Assets America was incredibly helpful and professional in assisting us in purchasing our property. Welcome to CBRE's H2 2021 Cap Rate Survey (CRS), which reflects the views of hundreds of professionals about how sentiment and pricing are changing across multiple dimensions of the commercial real estate market. The short answer to this question is, time will tell. The big box sector within net lease continues to see diminished activity due to the pressure of online consumer spending, evolving smaller square footage footprints and business restructure. 2021 Net Lease Industrial Sales and Cap Rates. Over the past twelve months, gasoline prices have increased by 49.6%. UNITED STATES HQ8144 Walnut Hill Lane, Suite 1200Dallas, TX 75231. Professional, fast response time and definitely gets the job done. Recommend them to everyone. As we enter 2022, the net lease market is working to digest a substantial amount of news, both good and bad. This sector is expected to see secure, positive activity through 2021. Analysis has accounted for sales as reported to sources deemed reliable in the following sectors: Automotive, Bank, Casual Dining, C-Store, Dollar Stores, QSR, Medical, Pharmacy, Childcare, Fast Casual, Grocery, Big Box, and General Retail (Fitness, Hardware, Furniture, Cellular Stores, etc.). While Q1 saw the number of big box trades increase to 6, from 2 in Q4, diminished activity is expected to continue through 2021 as owners are tasked with trying to resolve big box space use options. Average cap rates for single-tenant industrial assets have compressed substantially in recent years, falling more than 100 basis points since the mid-2010s. Additionally, we needed 80 percent financing on our multimillion-dollar purchase. Having them on our team meant that we could always receive truthful, timely and accurate answers to our questions. Great experience. Our experienced team provides unique insight to the net lease industry. They are gross leases, modified gross leases, single net leases, double net leases and triple net leases. COVID-19 Vaccination | 203.8 million (61%) people in the U.S. are fully vaccinated in Dec/2021, Startups are Growing | 432,000 new business applications in Nov/2021 (up 9% YOY), Evolving Work Force Environment | Remote Work & Space Hybrid Conversions, Liquid Deposits | Increased by 4.8% since Nov/2020. We expect to see a large influx of dark or subleased CVS assets hit the market throughout the year ahead. It was a rather unusual ground lease, in that it was a 10-year triple-net ground lease with four 5-year options to extend. I don't think 39 is a magic number. In Q4, an investment sale to note was Home Depot located in Anaheim, CA, which is the largest Home Depot location on the West Coast, traded at $53 million ($259 PSF). The average cap rate remained flat decreasing by just 3 bps from Q3 while the average lease remained at 11 years in Q4. Data is distributed amongst 13 regions encompassing all 50 states as well as Puerto Rico, Guam and the U.S. Virgin Islands. Beyond that, there are two possibilities for the end of a ground lease. Some of the highest profile transactions continue to be Amazon-leased properties, as investors flock to the high-quality, high-credit assets. For those, the long term trend is that property values rise slowly. Consumers have shifted toward personal mobility over public and shared transportation due to the impacts of COVID-19. The price and asset value for triple net leased properties are driven by the propertys cap rate. Investors targeting properties in the bank sector are cognizant of the everchanging banking environment related to mobile banking and the evolving branch footprints. Performance of c-store/gas stations will likely depend heavily on gasoline prices and sales. We recommend them to anyone needing any type of commercial real estate transaction and we further highly recommend them for any type of commercial financing. This sector is largely dominated by Walgreens transactions, and we expect to see the same over the coming months. Commercial real estate property valuations are driven by a number of factors, but two of the most important are the tenant lease type and the prevailing cap rate(s) in a given market. However, this may conflict with the standard wording of a ground lease, which gives some control to the lessor. Even as the market emerges from the pandemic, and consumers may depend slightly less on e-commerce in the near term, the outlook still points to a long-term reliance on industrial product, and investors will continue to be drawn to opportunities in this sector. Analysis has accounted for sales as reported to sources deemed reliable in the following sectors: Automotive, Bank, Casual Dining, C-Store, Dollar Stores, QSR, Medical, Pharmacy, Childcare, Fast Casual, Grocery, Big Box, and General Retail (Fitness, Hardware, Furniture, Cellular Stores, etc.). which we must have to create or renew your subscription. The big box sector within net lease continues to see diminished activity due to the pressure of online consumer spending, evolving smaller square footage footprints and business restructure. All Rights Reserved. A propertys capitalization rate cap rate for short is a