Net Lease Industry

Cap Rate


Lowest cap rate over past 24 months

Cap Rate


12 mo avg with 5+ yr lease term

The highly popular Cracker Barrel chain has become one of the most sought after places for casual dining. Likewise, they are also popular net leasing investments, and precisely due to the nature of their restaurant concept. Yet, with strong competition in the market securing a net lease is not always an easy task. This is also with respect to the fact that Cracker Barrel locations provide a 100% company guaranty with no franchising. Their net leasing opportunities end up eliminating the landlord obligations from roofing and structural maintenance. Taking this into account, they can offer peace of mind as a stable investment vehicle. Leasing terms generally see a rental increase with options every five years.
Average Property & Lease
Average Sale Price $2,500,000 - $5,500,000
Average NOI $120,000 - $250,000
Building SF 10,000
Lease Term 20 Years
Escalations 10% Every 5 Years
Stock Symbol NASDAQ:CBRL





Voted as the ‘Best Family Dining Restaurant’ in the Choice in Chain’s consumer poll, Cracker Barrel Old Country Store has received accolades from many industry leading magazines due to their outstanding service and food quality. Other magazines include Destinations and Good Sam Club, to name a few.

Their history goes back to 1969, when the first country store opened in Lebanon, TN. Today, they have managed to grow more than 630 different retail restaurants across forty two states. Everything from home-made chicken and dumplings to meatloaf, to secret family recipes including signature biscuits.

The perspective behind Cracker Barrel is quite interesting, since they do not technically fit into any 1 food industry or dining category. This is partly because they mix a retail store environment with their dining atmosphere.

In 2016, it was reported that 7 to 8 restaurants had been built. In the previous year, they constructed 6 new store locations alongside newly updated architecture and renovations on select properties.

With improvements in technology, Cracker Barrel has further been able to reduce operating expenses by roughly twenty millions dollar annually. They are seeing expanded revenues increasing yearly, with the latest figures weighing in at approximately $2.8 billion dollars.

In the past decades, strong cash flow has been reinvested back into Cracker Barrel’s future growth. This has also been a pleasant experience for the shareholders. They continue to see increased income per shares, especially with plans in the works for new stores every year.

  • Company guaranty
  • Initial leasing terms will include rent increases
  • Solid real estate principles
  • NNN leasing, absolute
  • Creditworthiness not applicable
  • Little comparative analysis available
Founded 1969
Headquarters Lebanon, Tennessee
Number of Locations 663
Revenue $2.821 B
Company Website
Key Principal Sandra B. Cochran