In a triple-net lease, the tenant is responsible for all property-related. Learn more about triple net leases & properties by clicking or contacting us! Skip to Content. If you want to learn more about these and other NNN investment types and find the one that fits your exact objectives, let us know how we can help. An absolute net lease is less popular than the other three types of net leases, though it is pretty similar to an NNN, and investors often conflate the two. An absolute NNN ground lease is an agreement between a landowner and a tenant, in which the tenant leases land for a build-to-suit building. Net Present Value (NPV)Our expert advisors offer objective advice, education, knowledge, and advocacy – all without any cost to you! Contact us today for a no-obligation consultation, 314-997-5227. Pros and Cons of Net Lease Agreements for Real Estate Investors. Absolute triple net lease. As the usage of triple net leases for rental activities continues to grow, it is important to understand how the IRS defines a triple net lease. Over 6 Years Remain on an Absolute Triple Net Lease With Attractive 10% Increases in the Option Period. 16/SF With 2% Annual Increases. and shopping center sites vary between modified NNN and absolute triple-net lease terms. Double Net: Tenant pays rent plus property taxes and insurance. An absolute NNN lease is a long-term, corporate-guaranteed lease (10 to 20+ years) between the landlord (you) and a creditworthy tenant who pays all expenses associated with the property. This is a contract when a tenant leases the land to build a house for specific purposes, so he becomes an owner of the built accommodation and is responsible for all expenses for its maintenance. The leases are absolute net and provide for zero landlord. Triple-Net Vs. Walgreens • Long Term Absolute NNN Lease • Prime Location within Edinburg • 15,057 SF . Is the Midwest a good spot for them?Historically, triple net refers to leases where a tenant rents an entire freestanding commercial building and pays for all property expenses. Omaha, Nebraska. Rental Increases: 3% Annual. Modified Gross Lease: A Modified Gross Lease combines aspects of both Gross and Net leases, offering a compromise. What is typically not included in a NNN lease is roof and structure and that is why you will often see a “reserve” being taken out of net income prior to calculating value to. Rent remains fixed regardless of utility costs. 5% every year or 10% every five years. As a result of the higher costs, the tenant will typically pay a lower base rent amount. A triple net lease is one whereby the tenant is responsible for the monthly rent in addition to the property taxes, utilities and maintenance. Insurance Premiums. The investment is subject to a 20-year absolute triple-net (NNN) lease, commencing at the close of escrow. This Opportunity Includes a High-Quality Tenant With a Long-Term Absolute Triple Net Lease (NNN) and Zero Landlord Responsibilities, Providing For a Secure Investment. Our experienced team of net lease advisors and brokers are experts. Absolute Net Lease: In an absolute net lease, also known as a bondable lease, the tenant handles the rent and other property-related expenses, such as the roof and structure. Triple net leases:Cons to Triple Net Lease Properties. Triple Net: tenant pays rent, property taxes, insurance, and. There are several types of net leases: single net, double net, triple net, absolute triple net. Typically, the average size of a. In a single net lease, the tenant pays a lower base rent in addition to property taxes. Net Leases should not be confused with an Absolute Triple Net Lease; which is essentially the same thing as a standard triple net lease in terms of what the tenant is responsible for paying, but the major difference is that the tenant pays these expenses directly. If Master Tenant receives an offer to purchase its leasehold interest in the Premises. 00 to 6. While leave and licence agreements are common in the residential real estate space. Evil. In this article we’ll take a deep dive into the NNN lease, dispel some common misconceptions about the triple net lease, and then finally we’ll tie it all together with a clear and concise. At the end of. In this lease type, the tenant is responsible for all property expenses, including. The Challenge – Locating Triple Net Lease Properties For Sale within Budget in Extremely Competitive Market. Passive Income Potential: Triple Net Leases (NNN): While tenants bear some expenses, landlords may still need to be somewhat involved in property management. Property Type Retail Lease Type Absolute NNN. Lease Term Remaining: 9. Sands Investment Group is Pleased to Exclusively Offer For Sale the 10,188 SF CVS Pharmacy Absolute NNN Lease Hold Interest Investment Opportunity Located at 2427 Main Street in Rocky Hill, CT. S. In a triple-net lease, tenants are responsible for property taxes, insurance premiums, and maintenance costs. 