Tribune Tower Not For Sale

By: Tribune Tower isn't for sale despite Wall Street speculation to the contrary, according to Tribune Co., the media group that owns and occupies the iconic downtown building.

Talk that the neo-Gothic Chicago landmark could be sold spread this week when Tribune disclosed plans to sell at least $500 million in noncore assets as part of an effort to boost its sagging stock price. Analyst Steven Barlow of Prudential Equity Group estimated in a note to investors that there is a 90 percent probability that the company would sell the tower.

But Tribune spokesman Gary Weitman said Wednesday that "Tribune Tower is not for sale."

The company occupies 93.5 percent of the 631,000-square-foot building, which houses its corporate headquarters, the Chicago Tribune newspaper offices and newsroom and WGN radio.

Tribune, the third-largest U.S. newspaper company in terms of circulation, intends to sell assets to help pay for a $2 billion stock buyback financed by debt. While avoiding specifics, management said Tuesday it doesn't intend to sell any assets in its three major markets of Los Angeles, New York and Chicago, including the Chicago Cubs baseball team.

The company also owns 26 television stations nationwide, some of which could be sold. Other asset sales are expected to include its stock holdings in private and public companies and might include its 31 percent stake in the Food Network cable TV operation.

Shares in Tribune rose 3 cents to $29.87 in morning trading on the New York Stock Exchange, little-changed since jumping 7 percent on Tuesday's announcement.