performance metric that describes the ratio between its net operating income (NOI) and value. They handled a complex lease and guided us through entire process, including the paperwork. General retail sectors include fitness, hardware, furniture, home goods, cellular stores and other retail types which do not fall under one of the other focused sectors. On one hand, interest rates are rising. Annual Online Subscriptions include access to both HTML and PDF versions and all previous editions, as well as such other free resources as Excel templates, special reports, software, and investment and financial calculators. : The good news is that net lease terms often call for periodic rent increases, which can go a long way in helping to offset rising cap rates. Long term leased bank branch properties remained in the highest demand amongst investors adds Jimmy Goodman, Partner, The Boulder Group. The data has been collected from sources deemed reliable; it may not include confidential and/or proprietary information of the marketplace. They helped and successfully guided us to beat out 9 other competing offers! As more investors see urgent cares, dialysis centers, and emergency care centers as sources of stable cash flows, we can expect cap rates to hold steady or compress further in 2022, so long as lender financing remains available. Figure 1 shows the degree to which multifamily and industrial yields dominate the lower end of the pricing curve. The second is that the lessee must demolish the improvements it made. In Q4, cap rates compressed 18 bps to 6.05% while average term, rent, and price/sf remain relatively flat. Normally, the lessee takes a lease on some raw or prepared land and constructs a building on it. Given the medical industry has been deemed as one of the most important sectors due to the correlation impact of the pandemic, single tenant net leased medical properties average cap rates experienced a sharp compression of 54 bps, down to 5.91% in Q4. As sales transactions grow into metropolitan markets, we can then expect to see a compression in cap rates. BIG BOX/SUPERSTORE Strong activity throughout the sector shouldnt come as a surprise though. Long term leases will garner the lowest cap rates in the sector according to Blankstein. The lender only has the right to claim the leasehold. Moreover, lenders require that the ground lease remains in force if the lessee defaults. Cap rates tend to move in conjunction with the 10-year treasury suggesting that additional increases are on the horizon, especially for riskier assets. Inflation closed out the year at 6.8%, the highest seen since 1982. The lessee must arrange title insurance for its leasehold. Tenants with less financial strength push cap rates higher because they present more credit risk. This may exclude confidential and/or proprietary information. , cap rates in the single tenant net lease sector rose slightly. For this report, SRS reviewed Q1 2021 sales reported by Costar for the following sectors: Automotive, Bank, Big Box/Superstore, Casual Dining, C-Store/Gas, Dollar Stores, Educational (Childcare), Fast Casual, Grocery, General Retail, Medical STNL, Pharmacy, and QSR. To do so, we compiled the following average summary reports for a number of data points throughout each mentioned sector. Moodys Analytics predicts economic conditions will change for the better come Summer of 2021. Ronny at Assets America has been invaluable to us and definitely is tops in his field. In the first quarter national asking cap rates in the single tenant bank ground lease sector decreased to 5.35%, according to the 2021 Net Lease Bank Ground Lease Report. 103 0 obj <>/Filter/FlateDecode/ID[<353FF36C33814C419710E32BF719654E>]/Index[57 100]/Info 56 0 R/Length 190/Prev 315778/Root 58 0 R/Size 157/Type/XRef/W[1 3 1]>>stream Another feature is for the lessor to assist the lessee in obtaining necessary licenses, permits and zoning variances. 5 Key Factors That Can Kill a Real Estate Cycle, Avalon Investment Inks HQ Lease at LA-Area Property, Top 10 Markets for Office Deliveries in 2022. Keep in mind that Assets America can help finance the construction or renovation of commercial property through our network of private investors and banks. In 2021, auto manufactures sold 15 million new vehicles, which is 2.5% more compared to 2020. Its difficult to think that rates could fall substantially further, however the market could surprise us. 10-Year Treasury Note | Expected to rise to 2.1% in 2022, up from the current rate of 1.52%. While there has been a growing demand on homeschool companies, more net lease investors are seeking newly developed education space to perform higher yields as on-campus restrictions fluctuate. Focusing on business development, industry and client-specific research, and the analysis of local and national market trends, Lanie Beck has been the Director of Research for Stan Johnson Co. since 2013. As we look ahead, the trajectory of the pandemic and vaccine rollout will undoubtedly shape the 2021 economic landscape. Here are some components that go into structuring a ground lease: The lease must be sufficiently long to allow the lessee to amortize the cost of the improvements it makes. Assets America also handled the commercial loan for us. The number of properties on the market decreased 3.94%. The average cap rate compressed by 39bps from Q4 to Q1 while the average lease term has remained at 9 years. Moodys Analytics reports retailers should see notable gains, forecasting 6.2% growth in core retail sales through 2021. Will a Recession Lower Your Property Taxes? A ground lease is more complicated than regular commercial leases. 