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Investments and Services for Business Owners

The revived investor interest in retail investment represents a sea change for a sector that has struggled to adapt to the rise of e-commerce since before the pandemic.

Understanding Retail Investment In Real Estate

Real Estate BD owns, manages, or leases real estate for the purpose of retail investments. The majority of our income is generated by renting space to tenants. We manage the following retail REITs: Each type of retail REIT carries a different level of risk. However, in a broader sense, each has some similarities in terms of benefits and risks.

Big Box Stores
Shopping Malls
Service Centers
Outlet Centers
Drug Stores
Boutiques
Grocery
Shopping Centers
Home Improvement Retailers

Advantages Of Retail Investment With Real Estate BD

1. Lease Structure:

Long-term tenants are drawn to freestanding retail investments. We have a triple net (NNN) leases that are ten or even twenty years long. Tenants are liable for their monthly rent as well as operating, insurance, tax, and maintenance costs. These tenants are typically well-established businesses with consistent cash flow. Even with periodic rent increases, they are unlikely to default on their rent.

2. Anchor Tenants:

Shopping centers, outlet centers, and grocery stores are great places for retail investment. These are the main businesses that generate the most revenue and draw customers to the area. As a result, other businesses will want to be in this prime location as well, making vacancies unlikely.

3. Necessity:

Brick and mortar stores will always be needed, whether they provide needed services, discounted goods, food, or specialized products. Even as online shopping becomes more popular, people still prefer to shop in person and will continue to do so.

4. Income:

Because Real Estate BD pays out a high percentage of its cash flow as dividends, retail investment shares holders benefit from a steady stream of income generated by the rents collected on the properties owned. In comparison to other retail investment types such as stocks or mutual funds, We have high dividends that benefit our investors.

5. Diversification:

Investors own a fraction of all the properties in our retail investment portfolio through a single REIT share. This ensures a high level of diversification, allowing strong properties to compensate for underperforming assets. Real estate investment trusts (REITs) can aid with portfolio diversification.

6. Tax Benefits:

Real Estate BD’s investors receive tax benefits from the interest and depreciation taken on each property in our portfolio, in addition to a high dividend payout. These advantages reduce an investor’s taxable income and overall taxes paid. Due to the fact that REITs do not pay corporate taxes.

How We Assess Your Retail Investment Opportunity

1. Real Estate BD offers high dividend yields while also providing moderate long-term capital appreciation. We look for companies that have a track record.
2. We trade on stock exchanges, as opposed to traditional retail investment. You get the diversification that real estate offers without being locked in for the haul.
3. To evaluate a retail investment, we look at its funds from operations (FFOs) rather than its payout ratio (which dividend investors use).
4. This is defined as net income minus any property sales in a given year and depreciation. We divide the dividend per share by the FFO per share.
5. Strong leadership makes a difference. We look for companies that have been around for a while or that have an experienced management team.
6. Quality is important. We make retail investments in real estate investment trusts (REITs) with excellent properties and tenants.
7. We advise our clients to purchase a real estate mutual fund or ETF and leave the research and purchasing to the professionals.

Enjoy Our Investment Opportunities At One Place

As early as 1960, the federal government allowed investors to invest in large-scale commercial real estate projects. However, retail investments have only recently begun to embrace REITs. Reasons for this include low-interest rates, which forced investors to look beyond bonds for income-producing retail investments, as well as the introduction of real estate-focused exchange-traded and mutual funds.

Dividend-Based Income

Competitive Market Performance

Transparency

Liquidity

Inflation Protection

Portfolio Diversification

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