Palm Beach County, FL - When it comes to retail investment sales, Single-Tenant, Net-Lease Properties are still the place to be. Triple Net Lease Properties "NNN" are still our most desired.
Unlike multi-tenant properties, Single-Tenant, Net Leased Properties are moving well in this recessionary environment due to high demand, clear pricing, consistent underwriting, and little discrepancy between buyer and seller perceptions of the deal.
It seems obvious that Good credit tenant, Net Lease Properties will go quick.
By contrast, sales of multi-tenant retail properties are few and far between. There appears to be gaps between buyer and seller expectations, with many buyers still waiting for REOs to materialize. Plus, debt financing with acceptable terms is still hard to find for most Commercial Real Estate Investors.
Also Owners of better-quality products (Triple Net Lease Properties) are keeping those properties in their portfolio to help with the cash flow of under performers.
Cap rates - while higher - are holding their ground, but only in the single-tenant sector. Cap rates for any multi-tenant deals are being determined on a case-by-case basis relative to occupancy, value of the rent roll and other factors.
Many Buyers were on the sidelines waiting for higher Cap Rates. Although there are still people waiting for rock-bottom opportunities.
Reasonable caution is something we always should have been exercising. Now we have fear and over-caution among buyers, sellers and Commercial Mortgage Lenders.
Contact us for Non-Recourse Loans and various Commercial Real Estate Mortgages. Or if you are searching to purchase a Triple Net Lease Property or Net Lease Properties.
Commercial Real Estate
11420 U.S. Highway 1
North Palm Beach, FL 33408
(561) 707-7712
Contact Us HERE for:
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