Sony will sell its US headquarters building to investors for $1.1 billion, according to Bloomberg. The sale is expected to generate net cash of around $770 million for Sony, which is working to cut losses across the board. The company will continue occupying the 37-story building at 550 Madison Avenue for up to three years, leasing from new owners the Chetrit Group, which also co-owns Willis Tower in Chicago. The building was previously owned by AT&T, which sold it to Sony in 2002 for $236 million.
Sony hopes to complete the sale in March — perhaps not coincidentally the end of its fiscal year, by which it has predicted a return to profit. The company is said to be currently re-evaluating its predictions based on the sale, however, so we may well see more positive results for the year than previously expected. Following Nokia's similar sale of its Espoo headquarters, it seems cash-strapped companies have hit on a new way to raise funds.