NY TIMES COMPLETES $225 MILLION SALE-LEASEBACK OF OFFICE HQ
NEW YORK CITY — The New York Times Company has entered into a sale-leaseback transaction with W.P. Carey & Co. for a portion of its New York headquarters, located on Eighth Avenue between 40th and 41st streets in Manhattan, New York City. W.P. Carey and two of its publicly held, non-traded REIT affiliates, CPA:16 – Global and CPA:17 – Global, will acquire 21 floors, encompassing approximately 750,000 square feet, of the 52-story building for $225 million. The lease has a 15-year term with an option for The Times Company to repurchase the office condominium interest during the 10th year of the lease for $250 million. The initial year’s rental payment will be $24 million with escalations throughout the lease. Proceeds from the sale will be used by The Times Company to pay off long-term debt. Andrew Sachs and Michael Rotchford of Cushman & Wakefield advised The Times Company in the transaction.