Clients often ask us about triple-net investments in California and out-of-state.
A triple net investment (NNN) is an extremely easy to own and manage commercial property investment. The landlord enjoys little or no maintenance, among other things. In a NNN lease, the tenant is responsible for the agreed upon base rental amount as well as the property insurance, property tax, and the maintenance of the building. This allows the property owner to simply collect the rent and watch his/her investment appreciate in value over time.
Who is a NNN investment good for?
Anyone who isn’t willing to take on too much risk and doesn’t have time or capacity to babysit their investment. Most of the ideal NNN investments for sale in California today are fast-food franchises such as McDonald’s, Del Taco, Taco Bell, Burger King, Starbucks, etc. These franchises sign long-term leases for over 10-15 years with a corporate-backed guarantee. A “guarantee” on a lease means the tenant shows a strong ability to make good on its contractual promise to stick to the rental payment schedule.
For more information or to see if this type of investment fits in with your plans, call us now at (866) 251-3851 for a quick phone interview.