Sony is selling its U.S. headquarters building which is located at 550 Madison Avenue in New York City. And the lucky buyer goes to a consortium led by The Chetrit Group, a New York-based owner of commercial properties in New York City and other major US real estate markets. Sony says that the sale price is $1.1 billion, and the contract is expected to begin this coming March.

As to where Sony is going, it added that the company alongside its other business which includes Sony Music Entertainment, Sony Music Publishing, and Sony Pictures Entertainment) will remain in the building for up to three years under a leaseback arrangement with The Chetrit Group.

Citing the reason for the sale, the company explains that it is “undertaking a range of initiatives to strengthen its financial foundation and business competitiveness and for future growth.” Sony expects to receive net cash proceeds of around $770 million after repaying debt related to the building and other transaction costs.

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