Real Estate Acquisitions
NorthStar’s Real Estate Net Lease Acquisitions business seeks to acquire commercial real estate primarily net leased to corporate tenants.
The net lease professionals at NRF have successfully advised and completed numerous net lease and sale/leaseback transactions as principal. As a REIT, we are a long term real estate holder. Our strategy is not to buy and quickly flip, but to develop a long term landlord/tenant relationship. We seek to understand the goals and objectives of each of our clients and then structure and implement a strategy which is mutually beneficial. As a principal and a public, NYSE listed company we have sufficient resources to engage in all types of transactions. At the same time, since we have a very specific business focus we provide our clients with quick investment decisions, streamlined documentation and outstanding customer service.
We target office, retail and industrial properties within two sub-sectors of the net lease market: investments with lease terms of 15 years or less and properties leased to unrated and below investment-grade corporate tenants. More broadly, our investment criteria includes the following:
• Property Type: Office, Warehouse/Distribution, Industrial, Retail
• Lease Type: NN, NNN, Bond
• Lease Term: 5 – 15 years
• Tenant Credit: Below Investment Grade, Not Rated, Investment Grade
• Transaction Size: $20MM and Greater
• Location: Entire United State
We also have specific expertise and interest in working with Private Equity Groups to provide real estate based capital for their acquisition transactions, and also Corporate Owners of Real Estate to engage in sale leaseback transactions.
We believe that one of NorthStar’s competitive advantages is that most investors in net leased properties are primarily focused on assets leased to investment-grade tenants under leases with remaining terms of 15 years or longer. In our experience, there is a more limited universe of acquirers with the real estate and capital markets expertise necessary to underwrite net lease assets with valuations that are more closely linked to real estate fundamentals than to tenant credit.
As a REIT, we are also able to offer tax deferral opportunities for the gains that would otherwise result from a property sale.
If you have a property you’d like to
sell or would like additional information about our acquisitions
program, please contact Dan Raffe at:
raffe@nrfc.com or by telephone at (212) 547-2670.
