When looking to buy a passive real estate investment, where is the best place to find NNN properties for sale?
Triple net lease properties, also commonly referred to as net lease properties or simply NNN properties are very sought after investments. The hassle free nature of a triple net lease allows investors the opportunity to invest in real estate without any management hassles. If you’re reading this right now, you may already aware of the benefits of NNN properties. If not, you can learn more here.
Below we’re going to go over several sources for finding triple net lease properties for sale, and discuss some of the pros and cons of them.
Sources for NNN Properties for Sale
For sheer numbers of NNN properties for sale, Loopnet cannot be beat. Whether you’re looking for property in California, or Florida, or somewhere in-between, there should be net lease properties available in every state. If the property is a good fit for your investment criteria is another question.
Generally, there is a wide selection of available NNN properties for the major types of tenants. Drug stores, auto parts, restaurants (both quick-service and casual dining), banks, and dollar stores are the most common, free-standing, single tenant, triple net lease investment properties on the market. Grocery stores and dialysis/medical buildings are also fairly common. Loopnet is a fine place to start for investors interested in the types of properties described above.
Sorting through all of the available properties can be very time consuming. However, it’s a good exercise to go through to narrow down your investment criteria, if you haven’t already done so. Once you know what you want, it’s much easier to search efficiently. Start by creating an account and requesting marketing packages, also referred to as offering memorandums, from brokers marketing the property. If you have any questions, don’t be afraid to call the listing broker.
If you share your investment criteria with brokers you speak with, they may have off market opportunities available to acquire NNN properties that haven’t been marketed to the public.
I’m going to go off on a small tangent here. Whether pursuing off market or on market NNN properties for sale, you are going to get the best results if your investment criteria is well defined, reasonable, and you can provide proof of adequate funds. Being responsive and communicating effectively are also important. Brokers are far more likely to take you seriously and spend time helping you if you can show you’re serious.
With similarities to Loopnet, NNNex.com offers a fair selection of NNN properties for sale. They don’t have as many properties as Loopnet, but do have some features that are nice. For one, NNNex focuses on only triple net lease properties, while Loopnet has properties for all asset types. Secondly, and more noteworthy, NNNex has the ability to search and sort properties by years remaining on the lease. Many investors like long term leases, so this is a nice feature to quickly narrow down your options.
Go Straight to a NNN Broker
Working directly with an experienced net lease broker is also an option strongly worth considering. A broker can save you a lot of time and also provide up to date information on the market. This can be valuable and time saving when trying to narrow down your investment criteria. Also, as mentioned above, it’s possible they will know of off market NNN properties for sale. A good broker will also be able to help you navigate the transaction and have the foresight to see any obstacles before they come.
Finding NNN properties for sale is not difficult. Locating properties that are the perfect fit is more challenging and time consuming. While many net lease properties are leased by large, Fortune 500 corporations, they are not without risks. Prior to investing, be sure to fully understand the language in the triple net lease and the potential risks of the property.