Hines would construct a build-to-suit as the new home for the Rocky Mountain News, Denver Post and the Denver Newspaper Agency. The DNA handles all of the business operations for the two daily newspapers that are part of a joint operating agreement.

The DNA is investigating building a 235,000-sf building at the US Post Office Annex site in LoDo, several sources tell GlobeSt.com.

"It's not a done deal yet," one source tells GlobeSt.com. "But it's looking like it will get done. My gut feeling is that it is going to happen."

The building would be located at 15th and Wynkoop streets.

Doug McKinnon, who heads Houston-based Hines office, declined comment.

Jim Nolan, spokesman for the DNA, would only say that it is premature to say a deal has been reached with Hines or at any other site.

Initially, Hines planned to raze the huge annex building and replace it with about six new luxury condo buildings. The newspaper building would replace the first phase of the condos. The DNA likely would own the new building. Earlier, it looked at leasing space in various buildings.

Hines likely would manage the newspaper building for at least the first few years after it opened, sources say.

The Lower Downtown Design and Demolition Review in January approved a "massing and scale" plan for the condo project. Hines wouldn't need to come back to the board for an office building, other than for design approval.