Sale and lease back contract
A sale and lease back contract is an arrangement whereby the owner of an asset sells that asset to a finance company and immediately leases it back. A sale and lease back arrangement normally involves only two parties: the financing company and the customer. The seller of the asset and the lessee are one and the same person, both nominally and factually. The lessee is normally the original owner of the asset, who retains possession and use of the asset during the entire duration of the sale and leaseback arrangement. The subject of lease is usually a building, but can be any kind of property, movable or immovable.
Specified data on sale and lease back contracts were collected in the statistics on financial leasing until 2008. From 2009 onwards the sale and lease back activity is included in other financial leasing activity in the statistics.
Statistics using the definition
Validity of the definition
- Valid until (31 December 2078)