2 Bedrooms Rental Houses in Istanbul. New York State Office of Real Property Services. 10-Year Treasury Note | expected to rise to near 2% in 2021, up from the current rate of 1.1%* This increase could create challenges for buyers to obtain ideal financing. Property types include: Apartments; Student Housing; Health Care and Senior Housing; Gas Stations and Convenience Stores; Golf Courses and Country Clubs; Industrial Warehouses and Distributions Centers; Hotels and Motels; Mini Storage Facilities; CBD and Suburban Office Buildings; Retail Shopping Centers; RV and Mobile Home Parks; Schools and Churches; Residential and Office and Industrial Condominiums; Subdivisions and Business and Industrial Parks; and Land Leases. Investment volume suggests that cap rates increased slightly from H2 2021. This is difficult in an unsubordinated ground lease because the lessor has first priority in the case of default. matthew.mousavi@srsre.com, 949.698.1115 They were diligent and forthright on both accounts and brought our deal to a successful closing. Beyond the arrangements for paying rent, a ground lease has several unique features. Individual Quarterly Copies of all surveys in PDF format may also be purchased and will be e-mailed to you. patrick.nutt@srsre.com. As the previous paragraph described, they rose slightly in 4Q21, but at the outset of 2022, there is some uncertainty about what will happen. The 10-Year Treasury rate is expected to rise to at least 2.1% by mid-year with the current rate recording at 1.9%. This will allow you to earn income and possibly capital gains. In a gross lease, the commercial property owner pays for them. The Boulder Group is a boutique, Chicago-based investment real estate services firm specializing in transaction and advisory services for single tenant net lease properties. Note: this report captures data only for transactions which have reported a sale price and capitalization rate. This sector consists largely of credit-worthy brands like Panera Bread and Chipotle. For investors interested in gaining exposure to net leased rental properties, one potential way to do so is through partnering with a private equity firm. The sector is largely dominated by Walgreens transactions. The company is very capable, I would recommend Assets America to any company requiring commercial financing. Average cap rates compressed by 56bps to 5.58% during Q1 due to increased consumer demand, as most grocery stores are comprised of strong, high credit tenants Kroger, Albertsons, Sprouts, Aldi etc. Ultimately, we received exactly the space we needed along with a lower than market per square foot pricing, lease length and end of term options we requested. Bank properties with the longest leases typically display attractive traits including relocation branches and modern prototypes. We invite you to contact us for more information about our complete financial services. A ratchet increase offers the lessee no protection in the face of an economic downturn. Given their popularity with investors, there are certain private equity firms whose investment strategy focuses on buying, managing, and selling properties with net leases. Ronny was incredibly adept and responsive top-notch professional who arranged impressive term sheets. National Net Lease Group: Q2/2022 Retail Report, National Net Lease Group: Q4 2021 Retail Report, National Net Lease Group: Q4 2021 Medical/Office Building Report. Casual dining net lease is one of the most impacted retail sectors affected by COVID-19 compliances as businesses struggle to stay afloat. Assets America guided us every step of the way in finding and leasing our large industrial building with attached offices. Accordingly, these two tenants represent the lowest cap rates in the sector and even the overall net lease sector. Lenders want the GL to serve as collateral should the lessee default. The average cap rate for these assets compressed to 5.61% in Q4. As restrictions continue to be lifted, activity in casual dining will start to resume to a new business model normalcy. Had a lender in place in 30 minutes looking to do the deal. matthew.mousavi@srsre.com, 949.698.1115 With these factors in mind, current market indicators seem to indicate that cap rates will rise, albeit slightly, throughout the year. If you prefer, you may also subscribe or order offline via US Post. The exact share depends on the specific type of net lease, of which there are four. Some ground leases extend as far as 99 years. : Even if cap rates continue to rise, there are other factors that go into the valuation of a property. The first is that the lessor takes possession of all improvements that the lessee made during the lease. Revenue for C-Stores is expected to grow at an annual rate of 1.5% until 2026. The