Would you take a 6 CAP triple net or 6 CAP MF?

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The sweet spot can be a property that is a class lower than the market, not vice versa. A B class property in a C class market will not attract B class tenants or rents.

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NNN is headache free. see if u can get 25 yrs lease, get fux rate n enjoy for 25 yrs. I did it with Walgreens.

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My experience and opinions - I have dealt with enough tenants in FL. ( just moved from stuart / palm beach area ) in my own portfolio. I would prefer to invest in the stand alone NNN. However, I would also look at the zoning of this property (highest and best use). If food / fast food / drive thru - the brand needs to go dark and buy out of lease or file's BK - is there a replacement brand waiting in the wings. I like Jax. growing area and new ports for panama canal. Brevard not so much as the lost jobs in the space coast. Tampa big city and neighborhoods change quickly. Areas nearby that are still hidden gems - The Villages and Clermont. good luck.

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It all depends on the cash flow. Which one gives you better cash flow?

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@Marc C. Hey Marc, not sure I understand the question. The BET cashflow (before tax?) is $4,700/mo which makes it a 6 CAP on purchase price. I'm assuming "a couple hundred per month" in expenses for NNN, but I'm just at the start of really doing any DD and this is the first commercial property I'm digging into. Without getting it under contract, they won't share tax filings or monthly cashflow/expenses or the lease terms. I understand it, but just not sure I want to put it under contract until I know a little more about NNN and if it isn't he best way for relatively low involvement, protected cash flow.I'm staying away from fundrise and REITs at the moment. I can also get solid, 7%+ returns with a couple of oil and gas companies and bet on rising energy prices, but I'm separating stocks, REITs, and notes from real assets that I'm purchasing. I've got one good pool of capital to put to work for my second round of major purchases and trying to make sure I am looking at it correctly for cashflow and moderate downside risk.

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@Marc C., You're right that there are crowdfunding deals paying 8%+ returns. But I wouldn't use Fundrise as an example.If you read the prospectus on that Fundrise REIT, you'll see that the actual investments in it are not actually paying you 11%. The company achieves the 11% guarantee by artificially pumping money into the fund to pay out to investors. There's no such thing as free money: after the 2 years are up, you will be paying for the pumped up returns via your investor dilution.

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Whats the bet cash flow on the NNN property? They are usually in the 5-6% range, vs. 10℅ for MF.The Fundrise eREIT is paying me 11% with no hassles. The Crowdfunding sites have plenty of deals paying 8℅ preferred returns.

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Kerry Baird that is true, but not sure the benefits make their way to all parts of Titusville... what's available in Cocoa Beach, Cape, and Sat Beach tends to be unrealistically overpriced. I'm sure there is a deal somewhere, and I am looking for it, but the ask prices are out of whack for what I'm seeing... keep me in mind of you do find something that makes sense!

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Brevard is increasing jobs now: Boeing, Harris, Northrop all hiring. Port Canaveral was recently upgraded and spurred an increase in number of big cruise ships, while containers can now be offloaded. Area is trending up in jobs.

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There are several MF deals around FL for 8 caps, some in A+ areas, but properties need some capital to bring them up to standard and to raise rents. They are in JAX, Tampa, Brevard, but they are usually in B/C areas. The one in question is C area, needs work, but is an easy 8 with upside with raising rents. Problem is the area is one I don't like, bleak job growth, low class, challenging tenant pool and needs really good, strict management. The NNN is in an A class, but it's really heavy on the snowbirds and upper class retirees. Definitely no growth, but the franchise is one of the largest in the world that is the stand alone tenant. Been in the location for 15 yrs and has a long term corporate backed lease. For this example, relative NOI is the same and purchase prices are in the $750-800k producing about $50k NOI. Obviously the numbers are not firmed up, but this is pretty close and I have to go off of pro forma for the MF, which I am pretty conservative with. The hard part for the NOI on the MF is that I think there will be continuous replacement/repair issues. Not only getting it ready for the market, but long term, there will be issues with buildings fallen into disrepair and with lower class tenants and I don't know if I can get rid of everyone and get the whole place up to standard, so it will be in states. Definitely more hands on and not sure I want to be too hands on with a rehab on a MF... Just curious if all else was equal, would you look at triple net commercial as a better long term play.