AT&T secured $850 million from the sale and leaseback of underused central office facilities from property company Capital Reign as part of its copper retirement plan.

The deal closed on 8 January and involves the asset transfer of 74 properties across the US spanning more than 13 million square feet.

AT&T stated the transaction impacts only a small portion of its portfolio of central offices and has no impact on jobs, or changes in the services it provides to customers.

With the virtualisation of its assets for mobile network and fibre operations, AT&T no longer requires large central offices.

The arrangement allows AT&T to lease only the required portion of the central office space from Reign Capital.

By eliminating copper lines, AT&T can reduce power consumption and lower its operating costs while freeing up property for other uses.

AT&T plans to retire the bulk of its legacy copper network operations by the end of 2029.