Traditionally the majority of Net Lease investors have been Institutional – pension funds, insurance companies, public/private REITs including high net-worth investors. This has made Net Lease investing largely unaffordable and inaccessible to smaller accredited investors.
Net Lease real estate investing generally provides a better yield than bonds and is just about as safe and worry-free. Many Net Lease investors have previously owned other types of real estate but are looking for an investment that requires less maintenance and supervision, predictable returns due to long term lease with the opportunity for growth in cashflow and value.
Single-tenant net-leased properties require little to no management on the part of the owner, and only minimal oversight. The cash flow, in most cases, is dependable. Net Lease properties require little or no management on the part of the owner and only minimal oversight. In most cases, the tenant is responsible for taxes, insurance, maintenance (and NNN roof and structure).
Net lease properties offer predictable returns due to the tenant long term lease responsibilities and an opportunity for growth in cashflow and value due to the built in rent escalations. Net Lease properties have the ability to access 50 – 75% debt financing due to the predictable cashflows which can provide a high return relative to the low investment risk.