on its core identity.

🍕 Pizza Segment: Cooling Demand & Strategic Moves

Yum! Brands has begun a formal review of strategic options for Pizza Hut—including a possible sale—after years of weak U.S. performance and seven consecutive quarters of declining same-store sales. Although Pizza Hut remains large globally, its U.S. business now contributes only a small share of Yum’s profits, prompting the company to consider whether the brand might perform better outside the portfolio. Yum has hired advisers to evaluate options but hasn’t committed to a transaction or timeline.

Papa John’s – buy-out bid pulled, cost cuts in motion. Apollo Global Management has withdrawn its reported $2.1 billion bid to take Papa John’s private at roughly $64 per share, citing concerns about weakening consumer spending and a broader slowdown across the quick-service restaurant sector. The news sent Papa John’s stock tumbling more than 20% as investors grew anxious about the company’s upcoming earnings release and the strength of its turnaround efforts.

Industry-wide pizza demand softens
The U.S. pizza industry, once booming, is now slowing down, with major chain sales up only about 7% over the past four years, trailing inflation. Domino’s’ U.S. sales rose just over 5% recently, while rivals like Pizza Hut and Papa John’s have seen declining performance as delivery-app platforms (e.g., DoorDash, Uber Eats) pull more share, intensifying competition across dining categories.

M&A

Denny’s Goes Private - Denny’s announced that it will be taken private in a deal valued at $620 million (including debt) by a consortium led by TriArtisan Capital Advisors along with Treville Capital and franchise operator Yadav Enterprises. Shareholders will receive $6.25 per share in cash, representing a premium of about 52% over the company’s closing stock price. The deal is expected to close in the first quarter of 2026, after which Denny’s will cease to be publicly traded.

PE funds are more numerous than McDonald’s franchises, prompting heightened discipline from fund managers in brand deals. A consolidation wave is underway in the private-equity world as large fund managers such as KKR & Co., The Carlyle Group, EQT Partners, and CVC Capital Partners pursue scale across the secondaries market—buying up stakes in existing funds, acquiring smaller managers, and merging their capabilities—because rising capital-raising costs, slower deal-exits and investor pressure mean that size is becoming critical to maintaining fee income and deal flow.

👉 Read our Latest Recommendation Letter from the CEO of Captain Ds

With 14 years at Marcus & Millichap and hundreds of millions in closed transactions for leading restaurant franchise groups, I’m always here to support any real estate needs you may have. I’m proud to advise nearly 10% of the Top 200 franchisees in the U.S.

Sincerely,

Roy Ben-Moshe
(Pronounced “Ro-ee” in Hebrew)

Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Senior Director Investments | 14 Years with Marcus & Millichap

$350M+ in QSR & Sale-Leaseback Transactions Closed | 170 Total Closings

Visit us online: www.caprates.com or www.saleleasebacks.com

Alabama

• 20th Street North at 20 Midtown, Birmingham, Alabama

• Inverness location on U.S. 280, Birmingham, Alabama

Arkansas

• 180 Pakis St, Hot Springs, Arkansas 71913

Florida

• 3760 South 3rd Street, Jacksonville Beach

• 4910 U.S. 41 North, Naples

Louisiana

• Jones Creek Boulevard, Baton Rouge

Maryland

• 8661 Colesville Road in Ellsworth Place Mall, Silver Spring

New York

• 2124 Merrick Mall, Merrick

Texas

• 1509 N Central Exwy, Plano, Texas

Wisconsin

• 4520 E. Towne Boulevard, Madison, Wisconsin

With 14 years at Marcus & Millichap and hundreds of millions in closed transactions for leading restaurant franchise groups, I’m always here to support any real estate needs you may have. I’m proud to advise nearly 10% of the Top 200 franchisees in the U.S.

