Denver Post owner falls further behind on rent; city of Denver takes multiple steps
The owners of the Denver Post have fallen further behind on their rent payments at a building owned by the city of Denver, and the newspaper owners now owe the city of Denver nearly $3 million in back rent and penalties for non-payment, CBS News Colorado learned on Friday.
Newly released documents show the city is taking multiple steps to reduce the financial damage being absorbed by the city.
CBS Colorado reported last month that DP Media Network LLC had stopped paying its rent in August for space at the Denver Post building at the corner of Broadway and Colfax Avenue. The city of Denver bought the building in 2024 for just under $89 million and assumed the Denver Post lease.
On Friday, responding to a Colorado Open Records Act request from CBS, Denver's Department of Finance said DP Media Network LLC failed to pay its November rent at the building -- its fourth missed payment. Missing that $650,000 monthly payment comes with late fees of about $32,000 per month, meaning DP Media Network LLC now owes the city over $2.7 million in missed rent payments and late fees for the last four months.
According to an article published in the Denver Post, the newspaper owners stopped paying rent because they now want to buy out their long term lease of the more than 300,000 square foot building. Although the building is called "The Denver Post" building, the Post says the newspaper has not operated out of the building in seven years.
Documents released to CBS Colorado Friday afternoon show the city, which had been leasing back space in the building, has now stopped making its monthly payments of $166,000 per month. Additionally, the city of Denver is attempting to invoke a legal clause in its lease with DP Media Network LLC to have any rent payments from any other renters in the building sent directly to the city.
"The city has exercised its right under the lease agreement to collect all rents and other payments due to DP Media Network from subleases in the building," said Laura Swartz, a spokesperson for Denver's Department of Finance. "Any sublease payments will now be made directly to the city. This includes keeping our own payments that we would have otherwise been making."
CBS Colorado emailed four attorneys associated with DP Media Network LLC on Friday seeking information on the new developments in the lease battle. None of the four responded.
In a letter dated Oct. 22 and released Friday afternoon, Denver Mayor Mike Johnston has also authorized Denver City Attorney Miko Brown to take legal action against DP Media Network LLC to recover unpaid rent, late charges, penalties, interest and fees for what the city characterizes as a lease default.
Several Denver City Council members opposed the city purchase of the building and now say the non-payment of rent is extremely damaging for a city already mired in a budget crisis.
"The city is continuing to work this as a legal matter with the tenant," said Swartz, "and will not have more to share until this is resolved."