NNN Properties For Sale in North Carolina

North Carolina is a hotbed of opportunity for NNN investors. With a favorable climate for business, low tax rates, and a steadily growing population, the “Old North State” is a can’t-miss location for your next NNN investment.

Common NNN Lease Tenants in North Carolina

Common NNN properties for sale in North Carolina include some of the top NNN lease investments available in the entire nation, per our market research.

• Fast food chains (Chick-fil-A, McDonald's, Starbucks)
• Pharmacies (CVS, Walgreens)
• Gas stations (Wawa, 7-Eleven)
• Grocery stores (Publix, Kroger)
• Retail giants (Walmart, Dollar General)

Why Choose a Net Lease Over a Gross Lease When Investing in Commercial Real Estate?

When investing in commercial real estate, there are many benefits that make a net lease a better option than a gross lease. Many real estate pros consider these two types of leases to be essentially opposites.

If you are new to the commercial real estate investing space, let’s break down these two lease types. A gross lease describes an agreement in which the tenant pays a predetermined amount to use a space. That amount does not fluctuate with operating expenses, and typically the landlord will be responsible for covering operating costs under a gross lease. With a net lease, on the other hand, landlords can hand off operating expenses to their tenants.

Under the umbrella of net leases, there are three distinct tiers: N (single net lease), NN (double net lease), and NNN (triple net lease). Each level allows a commercial real estate investor to pass additional expenses onto their tenants, lessening their risk and liabilities.

Single net leases, or N leases, pass property taxes over to the tenant (in addition to the cost of rent), but the landlord remains responsible for insurance, maintenance, repairs, and utilities. N leases are less common when it comes to commercial real estate. Double net leases, also called NN leases, and triple net leases, also called NNN leases, are seen much more frequently.

What Types of Net Leases Are Common in North Carolina?

In North Carolina, single-tenant NNN leases are perhaps the most common type of net lease. Double net leases, or NN leases, are also common in both retail and industrial spaces in the state. There are a number of reasons why triple net properties in North Carolina are so desirable, including the reduced risk they offer for landlords.

With a NNN lease, landlords have the least possible amount of responsibility. The tenant will pay base rent and utilities as well as property taxes, building insurance, and maintenance costs. Triple net properties for sale in North Carolina make for excellent real estate investments as they yield predictable income without worries about unexpected maintenance costs.

And since the tenant pays property taxes and insurance, investing in an NNN property helps keep expenses low for real estate investors.

Double net leases, or NN leases, are also common in North Carolina, albeit less popular than NNN leases. A double net lease is somewhat of a middle ground in between a gross lease and a triple net lease. Under a double net lease, a tenant pays the base rent as well as property taxes and insurance. However, the landlord or real estate investor is still responsible for maintenance and repairs.

As compared with a NNN lease, the NN option does increase operating expenses for investors and can lead to some unexpected costs. Overall, though, this is still an attractive type of commercial lease if you prefer to handle maintenance and repairs on your own.

How to Evaluate a Net Lease for Sale in North Carolina

When you evaluate an NNN for sale in North Carolina, it’s important to look at the property value (which is heavily influenced by location) as well as the tenant strength and creditworthiness. If you are looking at single-tenant properties, like the ones many commercial real estate investors prefer, remember that your tenant concentration can be only either 100% or 0%. That is to say that you’ll be generating 100% of your potential cash flow or none of it.

In order to ensure that you are able to find high-quality tenants for your NNN properties in North Carolina, you’ll want to ensure that the property you choose meets some preferred qualifications. While these criteria differ slightly for each tenant, look for features like corner lots, high-visibility locations, parking lots, and multiple paths of access. Prioritizing a strong property location will help ensure that your NNN property stays full and you keep generating cash.

The good news is that NNN lease tenants in North Carolina are usually large companies with strong balance sheets – think CVS, Starbucks, or Walgreens – so you can count on your payments arriving on time each month. Unlike some less desirable net lease clients, you won’t be chasing down your tenant to get your hands on the next check.

Another factor to look at is the cap rate, or capitalization rate. This figure assesses a real estate investment based on its profitability and its return potential. Generally speaking, you want to look for cap rates that land between 5% and 10%. Lower rates within that range usually indicate that the investment is lower risk – but a mid-range or higher rate could also mean more potential for reward.

For instance, consider our recent triple net properties for sale in North Carolina. We recently listed an NNN lease property with a Starbucks in Havelock, NC with a cap rate of 6%. That rate falls within a strong spectrum and leans toward a lower-risk investment.

We also recently listed a Family Dollar NNN lease property with a cap rate of 7.25%. Comparing these cap rates shows that the Family Dollar property is a higher-risk investment… but it also has the potential to earn your investment back faster if things go well.

Want more help with buying an NNN property in North Carolina? Call us at +1 (800) 443-0507

What Makes North Carolina an Attractive State for NNN Leases?

North Carolina is a very attractive state for NNN properties due to its strong population growth and economic expansion as well as its varied industry hotspots and strategic location in the heart of the American southeast. And with a 1.3% year-over-year growth rate, North Carolina was the 5th fastest-growing state in the nation.

Additionally, North Carolina boasts a favorable tax environment and recently reduced state income taxes (since the beginning of 2023). U.S. News & World Report discovered that the average American paid 8.9% of their income in state taxes in 2020. In North Carolina, that number is below the average at 7.7% and falling.

North Carolina is also a major location for corporate headquarters. Numerous Fortune 500 companies are attracted there due to its competitive cost of doing business paired with low-cost yet high-quality standard of living. The state prides itself on attracting and retaining top talent and houses corporate headquarters for the likes of Bank of America, Lowe’s, Truist, Honeywell, and many others.

The North Carolina “Research Triangle” of Raleigh, Durham, and Chapel Hill also adds to the state’s appeal, making it stand out as a center of business, innovation, and commerce. Here is what the Economic Development Partnership of North Carolina has to say about why the state is an excellent place for commercial real estate ventures:

“North Carolina’s consistently top-ranked business climate, low cost of living, access to four international airports, and highly educated workforce all create an incomparable environment for corporate success.”

Check Out Out Favourite NNN’s for Sale in North Carolina

With its strong business environment that is ripe for commercial real estate investment, now is the time to explore the possibility of investing in a NNN property in North Carolina. Opting for an NNN reduces your risk and exposure as a real estate investor while allowing you to take advantage of some of America’s hottest markets. Economically strong cities like Charlotte, Raleigh, Greensboro, and Winston-Salem offer prime NNN lease locations where you can get a foothold in this competitive market.

Don’t miss out on the top triple net properties for sale in North Carolina. Take a look at our North Carolina NNN listing right here, and discover opportunities in numerous different verticals. From superstores to dollar stores and everything in between, Net Lease Finder will help you pinpoint your perfect NNN location.