Sale and leaseback comes to the fore as cost of capital rises

It is an exciting time to be a sale and leaseback specialist said WP Carey’s head of European investments, managing director Christopher Mertlitz.

“We have seen such a tremendous change in the cost of capital over the last 12 to 18 months and more and more companies are realising that they can use sale and leaseback as an efficient tool to raise capital,” he explained in an interview with Real Asset Media.

“Whereas only a few months ago we were competing with a very different pool of capital, all of a sudden, as an all-equity buyer, we really provide a very helpful proposition to corporates to release capital that they have tied up in their real estate.”

It is an exciting time for WP Carey anyway as it is 50 years’ old as a company. “We’re also celebrating 25 years as a public listed company and 25 years of investing in Europe,” Mertlitz added.

Please click on the video above to watch the full interview or listen to the podcast below.