Free Classifieds
Home | Post Ad | My Account | Help | Affiliate Program | Local Classifieds | Just Viewed | Keyword Alerts
Affiliate Program
Post Ad
Enter your zip to find stuff near you
 Classifieds > Real Estate > CommercialAffiliate Ad (info)
An affiliate ad has been posted by a person or company who markets/sells products for another person or company. The advertiser would usually receive a commission for a sale or lead generated.
- Flag
Click here to flag this ad for review or to report a problem

Triple Net Leasing Defined

Item ID#:2454814Location:
Seller ID#:571214 Views:

This classified ad has expired

Click here to view current advertisements similar to this one.

What exactly do we mean when we talk about Commercial Real
Estate NNN? It sounds pretty complicated but really it is not.
The NNN signifies a triple net lease. All this means is that when
someone leases a commercial property he or she may be obligated to
consume some or even the entire extent of the property expenses
typically covered by the property owner. This varies in accordance to
the terms set up in the lease. In most cases the tenant will pay a
standard rental fee but can also find themselves responsible for other
expenses like utilities, maintenance, repairs, taxes and insurance.You
may be wondering why a property owner would set up a Commercial Real
Estate NNN in the first place? These triple net leases are a great
option for property owners to pay off their mortgages and in addition
create a little cash flow in the process. For example, if a tenant
leases a location that is part of a mini-mall. All the tenants can have
triple net lease options. Depending on the size of their location they
will pay a certain part of the expenses in addition to their rent. This
works out great for the property owner who get to pay his property
expenses, pay his monthly mortgage and make a few dollars as well.When
the property owner uses a Commercial Real Estate NNN he or she is
actually making a equity investment. They finance the majority of the
commercial cost and then use the triple net lease to pay it off,
providing a positive cash flow and then when the loan is repaid they can
sell the property for a profit once it has built its equity. As long as
the property owner keeps good paying tenants it is a win, win
situation.The reason the triple net lease is referred to, as the
NNN is for Net, Net, and Net. There are net leases and gross leases.
With the net lease the property owner will only receive the positive
cash flow money after the expenses have been paid. With a gross lease
the property owner gets all the money up front and is responsible for
paying the expenses and then keeps what is leftover. The Commercial Real
Estate NNN is simply an option often utilized by the property owner to
pass on the burden associated with commercial overhead to their tenants,
secure their mortgage and come out on the positive end of the spectrum.

If you're excited to learn more about commercial NNN
leases and investing, we can help!My partner and I have been
commercial real estate investors since 2002 and are looking forward to
helping you get your questions about triple
net leases and other investment questions, beginner or advanced,
resolved.We offer a ton of free content on commercial real estate
investing for beginners, including how to get started and find your
first property!
My Account
Post Ad
Local Classifieds
Help Topics
Copyright© 1999 - 2018 USFreeads. All rights reserved
Please read our Terms of service & Privacy Policy

Contact Us
Privacy Policy
Terms of Service

6/22/2018 11:14:01 PM UTC