Single Tenant Triple Net Investment Properties - Risks and Rewards

Do you like the safety of a corporate deposit in your bank account automatically every month?

Many seasoned real estate investors have achieved this goal by single tenant triple net investment properties. This has been the go-to super secure place to 1031 exchange your real estate investment capital gains for decades. They range from Burger Kings to Dollar Stores to CVS Drug stores and many other single retail tenant operators.

But today, with retail being hit by both protests riots and Covid-19 retail curtailment, this industry is on shaky ground.

I would love to speak with anyone considering a 1031 exchange into a "passive" investment. The play is still good, but the choice in where, when and what to buy is key. Let's plan and execute for your best financial outcome. #realestate #1031exchange #investmentproperty #cre

Single Tenant NNN for Sale

Just listed is a Single Tenant NNN property with McDonald's as a corporate tenant.
Cap rate is 4.75% - which is not wonderful. Upside is a 10% bump in rents in 12 months.
Future increases are 10% increases in rent every 5 years of base lease and option periods.
Ground lease - with no landlord responsibilities. This pad is part of a larger grocery anchored shopping center.
Price is $1,726,000 with a original lease expiration in 13 years. A big upside is a strong residential location in Miami, Florida.
There are some back woods locations for single tenant NNN deals - this is not one of those. Good 1031 exchange vehicle.
Have you considered selling your equity rich residential investment property? Let's run the numbers.