Advantages of Sale-Leaseback Structure

Wineries and vineyards are highly capital-intensive. A VinREIT sale leaseback combines debt and equity in a one-stop financing solution. Consequently, the blended cost of capital is a competitive, attractive, convenient and reasonably-priced financing solution.
Because no equity is required, VinREIT financing is a one-stop financing solution. Owners can now acquire and control additional needed property with no additional investment.

CompareThe Alternatives	VinREIT Solution	Bank Financing	Sale of Real Estate
Investment and Operating Features
Monetize real estate equity	Yes	Partial	Yes
Higher return on business equity	Yes	No	Yes
Maintain site control	Yes	Yes	No
Enhance future sale of business	Yes	No	No
Potential cash flow source	Yes	No	No
Diversify investments	Yes	No	Yes
Financing Features
Personal guarantee	No	Yes	No
Reduce interest rate risk	Yes	No	No
Low origination costs	Yes	No	No
Maximize expansion capital	Yes	No	No
Tax and Estate Planning Features
Deductible payments, including land	Yes	No	N/A
Tax deferral available	Yes	No	No
Estate planning options	Yes	No	No

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Unlike conventional debt financing, the VinREIT solution has:

Services

Advantages of Sale-Leaseback Structure