7-Eeven • Bonus Depreciation Benefits • Current CAP 5. Also called a triple net lease, in which the tenant pays rent plus all costs of ownership,such as insurance,real estate taxes,repairs,cleaning,and utilities. The tenant is also responsible for any repairs or improvements to the property. LoopNet also attracts a large community of Arizona commercial real estate. An absolute net lease, sometimes called a bondable lease, or abbreviated as an Abs NNN lease, is a type of commercial lease between a commercial property owner and a tenant in which the tenant is responsible for all costs related to the property. Cap Rate calculated at: 6. When we took over the building, the tenants were paying NNN costs of $1. Therefore, they handle building insurance, property insurance, and real estate taxes on top of paying rent. An absolute triple net lease is the most common type. The Tenant becomes liable for paying the various operating expenses based on the percentage of the building that the Tenant occupies. These costs are divided into three “Nets. Triple net leases offer extraordinary investment characteristics that remain underappreciated by the market. Since absolute NNN lease properties don’t require any landlord responsibility, purchasing a property with a major-brand tenant in one of the best states for triple net lease investing provides peace of mind and surety of. While other expense structures require the landlord to pay for some or all the building expenses, absolute net leases require the tenant to pay these expenses. Absolute Triple Net Lease: This type of lease is the most comprehensive and requires. 2. Tenant Credit Corporate Guarantee, Credit Rated. 20-YEAR ABSOLUTE TRIPLE NET LEASE THAT INCLUDES 10% RENTAL INCREASES EVERY FIVE YEARS . Tenant: Dollar General | Oliver Springs, TN. You may own property anywhere within the United States with absolute net lease properties and without landlord obligations. With Over 9 Years Remaining on an Absolute Triple Net (NNN) Lease. Lease Expiration: 12/31/2036. 1 “Triple Net” Lease. The “NNN” stands for “net, net, and net,” which. As an absolute triple net lease property owner, your tenant pays for 100% of any CAM fees as defined in the lease. while the landlord is responsible for property taxes, insurance, and maintenance. You can check that out at DanOnTop. You can determine the short and long-term potential in an NNN lease investment by using the single tenant net lease valuation model. You may have noticed that Westwood Net Lease Advisors represents countless clients who buy and sell and fill their real estate portfolios with Dollar General triple net (NNN) lease properties – for good reason. The document also provides that this lease will in all respects be treated as a triple net lease with all costs and expenses paid for by the lessee, including, but not limited to, real and personal property taxes; fire, casualty, theft, and liability insurance; trash removal; water, gas, electricity and other utilities;. Premises: 2,756 SF. Purchasing a NNN lease can also defer capital gains and. Building maintenance. An absolute net lease has no legal defenses if Simon fails. LoopNet. Modified Triple-Net Lease: This lease structure allows for some splitting of expenses between the landlord and tenant. This Deal Includes an Absolute Triple Net (NNN) Lease With Zero Landlord Responsibilities, Providing For a Unique Investment. An “absolute triple net lease” transfers all property risks to the tenant. NNNs are one of several types of so-called net leases, the other two common options being single and double-net leases. BJ's Wholesale Club, Inc. A gross lease is when the tenant pays one lump sum for rent, from which the landlord pays their expenses. A. Lease Expiration: 8/2029. 1504 Highway 161 - North Little Rock, AR 72117DaVita offers 10-15 year NN leases with little management and rent increases of 5-10% every five years. offers 20 year absolute triple net leases with 10% increase every renewal period. Lease Expiration: 20 Yrs from COE. Michigan Triple Net Lease. Brand New Construction Long-Term Absolute Triple Net (NNN) Ground Lease – Scheduled to Open in May 2021This type of lease agreement requires the lessee to pay for two of the major net costs incurred on commercial spaces, i. Jiffy Lube is a leading provider of automotive preventive maintenance. Updated September 25, 2023. Absolute Net LeasesSands Investment Group is Pleased to Present Exclusively For Sale the 11,180 SF Walgreens Absolute NNN Lease Investment Opportunity Located at 21287 Highway 421 in Hyden, Kentucky. Investors can have long-term tenants, avoiding vacancy. For hands-on property owners who like to be out there, at ground level, performing maintenance, arranging landscaping, and investing in improvements, it’s less relevant. support@creop. This Opportunity Includes an Attractive Absolute Triple Net (NNN) Ground Lease With Zero Landlord Responsibilities, Providing For a Secure Investment. Little to no maintenance or other expenses. The annual rent will be $70,000 and is scheduled. 