How do lease back sales work and how do I find out about who is offering them?

In Buying Property - Asked by Anne S. - Feb 15, 2010
Report Abuse
Answer this Question

Answer(s)

Rosalind N.
Broker/Agent
Warwick, RI

Hello Anne S.
We do Sale /Leaseback and its a great way to free up cash for your business. The key word here is "Equity". An appraisal of your facility will have to show that there is enough available equity in the property The acquiring investor will also want to assure that there is adequate cash-flow in your company to enable you to rent back the property at market rates. The aquirer acts like a bank.

Feb 15, 2010
Report Abuse
Karl T.
Owner/Investor
jennings, MO

Check Companies that are considering refinancing the purpose is to free up cash flow after completing your due diligence confirm with the company you would like for the company to fill out an affidavit concernng there schedule C and D it shows the company tax return it would be suggestive to go back at least 5yrs it not no less than 3yrs if the company refuses to cooperate move on to the next deal remember (CASH) AND (EQUITY) is what you will need to support the acqusition

Feb 16, 2010
Report Abuse
R P.
Property/Asset Manager
Silver Spring, MD

The properties are usually occupied by a single tenant (usually the owner of the building). Search for single tenant buildings for sale.

Feb 23, 2010
Report Abuse
Gregory G.
Broker/Agent
San Francisco, CA

We have a few... When an owner/operator sells the property and leases it back from the buyer.
Gregory Garver - Commercial Real Estate Broker
Broker License# 01716531
(415)968-6065
gregory.garver@gmail.com

Feb 26, 2010
Report Abuse

Welcome to Answers

LoopNet Answers is where the commercial real estate community shares what they know to help each other out. And it's all for free.

Ask a question to get advice from brokers, investors, professionals and local experts.

Answer questions to raise your visibility as a trusted advisor and build new relationships.

Ask a Question

Post Question