BlackBerry Finally Reveals Who Bought Its $300 Million Real Estate Portfolio

Posted by Knowlton Thomas

BlackBerry today revealed that Spear Street Capital was the company who acquired the vast majority of the smartphone maker's real estate portfolio.

The Waterloo-based company also revealed the value of the property sold to Spear Street was just over $300 million.

Under the terms of the transaction, BlackBerry will sell more than three million square feet of space as well as vacant lands. BlackBerry will lease back a portion of the space.

 

SEE ALSO: Michael Wekerle Buys Former BlackBerry Building in Waterloo

 

The real estate sale is part of BlackBerry's bid to return to profitability. CEO John Chen recently cited BlackBerry's road to recovery as an "eight-quarter journey."

"The first thing I have to do is to get into profitability, as well as cash flow breaking even," he said.

Chen believes BlackBerry can be cash-flow positive from operations by the end of this fiscal year. Then within the next fiascal year, he believes the company can be profitable, something it hasn't been for a long while.

BlackBerry in March reported a fourth-quarter loss of $423 million, down from a profit of $98 million in the year-ago quarter. Selling 3.4 million smartphones—more than two-thirds of which were legacy BlackBerry 7 devices—during the quarter, revenue came in at only $976 million, a steep fall from the $2.68 billion it generated in the year-ago quarter.

Company:
BlackBerry
Website:
http://www.blackberry.com
Location:
Waterloo, Ontario, Canada

Research In Motion (RIM), a global leader in wireless innovation, revolutionized the mobile industry with the introduction of the BlackBerry solution in 1999. Since then, BlackBerry products and services have continued to change the way millions of people around the world stay connected. With the launch of BlackBerry 10, we have re-designed, re-engineered and re-invented BlackBerry. Not only did we introduce a... more


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Knowlton Thomas

Knowlton Thomas

Knowlton is the managing editor of Techvibes. Based in Vancouver, Knowlton has been published in national publications and has also appeared on television and radio. Previously he was an editor for New Westminster weekly The Other Press and served on its board of directors. When not working, Knowlton enjoys playing tennis, hiking, and exploring weird side streets. more



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