Thursday, April 12, 2007

All the Dirt That's Fit to Print?

Remember, it's not just Sam Zell that is buying newspapers or interested in them. Other real estate moguls are in the market, too.

Why? Are good deals getting harder and harder to come by in the market? I think so. But then I never thought I would see the days of 4-cap deals, either. They obviously think media is a better value than real estate right now.

Also, face it: while print media may be somewhat moribund, Tribune has some two dozen TV stations and other assets to consider. And if you spin off the Cubs (which, as a Cubs fan, I think will go for a huge price) and sell the LA Times to Geffen, you are in pretty good shape.

Speaking of the Tribune acquisition, this op-ed piece in the Wall Street Journal about Zell's ESOP plan made me chuckle.

Since this is a real estate blog, I won't even get into how funny I think it would be if Broad and Burkle or another investor came in with a higher counter-offer for the company, thus setting up the same brilliant bidding war that Zell did with EOP.