LOS ANGELES _ The Los Angeles Times building in downtown Los Angeles has sold to a Canadian developer, paving the way for the redevelopment of a historic property the paper has called home since 1935, according to a person familiar with the deal who was not authorized to discuss it publicly.
Onni Group of Vancouver has explored plans to turn the property into a collection of creative offices and retail and residential units.
The Times reported in June that Onni had signed an agreement to buy the building, but the deal with Tribune Media Co. officially closed Monday night, the source said Tuesday.
On Wednesday morning, Tribune Media formally announced that the Times property had sold, in addition to two other properties _ the Times printing facility and Tribune Tower in Chicago.
In its news release, the media company did not disclose buyers, but said the three properties sold for a combined $430 million. An executive at Onni Group did not return messages seeking comment.
The person familiar with the Times Square deal pegged it at over a $100 million. Tribune Media hasn't revealed that sales price, but it previously announced Los Angeles developer CIM Group would be buying Tribune Tower in Chicago for at least $205 million.
Known as Times Mirror Square, the LA Times' headquarters is a mix of five interconnected structures that fill an entire city block. A redevelopment would dramatically remake the City Center neighborhood by turning the aging buildings occupied by The Times and other businesses into a bustling, mixed-use center.
A person familiar with Onni's pursuit of the Times building said in late June that the developer was considering tearing down a section of the complex to build apartments. The portion dates back to the 1970s and currently houses a Bank of America branch and offices.
The acquisition is a significant gain for Onni, which has been on a buying spree in downtown LA, where it also owns at least eight other properties _ including offices, apartments and an extended-stay hotel.
It's unclear if the Los Angeles Times will stay in the building, known for its Art Deco lobby with a large revolving globe.
For now, the newspaper _ located downtown since its founding as the Los Angeles Daily Times in 1881 _ has a lease until 2018, with two consecutive five-year options beyond that, a person familiar with the terms said in June.
"The Los Angeles Times has a long-term lease in place with options to renew and no immediate plans to move," a spokeswoman for the paper's owner, Tronc Inc., said Tuesday.
Onni was founded by Italian immigrant Inno De Cotiis with the company's name an anagram of his first name. It has helped transform Vancouver from a sleepy town to a dense city with soaring glass towers.
De Cotiis, along with three of his brothers, had previously run the well-known Vancouver developer Viam, but the brothers eventually split the company up and went their separate ways.
Onni has offices in Los Angeles, Phoenix, Chicago and Ensenada, Mexico, and is run by Inno's son Rossano.
It has built more than 6,000 residences in North America over the last decade and owns and manages 6.5 million square feet of commercial space and more than 4,600 apartments, according to its website.
"They are one of the more prolific and successful developers in the country," said Anne McMullin, president of the Urban Development Institute in Vancouver, a trade group that counts Onni as a member.
The Times building sale was triggered by the 2014 spinoff of The Times, the Chicago Tribune and other newspapers from Tribune Co. into a separate company, Tribune Publishing, now known as Tronc.
Tribune Co., which was renamed Tribune Media, retained the Times building and other real estate, including The Times' downtown printing facility.
The printing facility was purchased by a partnership headed by LA-based Harridge Development Group, its chief executive, David Schwartzman, said Tuesday.
Tribune, which owns television stations across the country, including KTLA in Los Angeles, has been selling its real estate assets.
The closing of the Times Mirror Square sale was first reported by the Los Angeles Business Journal.
