Triple Net Lease Commercial Connection

[Han Oo]

Hi good morning. I would like to connect with NNN investors, lenders and property managers in Las Vegas and San Diego.

I'm starting to look at some NNN deals and I have some questions.

1. How to increase value of the property at the end of the lease term?

2. If current tenant doesn’t renew the lease, what will happen to the value? E.g it’s a fast food restaurant.

3. What’s the better option? Buying with new lease Vs buying the lease about to end?

4. Has anyone syndicated the NNN deal before?

5. What's the best financing and LTV option?

Thank you all in advance.

[Ronald Rohde]

Quote from @Han Oo:

Hi good morning. I would like to connect with NNN investors, lenders and property managers in Las Vegas and San Diego.

I'm starting to look at some NNN deals and I have some questions.

1. How to increase value of the property at the end of the lease term?

2. If current tenant doesn’t renew the lease, what will happen to the value? E.g it’s a fast food restaurant.

3. What’s the better option? Buying with new lease Vs buying the lease about to end?

4. Has anyone syndicated the NNN deal before?

5. What's the best financing and LTV option?

Thank you all in advance.

 Awesome topic. All great questions. I'm a commercial real estate lawyer and investor.

1. Increase value via increasing income (raise rent), or decreasing cap rate (quality of income).

2. Value plummets. Replacement cost usually. Need to find another tenant.

3. Neither is better, they are very different investment strategies.

4. Yes people do it all the time.

5. Again, nothing is best, just what your needs are. 5 year fixed term, 20 year AM with 30% down, if it covers DSCR. or floating 18 month until you secure longer term lease transition to fixed debt.