Net Lease Industry

Cap Rate


Lowest cap rate over past 24 months

Cap Rate


12 mo avg with 5+ yr lease term

The Steak 'n Shake brand has become of one the premier leaders in the food franchising industry, with delicious, high quality steak cuts and its Steakburgers™ brand of excellence. Steak ‘n Shake have reinvented the idea of the 'better burger', and eating at one of their restaurant establishments will quickly prove their point.
Average Property & Lease
Average Sale Price $1,750,000 - $2,750,000
Average NOI $110,000 - $160,000
Building SF 3,500
Lease Term 20 Years
Escalations 10% Every 5 Years
Stock Symbol NYSE:BH





Back in 1934, Gus Belt had the bright idea to change a gasoline service location doubling as a chicken joint into a burger flipping joint. Well that’s how Steak ‘n Shake got their start.

Founded in Normal, IL, and going by the name Steak ‘n Shake Operations, Inc., their parent company is called Biglari Holdings, Inc. You may recognize the name Sardar Biglari upon hearing he is also the owner of Maxim magazine.

So if you’re thinking that ‘shake’ might be associated with chicken breadcrumbs, well guess again. It actually stands for milk-shakes. By the way, we won’t even discuss the word steak unless you already know it means ‘steak-burger’. Yes, that’s right. There’s a difference, and that’s why Gus was on his mission to be the best.

Apparently he was brilliant in his approach to customers. He would wheel-barrow in fresh steaks and grind them in plain view to display just how tender and ready-to-eat his cuts were. Hence, their slogan being ‘In Sight It Must Be Right’.


At present, they are still expanding with over twenty thousand employees working at over five hundred fifty Steak ‘n Shake’s. There is also a mixture of corporate owned and franchised operations among them, altogether encompassing 28 states and even going global in recent years.

In fact, they are in the process of drawing up worldwide plans for expansion out of Monaco. They already have establishments located in the U.K., Italy, and France. Future plans will be to enter the European and Middle Eastern markets, as well as fill out previously established regions in the U.S.

  • Many leases experience yearly rent increase
  • Landlord accountability relinquished with NNN leasing
  • Extensions of 5 years with lease terms
  • Performance reviews required with franchisors
  • Graded non-investor by S&P and Moody’s
Founded 1934
Headquarters Indianapolis, Indiana
Number of Locations 628
Revenue $1 B
Company Website
Key Principal Sardar Biglari