Restaurant Franchise Financing Rebounds to Pre-Pandemic Levels, MUFG Says
NEW YORK, Dec. 4, 2020 /PRNewswire/ --Financing for restaurant franchise operators in the large and middle-tier segments has mostly bounced back to what it had been before the onset of the COVID-19 pandemic, according to Brian Geraghty, head of Restaurant Finance at Mitsubishi UFJ Financial Group ( MUFG ).
- NEW YORK, Dec. 4, 2020 /PRNewswire/ --Financing for restaurant franchise operators in the large and middle-tier segments has mostly bounced back to what it had been before the onset of the COVID-19 pandemic, according to Brian Geraghty, head of Restaurant Finance at Mitsubishi UFJ Financial Group ( MUFG ).
- Restaurant lenders evaluate the RAL of their borrowers, many of which do not own their properties but rather lease them.
- "Recent restaurant acquisitions in these market categories highlight the substantial amount of readily available capital for deployment," he says.
- Mr. Geraghty also points to an upswing in the valuations and frequency at which franchise establishments are changing hands.