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Podcast: The Commercial Real Estate Investor Podcast
Episode: McDonalds owns their real estate. Why doesn’t Starbucks?
Description: Key Takeaways:McDonald's treats its business as a real estate venture, owning much of the land under its restaurants and leasing it back to franchisees, enabling stable cash flow and capital for expansion.Starbucks, in contrast, leases nearly all its store locations, allowing rapid expansion, more flexible market entry, and the ability to invest in operations and marketing instead of property.McDonald's strategy provides long-term stability and predictable returns, making it ideal for patient, long-term investors who value control.Starbucks prioritizes speed, flexibility, and asset-light growth, which enables quicker market penetration...