Nissan to Sell Its Tokyo Headquarters for $630 Million to Boost Recovery Amid Deep Losses

In a bid to strengthen its financial position, Nissan Motor Co. has announced the sale of its global headquarters in Yokohama, Japan, for 97 billion yen ($630 million) to MJI Godo Kaisha, a Tokyo-based real estate operator. The automaker will lease back the building and continue using it as its corporate headquarters while recording a gain of 73.9 billion yen ($480 million) from the sale.

The funds, Nissan said, will be used to modernize internal systems, accelerate digital transformation, and implement AI-driven technologies across its operations — part of a broader effort to return to profitability after years of financial strain.

MJI Godo Kaisha is a special purpose trust owned by the Minth Group, a major Hong Kong-listed auto parts manufacturer. Nissan did not disclose the terms of the lease agreement.

💸 Major Losses Despite Restructuring Efforts

The announcement coincided with Nissan reporting a 221.9 billion yen ($1.4 billion) net loss for the first half of the fiscal year (April–September 2025). This contrasts sharply with a 19.2 billion yen profit recorded during the same period last year.

Revenue also slipped by nearly 7% to 5.58 trillion yen ($36 billion), as sales declined in Japan and other key markets. However, the automaker noted that sales were improving in China and the United States, and that several new models are in development to drive future growth.

“Nissan is on track,” said Chief Executive Ivan Espinosa, who took charge earlier this year. “We remain focused on recovery.”

🏢 Why Nissan Is Selling Its Headquarters

The sale of its headquarters — an iconic building in Yokohama’s Minato Mirai district — marks a strategic shift in Nissan’s capital management. The company described the move as part of a “disciplined approach to capital efficiency,” saying it would free up funds from non-core assets to support research, innovation, and transformation.

“This move reflects a disciplined approach to unlocking value from non-core assets to support transformation during the challenging years,” Nissan said in a statement.

The proceeds are expected to fuel AI integration, process automation, and digital infrastructure upgrades, key to Nissan’s long-term turnaround plan.

⚙️ Restructuring and Challenges Ahead

Nissan has announced global workforce cuts of about 20,000 employees (15%) and plans to close its flagship Oppama factory in Japan as part of cost-reduction measures.

All Japanese automakers, including Nissan, continue to feel the pressure of global tariff policies, particularly from the Trump administration’s trade stance, which has disrupted international supply chains.

Nissan’s stock has been under strain for months, dipping from 344 yen ($2.23) to 337 yen ($2.19) following the announcement.

Despite the challenges, Nissan remains committed to developing next-generation electric vehicles, improving cost structures, and revitalizing its brand image under Espinosa’s leadership.