Sale & leaseback – release capital without relocating
Sell your commercial property to a professional real estate investor and remain as tenant on a long, stable lease. You release capital tied up in bricks, reduce your balance sheet and can invest in your core business – while staying in the property.
How does sale & leaseback work?
Your company sells the property to a real estate investor – typically a pension fund, family office or real estate fund. At the same time you enter a long, non-terminable lease (typically 10-20 years), so operations continue unchanged. The investor receives a stable return. Your company releases equity and swaps property ownership for predictable lease expense. We have experience with transactions across logistics, industrial property and retail.
The structure
How sale & leaseback works
Operating company sells the property to an investor and remains as tenant. 100% of property value released as equity-free capital.
Operating company retains full operational control. Investor gets stable cashflow with strong covenant.
When does sale & leaseback make sense?
When the property represents a significant portion of the balance sheet but is not core business. When you need capital for growth, acquisitions, refinancing or generational transition without taking on new debt. When you want to transfer real estate risk (value fluctuation, maintenance, market exposure) to a real estate investor. Get in touch for a confidential conversation – or see our broader capital and M&A mandates.
WACC comparison
Three capital structures for a DKK 100m property
Hover the value column to see WACC implications. The right choice depends on your strategic horizon and return target.
| Sale-leaseback | Bank loan (60% LTV) | Equity (no debt) | |
|---|---|---|---|
| Capital released | 100% | 60% | 0% |
| Cost of capital | 6-8% implicit | 4.5-6% interest | 12-15% opportunity |
| Locked equity | 0 | DKK 40m | DKK 100m |
| Balance sheet effect | IFRS 16: lease | Debt + asset | Asset on balance sheet |
| Refinancing risk | None | Yes (5-7 years) | None |
| Operational control | Full (as tenant) | Full | Full |
| Tax treatment | Full rent deduction | Interest deduction | Depreciation |
Indicative levels 2026. Actual terms depend on covenant, asset type, location and lease length.
Sale-leaseback releases 100% of property value as equity-free capital — vs. 60-70% LTV for traditional bank loans.
Strong investors
Discretion, experience and trusted relationships
Institutional real estate investors see sale & leaseback as attractive due to long cash-flow stability, strong tenant covenant and low operational risk. We have investors ready for cases from DKK 35m to 500m+.
Frequently asked questions about sale and leaseback
Start a confidential conversation
Call us directly – or send a short enquiry. All dialogues are non-binding and confidential.
+45 30 58 81 53 jens.olrik@gmail.com