Jon Hipp

We recently pointed out that, while the net lease sector consists of commercial properties involving specific lease arrangements, the tenants and their industry sectors are different. One very good example involves comparisons between auto supply retailers and banking centers. These sectors are similar from a net-lease perspective, in that they are often found in stand-alone buildings that are easily accessible, offer high visibility and allow the lessee to control brand identity through signage and layout.

But these tenants are also different when it comes to product and service offerings. As such, net lease investors should understand industry trends and issues before putting money into these properties.

Driving to an Auto Parts Explanation

The average price of automotive property, specifically auto part stores, is around $1.6M, with the average cap rate hovering around 6.25%

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Jonathan Hipp

Jonathan Hipp began his career in real estate over 25 years ago. In his early years as a broker, he ventured into the net lease industry and quickly began leading the US net lease market, closing over $3 billion in transactions. In 2005, Jon founded Calkain Companies, a company focused solely on net lease investment services. As President and CEO, he has been instrumental in building the firm into one of the leading Net Lease real estate companies, transacting over $12 billion of net lease deal volume over the past 13 years. He has expanded Calkain’s services to include brokerage, advisory, asset management, capital markets, and industry research. He has become a well-known resource, panelist, and speaker at various Net Lease and Industry conferences and is a regular contributor to GlobeSt.com on real estate trends. In June 2015, Jon’s passion for the real estate business was again recognized as he was nominated for the Top Real Estate Player in the DC area by SmartCEO magazine.