The Net Lease Case for Banks

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CHICAGO—While many real estate investors are treading carefully when it comes to the banking industry, banks remain a solid option for credit driven investors, according to Chad Firsel, founder of the Chicago-based Quantum Real Estate Advisors.

With cap average cap rates falling between 5.6% to 6.9%, depending on term, location, credit, etc., investors can acquire high credit tenants at a relatively higher yield, he says. As for banks, they are making changes that are also attractive to investors. By expanding into urban markets and redesigning banks to be more transaction friendly, banks can put themselves in front of more consumers and provide quicker and easier transactions, Firsel tells GlobeSt.com.