Re:McDonald's is considering rent deferrals for franchisees
by bequanna on Tuesday March 17, 2020 @03:52PM
(#22609518)
Since most commercial properties are leveraged, this would definitely be an issue.
Theoretical ‘capital gains’ don’t mean much when you have no income but still have mortgage, taxes, insurance and utilities.
In Wellington NZ, a 3 bed house is almost NZD700k on average, having risen almost 15% in the past year. That property might earn a bit less than NZD3k/m. Capital gains have been outstripping income (rent) for property here for some time. Many investors have the luxury of not even bothering with the hassle of tenants for this reason. A 3-6 month rent holiday would not be an issue for many.