Taco Bell — Tenant Representation

Engagement Overview — What It Is

Cornerstone represented two experienced Taco Bell franchise operators to accelerate multi-market expansion across four NYC boroughs. The mandate required identifying and securing high-visibility, operationally viable urban retail sites aligned with strict brand standards, delivery requirements, and profitability thresholds.

Result: Secured four prime locations totaling 6,825 SF, sourced through proprietary off-market intelligence and direct landlord engagement after evaluating 120+ spaces across 18 micro-trade areas.

Brand Objectives — Why It Mattered

The franchisees—who historically opened 40+ locations without brokers—sought an advisor to:

• Unlock off-market access in tight supply environments
• Validate rent feasibility and occupancy-cost targets
• Improve site quality, frontage visibility, and trade-area strength
• Accelerate expansion while maintaining strict build-out and layout criteria
• Secure locations within narrow, high-density five-to-ten block radii

The core need: credible market access, disciplined site analysis, and negotiation leverage not achievable through public listings or fragmented broker networks.

Market Realities — What We Were Solving For

Trade-Area Constraints

• Limited available inventory in high-demand corridors
• Fragmented data and inconsistent transparency in urban retail supply
• High competition for food-and-beverage sites requiring venting and infrastructure

Operational Constraints

• Minimum square footage, layout, and frontage requirements
• Tight delivery and build-out viability standards
• Need for sites that met rent-to-revenue and occupancy-cost thresholds

Risk Profile

• Overpaying for exposure
• Compromised visibility or co-tenancy
• Selecting sites that failed long-term profitability tests

Market & Site Strategy — How We Solved It

We deployed a data-driven, field-first site selection framework:

• Evaluated micro-trade areas using pedestrian counts, traffic flow, co-tenancy, and proximity to demand drivers
• Modeled rent-to-revenue ratios, occupancy costs, and financial feasibility
• Conducted test fits and build-out feasibility reviews with architects and engineers
• Walked every priority block and contacted every landlord directly
• Identified active, shadow, and off-market spaces using proprietary sourcing systems

This produced a validated pipeline of viable sites, each meeting brand standards and profitability criteria.

Execution & Negotiation — What We Did

We controlled the full transaction cadence to ensure speed, leverage, and accuracy:

• Led site tours, structured agendas, and streamlined decision-making
• Used structured LOI versioning to iterate terms and preserve negotiating leverage
• Negotiated key value drivers: rent, escalations, free rent, LL work, TI, exclusivity, and GG guaranty terms
• Verified construction feasibility and preliminary layouts before advancing deals
• Conducted all negotiations directly with landlords to maintain confidentiality and control the narrative

The approach ensured no wasted motion, no dilution of leverage, and no advancement of non-viable sites.

Results — What Happened

• Four NYC locations secured
• 6,825 SF leased
• Sites aligned with brand standards and operational requirements
• Improved occupancy cost relative to franchisee pro forma
• Enhanced visibility and exposure across targeted corridors
• Strengthened adjacency to strategic co-tenants and daily-needs drivers

Outcome: Trade-area strategy converted into revenue-producing real estate.

Impact — Why It Worked

The engagement expanded the franchisee’s NYC footprint with higher-quality sites, better economics, and stronger long-term viability than previously achieved through in-house sourcing.

Key impacts:

• Improved neighborhood presence and traffic capture
• Established micro-trade-area exclusivity
• Accelerated expansion roadmap
• Created a repeatable, institutional tenant-rep model for future openings
• Elevated real estate strategy from tactical site selection to a scalable growth platform

The partnership now serves as a long-term expansion engine across multiple boroughs.