Commercial real estate. Triple net holdings. Very little time or effort involved. Not going to make me rich by any means but the income outweighs the carrying cost which puts money in my pocket monthly and theres the appreciation as well. It’s funny how often companies will break a lease with much hesitation and pay the early termination fee which puts larger amounts in my pocket from time to time.
I own three small properties that have been in the family for about twenty years. My grandparents had three sons and somehow, I was the only grandchild out of that mess so things have funneled down to me as the previous generations have passed or transferred assets to me. The wording in the bylaws states that if the properties are sold, the proceeds have to go to other income generating investments. The theory is that future generations get the passive income as well and that one person can’t blow it all.
Again, not going to make me rich but it’s nice passive income. I’m sure some who are more aggressive when it comes to wheeling and dealing real estate would be leveraging up these assets and trying to buy more but I’m simply not one of those guys. I make a very comfortable living with my full time gig (that also pays for my family insurance, matches 25% of my 410 (k) contributions, and gives me 6 weeks vacation) and that’s where my real passion lies.
My dad and two uncles had a total of about 7 marriages that I know about. May have been others as well that I don’t know about. I wouldn’t be surprised if siblings or cousins came out of the woodworks but things are locked down very tightly when it comes to the assets of the various estates. They were all very paranoid which means they over-protected everything.
Poop…I work for a triple net lease REIT. It is a great business model. Collect the rent for 20 years, no property management responsibilities and rent increases on most leases. I love that business…very scalable.
fixed that for you. 18% load from day one so the investors make their first dollar 3 years out, plus management fees for cashing the rent check. unbelievable.
Turd you are referring to the non traded private triple net REITs that are sold through Ameriprise with loads etc. that basically rip off their shareholders. I agree with you! I am talking about the the publicly traded triple net REITs with in house management teams. That is a great business that creates real value for shareholders.