Cbre has completed the acquisition of Tenet Equity, a U.S.-based commercial real estate firm focused on sale-leaseback transactions, for a total of $1.6 billion (approximately €1.38 billion). Founded in 2021 by Cerberus Capital Management in collaboration with executives Nick Eggert and Andrew Gallagher, Tenet has since assembled a portfolio exceeding 200 properties, covering 1.11 million square meters across 39 U.S. states.
The company operates through sale-leaseback agreements, acquiring corporate and industrial buildings before leasing them back to original owners under long-term triple-net lease terms. This model ensures tenants cover property-related costs while maintaining operational control. Cerberus, which originally incubated Tenet, emphasized the firm’s role in offering financing alternatives to growing companies. Tom Wagner, head of North American real estate at Cerberus, described Tenet as a dependable provider of triple-net lease financing for middle-market businesses in the U.S.
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He noted the firm’s rapid expansion under Cerberus ownership, delivering value to both investors and tenants. The acquisition reflects a growing trend in the sector, where corporate credit and real estate finance are increasingly intertwined. Bob Davenport, Cerberus’s global head of corporate credit, highlighted that Tenet’s approach successfully bridges these two areas. “The collaboration between our credit and real estate teams was essential in building Tenet,” he stated. “Its scale and access to high-grade capital position it for sustained growth.”
For Tenet’s leadership, the sale to Cbre serves as both recognition of its strategy and a foundation for future opportunities. Chris Volk, Tenet’s board chair, praised Cerberus as a strong financial partner, citing its capital, industry expertise, and deep understanding of triple-net leasing.
Nick Eggert, co-founder and CEO, agreed, stating that Cerberus’s support had enabled long-term success. “Our size, diversification, and access to investment-grade capital put us in a solid position moving forward,” he said. The deal was facilitated by Evercore as exclusive financial advisor and Kirkland & Ellis LLP as legal counsel for Cerberus. While Tenet’s sale-leaseback model has thrived amid market conditions where businesses seek flexible financing, the broader commercial real estate sector faces pressures from high interest rates and evolving tenant needs.
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In Spain, Cbre Investment Management already manages a mix of commercial, logistics, and residential assets, but its U.S. operations will now include a stronger emphasis on industrial and corporate properties. The Tenet deal does not affect Cbre’s Spanish portfolio, though it reinforces the firm’s global approach to real estate investment, where specialized strategies can excel in targeted segments.
The transaction is set to finalize in the coming months, subject to regulatory approvals. Details on Tenet’s operations under Cbre remain undisclosed, though the existing management team is expected to stay in place. Cerberus’s direct ownership of Tenet will end, though its executives retain a stake in the business. Triple-net leases have long provided steady income for investors, particularly in secondary markets where demand remains consistent. Whether this stability extends to broader growth for Cbre’s new acquisition will hinge on economic conditions and Tenet’s ability to adjust to tighter financing terms. The firm’s history suggests it has handled past economic cycles effectively, but the next phase will determine if its model can expand beyond its current reach.