We had always operated under the assumption that there’s no quick way to make a buck in the auto business. Turns out we were wrong, as DaimlerChrysler has just sold its headquarters in Stuttgart for $308.8 million in cash to IXIS Capital Partners Ltd. Don’t fret, the building’s new owners won’t be kicking DCX to the curb, as the automaker simultaneously signed a 15-year lease to stay on the premises. The money from the sale will boost the automaker’s operating profit by $22.9 million this year, as DCX is required to report income over the duration of the lease. It’s perhaps the fastest $380 million profit we’ve ever seen a carmaker turn, and the most creative. Chances are that if DCX is doing well in 2021, the automaker will buy its HQ right back.
[Source: Automotive News]
DCX makes quick buck by selling Stuttgart HQ
We had always operated under the assumption that there’s no quick way to make a buck in the auto business. Turns out we were wrong, as DaimlerChrysler has just sold its headquarters in Stuttgart for $308.8 million in cash to IXIS Capital Partners Ltd. Don’t fret, the building’s new owners won’t be kicking DCX to the curb, as the automaker simultaneously signed a 15-year lease to stay on the premises. The money from the sale will boost the automaker’s operating profit by $22.9 million this year, as DCX is required to report income over the duration of the lease. It’s perhaps the fastest $380 million profit we’ve ever seen a carmaker turn, and the most creative. Chances are that if DCX is doing well in 2021, the automaker will buy its HQ right back.
