Long-Term, Triple-Net Arrangements

Our leases with tenants  are generally long-term triple-net lease arrangements, where the tenant  is responsible for taxes, maintenance, insurance and structural repairs,  in addition to base rent. Our lease terms are generally fifteen years  or more, with renewal options exercisable by the tenant, and with  contractual annual rent adjustments. By selling the property and  building to us, and then leasing it back from us, growers are able to  redeploy the proceeds into their company’s core operation and yield a  higher return than they would otherwise get from owning their own real  estate.