Also known as “Zeros”, zero cash flow deals are structured so that all the rent paid by the lessee or tenant goes to the lender. These types of properties are ideal investment option, if you are are focused on growing your portfolio but with the least risk. They allow investors to leverage investment grade credit…
Category: Triple Net Investment Group
What are SNDA and Estoppels Agreements?
An SNDA agreement is a contract wherein the main purpose is to clarify the relationship between the lender and tenant. As the very name indicates, it is the the subordination, non-disturbance, and adornments and is meant to address the rights between tenants and the landlords or investors. It has basically three major components, which include…
Three Types of 1031 Delayed Exchange and How They Work
The desire to avert or defer the payment of taxes incurred on the capital gains on property disposition is universal. While you cannot prevent paying your taxes, at least you can defer it, and this is what the delayed version of 1031 exchange of properties is all about. If you are still unaware of this…
What Are the 5 Types of 1031 Exchange?
Are you finding it hard to pay taxes for your investment property, and are keenly searching for a reliable option to defer the same? If so, then it is high time that you opt for any of the 1031 exchanges. The 1031 exchange definition stems from Section 1031 of the United States Internal Revenue Code….
What exactly is a 1031 exchange and how it can benefit you
In today’s society, even if your daily routine does not consist of dealing with routine Real Estate transaction, most people have heard of a 1031 exchange benefit. For some that have heard of 1031 exchange or maybe those that are not sure about its exact guidelines, here is a breakdown: 1031 exchange is a swap, exchange…
10 most important things to do during the NNN Property due diligence period, or also known as feasibility study period:
1) Hire a Real Estate attorney and make sure that the tenant can’t cancel the lease and they would be responsible for paying the rent if they assign or sublet. In addition, pay special attention to the assignment clause of the lease agreement and make sure that the tenant can’t assign to a smaller tenant…
10 Things That Makes a NNN Property a Good Investment
10 Things That Makes a NNN Property a Good Investment NNN Properties, also known as ‘Triple Net’ is one of the most popular property types in commercial real estate. NNN Properties are usually single-tenant properties leased to solid tenants (big corporations or businesses) with high credit ratings. In this type of property, tenant is responsible…
What you need to know about 1031 Exchange:
Since 1921 investors have been given the opportunity to defer the capital gains tax from the sale of a property by using Tax deferred 1031 exchange (about 1031 Exchange). Tax Deferred 1031 Exchange allows an owner of real property, the Exchanger, to defer the recognition of a capital gains tax normally recognized on the sale of…
What is a Leasehold NNN Property?
An Introduction to NNN Leasehold Properties With the shortage of lucrative NNN investment properties in densely populated urban areas and the continued cap rate adjustment for property, more and more people are now eying leasehold NNN properties in the US. Unlike the common net lease investment, the leasehold investor never takes title to the underlying…
Subordinated & Unsubordinated Ground Lease Properties
What is Ground Lease A ground lease is a long-term lease in which a tenant is permitted to develop a piece of property during the lease period, after which the land and all improvements are returned to the property owner. All the improvements made on the land will be owned by the property owner unless…