In a NNN lease, the tenant is responsible for taxes, insurance, and general building maintenance, and the landlord or investor is removed from almost all of the financial obligations. The other option is to pursue what I call the crème de la crème of real estate, an absolute net lease or — leasing the land. THIS ABSOLUTE NET LEASE (“Lease), dated solely for reference purposes as of the 29 th day of March 2007, is entered into by and between HN PROPERTY OWNER LLC, a Delaware limited liability company (the “Landlord”) and HEALTH NET OF THE NORTHEAST, INC., a Delaware corporation (the “Tenant”). Absolute Net Lease: A lease in which the tenant pays all expenses including structural maintenance repairs; usually a long-term lease to a credit tenant. andria@go-absolute.net 505-346-6006 ext 0 Andria is a licensed real estate broker focused on office and retail commercial real estate. A triple net lease (NNN) helps landlords reduce the risk of a commercial lease. ABSOLUTE NET LEASE (One Far Mill Crossing, Shelton, Connecticut) THIS ABSOLUTE NET LEASE ( “Lease), dated solely for reference purposes as of the 29 th day of March 2007, is entered into by and between HN PROPERTY OWNER LLC, a Delaware limited liability company (the “Landlord”) and HEALTH NET OF THE NORTHEAST, INC., a Delaware corporation (the “Tenant”). Absolute net lease. The absolute net lease is a variation of a triple net lease. This means that the tenant (not the landlord) is responsible for: These leases include single, double or triple net (NNN) leases; percentage leases; gross leases; modified gross leases; pass through leases and absolute net leases. An absolute net lease means that the tenant is going to pay all of the expenses for the property under the terms of the lease: the taxes, the insurance and operating costs. Become a FREE LoopNet Member to search hundreds of thousands of NNN Properties for sale and other commercial properties for sale and for lease throughout the U.S. and Canada.. LoopNet operates the most heavily trafficked commercial real estate listing service online, with more than $425 billion of commercial real estate for sale and 5.1 billion sq. ft. of commercial real estate space for lease. 111 Congress Ave Suite 1000 Austin, TX 78701. We’ll … ASIA PACIFIC HQ Commercial leases range from absolute net leases on the one hand to absolute gross leases on the other hand. The Property consists of 6,110 square feet (“SF”) and has been 100% leased to Valvoline Instant Oil Changes for over 15 years with a remaining weighted average lease term (WALT) of 11 years. The Absolute Net Lease requires no landlord responsibility. Located in the main corridor, Highway 50/16th Street, the area features National and Regional Retail and Quick Service Restaurants and is about one half mile from the IU Health Bedford Hospital. The Difference Between NNN Leases and Absolute Net Leases. The other option is to pursue what I call the crème de la crème of real estate, an absolute net lease or — leasing the land. Those costs are in addition to the base rent. Usually, triple net leases require tenants to pay for some or all building repair expenses, but in … This is a typical move in the retail industry and leads to decades-long contracts with reputable companies able to pay their rent. Absolute Triple Net Lease. Absolute Triple Net Lease: This is the triple net lease magnified. When investing in commercial property, it’s important to have proper expectations before signing any type of lease. today to find out more about our current listings. This is a typical move in the retail industry and leads to decades-long … Where the lease will fall … If you need assistance evaluating lease options, please contact us. Though not typical, the simplest is a gross lease, in which the tenant pays a base rent, and the owner is responsible for managing all other expenses, including taxes, insurance, maintenance, and repairs. 2 quick-lube chain in the United States by number of stores with more than 1,400 Valvoline Instant Oil Change centers. The confusion between NNN leases and absolute net leases often initiates from an inaccurately advertised NNN lease, or a misunderstanding of the different leases on either the investor’s or the tenant’s behalf. In 2009, Brendan formed Absolute Net Properties, LLC to focus on the development and brokerage of single tenant net lease and shopping center properties.Absolute Net Properties has done business with companies including but not limited to Meijer, Home Depot, Menards, AutoZone, O’Reilly Auto Parts, ALDI, Discount Tire, Vitamin Shoppe, Aspen Dental, Panera Bread, Dollar General, Huntington Bank, … An extreme variation of a net lease, where the tenant is typically responsible for all, or most, of the risks related to the real property. Interested in getting our latest deals? In an absolute net lease, sometimes called a bondable lease, the tenant is responsible for rent and all other property related expenses, which includes roof and structure. Usually, triple net leases require tenants to pay for some or all building repair expenses, but in some cases the landlord will assist with those expenses. Triple Net Lease. The Herrick Company purchases investment quality single tenant net lease deals … Quick service restaurants and the growing retail healthcare sector also gravitate toward this lease type. The Herrick Company purchases investment quality single tenant net lease deals for all cash. CANADA HQ 170 University Avenue, Suite 1100 Toronto, ON M5H 3B3 . The difference between an absolute NNN ground lease and an absolute NNN lease comes down to one word… ground. Accordingly, NNN leases are very popular as they provide multiple benefits for both tenants and investors. Alternative investments have higher fees than traditional investments and they may also be highly leveraged and engage in speculative investment techniques, which can magnify the potential for investment loss or gain and should not be deemed a complete investment program. is a leading commercial real estate brokerage firm that specializes in single-tenant and retail NNN investments. Interested in commercial real estate investment? An absolute triple net lease is a type of net lease in which the tenant agrees to pay a monthly lump sum base rent as well as the property taxes, the property insurance, and the maintenance. The Absolute Net Lease requires no landlord responsibility. A triple net lease (triple-Net or NNN) is a lease agreement on a property where the tenant or lessee agrees to pay all real estate taxes, building insurance, and maintenance (the three "nets") on the property in addition to any normal fees that are expected under the agreement (rent, utilities, etc.). Absolute Net Bond Lease: Tenant is responsible for all expenses, including casualty and condemnation. View Absolute Net Lease Transactions This also includes any repairs and maintenance to the building’s structure and roof. Triple net leases generally have a … The absolute net lease, also known as a bondable lease, adds every other financial risk of the space to the tenant. This agreement completely relieves the property owner or investor of all financial obligations. Investors and tenants can avoid confusion between NNN leases and absolute net leases by performing ample research on the different types of leases. Exhibit 10.1 . Absolute Triple Net NNN Lease – Structured in a bond like way, in the absolute triple net, the tenant assumes all obligations concerning the property. Typically, the landlord would be responsible for structural repairs in a Triple Net lease. In commercial property investing, there are numerous types of leases with different expense structures. This risks blindsiding the tenant later on with a hefty roof or structural repair bill. To maximize the returns of a commercial property investment, it’s always best to consult professionals. Generally speaking, a net lease assigns the following expenses to the tenant: Triple Net and Absolute Net leases are more practical for single tenant, long term lease situations. The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Under a triple net lease the tenant agrees to pay all real estate taxes, maintenance and insurance in addition to all other normal costs such as rent and utilities. Have a question or need more information? Net Operating Income $92,944* Cap Rate 6.41%** Lease Type Absolute NNN Single-Tenant Absolute Net-Lease Circle K Corporate guaranty (Alimentation Couche-Tard, Inc.) Over 3.5 years of lease term remaining through December 31, 2023 - Tenant has operated at this location since 2006 Building Size: ±2,984 SF Land Size: ±0.65 acres