Tag: Hipp

Net Lease Opportunities in Difficult Times


A creditworthy tenant with a certain degree of correction-resistance in its marketing strategy is a fairly sure bet to hedge against the vagaries of the greater market.

The coronavirus news gets scarier every day as the spread of the disease worsens. Investors have taken notice, and the stock market reflects it. But those of us who have been in the business long enough, know that the long-game is the thing.

Amanda WillisNet Lease Opportunities in Difficult Times

Interest Rate Cuts Bolster Net-Lease Investment

RE Business Online

The Federal Reserve’s decision to reverse its monetary policy and lower short-term interest rates has fueled demand for single-tenant, net-leased retail assets with regard to both deal volume and the entrance of new buyers into the space, although cap rate movement has been slow to reflect this growth. 

The nation’s central bank has implemented three 25-basis-point cuts this year, creating a lower cost of capital for prospective buyers in the net-lease market and generating positive impacts on the cash flows of owners marketing their properties for sale. Consequently, both sides are showing a willingness to both bid on and

Amanda WillisInterest Rate Cuts Bolster Net-Lease Investment

The Healthy Net Lease Asset Class


Thanks to increased demand for healthcare services, the medical net lease sector will continue to offer steady cash flow and safe returns for investors.

The medical sector is one of the quieter, more under the radar property types within the net lease world. Though not as abundant as dollar stores or ubiquitous as fast food; medical net lease properties offer investors steady cash flows, low-to-no management burden, and cap rates which beat out other similarly sized deals. Furthermore, an aging demographic shift will help ensure this asset type remains a viable investment well into the future.

Dissecting the Sector

For …

Amanda WillisThe Healthy Net Lease Asset Class

Net Lease Investors Remain Confident in Q3


Despite the specter of trade wars and a global economic slowdown, net lease investors bought in Q3 2019, showing confidence in the sector and economy. However, the US economy bears watching, especially in light of another Federal Reserve interest rate cut.

Three months later, the story is different. During the third quarter, cap rates ramped up by 16 bps, from 6.41% to 6.57%.

An increase in cap rates can mean more buyers are in the market, eager to take advantage of lower price points. This is supported by our transactional data, which posted 544 completed deals. Even in the face …

Amanda WillisNet Lease Investors Remain Confident in Q3

The War Between Amazon and the Dollar Store Sector


How does the online giant expect to break into one of the busiest sectors for buyers?

As we continue to grow into a digital age, we see more and more retailers developing their online presence to have a wider reach with consumers around the world. This is how Amazon become the shopping behemoth we know today. As a result, different brick-and-mortar stores struggle to create a business plan that addresses Amazon’s competition and eventually fall to the wayside. One sector, however, has not seemed to be taken aback from this competition—the Dollar Store sector.…

Amanda WillisThe War Between Amazon and the Dollar Store Sector

Net Lease Investors Take a Hard Look at CRE Fundamentals


Calkain’s Q2 Net Lease Overview shows investors taking a hard look at real estate fundamentals, even as property sales continue their increase from the first quarter of 2019.

In analyzing report metrics in our Q2 2019 Net Lease Overview, we noted a focus on fundamentals, a bump in sales activities, and third, a three-sector impact. Let’s explain the third point first.

Q2 numbers were influenced mainly by the automotive, big box, and dollar store sectors; all three types experienced a jump in sales, though their cap rates differed.…

Amanda WillisNet Lease Investors Take a Hard Look at CRE Fundamentals

Why the Window of Opportunity Is Open for Borrowers

Commercial Property Executive

Now is the time for investors to maximize the spread between debt financing and returns, says Calkain Cos.’ Jonathan Hipp.

We all expect investment activity to pick up after the summer months, but are we seeing a bigger uptick than normal?  We think so. …

Leigh ClineWhy the Window of Opportunity Is Open for Borrowers

Outside the Region: Hipp of Calkain Cos. and Wenig of AvisonYoung broker $4.1 million sale


Elkridge, MD Jonathan Hipp, president and CEO at Calkain Cos. completed the sale of the newly built Royal Farms convenience store at 7136 Montevideo Rd. Hipp represented a local developer in the disposition of this 20-year NNN ground lease in a $4.1 million sale.

Avison Young’s Net Lease Investment Sales Group led by Asher Wenig represented the buyer.

“We executed a favorable deal for our client, achieving a 5.12% cap rate. The new 20-year lease structure with multiple renewal options demonstrated the tenant’s commitment to the site.  With the corporate-backed guarantee on the lease it was an attractive investment – …

Amanda WillisOutside the Region: Hipp of Calkain Cos. and Wenig of AvisonYoung broker $4.1 million sale

What an Uncertain Market Outlook Means to Net Lease


Would further interest-rate cuts lower the cap-rate spread throughout the remainder of the year? That depends on when the cuts occur, and how much they change.

Let’s start off by stating the obvious. No one knows what the end of the year will look like in terms of any of the drivers of market dynamics, and by that I mean the 10-Year Treasury, interest rates or cap rates.…

Amanda WillisWhat an Uncertain Market Outlook Means to Net Lease

Calkain Arranges $15 Million Sale of Triple-Net-Leased CVS in D.C.

Shopping Center Business

Washington, D.C. — Calkain Cos. has arranged the $15 million sale of a triple-net-leased CVS property in Washington, D.C. The 8,754-square-foot building is located at 3323, 3325-3329 Connecticut Ave. NW, three miles north of downtown Washington, D.C. The building first served as a pharmacy in the 1950s before being converted to a CVS in 1990. Jonathan Hipp and Rick Fernandez of Calkain represented the seller, an undisclosed family trust, in the transaction. The buyer was a private investor completing a 1031 tax-deferred exchange.

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Amanda WillisCalkain Arranges $15 Million Sale of Triple-Net-Leased CVS in D.C.