If you are considering an investment into commercial real estate, Houston is an excellent choice. Within this bustling city, there are numerous commercial investment options to choose from. Which one will be the best for you? Many find that a triple net lease for sale will bring them the greatest return on their dollar with the least amount of effort.
But a triple net lease is not right for everyone. If you are checking out the opportunities as a shopping center developer, Houston is known for having a lease that could suit your needs.
The first step in choosing your best investment opportunity is to understand precisely what a triple net lease is. In the case of this type of lease, the renter assumes the monetary responsibility for the maintenance, taxes and insurance in addition to the monthly rental amount.
This kind of lease is generally a very long term agreement, with some contracts going as long as 50 years. Because of this, it is very important that you weigh both the advantages and the disadvantages of a triple net lease for sale before you decide to make this type of investment in commercial real estate Houston.
The advantages of this kind of lease will benefit both the landlord and the tenant in many ways. The landlord can expect the maintenance of his property to be done by his tenant, leaving very little work on the part of the landlord for the upkeep of the site. In most cases, the renter will have a vested interest in keeping the property in good condition, since this will make his retail site more attractive to potential customers.
On the flip side, a tenant can enjoy many of the freedoms of ownership including regular repairs and updates to the property as he sees fit. However, he does not have the burden of the initial investment into commercial real estate Houston the way the owner of the property does.
There are risks involved in this kind of lease. A tenant may not provide proper upkeep, costing the owner of the property more money in the long run. There are steps that you, as the owner, can take to reduce many of these risks. If a triple net lease for sale sounds like a possibility, talk to a real estate agent and attorney today to see if this is the best choice for you.
