May 27, 2025 – SLB Capital Advisors cited in CRE review of Q1’25 sale leaseback activity
The volume of activity in the sale-leaseback market more than doubled during the first quarter from a year ago to $3.82 billion, according to SLB Capital Advisors.
The sale-leaseback market is heavily influenced by mergers and acquisitions, which increased by 23.2% in North America in the first quarter from a year earlier, to $532.6 billion of deals.
Sale-leaseback transactions are an effective capital-raising tool, SLB noted. While cap rates for net-leased properties have increased by about 150 basis points since 2022—to a range of 6.75% to 8.5%—borrowing costs for middle-market companies have increased at a faster clip.
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