1. Credit Risk. The length and stability of the property’s income stream is what drives value. A property leased to Apple for 30 years will command a much higher price than a multi-tenant office building with similar rents. However, keep in mind that even the most creditworthy tenants can go bankrupt, as history has shown us time and time again. Remember the 90s, when landlords were happy to have Sears and J.C. Penney anchor their malls?
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