Why Business Owners Are Turning to Sale Leasebacks

For many business owners, a significant portion of their net worth is tied up in the real estate they operate from. While owning your facility can provide stability, it can also trap capital that could otherwise be used to grow the business. A sale leaseback is a strategic solution that allows an owner to sell their real estate to an investor and lease it back on a long-term basis. The business continues operating from the same location with no disruption, while the owner unlocks equity that was previously illiquid. The proceeds from a sale leaseback can be used in a variety of ways, including funding expansion, acquiring competitors, investing in equipment, paying down debt, or strengthening the balance sheet. At the same time, the lease structure provides long-term occupancy certainty, predictable rent increases, and operational control. In today’s capital markets, sale leasebacks are increasingly being used as a flexible financing alternative, particularly for owner-operators who want to redeploy capital into their core business rather than have it tied up in real estate. If you or someone you know owns their operating real estate and would like to explore whether a sale leaseback could be a fit, I’m always happy to review opportunities and provide insight on value, structure, and market demand. redacted ###-###-####