3. Sands Investment Group is Pleased to Exclusively Offer For Sale the Absolute Triple Net Lease NNN Investment Opportunity Located at 100 East Blake Street in Yreka, California. Triple net lease. 63% Property Type: Restaurant. sites that fit into small retail strip centers, retail condo space,. Email. Graystone Capital Advisors is pleased to exclusively offer for sale a single tenant net leased Freddy’s Frozen Custard & Steakburgers property located in the Atlanta MSA, situated within the $150 million multi-use development known as Newnan Village Crossing on a 125-acre tract in Newnan located along I-85. The triple-net lease is usually abbreviated to “NNN lease” in writing. Burger King NNN Lease investment feature attractive benefits such as: 15-20 Year Absolute Triple Net Lease, CAP Rate between 5% – 6%, 5% – 10% Rental Increases and No Landlord responsibilities. An "absolute triple net" property is one in which the landlord bears zero. The tenant pays the base rent. The stores sell for an average of $600,000 (stores can range from $1. The lease calls for no. Triple Net Lease: The tenant pays. 1 billion of commercial real estate space for lease. This gives them more freedom in the lease regarding certain costs and utilities. Double-net leases require the tenant to pay two of the three nets—usually, property taxes and insurance premiums. Rental Increases: 10% in Yr 6 & Options. Absolute triple net lease – no landlord responsibilities. 1. Excellent Demographics With a Population Of Over 122,610. These leases are extremely attractive to investors as they require the tenant to pay for the roof, building maintenance, landscaping, parking lot. The landlord is still responsible for all. Monthly NNN = $1,000. 41 billion and continues to see 2% annual. 5–2 million, and sit on visible 1/2 – 3/4 acre lots with easy access. 5–2 million, and sit on visible 1/2 – 3/4 acre lots with easy access. Rental Increases: 8% Every 5 Years & At Options. These net-lease properties sell at a reasonable price point, between $1. Status: For Sale. Keystone Realty U. 62/65N in Harrison, Arkansas. Monthly NNN = ($4 x 3,000 sq. These costs are usually estimated for the year and incorporated into the rent on a monthly basis. Request Info Make an Offer. , NNN) is a lease agreement in which the tenant is responsible for all expenses, including rent, real estate taxes, insurance, and maintenance. Absolute Triple Net Lease / Bonded Lease: In an absolute net lease, the tenant pays a base rent plus all operating expenses. The tenant then becomes the owner of this new building and is responsible for expenses and costs. The benefits of investing in a triple net leased property include: high quality tenants, long term leases, rent increases, passive income, and profitable exit opportunities. Triple Net Lease (NNN Lease) Absolute Triple Net Lease Modified Gross Lease As a business in Iowa, there are three basic types of commercial real estate leases you will see. If you’re a REIT investor, the triple net lease is really what you’re looking for. Sands Investment Group is Pleased to Present For Sale the Sonic NNN Lease Investment Located in West Columbia, Texas. This Investment Will Allow Investors to Get in at Way Below Market Rent With a Strong Investment Grade Tenant. Absolute Net Lease: In an absolute net lease, the tenant pays base monthly rent plus all of the property’s operating expenses. One of the Largest Wholesale stores on the east cost, this absolute triple net lease property with zero management offers the buyer a secure steady income with a major credit tenant. These expenses are categorized as "three nets": property taxes, insurance, and maintenance, and the net lease types refer to which of the expense ‘nets’ are covered by the tenant. The major benefit to the net lease real estate structure is the tenant(s). . National Exams Practices. Featured Properties. It’s even more comprehensive than the triple net lease. The landlord is responsible for all other building expenses. Sands Investment Group is Pleased to Present Exclusively For Sale a 10,908 SF AutoZone Absolute NNN Lease Located at 23 Yost Blvd in Pittsburgh, Pennsylvania. Results. A. This is when a tenant agrees to pay all three of the property’s expense categories in addition to the base rent. Ownership Fee Simple Courtesy of. A bondable lease is frequently