Newspaper Properties Trade for $30M

Brokerage firm Cushman & Wakefield reports the two office properties, comprising approximately 110,000 sf, were sold by the Tribune Co., which sold both newspapers to the Hearst Corp. in Nov. 2007. The buildings were not part of that transaction. The Stamford Advocate has since relocated its operations to the River Bend Center in Stamford, while the Greenwich Time is reported to be relocating soon to 1455 E. Putnam Ave. in Greenwich. Printing operations for both papers, which had been housed at the Tresser Boulevard location, is now being performed at locations in Danbury and Bridgeport, Cushman & Wakefield says.

According to a C&W release, Summit contractually agreed to acquire the buildings in April and closed on the properties earlier this week. The former three-story Stamford Advocate building was built in 1981 and totals approximately 90,000 sf. The Greenwich Time property was built in 1926 and contains 20,000 sf.

"We received significant interest in these assets due to their prime downtown locations," Fagan states. "While we received offers, in whole or in part, that could have exceeded this transaction in price, Tribune was drawn to Summit as they were able to negotiate and close on the properties in 21 days."

Geoffrey Thompson, a spokesman for Summit Development, says, "We expect that within about 30 days to make an announcement regarding potential future uses for the sites."

Summit teamed with Greenfield Partners of South Norwalk on the property purchases. Summit Development owns the 44,000-sf Belden Square office building in Norwalk and is developing the 108,000-sf Kings Crossing shopping center in Fairfield, which will be anchored by a 60,000-sf Whole Foods supermarket. The firm and partner Greenfield Partners are in the approval process on the redevelopment of the Reader's Digest complex in Chappaqua, NY. The Summit/Greenfield partnership is looking to develop an age-restricted active adult community called Chappaqua Crossing on a portion of the property as well as market for lease approximately 300,000 sf of office space that is available at the complex. Reader's Digest maintains its headquarters on the property under a long-term lease.