Building Sale & Leaseback
A Building Sale & Leaseback is an arrangement where the owner/seller of a plant, office building, or warehouse leases back their building from a third party purchaser. In this leaseback arrangement the lease terms are negotiated at the same time as the purchase terms. Upon the concurrent closing of the sale and the lease the owner/seller becomes the tenant and the purchaser becomes the landlord.
How do I Benefit from a Sale & Leaseback? The primary benefit is to Unlock Cash for other Business Purposes. Many companies have large amounts of equity tied up in building brick and mortar. For most company owners the return on investment or “ROI” for capital used for growing their business is much greater than for capital held passively in real estate. Two other ways building owners benefit from a Sale & Leaseback are Estate Planning and Pending Sale; both of which can be explained in further detail upon request and a closer examination of ownership circumstances.
A Sale & Leaseback typically results in Market Premium Value paid to building owners who then often pay Below Market Lease Rates as tenants. This dynamic works due to the holding period and other conditions of our institutional purchasers.
In summary a Building Sale & Leaseback through Inxcorp Business Advisors:
- Frees up Cash
- Has Premium Market Pricing
- Provides Economical Lease terms
- Closes Quickly
Please contact us to explore if a Building Sale & Leaseback may benefit you and your company and receive a purchase and lease terms quote.