KFC
KFC's US unit count has been shrinking for years (about 400 net closures since 2022) even as the brand grows overseas, so US leases depend heavily on the franchisee and the site. Yum! (BB+) rarely guarantees these leases, so look for strong multi-unit operators and reasonable rent-to-sales ratios.
- US units
- 3,523
- FY2025
- 3Y net growth
- −10.1%
- vs. FY2022
- Credit rating
- BB+
- Sub-investment grade
- Typical term
- 15–20 yr
- Franchisee-signed NNN (absolute NNN common)
- Model
- Franchised
- Subsidiary of Yum! Brands
Unit count
KFC in the news
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KFC net lease FAQ
What is KFC's credit rating?
KFC is rated BB+ (Yum! Brands), which is below investment grade. Check the lease to confirm whether the rated entity is the actual guarantor.
How many KFC locations are there in the US?
KFC reported about 3,523 US locations as of FY2025. That is −10.1% versus 3,918 in FY2022.
What does a typical KFC net lease look like?
Lease type: Franchisee-signed NNN (absolute NNN common). Initial term: 15–20 yr. Rent increases: 10% every 5 yrs or 1–1.5% annually. These are market-typical terms; actual deals vary by vintage, location and whether the lease is corporate or franchisee-signed.
Is KFC corporate or franchised?
Operating model: Franchised (~98% franchised). KFC is part of Yum! Brands. For net lease investors this determines whether rent is backed by the corporate parent or by a franchisee.