Too Long; Didn't Read
Bloomberg reported that WeWork owes $47 billion in long-term lease obligations. The market currently does not believe so and is not willing to take the risk. The CEO, Adam Neumann, has taken step of purchasing properties then leasing them back to the company. By purchasing properties, WeWork will be able to increase their spread, while mitigating debt risks since they own the commercial building. WeWork could increase margins and generate a new source of profits for the company while reducing their long term liabilities.