Net Lease 101
A net lease requires the tenant to pay, in addition to rent, some or all of the property expenses that normally would be paid by the property owner, including real estate taxes, insurance, maintenance costs and utilities. Typically, net lease assets tend to be single tenant, free standing buildings such as banks and fast food restaurants.
Many investors are looking for a safe place to put their money with the wild fluctuations in the financial market. Stable, predictable investment vehicles are increasingly hard to find, but smart investors do have choices. One of the better choices is to invest in single tenant net lease (STNL) properties, which many investors also call a corporate bond combined with real estate investments that still make sense today.