Faraday Future Sells LA Headquarters To Keep Company Afloat
Faraday Future, a US-based start-up technology company focused on the development of intelligent electric vehicles, has reportedly sold its Los Angeles Headquarters in an effort to help fill the company's currently exhausted efforts. Per documents obtained by The Verge, a subsidiary of New York-based real estate firm Atlas Capital purchased the property back on the 8th of March, after which it immediately started leasing the office building to Faraday for an amount that's undisclosed.
This sale by Faraday is the start-up's latest move to keep itself afloat after a deal with a Chinese real estate conglomerate backed out of its $2 billion investment deal with the company just before 2018 ended. In fact, according to a previous February report by The Verge, the company announced that the 900 acres of land it owns in Las Vegas is now currently up for purchase, with the company looking for $40 million. Furthermore, the company still has decided to not bring back hundreds of its employees who have been on unpaid leave since December last year. Per the company, Faraday has spent several months holding discussions with potential investors since its breakup with the Chinese conglomerate, although as of now, no deal has yet been officially made.
The headquarters consists of two buildings about 15 miles from downtown Los Angeles, and is just off of South Figueroa street in the city of Gardena, California. However, the documents did not reveal how much the company received as payment for the office buildings, although one former Faraday Future employee pegged the sale at around $10 million. Of course, since the company took a $17 million loan against its headquarters back in May 2018, the number could be higher. Furthermore, the company also took another loan, this time for $14 million, as a "rescue loan" against the headquarters earlier in July 2017, which it finished paying back in January last year.
John Schilling, who serves as Faraday Future's director of communications, confirmed the recent sale of the headquarters via email. He wrote, "As with the sale of the Las Vegas property, the sale of our Gardena HQ is part of our optimization of business strategies as we direct all of our resources at our core goal of delivering FF 91 later this year."
Presently, the company has around 250 employee all working with reduced pay for the development of the FF 91.