Sale and leaseback retail deals soar in Europe

Sale-and-leaseback deals across Europe have accounted for 11.1% of total retail investment volumes during the first three quarters of the year – the highest level since 2007. Volumes are 30% above the average across the past 10 Q1-Q3 periods, according to research from Savills. Sale-and-leasebacks amounted to around €1.7bn (£1.5bn) in the year to the end of Q3. Of these, 39% were concentrated in the UK, followed by France (34%), Spain (13%) and Poland (8%). Supermarkets have led the way on these strategies. Examples include the sale-and-leaseback of a £429m portfolio of Sainsbury’s stores in the UK, bought by Realty