{"iri":"http://lmss.sali.org/RmhQ3nKmTrKWy38SI3PBeG","id":"RmhQ3nKmTrKWy38SI3PBeG","label":"Synthetic Lease","definition":"A Synthetic Lease is a financial arrangement that allows a company to lease an asset while maintaining the benefits of ownership for tax purposes, such as depreciation, without having the asset appear on the balance sheet as a liability. This structure is typically used for real estate or large equipment to improve financial ratios by keeping debt off the balance sheet.","prefLabels":[],"altLabels":["Off-Balance-Sheet Lease","Tax-Advantaged Lease"],"examples":[],"notes":[],"sources":["https://mediaassets.cbre.com/-/media/project/cbre/shared-site/teams/united-states/southfield/jeffery-shell/asset-monetization-history-synthetic-leases-w23.pdf?rev=21caf644510c4df5b7416c241ade83dd","https://www.investopedia.com/terms/s/syntheticlease.asp","https://www.kslaw.com/attachments/000/005/967/original/ca060518.pdf?1528231724"],"branch":{"iri":"http://lmss.sali.org/RDt4vQCYDfY0R9fZ5FNnTbj","label":"Document / Artifact"},"parents":[{"iri":"http://lmss.sali.org/R8RfDzMtuMPdmNTonmhBxu","id":"R8RfDzMtuMPdmNTonmhBxu","label":"Lease"}],"children":[],"relations":[],"url":"https://lmss.io/tag/RmhQ3nKmTrKWy38SI3PBeG/","source":{"repo":"sali-legal/LMSS","ref":"3f9ac0c9357b2a971582ae79ede243511d47811d","channel":"pre-release"}}