Briefing: Faraday Future sells Los Angeles headquarters to stay afloat

1 min read

Faraday Future just sold its headquarters to help keep the company alive – The Verge

What happened: Embattled electric car startup Faraday Future has sold its headquarters in Los Angeles in an attempt to refill its bank account. Faraday reportedly sold the property for around $10 million, though the figure could be higher given the company took out a $17 million loan against its headquarters in May last year. Faraday bought the property in 2014 for $13 million.

Why it’s important: The sale is the latest in a series of moves aimed at keeping Faraday afloat following an investment dispute with Chinese real estate conglomerate Evergrande. The investor backed out of a $2 billion deal at the end of 2018, while Faraday has sought alternative shareholders. On March 14, Faraday announced that it was putting a 400-acre property in Las Vegas up for sale for $40 million. The site was originally earmarked for a manufacturing plant. Faraday’s cash crunch also resulted in it not bringing back hundreds of furloughed employees in early March. The company hasn’t been able to start production, save for a few prototypes, as a result of its clash with Evergrande.