sale and leaseback


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Related to sale and leaseback: Sale and Leaseback Agreement

Sale-Leaseback

The sale of a property in which the seller immediately begins to rent the property from the buyer. That is, the seller no longer has ownership of the property, but maintains residence and/or use for the duration of the rental agreement. A sale-leaseback gives the seller profit from the sale while the buyer is guaranteed income from the rental agreement in the medium or long-term. Sometimes, a sale-leaseback occurs in order to grant the seller access to capital to make improvement on the property; for example, the seller may use the proceeds from the sale to build a factory. A form of sale-leaseback, known as sukuk al-ijara, is a common structure for sukuk, or the equivalent of a bond, in Islamic finance. Sale-leaseback is also called simply leaseback.

sale and leaseback

The sale of a fixed asset that is then leased by the former owner from the new owner. A sale and leaseback permits a firm to withdraw its equity in an asset without giving up use of the asset. Also called leaseback.

sale and leaseback

see LEASEBACK.

sale and leaseback

see LEASEBACK.
References in periodicals archive ?
It is simple to enter into a sale and leaseback agreement because you know the specification of the vehicles and the current values can be easily calculated.
LEASE OR OWN?: Sale and leaseback may not be such a good idea
The investment market is becoming more sophisticated, and structured sale and leaseback opportunities are becoming more popular with both businesses looking to release poor performing capital for reinvestment, and investors with an appetite for investment opportunities.
If the real property has been in service for many years, a sale and leaseback could generate a much larger rental expense deduction for the corporation than its current depreciation deduction.
Newmark Security said the sale and leaseback arrangements are expected to be completed in the coming weeks.
As part of this, Whitbread has exchanged agreements with Legal and General for the sale and leaseback of its 389 room Hub by Premier Inn hotel in Kings Cross, due to open in 2017, in exchange for a 25 year lease agreement.
The newly signed transaction is among the first sale and leaseback deals that the Omani carrier has agreed for.
"Oman Air is keen to pursue different options to finance new aircraft joining our fast-growing fleet, and one of those options is sale and leaseback. We are pleased to have mandated Standard Chartered for the sale and leaseback of three B737-800s from 2014-15.
The sale and leaseback has long been used by companies to extract money from their property in order to invest in their core business.
HSBC Bank USA NA, a wholly owned subsidiary of HSBC Holdings Plc (HBC) (LSE: HSBA) (NYSE: HBC) (HKG: 0005), has said that it has agreed the sale and leaseback of its headquarters building at 452 Fifth Avenue in New York for USD330m in cash.
As a result, businesses are now increasingly turning to sale and leaseback solutions to unlock value in their occupational property as a means to raise finance.
NORDIC BUSINESS REPORT-7 November 2007-Deep Sea Supply Plc signs new sale and leaseback agreement with Ship Finance International Ltd(C)1994-2007 M2 COMMUNICATIONS LTD http://www.m2.com