As it works to stay afloat, Nissan is considering selling its Yokohama headquarters, an iconic building valued at nearly $700 million USD. The possible move, reported by Nikkei Asia, is part of a broader plan to liquidate certain assets by March 2026, as the Japanese automaker navigates a major financial crisis.
Nissan’s HQ was moved from Tokyo to Yokohama in 2009; the headquarters sit very close to Yokohama Station, a prime location. The value of the building is estimated at over 100 billion yen, or about $960 million CAD. The sale could fund the closure of seven of the 17 plants Nissan operates worldwide.
Remaining as a tenant
There's no indication of what Nissan plans to do after the sale, but it's likely the company will lease the premises back after the transaction. That’s a strategy we previously saw used by McLaren, which sold its Woking headquarters for $237 million while maintaining its operations on-site via a long-term lease.
Customs tariffs: A catalyst of the crisis
Nissan's situation worsened with the imposition of new auto tariffs imposed by the U.S. administration in April. Those duties are severely impacting Japanese automakers. According to Automotive News, Japan hopes for an agreement similar to the one between the U.S. and the UK a temporary freeze on retaliatory customs imposed by China.
Talks are underway between American and Japanese ministers to try and de-escalate the situation, but while that continues, companies like Nissan desperately seek short-term solutions.
Uncertainty over cost sharing
The president of the Japan Automobile Manufacturers Association, Masanori Katayama, stated that the goal remains to get the tariffs lifted as soon as possible, but admits that nothing has been decided regarding the distribution of costs related to tariffs. "We are all in the same boat," he declared, referring to both manufacturers and parts suppliers.
An uncertain future for Nissan
While the Japanese government now offers financial consultation services to affected companies, Nissan's future remains uncertain. The sale of the headquarters might only be a bandage on a much deeper wound, illustrating the growing upheaval in the rapidly changing global automotive industry.