What You Should Know About Sales -Investment Property Leasebacks
With a sale-leaseback transaction, owners of real property, like real estate, can free up the balance sheet capital they've put into an asset without losing the ability to use it. The seller can use the money for other things, while the buyer gets an asset that brings in money immediately. Keep reading this blog to learn everything you need about Commercial sale leaseback investment property . What Exactly Is A Sale-Leaseback Investment Property? S ale-leaseback is a specific type of financial instrument in which the owner of an asset (the seller/future lessee) sells the asset to an investor (the future lessor). Then, the seller rents the asset back to the buyer. The buyer is the landlord, and the seller is the tenant. The benefit to the seller is that they can get money without having to move or stop running their business. Also, they are selling the asset at the current market price, probably more than what they paid for it in the first place. The investor gets a return on thei...