This research evaluates the impact of Sale and Leaseback (SLB) on UK commercial property prices and yields, compared with arms-length transactions. Data on 357 SLB deals and 1266 non-SLB deals is extracted from CoStar and Estates Gazette.Independent-samples t-tests and hedonic regressions and comparative analysis with the risk-free rate are undertaken. In addition to the SLB dummy variable, explanatory variables include building size, quality, age, sector, location and year of transaction. SLB transactions are found to occur at a statistically significant price premium of around 20% compared with non-SLB properties, with the greatest premium occurring in the office sector. The net initial yield of the SLB transaction sample is around 2 percentage points lower than for the non-SLB sample in every sector. Comparison with Government 10-Year Bond rates puts the results into perspective, with SLB properties achieving a 4.5 percentage point premium compared with the risk-free rate. Reasons for these differences are probed by considering the effect of WAULT and tenant covenant strength.From a vendor's perspective, the findings give an indication of the price premium they might be able to negotiate for their property compared with market prices. This will help them assess whether SLB is worthwhile compared with other available financing options.For potential purchasers, knowledge of the order of magnitude of price premiums for SLB can be used to determine an appropriate offer price. The findings of a yield reduction is helpful for institutional investors to enable them to decide whether to engage in SLB investment.