Jared Kushner Trying to Exit the New York Observer?
New York Observer owner and boy wonder Jared Kushner just bought a ("sexy") new $3.2 million apartment. In other news, we hear he'd like out of that paper. If only.
The rumors we hear say that Kusher would like an elegant, face-saving exit from the failing newspaper business, and that he's had talks with Politico and Huffington Post about buying or merging with the Observer, but neither one has bitten.
That would make Jared Kushner just like every other newspaper owner in America right now. The Kushners have surely lost a small fortune in real estate already in this downturn; no reason to be invested in another dying business on top of that.
But even though any half-savvy negotiator could probably get a newspaper just by taking over the payments, like a 2007 Toyota Camry, it's hard to see why anyone would want one right now. The last paper to sell was in San Diego (cheap), but that one had many more scrappable assets than the Observer has. The NYO is a great read but until the NYC real estate market starts booming and buying ads again, it's hard to see how the hell it makes any money. Suck it up, Kushner. At least you have a $3.2 million apartment.
UPDATE: PR man Steven Rubenstein sent us the following email:
In response to your post for earlier today, here is a statement from Jared Kushner:
"After the election, The Huffington Post and Politico both independently reached out to us to discuss web partnerships. At the time, Politico also asked if the Observer was for sale. Although we were flattered by the ask, the Observer was not for sale then and is not for sale now."