Partner:
Sam, the papers say that you recently rented your sister's company a 7,500-square-foot executive suite in our tower. According to Grubb-Ellis' First Quarter 2008 report, average square foot office rates for Class A properties in that neighborhood are $35.02 per square foot, per year.
Our company and your sister's company inked a two-year lease, the article says, suggesting that the deal may have been worth somewhere in the neighborhood of $500,000. I certainly hope that's true, because that kind of money would pay for five new journalists, easy! An unnamed spokeswoman for Lizard Investments, Leah Zell Wanger's investment firm, assured that the deal was done at "market rates."
You know us journalists, though. You say your mother loves you, check it out. Tribune's "Related Persons Transactions Policy" requires that you disclose any transactions between "related persons" worth more than $120,000. Further, the transaction must be approved by a quorum of ""disinterested" Board Members.
Where can we find out more about this?
Sincerely,
Your unwilling partners.
Question for those on Project 2: Did this rental agreement qualify as a related persons transaction? If so, did the board approve it? Finally, was a disclosure form filed? And if so, where can we find it?
