Nokia Sells Espoo Headquarters, Will Remain as Tenant

Nokia has reached an agreement with Exilion to sell its Espoo headquarters for $222 million while remaining as a long-term tenant.

As Finnish phonemaker Nokia tightens its business around a core mobile strategy, the company has completed a deal to sell its Espoo, Finland-based headquarters, known as Nokia House, to Finnish company Exilion for $222 million, TheNextWeb reports via Nokia's press release

"We had a comprehensive sales process with both Finnish and foreign investors and we are very pleased with this outcome. As we have said before, owning real estate is not part of Nokia's core business and when good opportunities arise we are willing to exit these types of non-core assets. We are naturally continuing to operate in our head office building on a long-term basis," said Nokia CFO Timo Ihamuotila in the company's release. 

Nokia will continue to reside in the building through a long-term lease agreement with Exilion, according to reports, and the deal is expected to be finalized by the end of 2012. 

The company is currently battling with Apple and Samsung to gain a bigger share of the smartphone market, bolstered by the recent release of the Lumia 920 and Lumia 820 models and its leading 4G coverage in Western Europe. Dropping ownership of company headquarters comes after a third quarter in which Nokia recorded $754 million in operating losses with net sales of $9.49 billion.