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Merc may move some of its operations

Another MediaNews Group newspaper may be moving to a smaller home. In the past couple of years, MNG has relocated the San Mateo County Times, Oakland Tribune, Santa Cruz Sentinel and Palo Alto Daily News to leased locations. Now it appears the Mercury News may be next.

Publisher Mac Tully says he has hired a broker to sell the paper’s headquarters near 880 and Brokaw Road. The Merc has operated out of that location since 1966.

A story Friday indicated that the Merc might move about 400 of its employees to a new location and keep its printing presses and other post-production equipment on the current site, which is about 32 acres.

A constant rumor, however, is that the Merc is looking to move its printing to the new plant that Canadian printing company Transcontinental is building in Fremont to service the Chronicle. The plant is larger than what the Chron needs, which has fueled speculation that one or more MediaNews papers might be printed there as well. (See item below.)

Tully said the Merc could either sell about two-thirds of the site, or sell the entire property and lease back a third for the production facility. An adjacent 18-acre property was sold by the Mercury News’ previous owner last year for about $27 million. That property is now being developed for a new Lowe’s home improvement store. (Photo credit: AP, Mario Jose Sanchez, Dec. 4, 2006)

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