Uniland Development Co. has decided against purchasing One News Plaza located at the corner of Washington and Scott streets from News’ owner Lee Enterprises. The five-story building, opened in 1973, contains 160,000 square feet of space.
Uniland cited market conditions for its decision:
“After careful Due Diligence, at this point in time, we have decided not to pursue the purchase of the former Buffalo News building at 125 Washington Street. It’s always difficult when a project we believe in and work so meticulously on doesn’t come to fruition. Unfortunately, the market demand for large, downtown office space remains soft. To add another 150,000 square feet in capacity does not make sense at this time, and the proper decision was to end the process. We remain dedicated to downtown Buffalo, and are committed to its future success.”
The Buffalo News recently moved its offices to the Larkin District, downsizing significantly to just 20,000 sq.ft. of space in the process, and has announced that its local printing operations will be shut down and will be handled in Cleveland.
Uniland had expected to redevelop the building for one or more users and with one or more uses. In 2009. the company renovated the former Dulski Federal Building at 200 Delaware into the Avant which includes restaurant, office, hotel, and residential space.
Market conditions have not stopped Douglas Jemal. In December he purchased the HSBC Atrium building for $9 million and expects to convert it to residential use.