Sale Leasebacks

Sale Leasebacks

Our team of professionals work with clients to determine the viability of liquidating assets for any number of properties within your real estate portfolio. One way we accomplish this is through a sale leaseback. A real estate sale leaseback is a transaction where a company sells one or more real estate asset(s) to an investor, then leases it back from that investor for a determined period of time. This type of transaction liquidates assets without interfering with the operations at the facility and helps corporations accomplish a number of corporate goals. Companies looking to cash out or monetize their real estate assets in order to grow their business, pay down debt, or simply to free up capital should look to our team of professionals for marketing expertise and to find the right group of buyers for your assets.

•  Single asset sale/leasebacks
•  Portfolio sale/leasebacks
•  Build-to-suit transactions
•  Financial analysis
•  Network of investors and cash buyers available

Corporations can realize market value for their real estate and reallocate that cash as needed. Investors like sale leasebacks for a number of reasons including solid cash flow, greater returns (ROI) than other investment vehicles, and limited operational involvement. Companies maintain operational control of the facilities with long term triple net leases in place. We also provide acquisition and disposition services to third-party owners for income producing properties.

 

Sale Leasebacks – Right For Your Business?

As 2012 gets rolling and companies continue to look for something to give them hope, we should be looking at unique and creative ways to find that boost they need. In fact, on the cover of December’s CFO magazine, the headline is “Looking for Lift” with the subheadline “CFO’s in Banking, Housing and Manufacturing Chart New Strategies for 2012.”  One underutilized strategy where a company that owns commercial property can find that boost they are looking for is through a sale leaseback transaction.

A sale leaseback is a financial transaction that allows a property owner to sell their property and lease it back without affecting their day-to-day operations. Companies use this strategy as a way to quickly raise capital and accomplish a number of other corporate goals, including:

- Paying down debt

- Funding growth

- Acquiring other businesses

- Reinvesting the capital into current operations

Whether your company owns a single property or a portfolio of properties, there are investors actively looking to place their money and acquire property even in these uncertain times. In return for their cash now, they will look for long term leases to be executed as part of the transaction. Of course, the financial strength of the seller and the condition of the property (ies) determines the terms of the lease. Professional real estate firms that have relationships with the investment community can help a corporation determine the value of the asset(s) in question, the terms of the potential lease, manage the due diligence process and help facilitate the completion of the transaction. While there are many investment groups currently looking to place money and purchase commercial property, having the right relationships with groups that purchase your product type and focus on your particular size of transaction is critical to ensuring a successful sale leaseback.

Worldwide Commerical, PLLC is a real estate brokerage firm.