GM plans sale and leaseback of UK property

GM is looking to sell and lease back some of its real estate assets in the UK in an attempt to raise cash quickly. The Detroit-based manufacturer, which has been badly hit by the credit crunch and reported losses of around $2.5 billion in Q3, is understood to have asked real estate agent John Lang LaSalle to find buyers for some of its business. The company has not announced yet which assets it intends to sell and lease back, although people familiar with the situation believe that they could include its headquarters in Luton and other non-manufacturing property in England.

By Verdict Staff

GM is looking to sell and lease back some of its real estate assets in the UK in an attempt to raise cash quickly.

The Detroit-based manufacturer, which has been badly hit by the credit crunch and reported losses of around $2.5 billion in Q3, is understood to have asked real estate agent John Lang LaSalle to find buyers for some of its business.

The company has not announced yet which assets it intends to sell and lease back, although people familiar with the situation believe that they could include its headquarters in Luton and other non-manufacturing property in England.

Last month, GM said it would take “further actions to improve liquidity and reduce structural cost” in response to deteriorating economic conditions.