Have you had experience purchasing or helping a client invest in a property with a bank as the tenant? I have no idea how to do DD to determine how solid the tenant is... I’ve seen big name banks go belly up, so I want to mitigate this from happening as best as possible. ANY help and advice would really be appreciated.
Thanks in advance for all your help!
Is it a national or regional bank?
Look at deposit levels for the branch location. Look at the last time they re-imaged the space inside. Look at how many years left on the primary lease term. Look at the box size and how much rent they are paying per sq ft and if at market, under market, or below market.