Inside the Real Estate Playbook: What I Heard from America’s Biggest Brands

Back in college, I had to write a paper analyzing whether it was better to lease or own a car. I broke down all the costs and made a recommendation on what I thought was best...for me...at that time.

The conclusion: “It depends.”

And after dozens of conversations at this year’s ICSC in Las Vegas…I’d say the same holds true for commercial real estate.

Conversations from the Floor at ICSC

Some brands lease everything. Some brands aim to own everything. And some toggle back and forth depending on who just took over the finance team.

At ICSC, I spoke with construction leaders, real estate directors, and brokers from both corporate and franchise-led organizations. What stood out wasn’t a clear answer.

One real estate director told me, “We’ve always leased, but that could change next quarter if this new CFO is making the call.”

Corporate Growth Models: Keep Capital Light

Brands that open corporate-owned stores like Starbucks, AutoZone, and Chipotle tend to lease. The playbook is about flexibility, not long-term control.

• Capital goes toward operations, not dirt
• Leasing supports fast rollout and market exit, if needed
• Build-to-suit developers often handle the heavy lifting.

As a broker that represents a national brand put it: “Their focus is on building a great brand for customers, not on building a real estate portfolio.”

Franchise Growth Models: Ownership as Wealth Strategy

Franchise-led brands like McDonald’s, Dairy Queen, and Taco Bell often structure ownership into the franchisee’s investment model.

• Franchisees prefer to own when possible—it builds long-term equity
• Some brands (like McDonald’s) own and lease back for added control + revenue
• Others leave it up to the franchisee to own or lease, just follow the footprint

A franchise development exec told me, “We know that sometimes it slows our growth, but owning is an important part of why we do it.”

What Growing Brands Should Consider

There’s no one-size-fits-all answer.
But your answer, whether lease or own, shapes everything from permitting to construction to capital stack.

And when a new CFO or VP walks in with a different philosophy, your rollout needs to flex without losing momentum.

At Realm, we’ve supported both models, corporate and franchise, lease and own. Our job isn’t to tell you which is right. It’s to keep your timeline moving and costs in-line, no matter what strategy you're working with.

If you’re navigating growth, remodels, or team changes, let’s connect. A 20-minute call could save you months of headache.