called an “absolute triple net” lease because the tenant is responsible for all expenses related to the property and isn't. In a bond lease, the tenant is responsible for not only property maintenance and structural repairs but also rebuilding the property in the event of an act of God — natural disasters like floods, earthquakes or extreme freezes, like in Texas in early 2021. This Property Has a Recently Extended New 15 Year Lease Demonstrating the Tenant’s Confidence in the Location. When buying an absolute triple net lease property with cash, cap rate compares the purchase price of the property to the income (rent) it generates. NNNs are typically easier to resell; you could,. Absolute Net Leases. Keystone Realty U. Unfortunately for landlords in the veterinary sector, we often see “modified triple net leases,” which shift some maintenance or replacement responsibilities back to the landlord. Purchasing a NNN lease can also defer capital gains and. . Landlord and Tenant acknowledge and agree that both parties intend that this Lease shall be and constitute what is generally referred to in the real estate industry as a “triple net” or “absolute net” lease, such that Tenant shall be obligated hereunder to pay all costs and expenses incurred with respect to. com Triple Net Lease (NNN Lease): Tenant pays base monthly rent plus their share of three of the property’s major operating expense categories, usually property taxes, insurance, and maintenance. A triple net lease , also called NNN leases, is a legal contract between commercial tenants and landlords. The tenant pays for property taxes, insurance, and maintenance of the roof, structure, and common areas of the NNN property. 3. In a triple net lease, the tenant pays for the three largest property operating expenses: Property tax. Sands Investment Group is Pleased to Exclusively Offer For Sale the Absolute Triple Net Lease Property Located at 5540 Rufe Snow Drive in North Richland Hills, Texas. Free preview . Types of Alaska Triple Net Lease: 1. When investing in the triple net (NNN) lease market, it pays to look at purchasing investment properties across the country. 5. Dec 29, 2022. Triple net leases. The major benefit to the net lease real estate structure is the tenant(s). Given the uniqueness of the net lease structure, there are a number of benefits and risks to be aware of. Triple Net Leased Property Businesses. Done right, triple net leases can produce a steady, consistent income streams for investors. Absolute Triple Net Lease Investment Benefits. A triple net lease can be formatted as a bondable lease. This is when a tenant agrees to. This type of lease takes almost all financial responsibility off the landlord. 65 million to $3. A NNN is sometimes leased to a single-tenant, making it a single tenant triple net lease (STNL). Lease Expiration: 6/30/2029. The absolute net lease is a variation of a triple net lease. , property taxes, insurance, utilities, repairs, etc. If you have a property manager collecting the rent and handling any issues with your tenant. Older leases with these two tenants are typically double-net (NN) while locations built after 2002 are typically absolute triple net (NNN). Easy Order Specials; 50% off Incorporation services;. Lease Expiration: 2/28/2031. Brand new 15 year absolute triple net leases. An Overview of the Triple Net Lease. A triple net lease (triple-Net or NNN) is a lease agreement on a property where the tenant or lessee agrees to pay all real estate taxes, building insurance, and maintenance (the three "nets") on the property in addition to any normal fees that are expected under the agreement (rent, utilities, etc. Kohl's & Aldi. Because the tenant is responsible for scheduling and paying for maintenance, triple net leases offer a good source of stable, passive income with fewer. Net leases can be negotiated depending on the interests of the parties, and it is crucial to. If you have a property manager collecting the rent and handling any issues with your tenant. Triple net leases are common with large single tenant properties such as national restaurant chains and are popular because they offer a turn-key investment. 7 Billion) since 2010. We strive hard to provide clients with quality costumer service. 