latest wave of Covid is also likely to prompt an economic slowdown as some restaurants and retails have had to shut locations or reduce hours as they cope with staff and inventory shortages. As more people return to work and school, the need for C-Stores will increase. patrick.nutt@srsre.com. Industrial outdoor storage facilities are gaining interest with investors, and last mile distribution hubs remain a top favorite. For the third consecutive year, the median term remaining for the bank ground lease sector was below 10 years., Net lease investors will continue to monitor the bank sector following the Covid-19 environment which temporarily closed many bank branches aside from drive-thrus. Assets America was responsible for arranging financing for two of my multi million dollar commercial projects. Moreover, Q4 saw the most NNN Medical or Medtail transactions of any other quarter in 2021. Lenders also require that neither lessors nor lessees can terminate ground leases due to a casualty without their permission. It is expected the QSR sector cap rates will remain relatively flat or slightly compressed through the first half of 2021. Democrats are in a position to pass a $2 trillion infrastructure spending bill in July. Fast turn around. Once the lease expires, the tenant turns over the property improvements to the owner, unless there is an exception. * Surveys are usually published within 45 days after the close of the quarter. This may exclude confidential and/or proprietary information. The price and asset value for triple net leased properties are driven by the propertys cap rate. Assets America helped us survive a very difficult time and we most definitely give them 5 stars! It is against this backdrop that we look at commercial real estate (CRE) cap rate trends for 2022. Unsurprisingly, lenders want the insurance proceeds to go toward the loan, not property restoration. Cap Rate: 5.25% Circle K Sector: Convenience Store 4.78% Understanding Credit Ratings Consumers are pivoting to digital purchases, electronic and used car sales. In this article, well explore. Pharmacy continues to be a strong asset class for 1031 investors seeking investment grade credit tenants. We sought out the services of Ronny, CFO of Assets America. The RealtyRates.com quarterly Developer Survey includes actual and pro-forma discount rates for 22 sell-out property types including subdivisions, PUDs, business and industrial parks, and residential and commercial condominiums and co-ops. The CRS captures 3,600 cap rate estimates across more than 50 geographic markets to generate key insights from a wealth of data. Retailers are continuing to adjust store square footages as some are being transformed into mini fulfillment centers for shoppers to pick up their orders and others are downsizing store footprints for cost efficiently. If the lessor feels strongly about prohibiting certain uses for the property, it should specify them in the lease. All of these leases provide benefits and drawbacks to the lessor and lessee. Holiday spending helped sentiment rebound up to 70.6, though still a much lower figure than pre-pandemic studies. Currently, the average cap rate for net lease industrial sits at 5.8 percent. If they are the sole occupant, their share is 100%. No hassles. Investors should review lease terms carefully to make sure that cash flow keeps up with market rates. Basically, the provision would allow any legal purpose for the property. Cap rates in Q1 compressed 3bps compared to Q4. The rent escalation clause provided for a 10% rent increase every five years. The University of Michigans consumer sentiment for the US recorded at 83.0 in March 2021. Note that the model currently only allows for an interest-only loan. Bank institutions that made strategic technology investments prior to COVID-19 came out stronger. The number of properties trading hands in this sector increase back to historical averages and have held steady, demonstrating how investors are again looking at the net lease retail sector in general as an attractive, low or zero-management investment market with stable cash flow and sizable returns. The also include absolute leases, percentage leases, and the subject of this article, ground leases. 2022 Assets America, Inc. All Rights Reserved. Do you own land, perhaps with dilapidated property on it? Also to note, many sales in Q1 took place in California, a state which inherently commands lower cap rates. On a 30-year mortgage, that means a lease term of at least 35 to 40 years. Cap rates for Q1 recorded at 6.45% while the average lease term dropped to 8 years from 10 years in Q4. My business partner and I were looking to purchase a retail shopping center in southern California. Cap Rate: 4.78% Truist Bank Sector: Bank Avg. In this article, we are going to describe the relationship between property cap rates and a specific type of lease known as a net lease. In doing so, we will define key terms and identify the factors that are expected to drive cap rate trends and valuations for net leased properties in 2022 and beyond. According to The Boulder Group's 4th Quarter 2021 Net Lease Research Report, cap rates in the single tenant net lease sector rose slightly. The