New York, Mar 10: In a shot to clear a long-term debt, the New York Times Company (NYT) sold off portion of its Manhattan Headquarters to W P Carey and two of its publicly-held, non-traded REIT affiliates for $225 million on Monday, Mar 9. A 15-year sale-leaseback has been signed between NYT and W P Carey.
The transaction encompasses 21 floors, or approximately 750,000 rentable square feet, currently occupied by the Times Company.
The NYT will be paying a rent of $2 million per month for the first year that is $24 million annually. During the tenth year of lease term, the NYT can repurchase the condominium interest for $250 million.