NOV. 15 I STEINWAY I LOCATION, REVENUE
Steinway to Sell 57th Street Location
On Nov. 14, Steinway Musical Instruments signed a Letter of Intent (LOI) to sell its building on West 57th Street in New York, which is home to Steinway Hall — the company's flagship store. The LOI includes both Steinway and the owner of the land as sellers. The purchase price was announced as $195 million, of which Steinway will receive $56.3 million with $20 million to be held in escrow until Steinway vacates the space.
This news comes on the heels of Steinway releasing its third quarter earnings. The company reported sales of $89.3 million, a decrease of $400,000 from 2011's third quarter numbers. However, the company reported a gross profit of $29.4 million, up 13.1 percent from last year.
American revenue of Steinway pianos decreased $800,000 from last year, while Steinway's band segment also reported down sales of $300,000 compared to 2011's Q3.