Sincerely,

Roy Ben-Moshe
(Pronounced “Ro-ee” in Hebrew)

Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Senior Director Investments | 14 Years with Marcus & Millichap

$350M+ in QSR & Sale-Leaseback Transactions Closed | 170 Total Closings

Visit us online: www.caprates.com or www.saleleasebacks.com

• $1,235,520

• 15-Year NNN Lease

• NOI: $77,220

• Cap Rate 6.25%

With hundreds of millions in closed transactions for companies and 14 years at Marcus & Millichap, I’m always here to help with any of your real estate needs.

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Ben-Moshe Brothers of Marcus & Millichap | 14 Years at the Firm | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Visit us online: www.caprates.com or www.saleleasebacks.com

✅ Proud to have represented the buyer alongside my brother, Leeor Ben-Moshe, on this brand-new Dollar General Market in Tallahassee, FL.

✅ Closed prior to construction completion — a true testament to proactive deal-making, collaboration, and buyer confidence.

✅ Great working with Blake Davey and Kyle Blatt on another successful transaction.

With hundreds of millions in closed transactions for companies and 14 years at Marcus & Millichap, I’m always here to help with any of your real estate needs.

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Ben-Moshe Brothers of Marcus & Millichap | 14 Years at the Firm | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Visit us online: www.caprates.com or www.saleleasebacks.com

LIME Fresh Mexican Grill has relaunched its franchise program under a new “LIME 2.0” model, aiming for accelerated growth beyond its current Florida footprint. The refreshed concept emphasizes a bar-forward layout with a scalable design intended to appeal to franchisees across the Southeast and beyond. The brand is actively seeking franchisees—especially veterans and multi-unit operators.

Trader Joe’s Opening 4 New Stores Soon

📍 For access to the full Addresses? Click here

Love’s Travel Stops has opened its first Buffalo Wild Wings Go location at a Dodge City, Kansas travel center— Love’s plans more BWW Go sites in 2026 as part of its broader push to expand QSR offerings, which already includes partnerships with Whataburger and Naf Naf.

Freddy’s Frozen Custard & Steakburgers has entered a new chapter as global private-equity firm Rhône Group acquires the 550-unit chain, while CEO Chris Dull and his leadership team stay on to keep driving growth. Under Dull’s watch since 2021, Freddy’s rebounded from COVID’s 38% sales drop to grow AUV 6.5%, lift systemwide sales 21.2%, and shift its business mix to 70% off-premises thanks to booming drive-thru and delivery. The brand added about 160 net units in four years, now counts 500-plus franchised stores with another 550 in the pipeline. Freddy’s eyes more whitespace in states like Florida and California, plus international growth after its first Canadian opening.

Largest Notable Transaction of the Month:

Wendy’s site sold for $24 million - Masaveu Real Estate US has purchased the Wendy’s property at 200 SW 8th Street in West Brickell for $24 million. The site spans about 0.6 acres and includes the existing 3,600-square-foot Wendy’s building. Thanks to its zoning, the land can be redeveloped for up to 150 residential units per acre and buildings as tall as 48 stories.

Krispy Krunchy Chicken has partnered with Cumberland Farms, part of EG America, to launch its hot-food concept inside Cumberland Farms stores across Florida’s Panhandle. The first location will open September 22, 2025 at 3871 E County Highway 30A in Santa Rosa Beach, followed by sites in Destin, Gulf Breeze, Navarre, and Panama City—all expected by year’s end.

Darden Restaurants is planning to open 65 new Olive Garden locations across its 10 brands during fiscal year 2026. The surge in expansion is supported by a 10.4% year-over-year increase in total sales, fueled by a 4.7% same-store sales gain and the acquisition of 103 Chuy’s Tex Mex restaurants. To lure more diners, Olive Garden is introducing lighter, lower-cost menu options in about 40% of its restaurants.

Cava is accelerating its national expansion with plans to open more than 60 new restaurants, pushing deeper into markets like California, Florida, North Carolina, and Arizona. Upcoming locations include cities such as Phoenix, Huntington Beach, Plantation, Bel Air, Burlington, and Charlotte. The fast-casual Mediterranean brand aims to reach 1,000 locations by 2032.

Publix opening 6 new stores in the Southeast

📍 For access to the full Publix Addresses? Click here

👉 Special Edition: Charlie Kirk Interviewed by Andrew Smith (Co-Founder of The Savory Fund - A Restaurant Fund with over $750 million in restaurant assets under management)

At the Restaurantology Summit, Andrew Smith and Charlie Kirk engaged in a dynamic conversation on entrepreneurship, leadership, and how to build a movement that endures.

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👉 Click here to view the Ben-Moshe Brothers latest recommendation letter from the CEO of Captain D’s - Phil Greifeld

With hundreds of millions in closed transactions for top restaurant franchise companies and 14 years at Marcus & Millichap, I’m always here to help with any of your real estate needs.

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Ben-Moshe Brothers of Marcus & Millichap | 14 Years at the Firm | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Visit us online: www.caprates.com or www.saleleasebacks.com

🛒 Publix Opens Six New Stores Across the Southeast This September

Publix is kicking off fall 2025 with a fresh wave of store openings across Florida, Georgia, North Carolina, South Carolina, and Tennessee. Between September 13 and September 25, six new locations will officially open their doors, strengthening Publix’s presence in both established and growing markets.

📍 Grand Opening Schedule & Addresses

• September 13 – 1021 Jim Warren Parkway, Spring Hill, Tennessee

• September 17 – 1311 Fork Shoals Road, Greenville, South Carolina

• September 17 – 1060 Braselton Village Parkway, Braselton, Georgia

• September 20 – 7933 Providence Road, Charlotte, North Carolina

• September 25 – 2435 S Hiawassee Road, Orlando, Florida

• September 25 – 1542 S Dixie Highway, Coral Gables, Florida

🏬 Why These Stores Matter

These openings underscore Publix’s steady expansion strategy, targeting high-growth suburban corridors and urban infill locations.

• The Coral Gables and Orlando stores add density to key Florida markets.

• The Charlotte and Greenville locations strengthen Publix’s footprint in the Carolinas.

• The Braselton and Spring Hill stores tap into fast-growing suburban communities outside Atlanta and Nashville.

🥬 The Bigger Picture

Publix continues to focus on convenience, fresh departments, and neighborhood accessibility as it expands across the Southeast. Each new opening brings Publix’s hallmark customer service, prepared foods, and pharmacy options to more communities, highlighting its commitment to maintaining a local feel even as it scales.

With hundreds of millions in closed transactions for top restaurant franchise companies and 14 years at Marcus & Millichap, I’m always here to help with any of your real estate needs.

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Ben-Moshe Brothers of Marcus & Millichap | 14 Years at the Firm | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Visit us online: www.caprates.com or www.saleleasebacks.com

🛍️ Target Unveils Seven New Large-Format Stores This Fall

Target is expanding again—rolling out seven brand-new stores this fall as part of its push toward larger-format locations designed to offer more product variety, bigger grocery sections, and smoother in-store fulfillment for online orders.

These new stores are opening in high-growth markets across the country:

📍 New Store Addresses

• Queen Creek, AZ – 37854 N Gantzel Road

• Wesley Chapel, FL – 27920 Pink Flamingo Lane

• Grand Island, NE – 3400 West 13th Street

• Indian Land, SC – 5345 Crossridge Boulevard

• South Riding / Sterling, VA – Building 8, 24670 Arcola Landing Drive

• Fresno, CA – 205 South Clovis Avenue

• Stafford, TX – 12565 Arc Lane

🏬 Why This Matters

Target’s new large-format concept—generally 20% bigger than its typical store footprint—allows the retailer to stock a wider assortment of essentials and expand backroom space for online order pick-up and same-day delivery.

By planting stores in fast-growing suburbs and regional hubs, Target is positioning itself to meet shifting shopping patterns while staying competitive with rivals like Walmart, Costco, and Amazon’s Whole Foods.

🔎 The Big Picture

This wave of openings reflects Target’s long-term growth strategy: bigger stores, stronger omnichannel capabilities, and local market customization. Expect these sites to feature enhanced grocery sections, revamped self-checkout, and more efficient logistics to serve both in-store and digital shoppers.

With hundreds of millions in closed transactions for top restaurant franchise companies and 14 years at Marcus & Millichap, I’m always here to help with any of your real estate needs.

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Ben-Moshe Brothers of Marcus & Millichap | 14 Years at the Firm | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Visit us online: www.caprates.com or www.saleleasebacks.com

Trader Joe’s is ramping up its Texas presence, unveiling new stores in San Antonio, Bee Cave (Austin area), and McKinney (DFW area). These additions come as part of a broader 30-plus-store national expansion, reflecting the grocer’s growing appeal beyond its traditional urban markets. The new Texas locations highlight Trader Joe’s strategy to reach fast-growing suburban communities while maintaining its signature small-format, curated shopping experience that has fueled its loyal fan base nationwide.

San Antonio – Northwest
11745 I-10 West
San Antonio, TX 78230

McKinney – West
8101 Eldorado Parkway
McKinney, TX 75070

Bee Cave / Austin (Rollingwood area)
2805 Bee Cave Road
Austin, TX 78746

San Antonio – Sonterra Village (existing location)
403 North Loop 1604 West
San Antonio, TX 78232

Bonus:

Raising Cane’s September Openings
📍 For access to the full Addresses? Click here

With hundreds of millions in closed transactions for top restaurant franchise companies and 14 years at Marcus & Millichap, I’m always here to help with any of your real estate needs.

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Ben-Moshe Brothers of Marcus & Millichap | 14 Years at the Firm | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Visit us online: www.caprates.com or www.saleleasebacks.com

Raising Cane’s September Openings
Raising Cane’s is on a roll, opening seven new restaurants this September in Santa Fe Springs (CA), San Diego (CA), Indianapolis (IN), Bel Air (MD), Ann Arbor (MI), New York City (Broadway), and Spokane (WA). The chicken-finger chain opened 118 units last year and is pushing toward 1,600+ locations nationwide.

📍 For access to the full Addresses? Click here

Potbelly x RaceTrac
Potbelly is being acquired by convenience store chain RaceTrac for $566M. The deal will help Potbelly grow from 445 locations to a planned 2,000, while RaceTrac adds to its 800+ stores across 14 states. Potbelly’s stock jumped 31% on the news, and the deal is expected to close in Q4.

Qdoba’s Massive Growth Deal
Qdoba signed a major franchise agreement for 50 new restaurants across Alaska, Utah, Nevada, Colorado, and New Mexico. Backed by private equity firm Butterfly, the brand now has 600+ future restaurants in development and plans to double its footprint by 2032.

Wienerschnitzel Expands in Spokane
Wienerschnitzel is opening four new locations in Spokane, following successful launches in Idaho. The 300+ unit chain, famous for chili dogs, sees Spokane as a high-growth market. A separate three-unit deal in southwestern Washington is also underway, including one location inside a Walmart.

Einstein Bros. Bagels New Design
Einstein Bros. is rolling out its new “Elevate the Morning” store design nationwide. The concept spotlights fresh-baked bagels, blends digital convenience with neighborhood character, and will feature in 100+ new bakeries opening through 2026.

Smashburger on Military Bases
Smashburger opened a new location at Naval Air Station North Island in San Diego, expanding its non-traditional growth strategy in airports and military bases. The chain plans 12–15 more openings in the next year, including Charlotte and Salt Lake City.

Trader Joe’s New Stores
Trader Joe’s announced seven new stores, including Costa Mesa (CA), Kingwood (TX), Williamsville (NY), Lacey (WA), Columbia (SC), Hamden (CT), and Melbourne (FL). The grocer is also building a 921,000 sq. ft. distribution center on Long Island to support expansion. I have some of these addresses, if you want them, just let me know by replying to this email.

Wawa Dives Into Travel Centers
Wawa has opened its first travel center in Hope Mills, North Carolina, an 8,000-sq-ft location with big-rig parking, six diesel lanes, and indoor/outdoor seating—catering to professional drivers as well as regular customers. Two more travel centers are already under construction in Ohio and Indiana. With just over 1,100 stores now, Wawa aims for 1,800 locations by 2028.

Thrive Restaurant Group in Hyper-Growth
Wichita-based Thrive Restaurant Group is entering “hyper-growth,” acquiring 10 Qdoba units in North Carolina and planning 45 more over 3.5 years—about one opening every 26 days. The group is also franchising its breakfast concept, HomeGrown, alongside its Applebee’s and Modern Market brands.

Dog Haus Heads to Nashville
Dog Haus is entering the Nashville market with three new locations in East Nashville, Franklin, and Smyrna. The craft-casual brand, known for gourmet hot dogs, burgers, and craft beer, will open its first Tennessee unit in late 2025, with all three operated by seasoned franchisee Michael Deak.

In Memoriam: Charlie Kirk
Last week, we lost a powerful voice and a young leader — Charlie Kirk, co-founder of Turning Point USA, was tragically assassinated on September 10, 2025, while speaking at Utah Valley University.

Charlie dedicated his life to engaging young people in politics, pushing for conservative causes, and advocating for free speech. He sparked passionate debates, sometimes fierce controversy, but always left an impression — especially on those who believed in his vision.

As many of you are aware, he was a staunch supporter of Israel, where I have a lot of family, and I will never forget him. This tragedy deeply shook me, and I have been thinking about it constantly since it happened.

Click Here To Read More

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Marcus & Millichap | 14 Years at the Firm
Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Raising Cane’s isn’t slowing down. After opening a record-breaking 118 restaurants last year, the chicken-finger chain is keeping momentum with seven new stores debuting this September across the U.S.

Known for its craveable chicken fingers, Texas toast, and Cane’s sauce, the brand is on a mission to reach 1,600+ locations nationwide — and these latest openings are part of that sprint toward becoming a Top 10 U.S. restaurant brand.

Here’s where the new Cane’s restaurants are opening this month:

📍 Santa Fe Springs, CA – 12623 Imperial Highway – September 2
📍 San Diego, CA – 3704 Camino del Rio W. – September 10
📍 Indianapolis, IN – 5458 E. 82nd Street – September 30
📍 Bel Air, MD – 344 Baltimore Pike – September 16
📍 Ann Arbor, MI – 1116 S. University Ave., Unit B – September 16
📍 New York, NY – 2850 Broadway – September 4
📍 Spokane, WA – 9252 N. Newport Highway – September 9

Each of these openings highlights Cane’s strategy of targeting both suburban hubs and high-traffic college markets — from the University of Michigan in Ann Arbor to Gonzaga University in Spokane.

🚀 Why it matters: Raising Cane’s isn’t just opening restaurants; it’s planting flags in communities that will fuel long-term growth. With ~300 more restaurants already in the development pipeline, this September’s lineup is just the beginning.

With hundreds of millions in closed transactions for top restaurant franchise companies and 14 years at Marcus & Millichap, I’m always here to help with any of your real estate needs.

Sincerely,

Roee E. Ben-Moshe
Senior Director Investments | Ben-Moshe Brothers of Marcus & Millichap | 14 Years at the Firm | Boca Raton, FL | Cell: 561-705-1073 | Email: Roee@caprates.com

Visit us online: www.caprates.com or www.saleleasebacks.com

The recent news surrounding Charlie Kirk has been both shocking and heartbreaking for me, as I know it has been for many others. In moments like these, I believe it’s important not only to process the weight of what happened but also to take action in support of the causes and communities that carry forward his vision.

That’s why I chose to make a donation to Turning Point USA—the program Charlie founded and built into one of the most influential movements in the country. Beyond the headlines and the politics, what stands out to me is the mission: educating, empowering, and equipping the next generation to step into leadership with clarity and conviction.

For me, supporting Turning Point USA is about honoring Charlie’s legacy in a tangible way—and ensuring that the work he started continues to thrive, even in the face of adversity.