The start of a new year is when companies step back and reassess. Budgets are finalized, growth targets are set, and leadership teams take a hard look at how capital is allocated. For many businesses, one of the most under evaluated assets during this process is owned real estate.
As companies plan for 2026, more CFOs are asking a fundamental question: does owning our real estate still make sense, or is there a better way to deploy that capital?
Owned facilities often represent a significant portion of a company’s balance sheet. While ownership can provide stability, it also ties up capital that could otherwise be used to fund growth, reduce risk, or strengthen liquidity.
In a market where flexibility matters, holding large amounts of capital in non-core assets can limit a company’s ability to respond to opportunities or challenges. This is why many organizations are rethinking whether their real estate should remain a fixed asset or become a source of strategic liquidity.
A sale leaseback allows a company to sell its real estate to a long-term investor and lease it back under a structured agreement. The business remains in full operational control while unlocking the value of the property in the form of cash.
For CFOs, this structure can serve as a financial reset at the start of the year. Instead of carrying an illiquid asset on the balance sheet, the company gains immediate liquidity that can be deployed where it creates the most value.
Proceeds from a sale leaseback are often used to pay down higher cost debt, invest in growth initiatives, support acquisitions, or strengthen working capital. At the same time, the company gains greater visibility into occupancy costs through a long term lease structure.
The most effective sale leasebacks are not reactive. They are planned as part of a broader capital strategy. As leadership teams define their priorities for 2026, real estate decisions should align with those objectives.
Key considerations include the importance of the facility to operations, expected growth or contraction, desired lease flexibility, and how capital will be redeployed after closing. When structured thoughtfully, a sale leaseback supports both operational continuity and financial agility.
January is about creating options. Companies that begin the year with strong liquidity and a flexible balance sheet are better positioned to pursue growth, navigate uncertainty, and make strategic decisions with confidence.
Rethinking owned real estate does not mean giving up control. In many cases, it means gaining freedom. By converting real estate into capital, businesses can start 2026 with a balance sheet designed to support long term goals rather than constrain them.
A new year is the natural time to challenge old assumptions. For many companies, owned real estate is no longer just a place of operations. It is a financial asset that, when unlocked, can power the next phase of growth.
As 2026 planning begins, sale leasebacks deserve a place in the conversation. Reach out to the Ascension team for a complimentary evaluation.