How does Legacy Portfolio work for you?
Legacy Portfolio provides a swift and economic solution to the surplus liability leasehold problem. By implementing our proprietary methods, companies are able to transfer the liabilities from their balance sheet in a tax and profit neutral way, with minimal transaction costs and in a timely manner. Costly and protractive negotiations with landlords can be avoided, implementation of the credit guarantee is simple and effective, and our experience allows us to disarm "issues" as they arise.
Working with our specialist team of advisors, we will:
- evaluate a lease portfolio's liability profile and provide a reliable indication of the exit cost
- establish an exit structure from the liabilities
- implement an "AA" rated guarantee against all future liabilities
Surplus leasehold properties arise as a result of a strategic shift, operational business changes, changes in working practices, merger and acquisition activity, or over ambitious expansion plans not being realised. Where a company finds itself with a significant portfolio of surplus leasehold properties, it generally does not have the resources internally to successfully manage out these obligations in an optimum manner. Internal corporate real estate teams are generally focussed on the operational needs of the business rather than minimising liabilities of surplus properties.
Property costs are the second largest operating expense that companies have to meet. The total leasehold property commitment for the FTSE companies in the UK is estimated to be £140bn.
