Real estate asset sales to hit $34bn(2)

The volume of real estate sales has increased this year as corporates struggle to access traditional sources of capital, according to a property report. Real estate services firm Jones Lang LaSalle says in its latest Global Real Estate Capital Report that 'sale and leaseback' transactions should reach $34bn by the end of the year.

Companies are increasingly turning to their operating real estate assets to generate liquidity amid the global economic downturn, property services firm Jones Lang LaSalle has found.

Though property values are falling around the world, corporates are still opting to sell assets often in “sale and leaseback” transactions, meaning that the company pays the new owner of the property rent for the privilege of continuing to occupy it.

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