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Sale and leaseback.
Release capital from your own property and stay on site. We structure sale and leaseback so that companies and investors benefit over the long term.
Sale and leaseback
Many companies have held valuable property for decades whose capital would work harder in the core business: for growth, investment, succession or a stronger balance sheet. In a sale and leaseback the company sells the property to an investor and leases it back long-term.
Operations continue unchanged. Success depends on a market rent, a suitable term and clear rules on maintenance, expansion and renewal. We approach suitable investors discreetly and run the process through to closing.
What a sale and leaseback delivers
Liquidity
Tied-up capital is released for growth, investment or debt reduction.
Site security
Operations stay on site, secured long-term by the lease.
Focus on the core business
Capital and management concentrate on operations.
Balance sheet structure
The balance sheet structure may change. The effect depends on accounting rules and the contract.
Predictability
Fixed rent and term create calculable costs.
Flexibility
Options for renewal, expansion or partial surrender can be agreed.
AI-generatedSale and leaseback
Release capital. Keep the site.
What investors look for
InvestmentWALT
Term and tenant covenant determine price and financeability.
Re-lettability
How easily the property could be re-let after the tenant leaves.
Indexed rent
Market rent with transparent indexation.
Triple net lease
Clear allocation of maintenance, service charges and insurance.
Due diligence
Condition, permits, fire safety, contamination and ESG data.
Grid connection
Location quality, connectivity and future-proof building services.
Contractual levers
| Lever | Structure | Effect |
|---|---|---|
| Term | Often long-term, with renewal options | A longer term generally raises the price |
| Rent | Market level or deliberately adjusted | Higher rent raises the price but burdens the business |
| Indexation | Index, stepped or combined | Determines cost development over the term |
| Maintenance | Net or triple net, roof and structure defined | Allocates cost and capex risks |
| Expansion | Rights to extensions or additional space | Secures growth on site |
| Buyback and options | Pre-emption or buyback rights, partial surrender | Adds flexibility, may reduce the price |
Sale and leaseback compared with bank financing
| Criterion | Sale and leaseback | Bank financing |
|---|---|---|
| Capital inflow | Up to the sale price of the property | Limited by loan-to-value |
| Ownership | Passes to the investor | Stays with the company |
| Running costs | Rent | Interest and repayment |
| Value growth | With the investor | With the company |
| Security | No mortgage over company property required | Mortgage and covenants |
Tax and accounting effects depend on the individual case and should be agreed with tax advisers and auditors.
How a sale and leaseback works
Analysis
Goals, property, lettability and capital needs.
Structuring
Set rent, term, indexation and options.
Preparation
Data room, valuations and investor profile.
Approach
Discreet approach to selected investors.
Negotiation
Compare offers, negotiate purchase and lease agreements.
Closing
Notarisation, payment of the price, lease start.
Frequently asked questions
Which properties suit a sale and leaseback?
How is the price determined?
Do I lose control of the site?
How long does a sale and leaseback take?
How discreet is the process?
Release capital. Keep the site.
We review in confidence whether and how a sale and leaseback can be structured for your property.