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Admissions Freshmen. Transfer students. Like many other restaurant chains , McDonald's allows individual business owners to open up franchises.
But what McDonald's does is buy out different locations and rent them to franchisees. Those franchisees not only pay fees to start the franchise, but they also pay rent to McDonald's, calculated as a percentage of restaurant sales typically, And given the popularity of McDonald's, that rent can be substantial.
Of course, in owning its physical locations, McDonald's takes on the risk that all real estate investors incur -- structural damage, maintenance, and property repairs.
But the company's vast resources make that risk less of an issue. Sonneborn has previously told investors that the company is not, in fact, in the food business, but rather, the real estate business. And while the company's winning recipes for burgers and fries have no doubt contributed to its success, ultimately, its greatest asset is the real estate it owns. Are you surprised to learn that real estate generates more revenue for McDonald's than food?
You're no doubt in good company. But it just goes to show that the opportunities to invest in real estate are endless. When we think about real estate investing, we imagine buying commercial buildings, rental properties, or vacation homes.
Or, we think about buying real estate investment trusts REITs to avoid the risks of owning actual properties. But as you can see, it's possible to take part in what we'll call secondhand or indirect real estate investing -- investing in companies that trade like any other stock but derive a large portion of their revenue from their own real estate holdings.
In fact, if you don't consider yourself a real estate investor but have McDonald's in your portfolio, then guess what -- you're a real estate investor. You just didn't know it. Incidentally, the McDonald's model is something new business owners can strive to emulate. Since real estate has the potential to appreciate in value over time, owning land and buildings will often prove more profitable than the products being sold in those buildings.
As such, anyone who sells consumer goods has the potential to mimic McDonald's. And any business that enjoys even a fraction of its success is a venture worth investing in. Peacock started the game strong, solving the first two toss-up puzzles and the first round puzzle, "singing nightingales. He earned the trip after solving the prize puzzle, "surfers and snorkelers.
Peacock buzzed in for the toss-up puzzle between rounds three and four, but wasn't able to solve the puzzle. After picking the right consonants, he quickly solved the puzzle, "Egyptian Pharaohs. Peacock had applied to be on the show several times since This past spring, he went to an open audition in Louisville and impressed producers enough to be invited back in July for a second level audition.
In October, he received an email asking if he could make it for a Nov. In order to fulfill his life dream, all he needed was a plane ticket to fly to California.
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