2. Asset Flexibility. Lease Type: Absolute NNN Ground Lease. Since absolute NNN lease properties don’t require any landlord responsibility, purchasing a property with a major-brand tenant in one of the best states for triple net lease investing provides peace of mind and surety of income. A Triple Net Lease (NNN) is a lease agreement somewhere, apart from paying that rent, the tenant also pays for all running expenses. Sands Investment Group is Pleased to Exclusively Offer the Absolute NNN Ground Lease Property For Sale Located at 13010 S US Highway 301 in Riverview, Florida. NNN Lease – This is a lease where the base rent is net to the Landlord. In return, you save out-of-pocket expenses of $900/month for property taxes. One of the prime benefits of using NNNs is the ability to enjoy freedom, or at least minimal. Founded in 1958, the company. As a category, net leases can encompass either a single-net lease (N lease), double-net lease (NN lease), or triple-net lease (NNN Lease). Read Additional thought leadership content from SIG, specializing in absolute triple net lease opportunities. Absolute Triple Net Lease: This type of lease places virtually all responsibilities on the tenant, including structural repairs, roof maintenance, and even property taxes. Insights. Net Lease is also used to refer to just the triple-net lease, or NNN lease. Remember that triple net leases are just one of many commercial lease options, and this option provides a lot of exciting benefits for landlords: Long-term occupancies. Most often, triple net leases are long-term (10. Request Info Make an Offer. Modified triple net or double net hybrid: minor landlord. 1 billion sq. The Basics: Triple-net lease clauses define every major and minor lease detail, starting with the definition of your NNN lease and basics like property address, amount of security deposit and rent, and length of lease (10-25 years). However, the distinction between a capital expenditure and a non-capital expense should be understood and agreed upon by both parties before entering into a contract. For these reasons and more, Westwood Net Lease Advisors has selected the fast food and QSR asset class as our NNN Tenant of the Quarter, Q2 2023. Typically sell between $1–3 million. An absolute NNN ground lease is an agreement between a landowner and a tenant, in which the tenant leases land for a build-to-suit building. You can search for a NNN lease based on state, sector, tenant name, pricing, and more. Low Rent at $17. Not only is it important to understand what is meant. Also known as the “absolute triple net lease” or “true triple net lease,” a Bondable Lease is the fourth type of net lease and is considered the most extreme variation of a triple net lease. The tenant agrees to a long-term lease that requires paying the “net” amount for three types of costs – net real estate taxes, net building insurance, and net common area maintenance . Sands Investment Group is Pleased to Exclusively Offer the Take 5 Oil Change Ground Lease Located at 2604 S Highway 301 in Tampa, Florida. maintenance fees, insurance, property taxes) Base building maintenance and repairs. 4. The absolute net lease, also known as a bondable lease, adds every other financial risk of the space to the tenant. If you are considering a NNN investment in 2022, fast-food and QSR restaurants can be great opportunities. This Opportunity Provides For a High-Quality Investment With. Define your risk tolerance and financial goals. These additional costs could. Overall returns up to and sometimes. It’s a good resource. View OM. Current Rent is $310,968 Until November 2023 Followed By $103,620 Until. , the property taxes and building insurance, thereby it is called the double net lease. These types of deals are increasingly being sought out by investors who are 1031 investors and/or those who are seeking low management. This type of lease often results in the lowest rental rates for tenants as they cover the bulk of the property's operating expenses. While landlords and tenants may consider the triple net as the most advantageous of the three leases, it can backfire in an expensive way. Middle market net lease investment sales have a reason to hope that transactions will start to pick up: Listings are the highest since October in. S. One we hear often is: what’s the difference between a triple net and absolute net lease? Let’s start with a triple net lease. Absolute Triple Net Lease: In this lease type, the tenant assumes absolute responsibility for all maintenance expenses, property taxes, and insurance costs, leaving the landlord with no financial obligations related to the property. $3,679,245. As triple net properties have concentration risk with a single tenant, this analysis is all the more important. Lease Expiration: 1/31/2025. Often, investors will hang on to a triple-net property and use it as an equity builder for at least five years, and then sell the property when the market peaks, the population spikes, or when they are ready to tap that equity for their next investment. In such a lease, the tenant or lessee is responsible for all costs. 