BlackBerry selling most of its Canadian real estate holdings

Smart, smart move. If BlackBerry is going to survive, lean and mean is the way to go.

BlackBerry® Limited (NASDAQ: BBRY; TSX: BB), a world leader in mobile communications, today announced that it has entered into an agreement pursuant to which it will sell the majority of its real estate holdings in Canada. The announced transaction is part of BlackBerry’s ongoing program to improve operational efficiencies, optimize resource usage and shift resources to support operations as the business continues to evolve.

Under the terms of the agreement, BlackBerry will sell more than 3 million square feet of space as well as vacant lands. BlackBerry will also lease back a portion of the space. CBRE Limited served as an advisor to BlackBerry for this transaction. BlackBerry expects closing to occur in the first quarter of fiscal 2015. The transaction is subject to certain conditions, and the transaction may not be completed on the negotiated terms, or at all. Additional terms of the transaction will be announced once the principal conditions are satisfied or waived by the parties.

  • John V.

    Jeez, you’re calling it a “smart, smart” move as if they did who knows what. All companies sell unused assets like real estate, when they’re winding down.

    And many do the “sell and lease back” part ( ) – it’s actually very common and not smart at all, but quite ominous. It means they’re desperate for short term liquidity, even if in the long term that lease costs them more than never selling the parts they used in the first place.

    This is not a company thinking long term – this is a company preparing to die. Companies that sell, then lease back their offices – it’s the canary in a coal mine going kaput. Such companies go away not long after that happens.