High-Leveraged Long-Term NNN Debt

George Smith Partners identified a national capital provider funding long-term fixed rate debt on triple net leased assets across the country. Despite Walgreens shuttering 200 US stores by 2017, high-leveraged non-recourse financing is still being provided on the net-leased pharmacy chain. Terms are 15 to 25 years fully amortizing and sized to a 1.01x debt coverage ratio based on the remaining lease term. Pricing for Walgreens ranges from 4% to 4.25% fixed. Rates and terms for other net-leased assets vary based on credit, location and tenant credit.