The leading fast-casual bakery-cafe brand, with long absolute NNN leases and suburban drive-thru real estate, from a buyer’s broker with 4 Panera closings in 2 states.
A Panera Bread NNN property is a freestanding bakery-cafe, typically about 4,000 square feet and increasingly with a drive-thru, leased on a long-term absolute NNN lease. New leases typically run 15 years with 10% rent increases every five years. Panera has more than 2,200 bakery-cafes across the U.S., run by a mix of Panera corporate and large franchisees, and it is one of the most recognized brands in fast casual. Panera is privately owned by JAB Holding through Panera Brands and has no public credit rating, so investors focus on the lease guarantor, store sales and the real estate. Its suburban locations, larger buildings and higher price points make Panera a popular step up for 1031 exchange buyers.
Solid Investments FL has represented buyers on 4 Panera Bread transactions in 2 states, including a corporate Panera ground lease in Killeen, Texas and stores in the Houston and Oklahoma City markets. See them in our track record. Our buyer representation is always free to you.
| Tenant | Panera, LLC (corporate) or a franchisee operating company; confirm the tenant and every guarantor on each lease |
|---|---|
| Ownership | Privately owned by JAB Holding through Panera Brands (with Caribou Coffee and Einstein Bros.); based in St. Louis, Missouri |
| Credit rating | Private, no public rating; underwrite the guarantor’s financials and the store’s sales |
| Restaurants | 2,200+ bakery-cafes in the U.S.; a mix of company-operated and franchised |
| Typical lease term | 15 years on new construction |
| Lease type | Absolute NNN; ground leases and fee-simple deals both trade |
| Rent increases | Typically 10% every 5 years |
| Renewal options | Multiple 5-year options |
| Typical cap rate (2026) | About 4.75%–5.5% on new leases; franchisee and shorter-term leases trade higher |
| Typical price range | About $2M–$5M |
| Typical building | About 4,000 SF, many newer stores with a drive-thru |
Ownership and store counts as of October 2026. Cap rates and pricing reflect current market conditions and vary by deal.
Panera leases are signed by either Panera corporate or a franchisee, and some of Panera’s franchisees are very large operators. Read exactly who signs and who guarantees the lease, and confirm how many units actually back it: franchisees often hold stores in separate subsidiaries, so a large operator’s lease may be guaranteed by an entity with only a few units. Corporate leases trade at lower cap rates.
Because Panera is privately owned and has no public credit rating, you can’t lean on a rating agency. Ask for the guarantor’s financial information where available, and weigh the brand’s size and the store’s performance.
Ask for store-level sales and compare them to the rent; rent at 6%–8% of sales is healthy, below 6% is very strong, and around 10% is close to break-even for many operators. Stores with a drive-thru have become Panera’s preferred format, and they tend to hold up better and resell more easily.
New Panera leases are typically absolute NNN with zero landlord responsibilities and 10% increases every five years. On older leases, check who covers roof, structure and parking lot.
At about 4,000 square feet, a Panera is bigger than most QSR buildings, so rent per square foot matters. If it is at or below market, you can likely re-lease the building at the same or even a higher rent if a franchisee ever fails. Prices typically run $2 million to $5 million.
Panera favors busy suburban retail corridors near shopping, offices and rooftops. Strong demographics, visibility and parking are your long-term protection and make the building easy to re-lease.
We’ve helped buyers close 4 Panera Bread transactions in 2 states:
Fast Food / QSR
Fast Food / QSR
Fast Food / QSR
Fast Food / QSR
Solid Investments FL is a Florida NNN buyer's brokerage headquartered in Lakewood Ranch (Sarasota), serving investors across Florida and nationwide, and has represented buyers on 4 Panera Bread transactions in 2 states. We help investors and 1031 exchange buyers find, underwrite and close Panera properties nationwide, and our buyer representation is free.
As of 2026, new Panera Bread leases generally trade between about 4.75% and 5.5% cap rates. Corporate leases and stores with drive-thrus in strong markets trade at the lower end, while franchisee leases and properties with fewer years remaining trade higher.
Then you own the land and the tenant owns the building. The main drawback is that you can't depreciate the building. The upsides: the tenant paid to build the store, so it has a strong vested interest in staying; ground rents are typically at or below market; and in most ground leases the building reverts to the landowner when the tenant vacates or the lease ends (verify it in your lease). That's why ground leases usually trade at lower cap rates.
Panera Bread is privately owned by JAB Holding through Panera Brands and does not have a public credit rating. Investors instead look at who guarantees the lease, the store's sales and the strength of the real estate.
New Panera Bread leases typically run 15 years on an absolute NNN basis with 10% rent increases every five years and multiple 5-year renewal options.
Both. Panera operates many of its bakery-cafes itself and franchises the rest, often to large multi-unit operators. Always confirm exactly who signs the lease and who guarantees it, since that affects both risk and pricing.
Start with how many restaurants actually back the guarantee. Franchisees often hold their stores in separate subsidiaries, sometimes one entity per store or per small group, so a lease from a large operator may be guaranteed by an entity with only a few units. Next, compare rent to store sales: for quick-service restaurants, rent at 6% to 8% of sales is healthy, below 6% is very strong, and around 10% is close to break-even for many operators. Finally, check rent per square foot against the local market. If the rent is at or below market, you can likely re-lease the building at the same or even a higher rent if the operator ever fails.
For many investors, yes. Panera offers a nationally recognized brand, long absolute NNN leases with scheduled increases and price points of about $2 million to $5 million, a step up from most quick-service restaurants. Because it is privately held, careful review of the guarantor and store sales is important.
If you buy it fee simple, yes: you own the building and site improvements, which can be depreciated, and a cost segregation study can accelerate part of that. With a ground lease you own only the land, which is not depreciable. Confirm with your CPA.
General information only, not investment, tax or legal advice. Credit ratings and market data change; verify current figures before investing.
Tell us your budget and timeline. We’ll show you on- and off-market Panera options, and our buyer representation is completely free.
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