Star Tribune shopping downtown land
In one of the least surprising developments in recent media history, Star Tribune publisher Chris Harte announced in a memo today that the company is seeking to sell its land holdings in downtown Minneapolis. The Strib's parent company, Avista Capital Partners, owns roughly five city blocks.
Last June Avista struck a deal with Vikings owner Zygi Wilf to purchase four parcels of land for $45 million. But the New Jersey-based commercial real estate tycoon backed out of the deal two months later as the market softened.
Certainly the climate for selling commercial properties hasn't gotten any better in recent months. That undoubtedly explains why Avista is potentially throwing the Strib mothership--425 Portland Avenue, where most workers are currently being consolidated--into the deal.
"We decided to list the 425 Portland building because our belief--affirmed by our real estate advisors--is that offering all the property will make it more desirable to many potential buyers," Harte writes in the memo. He insists, however, that no sale is imminent.