Sprint Corp (NYSE:S) to complete the sale of its Overland Park headquarters campus to real estate firm Occidental Management. Sprint’s market position remains steady in the face of the anticipated $26.5 billion mergers with another telecommunication giant T-mobile. The company’s stock closed at $6.42 representing a 0.31% rise from the previous business day.
Sprint to Scale down Occupancy to 4 Buildings
The financial terms of the sale were not made open; however, Sprint has revealed that its employees will “squeeze” into just four buildings out of the previous 11 it owned upon the completion of the transaction.
The telecommunication giant through its Vice President of Corporate communication announced that the deal would be finalized in the coming months. Despite selling off the property, Sprint’s headquarters will be based at the campus whether or not the merger with T-mobile will fall through. Through an email addressed to its employees, Sprint CEO Michel Combes reminded his employees that T-Mobile has pledged to make the campus its second headquarters should the merger materialize.
According to Tovar, Sprint will spend the proceeds of the sale to renovate the four buildings in the southern end of the campus further reiterating his CEO’s conviction that they are there to stay. “We’ve signed long-term lease agreements with the Occidental team so that we’ll be here for a long time regardless of what the future is of Sprint”- Tovar.
Occidental’s Plan for the Campus
Occidental Management pointed out that they have eyed the 200-acre property for a while now ever since they bought a neighboring property. The real estate company stated its commitment to developing the property further and upholding Sprint’s vision. Occidental’s CEO Gary Orbony mentioned that they are going to revamp the property- enhancing amenities and experiences. He, however, declined to disclose the exact features they plan to add.
Echoing the sentiments of the company’s CEO, Occidental’s President reaffirmed that they are going to lift the property’s aesthetic look like they did with OPx- the property they bought next to the campus back in 2014.