All Forum Posts by: Jean H.

@Joel Owens, thanks for the info. I've sent them other sites before but they either didn't reply or just told me straight up that they're not interested. For the site in question, they've called a couple times saying they're interested and looking into into it. Is there anything I can do to help expedite the process? There are several other fast food chains that have expressed interest as well.

Separately, how much do fast food chains usually pay for 30-40k sq ft ground leases pad sites? I've seen anywhere from 60k all the way up to 120k for 20 year absolute NNN ground leases.

Hello - wanted to see if anyone has ever been in touch with McDonalds' real estate department for a potential site lease/acquisition. I submitted a site to them recently and one of their regional real estate managers got in touch with me. Any insight you might be able to provide in terms of how they operate, how long it takes for them to approve a site, the way they negotiation lease terms etc?  Thanks. 

@Derek Carroll, does this apply to lease agreements as well? Or can we accept LOIs while we're under contract

@Derek Carroll, thanks for the input. I wasn't aware that this was the case. 

@Joel Owens, is it legal to receive LOIs from potential tenants while under contract to buy land?  I have a situation where there are several potential tenants that are interested in a ground lease. I'm under contract to purchase the property and will be going through the land use approvals process soon however wasn't sure if it was normal to start receiving LOIs at this stage. 

Thank you @Joel Owens. I guess my question is whether we'd sign the ground lease agreement after we get land use approvals and the site is pad ready or prior to getting land use approvals etc.? Again, the issue is more along the lines of us spending money on getting land use approvals and getting the site pad ready only to have the tenant back out.

Thank you Joel. It's verbal at this point. The QSR wants to see a site plan first and want us to show a base annual rent figure that we are asking. 

The QSR has the indicated that they will do a ground lease but verbal only. The site is pretty exclusive so I'm not too concerned that they are bluffing.

Would brokers also be able to help with the ground lease process or would you recommend us speak to an attorney?

Hello - I'm looking into buying an unimproved vacant lot and putting a fast food/QSR restaurant as well as a coffee shop on two pad sites. I'd like to have the tenants enter into a ground lease agreement rather than a build to suit. I already have a couple of interested tenants.

I would like to get some input on the typical ground lease process for national retail tenant(s). I would obviously like to get my tenants secured and locked up in writing as soon as possible but issue is I don't have formal land use permits as of yet nor have I started the process - all I know is that QSR/coffee shop/drive thrus are allowed according to the zoning code. So at what point would I enter into a lease agreement with my tenants - before or after I get land use permits? I don't want to be in the situation where I spend a substantial amount of money, get the land use permits and then ultimately have my tenants back out...

Any input would be greatly appreciated! 

@Joel Owens@Ronald Rohde

Thanks for the input! Do you guys have any build to suit experience? Other than the LOI, what other major documents must be negotiated prior to signing the lease agreement? I assume there has to be some kind of construction/design agreement that must be negotiated...

@Ronald Rohde thanks. Honestly what I'm looking for is someone with direct experience dealing with this specific corporate. There are tons of leases around so I think there should be more or less a template/standard lease form that a well versed attorney may be familiar with. Is this wishful thinking?