By Meghan Hall
McClatchy, a Sacrament, Calif.-based national publishing company has closed on a deal to purchase the Tacoma News Tribune offices. McClatchy closed on the sale at the beginning of September and paid $16.25 million for the property. The transaction only recorded recently, according to public documents.
The asset is located at 1950 S. State Street, the building totals 242,000 square feet, based on data from the Pierce County Assessor-Treasurer’s office. Built in 1974, the property includes 132,000 square feet of storage and warehouse space and an additional 104,000 square feet of office space.
The Tacoma News Tribune announced it was posting the building for sale last fall, stating that its needs have changed. Last year, The Tacoma News Tribune stopped printing at the facility and therefore no longer needed the entirety of the building. The newspaper aimed to relocate to more modern offices downtown. The property was originally listed for $17.25 million, based on a posting from Windermere Commercial Real Estate.
The property is also centrally located, not far from downtown and the Port of Tacoma. The Allenmore Golf Course is situated directly next to the property, and a shopping center anchored by Walmart, Target and T.J. Maxx is within a short drive. The asset is also accessible via State Route 16 and Interstate 5.
McClatchy, the property’s buyer, operates 30 media companies in 14 states. The company owns and operates several other publications in Washington State—The Olympian, The Tri-City Herald and The Bellingham Herald— aside from the Tacoma News Tribune, and its portfolio also includes a 49.9 percent ownership stake in The Seattle Times. Some of its other publications include The Sacramento Bee, the Miami Herald and The Charlotte Observer.
At the beginning of the year, McClatchy announced it would be filing for Chapter 11 bankruptcy, but maintained that operations would continue to proceed normally as a new restructuring plan was set in place. In August, the family-run news chain was sold to a New Jersey hedge fund in a deal that is valued at more than $300 million. The sale was approved by a federal judge, allowing Chatham Asset Management, which controls $4 billion in assets, to take possession of the firm. As of September, all of McClatchy’s organizations and employees were transitioned to a new private entity under Chatham’s ownership.
“Today marks the beginning of a new era and opportunity for McClatchy,” said Tony Hunter, Chief Executive Officer of McClatchy in a statement. “The Company is now poised for sustainable long-term growth driven by differentiated local content and an acute focus on our digital presence and offerings. We will continue to be proud of McClatchy’s iconic past while focusing on creating a bright future. I look forward to leading the talented McClatchy team, empowering them to do their best work, and energizing the organization to meet and exceed the evolving needs of our customers.”