Thomson Reuters Is Said to Seek Buyers for 3 Times Square Stake

(Bloomberg) -- Thomson Reuters Corp. is exploring the sale of its 50% stake in Manhattan office tower 3 Times Square, becoming the latest media giant to rethink its property holdings, according to people with knowledge of the matter.

The company has tapped an adviser to solicit potential interest in buying Thomson Reuters' stake in the property, which it co-owns alongside Rudin Management Co., said the people, who asked not to be identified because the matter is private. The 32-story building serves as a hub for the news service.

No final decisions have been made and the company could retain the property, which opened in 2001 and includes roughly 885,000 square feet (82,000 square meters) of space -- as well as outdoor billboard space for rent. It's not immediately clear how much the building would fetch in a sale, but at $800 per square foot, it could be valued at roughly $700 million.

“We regularly engage with advisers to ensure that our real estate footprint best supports our workforce and their ability to serve our customers,” Thomson Reuters spokesman David Girardin said.

Last year, Bank of Montreal said it was moving out of the Reuters building to a different Times Square skyscraper, 151 West 42nd Street.

Media companies have been reviewing their real estate in midtown Manhattan, even before the pandemic. ViacomCBS Inc. put the CBS skyscraper known as Black Rock up for sale last year, though it paused the process during Covid-19 lockdowns. Time Warner, meanwhile, sold its headquarters at Time Warner Center in 2014, then sold more space last year -- that time in Hudson Yards -- which it agreed to lease back. The company is now part of AT&T Inc., which has been seeking ways to pare its debt load.

Thomson Reuters' shares have gained about 13% in the year to date, outperforming the S&P 500, which has risen 5.5%.

Bloomberg LP, the parent of Bloomberg News, competes with Thomson Reuters in providing financial news and services.

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