alt Hacker NewsThis same concept is also true of McDonalds historically - they own the land, lease it to franchisees, and realize the appreciation themselves. McDonalds are fairly economically valuable, so the capital gains by the time they're cleared and resold as development often dwarfs the value of the franchise fees.
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packetslave • yesterday at 7:08 PM
As someone once put it: "McDonald's is a real estate company with a hamburger hobby"
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skew-aberration • yesterday at 11:05 PM
Same is also true of DJT's various casino gambits. Pilloried in the media but rather sound (though high risk) from a land speculation perspective.
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The thing is, they rarely sell the properties. At least from what I've seen. It's all unrealized appreciated value.