Nissan to Sell $700 Million Yokohama Headquarters Amid $4.5 Billion Loss -

A Bold Move in Desperate Times

In a striking sign of its ongoing crisis, Nissan Motor Company is reportedly preparing to sell its global headquarters in Yokohama, Japan. The building, estimated to be worth $700 million (approximately ¥100 billion), has served as the automaker’s nerve center since 2009.

This drastic move comes in the wake of a brutal fiscal year, during which the company posted a staggering $4.5 billion net loss for FY 2025.

Lease-Back Deal in the Works

While Nissan is looking to sell the headquarters, it isn’t planning to vacate the space. According to reports from Reuters and various Japanese media outlets, the company is considering a lease-back agreement, allowing it to continue operations from the iconic Minato Mirai district building even after the sale.

This strategy would immediately inject cash into the company without disrupting core operations—a tactic often seen in crisis-driven corporate turnarounds.

Leadership Under Pressure

This aggressive move is being spearheaded by Nissan’s new CEO, Ivan Espinosa, a non-Japanese executive brought in to lead the company through one of its most turbulent periods.

Since taking the reins, Espinosa has launched a sweeping revival plan that includes:

Closure of seven factories
Layoffs of over 20,000 workers
Aggressive cost reductions totaling $3.34 billion

The sale of the headquarters is seen as a last-resort effort to stabilize the company and reposition it for growth.

The Root of the Crisis: Outdated Models and Lost Momentum

At the core of Nissan’s financial struggles is a loss of competitive edge in electric vehicles. Once a pioneer in the EV market with the Nissan Leaf, the company has failed to keep pace with rivals on both technology and range.

With aging model lineups and slow innovation cycles, Nissan has watched competitors leap ahead in key markets such as China, Europe, and North America.

Geopolitical and Economic Headwinds

Nissan’s woes are not purely internal. A perfect storm of global factors has deepened the crisis:

Tariffs on Japanese imports in the U.S. have increased vehicle costs
A sharp decline in Chinese passenger car sales
Supply chain challenges and rising production costs

All of these factors have contributed to a steep drop in revenue and investor confidence.

Legacy of Leadership Turmoil

The current situation is also a reflection of years of instability. Nissan has struggled to recover from the high-profile ousting of former chairman Carlos Ghosn in 2018. Since then, the company has faced multiple leadership changes, strategic confusion, and internal strife—leaving it vulnerable in a rapidly evolving automotive industry.

What’s Next for Nissan?

Selling its headquarters may offer short-term relief, but the bigger question remains: Can Nissan rebuild itself for the long term?

The proceeds from the sale are expected to cover restructuring costs and potentially fund the development of new-generation EVs. However, success will depend on the company’s ability to: