The Feil Organization devotes a substantial portion of its investment portfolio to net leased property acquisitions. Net leases offer many of the advantages of property ownership without tying up capital. When retail companies or other types of businesses own the properties on which they operate, a major part of what could be working capital is permanently unavailable. A simple sale would free that capital, but it would also leave the business without the use of property.
Fortunately, there is a solution: The retailer or business owner can sell its single-user property to an investor, and then lease it back under a net lease agreement. This arrangement enables the business to gain full use of the working capital, while continuing to operate with virtually the same autonomy enjoyed as a property owner.
Current net leased tenants include Southland Corporation (7-Eleven Stores), BJ's Wholesale Club and Rite Aid, as well as dozens of other retail and industrial properties throughout the United States. For net leased property acquisition criteria, please contact Eric Lowenstein, CFO.