3 types of net leases: Triple/“NNN”, Double/“NN”, Single/“N”. Each corporate-guaranteed lease offers strong rent. Unlike the other net leases, the expenses are billed directly to the tenant and. 10 Steps to Buying a NNN Property For Sale. Lease Type: Absolute NNN Ground Lease. Deal includes an Absolute Triple Net (NNN) Lease and a Strong Corporate Guarantee. A triple net lease is when the tenant covers the costs of all operating expenses associated with a property. Sands Investment Group is Pleased to Exclusively Offer For Sale the Absolute Triple Net Gas Station Located at 500 East Avenue North in Hollandale, MS. An absolute per lease, or absolute NNN lease, is one of the strictest forms for commercial leases. The double net leases are riskier purchases as the landlord is then typically responsible for the roof, structure, and parking lot maintenance/repair. Tenancy Single Square Footage 1,650 Price/Sq Ft $618. These expenses are usually paid directly by the tenant or reimbursed to the property owner. Absolute Net Lease: In an absolute net lease, the tenant pays base rent plus all additional costs needed to operate the property. This lease structure is particularly attractive to investors as it offers a relatively low level of management involvement. It is designed to allocate specific responsibilities and expenses between the landlord and the tenant. S. This Deal Includes Approximately 5 Years Remaining on an Absolute Triple Net. Understanding Commercial Real Estate Leases If we consider all possible commercial real estate leases, the net and gross stand on the two extreme ends of the spectrum. We offer our Buyers Free Buyer Representation, since we get paid from the Seller. The absolute triple net lease is an extreme form of an NNN lease where the tenant absorbs all of the real estate risk and responsibility. Apr 21, 2022. DG's standard lease is absolute triple net (zero landlord responsibilities) and 15 years in length, plus option periods. Triple Net and Absolute Net leases are more practical for single tenant, long term lease situations. This Opportunity Offers a Long-Term Absolute Triple Net (NNN) Lease With a High Quality and Established Tenant in the Desirable Florida Market. A Michigan Triple Net Lease is a type. Landlord and Tenant acknowledge and agree that both parties intend that this Lease shall be and constitute what is generally referred to in the real estate industry as a “triple net” or “absolute net” lease, such that Tenant shall be obligated hereunder to pay all costs and expenses incurred with respect to. Become a FREE LoopNet Member to search hundreds of thousands of NNN Properties for sale and other commercial properties for sale and for lease throughout the U. This Triple-Net (NNN) Lease Agreement (“Agreement”) made January 23 rd, 2020 by and between: Landlord: ABC Landlord Inc. 10% rent increases every five years in the option periods. With an absolute triple net lease, you have a tenant that’s paying for everything. Triple Net Lease (NNN Lease):. Limited Upside. Therefore, the lessee must pay $7,250/month for the property. Rental Increases: 10% Every 5 Years. If trustworthy tenants signed triple net commercial. The document also provides that this lease will in all respects be treated as a triple net lease with all costs and expenses paid for by the lessee, including, but not limited to, real and personal property taxes; fire, casualty, theft, and liability insurance; trash removal; water, gas, electricity and other utilities;. 17,860 SF. This net lease (also referred to as NNN or sometimes written as triple-N) is a structure where the tenant agrees to pay the real estate taxes, insurance and fees incurred from the maintenance of the building. Triple net leases. This Lease is what is commonly called a “Absolute Triple Net Lease,” it being understood that Lessor shall receive the Base Rent set forth in Section. 4. Transaction Size (Purchase Price): • $1 Million to $10 Million Geography: • United States of America • Preference for the Midwest Region Occupancy / Structure / Term: • Single Tenant • Absolute Triple-Net (NNN) Lease • [10] - 25 Year Lease Terms (with shorter terms considered) Tenant Credit Profile: • Investment Grade or Unrated Private CompaniesIn a typical net lease arrangement, the lessee pays rent—sometimes called base rent—to the lessor, and also pays all of the property's operating expenses. 