What does the term “Zero cash flow property” imply? Nowadays, the popularity of Zero Cash Flow Property NNN investments – leasehold or fee simple – is rapidly increasing amongst commercial real estate investors all over the globe. As the name suggests, “zero cash flow property” or “zeros” refers to the fact that the investor –…
What Are The Different Types Of Net Leases ?
NNN or Triple Net lease property is not a new concept for commercial real estate investors, brokers, landlords and tenants. Yet, it is one of the most misunderstood terms by many NNN brokers and NNN investors . To be clear about the different sorts of NNN leased properties a basic understanding of net lease properties…
Ground Lease vs. Triple Net Lease
We will distinguish a Ground Lease, which is related but different, from a Triple Net NNN Lease. A Triple Net lease or a NNN lease provides a stable income to the investor, landlord or owner, with least management responsibilities. When landlords, owners or investors choose a Triple Net lease structure, they are most likely thinking…
Leasehold Properties vs Ground Lease Properties for investments
For the pursuit of happiness, investors prefer making investments in triple net lease properties to ensure solid guarantee returns on the investments with zero landlord responsibilities. Triple net lease buyers can invest in leasehold properties or ground lease properties. In this article, we will compare both options and involved pros and cons. What is a…
What is Triple Net Lease and how beneficial is it to invest in Triple Net Lease properties?
Triple Net Lease Properties nowadays are becoming popular among investors in commercial real estate. Triple Net Lease Properties may include office buildings, industrial parks, restaurants, retail and many others. However, unlike the traditional gross lease properties, in a triple net property, the tenant takes care of all the operating expenses related to the leased asset….
Investing in a Single Tenant NNN Property vs. Multi-Tenant NNN Property?
As the name implies, a Single Tenant NNN property is leased to one single business entity on the basis of a long term lease. On the other hand, multi-tenant properties like shopping malls or centers offer multiple spaces for different commercial purposes to different businesses. In commercial real estate, Single Tenant NNN Lease Properties are…
Corporate NNN Lease vs. Franchisee Lease
NNN Buyers can invest in Corporate backed Triple Net NNN properties or, in Franchisee leases. National corporate retailers and restaurants, are revamping their expansion models to prevent large capital outlays by franchising more locations. Hence, a more nuanced look at the benefits of NNN leases with either corporate backing or franchisee backing, is desirable. CORPORATE OWNED…
1031 Exchange – Pitfalls
In a 1031 exchange (STARKER exchange) process allows an owner to sell one investment property and buy another similar (“like-kind”) property whilst avoiding U.S. capital gains tax. The major pitfall occurs when an exchange is audited and disallowed. The penalty standards include the income tax related to the sale of the relinquished property and the penalty and…
The 1031 Exchange – Essentials
The 1031 Starker exchange, gives the owner of the right to sell a property and buy a similar one, by deferring capital gains tax and avoiding penalty taxes, that might otherwise accrue. It is crucial to recognize that each and every minutia of due process in such exchange must be completed, otherwise significant penalties can…
NNN Lease property
The Triple Net or NNN Lease property is one of the most common kinds of commercial real estate leases. These properties seem simple to investors and hence are the top amongst a slew of widely preferred, realty, investment options. It leaves the entire burden of expense and operation on the tenant rather than the owner….