Sale Leasebacks: A Capital Strategy for Owner Occupied Real Estate

When to Monetize Your Real Estate Without Disrupting Your Business

For many business owners, real estate is one of the most valuable assets on the balance sheet, yet it is often under leveraged. A sale leaseback allows you to unlock the equity in your property without giving up operational control of your business. It is an effective way to improve cash flow, reduce debt, and reinvest in growth while continuing to operate from the same location under a long term lease.

What Is a Sale Leaseback?

In a sale leaseback transaction, a business owner sells a commercial property to an investor and simultaneously leases it back under a long term lease. Day to day operations continue without disruption, but the real estate equity is converted into liquid capital that can be redeployed into the business or other strategic priorities.

Why Consider a Sale Leaseback?

Access Capital Without Borrowing
A sale leaseback allows you to free up capital that is otherwise tied up in real estate. Those funds can be used for expansion, equipment purchases, acquisitions, or debt reduction without taking on new loans.

Stay in Control
You remain in the same location and operate under a long term lease with clearly defined terms and predictable occupancy costs.

Improve Financials
By shifting from real estate ownership to an asset light strategy, many businesses strengthen their balance sheet and improve return on invested capital.

Maximize Value
Properties sold with well structured long term leases often command higher values because investors underwrite the income stream created by the lease.

Who Can Benefit?

Private business owners seeking capital for growth, equipment, or debt reduction often benefit from sale leaseback transactions. Corporate tenants looking to reduce real estate exposure and improve capital efficiency may also find this structure attractive. Owner operators planning succession or retirement can unlock the value of their real estate without selling the operating business.

What Makes a Strong Sale Leaseback Deal?

Strong sale leaseback transactions typically include a creditworthy tenant with a proven operating history. Investors favor long term lease commitments, commonly ranging from ten to twenty years, with structured rent increases over time. Properties located in desirable or infill markets tend to attract stronger pricing and broader investor interest.

The stronger the tenant profile and lease structure, the more valuable the property becomes to potential buyers.

How JLE Real Estate Helps

At JLE Real Estate, we help business owners structure sale leaseback transactions that align with both financial goals and operational needs.

Our services include providing a market valuation of the real estate under lease, structuring lease terms that balance tenant flexibility with investor demand, connecting sellers with qualified net lease buyers, and managing the process from pricing strategy through closing.

Whether the goal is growth, de risking, or converting equity into usable capital, we help you execute on your terms with clarity and confidence.