Net Lease Insider

About This Blog

The latest on the activities of the hot net-lease market, from Calkain's Jonathan Hipp. Utilizing his 20+ years of experience in real estate, Hipp manages the overall strategies and growth of Calkain and has successfully completed over $8 billion in investments throughout his career.
  • Net Lease Properties: Evidence of a Shift in Quality

    It is no secret cap rates for net lease properties, and investment real estate in general, have compressed dramatically in the last few years. This trend is especially pronounced for properties with investment grade tenants and long lease terms which are trading at all time low cap rates.

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  • Pharmacy’s Comeback Kid

    By all accounts, 2014 was a breakthrough year for Rite Aid (NYSE: RAD), and by extension, owners of Rite Aid net leased pharmacies. After struggling for over a decade with structural weaknesses in its business, ranging from accounting scandals to poor acquisitions, the company is finally managing to turn around its operations. All the while making some landlords very, very happy. …

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  • Net Lease Advisor Profile: Kroger

    The Kroger Co. (NYSE: KR) operates over 3,000 supermarkets and convenience stores in the United States. For the period ending January 31st, 2015, it generated revenues of $108.47 billion and net income of $1.728 billion. Kroger has an investment grade rating (BBB) from Standard and Poor's.

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  • Net Lease Advisor Profile: Jack in the Box

    Jack in the Box (NASDAQ: JACK) operates and franchises Jack in the Box and Qdoba Mexican Grill restaurants in twenty-one (21) U.S. states. The company’s 2,888 stores are concentrated in California, where it was founded, Texas, and the Southwest.

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  • Developers, Condominiums, and Net Lease Property Values

    Subdivision is the process of taking a property, usually land, and splitting it into multiple parts for resale or development.

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  • Quantifying the NNN Cap Rate Premium

    Single tenant triple net leased properties (NNN) trade at a premium relative to similar properties with so called double-net (NN) leases. NN leases typically require the landlord to retain some responsibility for the roof, structure or some other aspect of the property. Being the most passive real estate investment available, however, NNN properties require virtually no involvement of the landlord. This increases the demand by expanding the universe of potential buyers to include many Buyers…

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  • RadioShack Bankruptcy May Have Limited Impact on Landlords

    On February 6, 2015, RadioShack filed for bankruptcy. The 94-year old retailer, unable to adapt to changing consumer tastes and compete with more efficient e-commerce competitors like Newegg, had posted negative earnings for 11 straight quarters. For those in the real estate business, the immediate question became what kind of impact the bankruptcy would have on properties with RadioShack as a tenant. The answer may very well be not much. …

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  • Some Notes on Rite Aid's Purchase of EnvisionRx

    The market has reacted favorably to Rite Aide's purchase of EnvisionRX for $2 Billion in cash and stock.

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  • January 2015: Net Lease Trend Report

    2014 ended with a flurry of activity as people rushed to close deals by year end.

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  • Net Lease Profile: Chipotle

    Chipotle is a highly sought after brand. There is great demand for their freestanding stores as net lease investments.

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