Sale-Leaseback Volume Ticks Up 8.3 Percent in 2Q to $5.2 billion, Despite ‘Risk-Off’ Attitudes
9/12/23 – CRE Cited SLB Capital Advisors in Q2’23 Sale Leaseback Market Review
- “ . . . Despite spikes in interest rates and investors generally adopting a “risk-off” attitude, the “market remains open,” explained Scott Merkle, Managing Partner of the New York company, which advises companies on how to extract value from their real estate assets.”
- Added Dave Rosenberg, principal, who along with Merkle had spoken on a recent call reviewing the quarter’s activity: “On a relative cost of capital basis, sale-leasebacks are more attractive than in 2021.”While property capitalization rates have increased, meaning the prices investors are willing to pay for the same cashflows have declined, “other forms of capital have become even more expensive.”
- Read the full article here.