Targeted Investments

There are two distinct strategies we intend to invest in within the STNL space.

Core-Plus and Value-add. Initial allocations will be primarily focused on Value-add assets due to their higher return profiles.

Core-Plus Strategy

This investment strategy is designed to minimize risk, making it particularly suitable for investors utilizing 1031 exchange funds who are looking to enhance tenant credit quality while reducing property management time and costs. Our focus is on acquiring single-tenant net lease (STNL) properties that align with specific criteria to optimize returns and stability.

  • Investment Size
    Properties with an investment range of $1.0 to $5.0 million.
  • Location Attributes
    Our focus is on Sunbelt growth markets, prioritizing properties situated in high-traffic trade areas. These sites are often outparcels adjacent to anchor tenants, ensuring strong visibility and accessibility for long-term tenant viability.
  • Economics
    Tenants with solid credit and built in rent escalations will be prioritized. All deals will need to support positive leverage with a cap rate exceeding the prevailing long-term financing rates.
  • Lease Terms
    We seek assets with at least 7 years remaining on the initial lease term, coupled with multiple extension options, providing stability and long-term revenue potential.
  • Key Property Characteristics
    The properties should have rent levels at or below current market rates and/or be priced below replacement cost.

Value-Add Strategy

This strategy focuses on assets that offer an opportunity to create value due to economic, credit, or functional distress by repositioning the asset through releasing or property enhancements. Targeted assets will be single-tenant net lease (STNL) properties with specific characteristics:

  • Investment Size
    Properties with an investment range of $1.0 to $5.0 million.
  • Location Attributes
    Our focus is on Sunbelt growth markets, prioritizing properties situated in high-traffic trade areas. These sites are often outparcels adjacent to anchor tenants, ensuring strong visibility and accessibility for long-term tenant viability.
  • Compelling Investment Narrative
    Below-market rents, below replacement cost, fungible buildings with strong tenant demand, and seller distress are all compelling reasons an asset will require repositioning.
  • Lease Term Requirements
    For national credit tenants, less than 5 years remaining on the lease will be considered. For regional/local tenants we require more than 5 years remaining on the lease.

Invest In Your Future Today

Whether you're looking to diversify your portfolio or secure long-term financial growth, our tailored strategies and expert insights can guide you to success. Connect with us to explore unique opportunities in the net lease sector. Let’s build a legacy together.