Entries by Liz Sands

What is a Modified Gross Lease?

A modified gross lease can be best understood through comparison, as it represents a middle ground between a full-service gross lease and a triple net (NNN) lease. In a gross lease, the property owner is financially responsible for the building, and covers all the expenses associated to its operation (including taxes, insurance, and maintenance). To […]

SIG Handles Private Acquisition of a Convenience Store Portfolio with 4 Locations in Texas

SIG broker handled an NNN property deal between a private seller and a private buyer who wanted to add multiple convenience stores to their portfolio in one transaction. Working with a SIG net lease broker is the best way to maximize opportunity during a portfolio acquisition of new properties and handle complex, private, multi-location transactions. Lead […]

Modified Gross Lease Vs. Full Service Lease

There are many vital aspects to successfully navigating commercial real estate listings and finding the best fit for your investment strategies. Aside from price and cap rates, a key factor to consider is the type of lease that may already be in place on a property (which you’ll inherit as the new property owner). Lease […]

Why Do a Triple Net Lease?

A triple net lease (or NNN lease) property is a special type of investment property that typically comes with a long-standing tenant agreement in place with terms that are favorable for both investors and tenants in the long-term.

What You Should Know About Net Lease CAP Rates

Net lease capitalization rate (which is popularly shortened to simply, net lease cap rate) is a calculation used to measure the expected investment return on a net lease property investment. Cap rate is expressed as a percentage and is used to demonstrate how much of a return that an investor can expect on a net […]

Single Tenant Net Lease Valuation Model

Triple net lease real estate is popular among commercial investors who are looking for properties that are relatively low-risk but offer high returns without a substantial amount of management or oversight as a landlord. Single tenant net lease properties can be ideal investors with these investment qualifications, because you’re dealing with one property, one long-term […]

4 Trends Driving Triple Net Lease CAP Rates

The Capitalization Rate (or Cap Rate) is a term used heavily in the triple net lease real estate industry, and this calculation (expressed as a percentage) demonstrates the expected rate of return on a real estate investment. Cap rates are determined based on the net income a property is anticipated to generate and give investors […]

How Does a Triple Net Lease Work?

Net lease real estate offers great benefits for investors and tenants alike, and as you’re researching your commercial investment opportunities, you’re probably coming across a lot of different net lease types that you may have thought were all virtually the same, but the truth is that the type of net lease in place on an […]

What Does the Landlord Pay in a Triple Net Lease?

Triple net properties are quite attractive to investors who want a steady, predictable income stream (that is also low-risk, low-touch, and long-term). This is because, in general, the vast majority of the financial responsibilities hinged to the building itself are passed along to the tenant in an NNN lease.

5 Advantages of Single Tenant Net Lease Financing

Single tenant net lease properties are freestanding business locations that have just one tenant occupying the entire space. In contrast, multi-tenant properties (such as strip malls or shopping centers) have multiple spaces that are all occupied by different businesses. Single net leases are becoming a more a popular investment choice as the popularity of malls […]

What Is a Net Lease Advisor?

Triple net lease real estate can a very stable, long-term source of reliable income with many advantages for both property owners and tenants. However, it can also often be an overwhelming task to find the perfect triple net property and determine the best opportunity among a sea of choices. Additionally, net lease properties can come […]

Triple Net Lease Insurance: What’s Covered (and What’s Not)?

Insuring your triple net lease property is an important component of protecting your investment. While insurance is a known necessity for any type of property, there are some added complexities to commercial buildings that you need to understand so you can properly negotiate your tenant contracts and avoid the profit-stealing scenario of learning you’re not […]

What Should You Know about Commercial Lease Escalation Rates?

Commercial real estate contracts typically include detailed lease escalation clauses and rates that outline how and when increases to rent or operating costs will occur (and how both the property owner and the tenant are impacted as a result). While the presence of lease escalations is very common in commercial agreements, there are many variables […]