Triple Net Explained

One very popular alternative investment opportunity to sole commercial property ownership is a single, larger triple-net TIC commercial property investment. This type of investment is commonly referred to as a triple net-TIC investment.

Triple Net-TICs are often converted to such by a licensed TIC sponsor through a master lease, where they lease the commercial property back from the property investors on a triple net basis.

Consider the Advantages of TIC triple net commercial properties :

1. Freedom from Management: tic-triple net commercial properties are managed by National commercial property companies on the property investor’s behalf. With no more commercial property to manage, you have more leisure time to relax or pursue other interests.

2. Ready Availability: There is usually a steady supply of tic-triple net replacement commercial properties for purchase.

3. Own Higher Quality commercial property : exchangers can invest in larger, higher-quality institutional commercial properties than they were able to invest in as individuals.

4. Assisted exchange Process: You do not have to do the legwork to find the commercial property that you want to buy.

5. Flexible Investment Size: Variable minimum investment requirements help property investors match commercial properties with their equity and/or debt needs.

6. Diversification. Proceeds may be split among several TIC triple net commercial properties.

7. Non-Recourse Debt: Pre-arranged non-recourse financing limits property investor’s liability.