In the context of real estate transactions, what does a seller gain from a leaseback arrangement?

In a leaseback arrangement, the seller sells the property but continues to occupy it as a tenant, which grants them the ability to retain use of the property while also achieving liquidity from the sale. This arrangement can be particularly advantageous for sellers who need immediate cash but still want to run their operations or maintain their lifestyle in the property they just sold.

Through this setup, the seller can convert their real estate into capital without losing access to the space, creating a win-win situation where they can continue to use the property for their purposes while benefiting from the financial gains of selling it. The structured lease typically allows the seller to set predictable terms regarding rent and duration, providing stability and ease of planning for their continued use of the property.