A sale-leaseback transaction involves selling the land associated with a location or portfolio to an investor,
and subsequently leasing the property or properties back from them. The investor sees a return on their investment
from the rental revenue streams, and the operator continues to profit from the operation of the business.
The operator also maintains the right to sell the business operation. These transactions are attractive because they
free up the capital that is invested in the land for a variety of uses.
Potential uses for a sale-leaseback transaction:
Financing further development or acquisitions
Paying down debt
Investing capital in current operations?
Potential benefits of a sale-leaseback transaction:
Greater cash flow and predictability
Eliminate the liability of real estate ownership
Result in off-balance sheet financing as an operating lease
Mergers and Acquisitions
The skills and experience that made NRC the national leader in petroleum divestitures are also critical to
the analysis and completion of mergers and acquisitions. This translates into increased value for our clients,
specifically in industries where growth is most easily realized through acquisitions.
To speak to an NRC Business Development expert call us at 800.747.3342
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