Ben Reinberg, CEO of Alliance Consolidated Group of Companies, which specializes in net-leased healthcare investments across the US, is in the process of closing on the sale of the medical office asset that 12 months ago he could have traded at a cap rate somewhere in the mid 5s. Today, he is under contract to sell the property for a 6 cap rate. 

Reinberg's deal is not exactly the ideal illustration of the net lease transaction environment right now but it does serve to highlight the mindset some sellers are taking. "We wanted to sell and we didn't want it to sit for however long it would take to get back to the mid 5s. Who knows, it could soon be at a 6.5 cap rate," Reinberg says. He declined to provide more details about the transaction due to client confidentiality.

Indeed, experts will tell you that deal flow is slowing, albeit slightly, as buyers and sellers feel out discovery on rates and prices. There is a bid ask gap emerging with many sellers clinging to market dynamics of a few months ago.