Single Tenant Investment Grade Definition

Single tenant investment grade is a retail property where the property is net leased to one investment grade tenant (BBB- rating or higher). An example would be a Walgreens, Home Depot or CVS stores.

With investment grade tenants, you will be able to get better financing terms with lenders. The credit worthiness and financial strength of the tenant holds more weight than you as the borrower, with the lenders.

To verify the credit of your tenant, look at Standard & Poors.

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