The U.S. mortgage market may be in a decline, but that also means that there are plenty of deals to be had. General Motors announced on Thursday that it has purchased its Detroit Renaissance Center headquarters for $626 million. In the same deal, GM also purchased two other office properties in Pontiac, Michigan for $200 million.
GM had been leasing the Renaissance Center facility, but decided to purchase the building due to the condition of the real estate market.
The Renaissance Center was actually built by Ford ’s real estate division in 1977 for $350 million, but became GM’s HQ in 1996, according to Yahoo.com. In 2005, GM spent $500 million improving the Detroit facility.
Although GM is the new owner of the Renaissance Center, it is likely that the auto giant will resell the property as the market improves and enter once again into a lease agreement.
