Five Below
Fast-growing teen/tween discounter (~9% annual unit growth, strong 2026 comps) with no long-term debt but no public credit rating. Mostly in-line or strip-center leases with 10-year terms; strong sales but unrated credit keeps cap rates above IG peers.
- US units
- 2,022
- Q2 2026
- 3Y net growth
- +50.9%
- vs. FY2022
- Credit rating
- NR
- No public rating
- Typical term
- 10 yr
- NN (roof & structure landlord)
- Model
- Corporate
- Public
Unit count
Five Below in the news
All news →- GlobeNewswire - Restaurants
Five Below net lease FAQ
What is Five Below's credit rating?
Five Below does not carry a public S&P issuer credit rating (NR). Landlords underwrite it on unit-level performance, the guarantor named in the lease and, for public companies, reported financials.
How many Five Below locations are there in the US?
Five Below reported about 2,022 US locations as of Q2 2026. That is +50.9% versus 1,340 in FY2022.
What does a typical Five Below net lease look like?
Lease type: NN (roof & structure landlord). Initial term: 10 yr. Rent increases: ~10% every 5 yr. These are market-typical terms; actual deals vary by vintage, location and whether the lease is corporate or franchisee-signed.
Is Five Below corporate or franchised?
Operating model: Corporate. For net lease investors this determines whether rent is backed by the corporate parent or by a franchisee.