Triple Net
Leasing
A triple net lease is a leasing arrangement
in which a tenant is responsible for payment of rent on a property,
and is also responsible for all other expenses associated with
that property, including and not limited to maintenance and
repairs, real estate taxes, etc. The tenant’s responsibility
runs for the duration of the lease, allowing the owner of the
real estate to “set
it and forget it,” since the lease payments cover all
property-related expenses.
There is an additional advantage of
triple net leases for landlords: the owner can monetize the
value of the cash flow from the property by working with NDH
Capital. Since the lessee’s obligation
continues for the duration of the lease, NDH Capital can provide
a lump-sum payment for the bulk of the obligation upfront at attractive
rates, and relieve the landlord of the risk associated with the
tenant’s fulfillment of the lease contract. |