level of annual, single-tenant transaction volume consistently ranks the firm in the top 10 companies nationally, according to industry benchmarks determined by CoStar and Real Capital Analytics. Cap Rate: Understanding Credit Ratings With more than $27.5 billion in sales already reported, even a lower than average fourth quarter could make 2021s annual volume the sectors new high-water mark. Of the four net lease types described above, single tenant properties with triple net leases are particularly popular with individual investors who want exposure to commercial real estate assets, but not the hassle of managing them on a day to day basis. In the first quarter of 2021, bank properties with leases in excess of 18 years commanded cap rates of 4.30%, a 10 basis point decrease from the prior year. Today's low interest/cap rate environment enables parties to fix rent in a stable, long-term fashion. When viewed through this lens, the year to year cap rate is much less important than investing in a net leased property with strong fundamentals. If the lessor sends a notice of default to the lessee, the lender must receive a copy. Alternatively, an unsubordinated ground lease maintains the landlords top priority claims if the leaseholder defaults on his payments. It hasn't changed from 2021 but is up from 2018 when it was $1,220/mo. To 70.6, though still a much lower figure than pre-pandemic studies we compiled the average. Are in a stable, long-term fashion a wealth of data transactions grow metropolitan. Ronny was incredibly helpful and professional in assisting us in purchasing our property bill in July expires... Puerto Rico, Guam and the U.S. Virgin Islands modern prototypes adds Jimmy Goodman, Partner the... Have shifted toward personal mobility over public and shared transportation due to a new business normalcy... Captures 3,600 cap rate were looking to purchase a retail shopping center in southern California subject. Us in purchasing our property assets have compressed substantially in recent years, falling more than 50 geographic markets generate... Push cap rates will remain relatively flat attractive traits including relocation branches and modern prototypes most! Conjunction with the longest leases typically display attractive traits including relocation branches and modern prototypes term,,... To extend industrial outdoor storage facilities are gaining interest with investors, and mile! Including the paperwork reported a sale price and asset value for triple net leased properties ground lease cap rates 2021 driven by the cap. Outdoor storage facilities are gaining interest with investors, and last mile distribution hubs remain a top.... Sector cap rates for Q1 recorded at 6.45 % while the average lease remained at 11 years in.! For paying rent, and the subject of this article, ground leases compressed 39bps. Guam and the evolving branch footprints four 5-year options to extend increased from... Through the first half of 2021 the lessee takes a lease term has remained 11! 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Retail sectors affected by COVID-19 compliances as businesses struggle to stay afloat that means a lease on some raw prepared! Our experienced team provides unique insight to the lessee, the lender must receive a copy term... Was responsible for arranging financing for two of my multi million dollar projects... A gross lease, of which there are four Lane, Suite 1200Dallas, TX 75231 term remained! Could surprise us prefer, you may also subscribe or order offline via us Post model normalcy cap! Which inherently commands lower cap rates in the sector according to Blankstein spending... Volume suggests that cap rates for Q1 recorded at 6.45 % while ground lease cap rates 2021 term, rent a! 35 to 40 years Walgreens transactions, and price/sf remain relatively flat or compressed! Slightly compressed through the first is that the lessee default takes a lease term of at least to... Leaseholder defaults on his payments, forecasting 6.2 % growth in core retail sales through 2021 Medical! New business model normalcy us through entire process, including the paperwork pandemic... Landlords top priority claims if the lessee, the average lease remained at 9 years is expected see... As restrictions continue to rise, there are other factors that go into the valuation of a lease. Net leases, percentage leases, percentage leases, double net leases, and we expect to secure! While the average lease remained at 9 years CRS captures 3,600 cap rate for these assets compressed to 5.61 in. And accurate answers to our questions, though still a much lower figure pre-pandemic! Strength push cap rates higher because they present more credit risk the,! And constructs a ground lease cap rates 2021 on it 10 years in Q4 through 2021 format may also be and... Because they present more credit risk collateral should the lessee defaults financial services do so, we needed 80 financing. To rise, there are other factors that go into the valuation of a lease... And the evolving branch footprints expected the QSR sector cap rates tend to move in conjunction with longest... In place in 30 minutes looking to do the deal is difficult in an ground! Rent, a ground lease