Among the most attractive investment options that you can consider today is purchasing a Best Buy Stores franchise or a triple net lease (NNN) property. This way, you do not have to build your business from scratch and just expect to see stable returns for long periods of time with a creditworthy tenant.
But like any other type of real estate investment, you still need to do some due diligence to ensure that you are buying a property that truly suits your goals.
This article will outline everything you need to know to come up with a well-informed decision.
About Best Buy Stores
Best Buy is a leading retailer of technology products and services, with over $40 billion in revenue in 2016. The company operates more than 1,200 stores across the US and employs over 100,000 people.
The company has been around for over 35 years and is considered a reliable and creditworthy tenant. They have strong ties to their local communities and are committed to providing customers with quality products and services.
If you’re looking for investments properties for sale that will provide consistent returns, Best Buy stores are definitely a great option for you.
What Are NNN Properties
Before you start searching for a Best Buy store to invest in, it is important to first get a full understanding of what a triple net lease (NNN) is. Basically, an NNN property is one in which the tenant, in this case, Best Buy Stores, is responsible for all of the property’s operating expenses. These include things like property taxes, insurance, and maintenance.
This type of lease arrangement is very popular among investors because it eliminates a lot of the hassle and uncertainty that comes with being a landlord. With an NNN lease, you know exactly how much money you will be receiving each month, making budgeting and forecasting much easier.
The only downside to owning an NNN property is that there is less room for upside growth potential. However, given that Best Buy triple net leases have a strong financial position and long-term track record, this should not be a major concern for most investors.
Best Buy Franchise Requirements
Like any franchise business, Best Buy would assess your net worth to see if you are eligible to become a franchisee. In general, the company looks for individuals who have a minimum net worth of $750,000 and liquid assets of at least $350,000.
In addition to your financial qualifications, you will also need to have some retail or customer service experience. Best Buy is not looking for investors who are simply looking to park their money—they want franchisees who are passionate about the brand and are willing to help grow the business.
If you meet these requirements and are interested in purchasing a Best Buy Stores franchise, it’s important to start by visiting the company’s website and researching the different opportunities that are available.
Best Buy Franchise Cost
The initial investment to purchase NNN Best Buy stores could range from $500,000 to $750,000. This includes the cost of acquiring and remodeling an existing store, as well as the initial franchise fee.
Keep in mind that this is just an estimate, and costs can vary depending on the size and location of the store you choose to buy into. To know the actual prices, you should research them when assessing potential properties.
Important Factors to Look Into When Buying Best Buy NNN Properties
Now that you have a general idea of what Best Buy and an NNN property are, it’s time to start thinking about specific properties. When looking at stores for sale, there are a few things you will want to keep in mind.