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Reasons to Invest in a Sale Leaseback |
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If you are looking to own property, collect rent and reduce your management responsibilities while your tenant shares expenses and maintenance responsibilities, then a sale leaseback might be an investment option to consider. Here are just a few other benefits and reasons why investors should consider sale-leasebacks: - Long-term lease with a single tenant, which has a vested interest in the property.
- More consistent cash flow stream with a known tenant on long term lease.
- Inflationary hedges. Real estate, historically, has performed better than other forms of fixed assets in regards to outpacing inflation.
- Less time required in management responsibilities than other forms of real estate, particularly multi-tenant properties. Leases can be structured so that the landlord retain no management responsibilities.
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