Obviously this depends. As NOI depends on the income and expenses of the Quizno's. The better question is what is the going rate for a fast food restaurant in this area of city ABC.
The reason I say to narrow down your search so specifically is because income for a restaurant like Quizno's depends on traffic - by foot and by car. An example is a Quizno's in downtown Manhattan will have a certain volume of traffic that will garner a great deal of income. That isn't going to translate to a high NOI because NOI is tempered by the rental "expense" for a commercial business in Manhattan. Whereas the traffic at a truck stop Quizno's will be less but the real estate cost will also be reduced therefore the price 'should' be less (thereby keeping a similar cap rate). That example profiles why cap rate works as a measure of a property throughout the country (at initial review cap rate is an excellent measurement).
Hotels and restaurants face a unique issue when it comes to valuation. These hospitality industry properties should utilize a "known" deduction for management fee and franchise fee from net income, thereby removing income attributable to the business component from the income stream.
The other issue with cap rates is that as there is greater appreciation there is usually a lower cap rate. If your property will not appreciate (much) based on the location then you should look for a much higher cap rate (double digits).
Finally, you need to ask yourself what cap rate YOU are willing to accept. Browse loopnet.com to determine what is available in the commercial arena. Don't get set on a Quizno's. Get focused on a certain cap rate. Figure what amount of money you'd like to make and go about finding that property. Get a good agent to bring you multiple deals. Whether it is a Quizno's, apartment complex, commercial building or a hotel let the income drive your search.
I hope this helps.
Dec 7, 2010