Brands You Know. Returns You Want. Value You Expect.
In commercial property, not all tenants are created equal. While location matters, it’s often the brand behind the lease that sets the gold standard for investors. Brands offer something few other investment metrics can: recognition, trust and reliability.
This Portfolio campaign features some of the strongest brand covenants in the country, from McDonald’s, 7-Eleven and Hungry Jack’s, to Starbucks, Chevron, Shell, IGA, Goodstart Early Learning, and Petbarn. These aren’t just names; they’re embedded in daily life, with proven performance and long-term appeal.
McDonald’s: The Evolution of a Global Icon
McDonald’s, a name that evokes images of golden arches, familiar comforts, and the unmistakable scent of french fries, has grown from humble beginnings in 1940s California to become one of the most successful and recognisable brands in the world.
Its journey is not only a case study in franchising and branding but also a story of adaptability, resilience, and sustained growth—traits that have made McDonald’s a highly sought-after asset among investors, consistently achieving record low yields.
It began with Richard and Maurice McDonald, who operated a drive-in selling hot dogs and hamburgers in San Bernardino. By 1948, the brothers had developed the idea that would revolutionise the industry: the “Speedee Service System.’
Focused on speed, efficiency, and consistency, it introduced an assembly line-style kitchen that allowed food to be prepared faster and at lower cost, without compromising quality.
The pivotal moment came in 1954 when Ray Kroc, then a milkshake machine salesman, visited the original McDonald’s site and saw an opportunity far beyond a single location. By 1955, he had opened the first franchise in Des Plaines, Illinois, and established McDonald’s Corporation.
After acquiring the business from the McDonald brothers for $2.7 million, Kroc set about building an empire anchored in standardisation and operational excellence.
From the outset, every McDonald’s followed a uniform design, kitchen layout, and training system. This approach delivered a consistent experience to customers, whether locally or, later, in cities across the globe. The introduction of the now-iconic Golden Arches became a beacon of quality and speed, and the launch of Ronald McDonald in the 1960s further cemented its appeal to families.
Throughout the 1970s and 1980s, McDonald’s expanded internationally, becoming one of the first global fast-food brands to successfully adapt its model for different cultural contexts while retaining its core values. This balancing act of local relevance and global consistency became a foundation of its continued success.
Facing mounting pressure in the 2000s from a health-conscious public and evolving dietary expectations, McDonald’s again proved agile. The menu expanded to include salads, fruit, lean grilled chicken, and more recently, plant-based options. Its digital transformation has also been noteworthy, with self-order kiosks, app-based self-service kiosks, delivery partnerships, and a customer loyalty program enhancing convenience.
McDonald’s has become deeply embedded in Australian culture since opening its first local restaurant in Yagoona, Sydney in 1971.
Today, it operates more than 1,000 stores nationwide, serving millions of customers income streams. Its strong market presence, reliable income streams, and long-term lease structures make McDonald’s a sought-after tenant and the benchmark in commercial property investment portfolios across the country.
McDonald’s operates more than 39,000 restaurants worldwide. Its ability to evolve while preserving its foundational principles has not only ensured ongoing value creation and capital maintenance but solidified its status as a global leader in food service but also solidified its ongoing success as a blue-chip investment.
The brand continues to draw the attention of investors who wish to embrace the security, scale, and reliability that McDonald’s brings to the commercial property market.
In many ways, the story of McDonald’s is the story of modern franchising: a visionary concept, executed with discipline, and continuously refined to meet the demands of a changing world.
While McDonald’s remains the most established and widely known brand in the sector, it’s far from the only name driving demand in the commercial property market.
Other leading brands such as KFC, Starbucks and Hungry Jack’s have also established widespread footprints and strong consumer loyalty, underpinned by proven long-term performance and prime site selection.
Meanwhile, Guzman y Gomez and now El Jannah are spearheading a new wave of fast casual dining, with rapid expansion and strong sales growth capturing the attention of younger consumers and investors alike.
Together, these brands reflect the strength and adaptability of the sector, with fast food assets continuing to attract investor demand thanks to their resilient trading performance, long leases, and the stability that comes with household-name tenants.
While McDonald’s remains the benchmark for brand-backed investments, a new wave of emerging names is drawing attention and capital.
El Jannah may not yet be global, but its rise is strikingly familiar. Just like Guzman y Gomez before it, El Jannah has captured hearts (and market share) with a scalable model, loyal following, and expanding national footprint.
For investors, it represents first-mover advantage in securing long leases with rising brands before they hit their peak.
Established in Sydney in the late 1990s, El Jannah built its following on authentic Middle Eastern flavours, with its charcoal chicken, fresh tabbouleh and house-made sauces now widely recognised.
But it’s the brand’s clarity, consistency and scalable model that set it apart in the eyes of investors.
El Jannah offers what today’s buyers are looking for: a growing national presence, reliable lease covenants and a strong track record. The brand’s expansion is underpinned by well-structured leases, often with long terms and fixed annual increases that deliver security and stable returns.
Many of its sites are high-profile locations that have been either purpose-built or significantly upgraded, reflecting a clear long-term commitment. These investments in fit out and positioning also enhance underlying land value, supporting long term capital growth.
A loyal customer base drives consistent foot traffic and strong sales. As a result, properties leased to El Jannah typically attract strong enquiry and competitive yields, underpinned by brand strength, operational success and strategic main road location.
In an interview with the AFR earlier this year, the chief executive of El Jannah said the cult charcoal chicken chain expects revenues of up to $300 million this financial year and has ambitions to nearly triple the number of its stores by 2027.
Smart Site Selection, Smarter Investments
The success of global brands such as McDonald’s, Starbucks, and El Jannah depends heavily on strategic site selection, a principle clearly demonstrated by the three St Albans VIC fast food assets offered separately in our latest Portfolio Auction.
These purpose-built assets offer investors the advantage of new long-term leases with tenants committed to the locations. As the surrounding area continues to grow, these properties are well positioned to achieve increased capital appreciation alongside stable trading performances.
All three are positioned in the same high-traffic, fast-growing development corridor that provides exceptional exposure and sustainable growth.
Importantly, each asset caters to a distinct food offering, ensuring there is no replication of food users and creating a complementary dining precinct that appeals to a wide customer base.
Located homebound on Sunshine Avenue in St Albans VIC, the development benefits from immediate access to the Western Ring Road and exposure to approximately 40,000 vehicles daily.
“Successful global brands prioritise locations that combine expanding populations, high traffic volumes, and a strong mix of complementary retail offerings to maximise their long-term growth and visibility – we have managed to combine all of these here at Sunshine Avenue in St Albans.’ — Jaryd Misios, Vernacular Property
Positioned at a key gateway to Melbourne Airport and the CBD, the location also enjoys the advantage of a rapidly expanding residential catchment.
One of the offerings in the development features a rare net ground lease to McDonald’s, the first of its kind to be offered in Victoria since 2015, providing investors with a secure, long-term income stream and growth potential.
Separately, the Starbucks and El Jannah assets also deliver strong trading outcomes and capital growth potential, supported by their own loyal customer bases and well-established surrounding retail environments.
The developer’s disciplined focus on location, tenant quality, and complementary yet diverse food offerings underscore why these assets continue to attract savvy investors seeking dependable returns secured by globally recognised brands.
Whether global giants or rising contenders, the common denominator is clear: strong brands, prime locations, and smart tenancy mix drive value, and investor demand.