What is a
Sale Leaseback?
A Real estate sale leaseback is when a business sells its
commercial property for current market value and then leases it back typically
using a Net Lease. The seller retains the use of their real estate and frees up
capital which can be used to invest back into the business. Real estate sale
leasebacks are popular because they generate capital for immediate use within
the business.
A long term Net Lease on a sale leaseback create a predictable
rent that is deductible for federal and state income tax purposes Some
businesses do sale and leaseback transactions for equipment as well. Types Net
Leases
NNN Properties are generally categorized as either true triple net
(NNN) or double net (NN). The distinction between NNN and NN leases is an
important one as can be seen in the following definitions.
J. Michael Sigrist
Compass Investment Properties, Inc.
861 W. Morse Blvd. #250
Winter Park, Fl. 32789
Office 407-647-5111
Fax 407-629-9220
Cell 407-953-2605
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