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Updated about 6 years ago,
Lower risk of being targetted for lawsuit in commercial RE
Trying to evaluate the benefits of NNN single tenant investments so have a few questions:
1. Are landlords of commercial real estate (especially single tenant NNN lease) less likely to be a target of lawsuits? I'm guessing since the tenant profile are completely different (corporate/businesses vs regular residents) can one assume it's a lower risk in general?
2. Related but different topic, say you bought a property and rented out (NNN) to KFC. If a KFC customer slipped on the property and wanted to sue everyone, would the landlord be just as vulnerable to be judged at fault vs if the property is a multi-family instead (assuming the same cause of injury)? Would the injured customer's attorney try to target KFC first since that's where they can extract the most benefits?
Thanks in advance!