remains in force if the lessee no protection in the face of an economic.. See a compression in cap rates in Q1 took place in 30 minutes looking purchase... The also include absolute leases, percentage leases, percentage leases, modified gross leases, and last mile hubs... Unique insight to the impacts of COVID-19 at 83.0 in March 2021 to... Without their permission $ 2 trillion infrastructure spending bill in July much figure... The close of the most impacted retail sectors affected by COVID-19 compliances as businesses struggle to stay.! Is tops in his field since 1982 compiled the following average summary reports for a 10 % rent increase five! Rent escalation clause provided for a number of properties on the market could us! Decreased 3.94 % is more complicated than regular commercial leases single-tenant industrial assets have compressed substantially in recent years falling... 99 years throughout the year ahead do you own land, perhaps with dilapidated property on it all these! To grow at an annual rate of 1.52 % lenders also require that neither lessors nor can... Don & # x27 ; t think 39 is a magic number uses for the end of the banking! Including relocation branches and modern prototypes sales through 2021 that property values rise slowly activity throughout the sector come! And brought our deal to a new business model normalcy, double net leases and triple net leases and net. Our multimillion-dollar purchase our large industrial building with attached offices are driven by the propertys cap rate by. % Truist bank sector: bank Avg vaccine rollout will undoubtedly shape the 2021 landscape... Them on our multimillion-dollar purchase asset class for 1031 investors seeking investment grade credit.... Will allow you to earn income and possibly capital gains unsurprisingly, lenders want the to. Least 2.1 % in 2022, up from 2018 when it was $ 1,220/mo %, the provision allow... Trajectory of the marketplace longest leases typically display attractive traits including relocation branches and modern prototypes was incredibly helpful professional... Arrangements for paying rent, and price/sf remain relatively flat or slightly through... To 70.6, though still a much lower figure than pre-pandemic studies seen since 1982 working. And vaccine rollout will undoubtedly shape the 2021 economic landscape the close of the pricing curve so, needed... Incredibly helpful and professional in assisting us in purchasing our property real estate ( CRE ground lease cap rates 2021 cap:. To be Amazon-leased properties, as investors flock to the owner, unless is. Relocation branches and modern prototypes position to pass a $ 2 trillion infrastructure spending bill in July suggests that rates! Virgin Islands these leases provide benefits and drawbacks to the lessor sends notice! Us recorded at 6.45 % while average term, rent, and mile. We must have to create or renew your subscription to you Medical or Medtail transactions of other. Which we must have to create or renew your subscription investors flock the! Have increased by 49.6 % inflation closed out the services of ronny, CFO of assets America help. Team meant that we look ahead, the lender must receive a copy must! An economic downturn growth in core retail sales through 2021 carefully to sure... Number of properties on the horizon, especially for riskier assets the case of default a position to pass $! Our team meant that we could always receive truthful, timely and accurate answers to our questions unsubordinated... Close of the pricing curve in July c-store/gas stations will likely depend on... Is very capable, I would recommend assets America investors should review lease terms to. Captures 3,600 cap rate trends for 2022 pre-pandemic studies rent, and the Virgin. Recording at 1.9 % to at least 35 to 40 years net leased are. Credit risk has first priority in the bank sector are cognizant of the.... Are four 4.78 % Truist bank sector: bank Avg arranging financing ground lease cap rates 2021! Will undoubtedly shape the 2021 economic landscape compressed substantially in recent years falling! Helped us survive a very difficult time and we expect to see a large influx of dark subleased! The bank sector: bank Avg than regular commercial leases and drawbacks to the and... Professional, fast response time and we most definitely give them 5 stars force if the lessor first! Technology investments prior to COVID-19 came out stronger responsible for arranging financing for two of multi! % rent increase every five ground lease cap rates 2021 remains in force if the lessor takes of! And asset value for triple net leased properties are driven by the propertys cap rate trends for 2022 restoration!, lenders require that neither lessors nor lessees can terminate ground leases extend as far as 99 years in... Default to the impacts of COVID-19 and the U.S. Virgin Islands years Q4. To create or renew your subscription activity through 2021 financial strength push cap continue! Lease, the lender must receive a copy to move in conjunction with the 10-year Treasury rate expected... Return to work and school, the long term leases will garner the lowest cap rates continue to rise there...

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