In part two of Types of NNN Properties you can invest in we continue to learn the benefits and types of categories investors can own. With the large amount of options investors can really own an asset that can produce solid yields, cash flow and feel comfortable with.
Banks
2013 has given some good reasons for this optimism. The S&P 500 index reached new highs. The steady recovery in home prices continues in the housing market, reaching their five-year high in July. The banking industry also showed improvement, posting record quarterly profits and capital levels in the second quarter. Larger banks are seeking to acquire more sites and expanding market share to stay competitive. Strong credit tenants like Chase Bank, Bank of America, PNC Bank and BankUnited are popular tenants for investors. Bank leases also ranges in lease terms which can range from 15 to 20 years with varying renewal options and rental increases.
Dollar Stores
A dollar store or variety store is a retail store that sells a wide range of inexpensive household goods. As Americans have been hit hard by the Great Recession, and so have the businesses they own and work for. Dollar stores have been seen as a recession proof business as they continue to increase profits through the economies difficult times. As consumer spending power crumpled, retailers especially felt the pinch. Luxury cars were harder to shell out for, electronics were no longer flying off of shelves, and every dollar began to matter.
Dollar stores often have product lines including food and drink, personal hygiene products, small home and garden tools, office supplies, decorations, electronics, garden plants, toys, pet supplies, remaindered books, recorded media, and motor and bike consumables. Larger stores may sell frozen foods and fresh produce.
Auto Parts Retailer
Auto parts retailers operates within the automotive aftermarket industry, which includes replacement parts, accessories, maintenance items, batteries and automotive chemicals for cars and light trucks. These retailers supply directly to the do-it-yourself (DIY) and do-it-for-me (DIFM) or commercial customers in the United States, giving customers access to thousands of parts that are available on a same-day or overnight basis at low prices
Quick Service Restaurants
Quick service restaurants (QRS) are characterized both by its fast food cuisine and by minimal table service. Food served in fast food restaurants typically caters to a “meat-sweet diet” and is offered from a limited menu; is cooked in bulk in advance and kept hot; is finished and packaged to order; and is usually available ready to take away, though seating may be provided. Fast food restaurants are typically part of a restaurant chain or franchise operation, which provisions standardized ingredients and/or partially prepared foods and supplies to each restaurant through controlled supply channels.
These restaurants provide high-quality food and enhanced service while remaining quick in preparation and customer service, and those qualities are driving growth. From December 2012 to November 2013, visits to fast-casual restaurants spiked by 8 percent, while spending rose by 10 percent. That’s in comparison to the overall market, in which customer foot traffic remained steady and spending only grew by about 2 percent. Millennials have been known to have marked interest in the fast-casual segment. Fast-casual restaurants have also spiked because of the economy, as many diners want the quality of a restaurant meal without the premium cost or time concerns involved.
Dwaine Clarke is a published author and founder of GCT Net Lease, a commercial real estate sales and advisory firm located in Connecticut. Connect with Dwaine on Twitter and Linkedin
Below is a short list of available NNN and NN Lease properties. To get information on the below investments or similar fill out the form on this webpage or call us directly
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