UPDATE 1-McClatchy shares soar on sale of Miami real estate
* McClatchy sells Miami real estate for $236 million
* Buyer is Bayfront 2011 Property LLC
* Will use most of the money for debt, pension
* Shares up 10.5 pct at $3.05
NEW YORK, May 27 (Reuters) - McClatchy Co (MNI.N) shares shot up as high as 16 percent on news the publisher of the Sacramento Bee and Miami Herald found a buyer for a parking lot and building in Miami.
McClatchy said on Friday it sold a parcel of real estate that includes the building of the Miami Herald Media Co and an adjacent parking lot for $236 million to Bayfront 2011 Property LLC.
As part of the deal, McClatchy will be allowed to stay rent free for up to two years while it looks for a new building.
The Miami Herald Co operates the flagship newspaper, El Nuevo Herald, related websites and other businesses.
The deal closes a chapter on the Miami real estate, a portion of which had been up for sale while the Miami Herald was still operated by the Knight Ridder Co. McClatchy acquired Knight Ridder, including the Herald, in 2006.
The company plans to use the most of the proceeds to fund its pension plan and pay off debt.
Bayfront 2011 Property is a subsidiary of Genting Malaysia Berhad (GENM.KL).
- Qatar adamant it will host 2022 World Cup despite doubts
- Argentina's Fernandez to meet billionaire investor Soros in New York
- New Jersey hiker killed by black bear: police
- Exclusive: Iran seeks give and take on Islamic State militants, nuclear program
- Islamic State urges attacks on U.S., French citizens, taunts Obama