Prairie added that this isn't the first time that AMD does a sale-and-leaseback operation, in the past, the chip designer did the same thing with its headquarters in Sunnyvale, California, and a building in Toronto, Canada (probably the former ATI headquarters in Markham).
The chipmaker's move to sell its campus, reported earlier by the Austin American-Statesman, comes as the company and its larger rival Intel Corp struggle with slowing personal computer sales.Source: Reuters
"There are favorable economic conditions in the part of Austin where the campus is located," Prairie said. "Contingent on finding an investor who wants to do a multiyear lease-back, it's a good opportunity for us to unlock the value of the real estate to fund operations."
AMD's headquarters in Sunnyvale, California, and a building near Toronto were sold and leased back in the past, Prairie said.