Contracts

In a sale-leaseback transaction, the original property owner:

ABuys the property back at a discounted price
BSells the property and immediately leases it back from the new owner✓ Correct
CExchanges the property for another property
DSells a partial interest and retains a leasehold

Explanation

In a sale-leaseback, the owner sells the property to an investor and simultaneously signs a long-term lease to continue occupying it. This generates cash for the seller while allowing continued use of the property.

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