A sale and leaseback is a mechanism whereby industrial property owners can use their property assets to help finance their business needs. The property is sold to a professional property investor, and the previous owner leases the property back from the investor in a simultaneous transaction. Sale and leasebacks offer a good alternative to traditional bank financing, in that they allow approximately 30% more capital to be unlocked than traditional mortgaging of the property, and often, it is a much faster process than modern banking approvals allow. Bridging finance can be arranged to further speed up access to the capital. In many business cases, a far greater return than the capital invested in a property can be achieved when employed in an operating business. The client retains the occupation benefits from the usage of the property, with a fully tax-deductible rental expense to the business.
We have successfully structured numerous sale and leaseback transactions. We have a number of solid investor clients and the expertise to structure leaseback sales in a matter of days. All leasebacks are handled with strict confidentiality, and our expertise and experience in this area allows for a quick and seamless transaction. If you are seriously interested in selling your property and leasing it back, we can assist with a free property valuation and leaseback proposal.
