Higher Interest Rates Fuel Sale-Leaseback Activity
February 21, 2023 – SLB Capital Advisors cited by Wealth Management in review of Net Lease space
- SLB Capital Advisors’ Managing Partner Scott Merkle cited by Wealth Management in review of net lease market.
- “The big story in the sale-leaseback space in 2023 is that, on a relative cost of capital basis, sale-leasebacks are even more attractive now than they were 12 months ago, even though cap rates have risen,” said SLB Capital Advisors managing partner Scott Merkle.
- “On a relative basis, even though cap rates have expanded from the record lows of a year ago, the pricing on sale-leasebacks is still that much more attractive compared to other forms of raising capital right now,” said Merkle.
- “[Buyers] are being selective, but they are being appropriately aggressive when they want to win an opportunity that they feel is a good fit for their investment platform,” said Merkle.
- Read the full article here.