Tribune Media announced Thursday that it was putting Chicago’s landmark Tribune Tower, home of its namesake newspaper, up for sale.
The 36-year-old, 737,000 square foot building was completed in 1925 and named a landmark in 1989. Tribune Media held onto the building, still home to the Chicago Tribune, and other real estate assets after spinning off its newspaper business in 2014.
Now the company says it is “exploring strategic monetization alternatives” for the historic property.
“The global renown of this building, its unparalleled location and development potential make this an incredible opportunity and we are expecting a high level of interest from a broad range of private and institutional investors and developers,” said Tribune Real Estate Holdings President Murray McQueen, in a statement.
The building sits on Chicago’s famed Michigan Avenue, offering a prime opportunity for developers. McQueen added that it could be a “future site of an exciting retail destination, surrounded by world-class adaptive re-use of the Tower and additional mixed use development.”
According to Crain’s Chicago Business, Tribune is jumping into a pretty hot real estate market in downtown Chicago:
Through the first half of the year, downtown office towers had sold for a combined $4.19 billion, according to Chicago-based brokerage Jones Lang LaSalle. That’s already higher than the $3.95 billion total for all of 2014 and on pace to easily eclipse the record $5.3 billion mark in 2006 before the real estate crash.
It might not be the only move the company makes. Tribune Media’s stock is down 43 percent from a July high and reported a loss of $3.27 million for the second quarter, and The Hollywood Reporter says the company is also eyeing redevelopment for projects in Los Angeles and Costa Mesa in California, and Orlando and Fort Lauderdale in Florida.
While Tribune Media no longer includes the Tribune newspaper, it does own 42 local television stations as well as WGN America and the WGN-AM radio station, among other media and real estate properties.