Triplex with a ten year lease

[Lesley Garo]

I’m interested in purchasing a triplex in Long Island, NY. This will be my first multifamily investment. The first floor has a store, and there are two apartments above the store. I’m a little puzzled because the store has a ten year lease with the current owners, and it pays monthly rent that is about $300 lower than what other similar stores on the block pay. There are 8 years left on this lease. Is this a red flag or is it common practice to provide such long term leases?

[Tyrone Thomas]

Beware this is not a usual practice. I never heard of a 10 year lease in New York.  You should Look up the ownership and give the owner a call to be sure .