CIM nabs Chicago’s iconic Tribune Tower for nearly $240M

Sale price equates to price per square foot of $324

TRD New York /
Aug.August 31, 2016 12:55 PM

From the Los Angeles website: Los Angeles-based CIM Group has agreed to buy Chicago’s iconic Tribune Tower for close to $240 million, Tribune Media announced Tuesday.

The deal, which is part of Tribune’s ongoing $1 billion real estate sell-off, is slated to close by the end of September, the New York Times reported. CIM’s plans for the 1920s-era, 35-story  landmarked property were not immediately clear. 

The $240 million price comprises $205 million paid in cash at closing plus an additional payment of up to $35 million contingent upon the satisfaction of certain conditions. The building totals 740,000 square feet, which equates to a sale price of $324 a foot.

“Monetizing the significant assets of Tribune Media’s real estate portfolio is a strategic priority for the company and we are extremely pleased with the outcome of this sales process,” said Peter Liguori, Tribune Media’s President and CEO. “Importantly, we’re achieving prices consistent with the $1 billion valuation of our portfolio.”

In L.A., Tribune is looking to sell 25 acres of developable land in downtown’s Arts District and made a deal in June to sell the Los Angeles Times headquarters, at at 202 West 1st Street, to Canadian real estate investment firm Onni Group for an undisclosed sum.

Meanwhile, CIM has been actively in development mode over the past year. The Wilshire-based firm recently broke ground on a mixed-use project on the 1.3-acre West L.A. site at 11800 West Santa Monica Boulevard. The 147-unit development, dubbed Westgate Santa Monica, will have 40,000 square feet of retail and amenities.

Avi Shemesh, co-founder and principal of CIM, said the company is now looking to expand in the Windy City.

“After being active in the Chicago market for more than a decade, we have recently made several compelling investments that have expanded our growing presence in the city,” he said in a statement. [NYT] — Katherine Clarke


Related Articles

arrow_forward_ios
Kanye West and 7815 S. South Shore Drive (Credit: Google Maps and Scott Dudelson/FilmMagic/Getty Images)

What Kanye West has planned for his childhood home in Chicago

What Kanye West has planned for his childhood home in Chicago
SL Green's Mark Holliday with Industry City in Brooklyn and 95 Morton Street (Credit: Industry City; SL Green; Google Maps)

SL Green in talks to sell loans to CIM, Rockwood

SL Green in talks to sell loans to CIM, Rockwood
Tribune Tower at 435 North Michigan Avenue with a rendering of Tribune Tower East (inset) (Credit: CIM/Gloub via Curbed)

Luxury developers love to redevelop former newspaper HQs

Luxury developers love to redevelop former newspaper HQs
1802 2nd Avenue (Credit: Google Maps, iStock)

The luxury senior-living sector is booming

The luxury senior-living sector is booming
685 Fifth Avenue and Michael Shvo (Credit: Shvo)

Shvo, partners land $120M construction loan for 685 Fifth Avenue

Shvo, partners land $120M construction loan for 685 Fifth Avenue
Canarsie Plaza and Blackstone’s Kathleen McCarthy (Credit: Google Maps and Blackstone)

Blackstone picks up Canarsie shopping plaza for $130M

Blackstone picks up Canarsie shopping plaza for $130M
The Watchtower building at 25 Columbia Heights, CIM Group’s Shaul Kuba (right) and LIVWRK’s Asher Abehsera (Credit: Wikipedia, CIM Group, and LinkedIn)

JPMorgan leads $335M refi for CIM and LIVWRK’s Watchtower renovation

JPMorgan leads $335M refi for CIM and LIVWRK’s Watchtower renovation
Chicago and Houston skylines (Credit: Unsplash)

Demand for apartments reaches 5-year high across US

Demand for apartments reaches 5-year high across US
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...