single tenant triple N, is somewhat high risk....
if you have a national longer term tenant, like CVS, Walgreen, it is the best deal, but expect cap at 5-6%.
if you have a smaller prvate tenant, once you lost him, your property can sit there for many years before it can find another one.
the cap rate reflects it all, higher the cap rate, higher the risk, this applies whether the property is commerical or residential.
also, cost of financing a commercial deal is much higher, expect 2%-4% upfront cost on commerical loans.
