GM may consider selling the RenCen

[mustang84]

http://www.mercurynews.com/breakingnews/ci_10658432

DETROIT — A General Motors official says the automaker could consider selling its downtown Detroit headquarters as part of a way to raise cash, but plans to stay in the towering complex.

The Detroit News reports today that General Motors Corp. wants to borrow about $500 million from one or both of Detroit's pension funds to refinance the Renaissance Center, which it bought earlier this year for $626 million.

GM's executive director of worldwide real estate John Blanchard says talks are preliminary and the automaker is "committed to the city." It moved its headquarters from Midtown Detroit in 1996 and initially leased the building.

GM earlier announced it was putting assets such as its Hummer truck brand up for sale and could announce more asset sales this quarter.

Edited October 7, 2008 by mustang84

[CSpec]

Things are getting worse, fast.

[AAS]

Didn't they just buy it?

[gm4life]

Hummer should go right now.

[FAPTurbo]

Read this on Forbes, and couldn't believe it.

[VenSeattle]

GM bought the RenCen with the intention of reselling it at a profit and then continue leasing it. I doubt they planned to do it so quickly though. I agree with CSpec... they wouldn't flip the property so quickly if there wasn't a good reason.

[Satty]

Hummer should go right now.

They would have to find someone willing to buy it.