1,2 The company has an S&P Global rating of BBB (August 2021) and a Moody’s bond rating of Ba2 (March 2021). The Property is Located in a Main Retail Artery Surrounded by Other National Retail Brands. For example, you could own an auto parts store with a 15-year, modified absolute net lease, a retail pharmacy with a 15-year absolute triple net lease, a 20-year ground lease , and a 15-year, absolute-net, sale-leaseback. Select Commercial specializes in NNN lease financing for single tenant triple-net leased properties. also called “triple net lease properties,” refer to single-tenant retail properties. com Tel: 202-361-3050. With that said, in order to fully understand the NNN. A net lease is a real estate lease in which a tenant pays one or more additional expenses. One we hear often is: what’s the difference between a triple net and absolute net lease? Let’s start with a triple net lease. TD Commercial Group is pleased to exclusively offer this Single Tenant, Absolute Triple Net Lease (NNN) investment opportunity in Fort Lauderdale, Florida. NNN deal finder has hundreds of listings to suit the needs of every investor! Millennium Physician Group | 8 Year NNN Lease. Single Net Lease: Tenants pay property taxes. Most often, triple net leases are long-term (10. Triple net leases are the most common type of net lease, and often if you hear the term "net lease," it refers to a triple net lease. In United States real estate, a bond lease, also called an absolute triple net lease, true triple net lease or even a hell-or-high-water lease is the most extreme form of the NNN lease, in which the tenant is responsible for every fathomable real estate risk related to the property and is responsible for every single property related expense, even in instances. A "triple net" lease is one in which the tenant pays for all. Hence, the name "triple net" — referring to the three obligations that are passed on to the tenant (property taxes, insurance, and maintenance). Average 12-month cap rate of 4. An example of property related expenses the tenant is responsible for but not limited to are the property taxes. S. Term: While the exact lease term can vary from one. The triple net lease offers certainty for landlords and tenants and is structured in a way that is familiar to most veterinary practice owners. Triple-Net Vs. Sands Investment Group is Pleased to Exclusively Offer For Sale the 1,876 SF Take 5 Oil Change at 3075 Johnson Ferry Road in Marietta, GA. Renewal Options: 5 x 5 Years. Absolute Triple Net Lease. Brand New Construction Long-Term Absolute Triple Net (NNN) Ground Lease – Scheduled to Open in May 2021This type of lease agreement requires the lessee to pay for two of the major net costs incurred on commercial spaces, i. A highly used commercial real estate lease structure in Oklahoma. In contrast, the absolute net lease includes major building repairs. Brand New 10-Year. ft. In a triple net lease, or NNN lease, the renter (in addition to rent) is also required to pay for property expenses. Triple Net Lease. The tenant is then responsible for the payment of these costs either directly or as additional rent. 100%. ) /12. The total value of DG real estate nationwide is around $21. Rental Increases: 5% at Options. Jiffy Lube net leases offer investors long term leases with plenty of rental increases. These reliable investments frequently offer higher cap rates than. An absolute NNN lease, also known as a bondable lease, is an agreement between a commercial property owner and a tenant, in which the tenant is responsible for not only monthly rent of the building, but also all the expenses of that property as well. Single-tenant Net-Net-Net properties are much more probable to have absolute triple-net leases in place with no management responsibilities or costs borne by the landlord. Absolute Triple Net (NNN) Ground Lease With Corporate. The exact division varies from one lease agreement to another. Lease Type: Absolute NNN. The lease structure varies but, typically Walgreens and CVS will sign 15-20-year absolute triple-net (NNN) leases that are backed by a desirable Standard & Poor’s BBB investment-grade credit rating. In addition to a fixed rent payment, they pay a share of property taxes, property insurance, and maintenance costs. Renewal Options: 2 x 5 Years. Real Analysis of a Triple Net (NNN) Deal: KFC Building | Real Estate Blog. 65 million to $3. Insurance Premiums. and Canadian markets with over $425 billion of commercial real estate for sale and 5. A triple net commercial lease, also known as an NNN lease, is an agreement between a property owner and a tenant where the tenant generally absorbs most of the major costs and expenses for the property, including: Monthly Rental Fees for the Building or Space. According to the company’s third-quarter (October 28, 2021) results, Taco Bells’ same-store sales grew +8% on a 2-year basis. Premises: 12,718 SF. Lease Expiration: 11/21/2031. Lease Expiration: 5/14/2030. 7-Eleven is also offering a non-gas C-store concept – 1000-2500 sq. The lease is guaranteed by JRI Hospitality, the largest franchise operator of Freddy’s with +/- 80 existing locations across 15 states and plans for additional growth. Simon is looking for a facility for a large grocery distribution operation. 03 Absolute Triple Net Lease. 1. A net lease is the most common commercial lease.