Despite looming challenges related to rising interest rates, inflation and geopolitical issues, net lease investment could be headed for another big year.
While increased competition has pushed net lease cap rates down, exclusive WMRE research found some mixed views on whether the tide will turn.
For many net lease investors, automotive tenants represent stability and security.
Ares is buying Capital Automotive LLC, which provides financing options to car dealerships in need of facility renovations and expansions.
The acquisition includes iStar’s portfolio of triple-net leases, including industrial office and entertainment properties in the U.S.
The triple-net lease space was one of the sectors least affected by the pandemic, providing stability during times of uncertainty.
After a step back in activity in 2020, corporate sale-leaseback deal volume has ticked back up to normal levels in 2021.
The lack of rent escalations in drugstore leases could be a problem in an inflationary environment. But the story is more complex than that.
It’s a good time to assess real estate investment opportunities.
