BlackBerry put out some more details on their real estate sale that has been pending. BlackBerry has closed a deal to sell around 80% if their real estate holdings for about $278 million. The buyer, Spear Street Capital, LLC, has completed their due diligence and the deal is set to go through in the third quarter. Details below:
BlackBerry Announces Update on Sale of Canadian Real Estate Holdings
WATERLOO, ONTARIO–(Marketwired -sell around May 5, 2014) – BlackBerry Limited (NASDAQ:BBRY)(TSX:BB), a world leader in mobile communications, today announced that Spear Street Capital, LLC has waived its due diligence condition pursuant to BlackBerry’s previously-announced agreement to sell the majority of BlackBerry’s real estate holdings in Canada. Spear Street has agreed to purchase the properties for CDN$305 million, or approximately US$278 million. The parties expect to complete the sale of properties valued at approximately 80% of this total later this month, with the sale of the remaining properties to be completed during the third calendar quarter of 2014, subject to customary closing conditions in each case.
Under the terms of the transaction, BlackBerry will sell more than 3 million square feet of space as well as vacant lands. BlackBerry will lease back a portion of the space as the Company continues to have a strong presence in Canada with Waterloo continuing as the home of its global headquarters.