What are effect of leases on the gearing of an entity?

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  How do you obtain funding for a NNN Lease on an investment grade tennat?

  BLP Financial can monetize triple net bondable leases which are

  also known as hell or high water leases. We can lend against gross

  lease amount for either acquisition or development projects and in

  some cases can even finance 100%. What's takes as collateral is an

  assignment of the lease payment stream from the investment grade

  entity which leaves the property free and clear of any liens which

  in most cases can be used as a sweetener for the investment grade

  entity to sign off on this type of lease.

Related Q&A:

What are effect of leases on the gearing of an entity?

Well, leases can have a significant impact on the gearing of an entity. You know, if a company enters into a lease for a long period, it can be treated like a liability. This can increase the debt component in the gearing ratio. Oh, and it might make the entity appear more leveraged than it actually is. For example, if a lot of assets are leased instead of owned outright, it could make the financial situation look worse in terms of gearing. So, it's something that really needs to be carefully considered and analyzed.