Has anyone bought a private school before? I am looking into buying a Montessori school. I am attracted to it by stability of cash flows, but concerned with lower growth opportunities. Also curious how folks finance real estate in the context of private school purchase.
Thank you
private schools

by a searcher from University of Virginia-Darden - Darden School of Business
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With NNN lease, the lease payments would be almost equal to the mortgage cost with less of an upside and significantly eat into your cash flow. With a mortgage, you need a commercial lending downpayment of at least 20% putting pressure on the equity check and then still, there is no cash flow from that piece of the price that you pay.
If you compare other businesses that can be operated out of an industrial park via a lease or if the RE is a small component of the purchase price, you are buying cash flow with each dollar of equity. So my takeaway is to maximize cash flow per $ of equity. Thank you, all!