Sotheby's announced it will sell its York Avenue headquarters for $175 million to RFR Holding, LLC. Sotheby's will lease back the building from RFR Holding for a period of up to 40 years, which includes renewals.

"This is an outstanding opportunity for Sotheby's," said Bill Ruprecht, Sotheby's President and Chief Executive Officer. "The attractive price of $175 million reflects the high asset quality, desirable location and Sotheby's bright future prospects. Sotheby's, similar to other major corporations, has decided to enter into a sale-leaseback transaction as a means of financing to provide long-term liquidity for our business. It will also allow Sotheby's to pay down $100 million in short-term debt as well as antitrust fines, which strengthens our balance sheet."

Sotheby's Holdings, Inc. is the parent company of Sotheby's worldwide live and Internet auction businesses, art-related financing and real estate brokerage activities. The Company operates in 34 countries, with principal salesrooms located in New York and London.

http://www.sothebys.com