CNN may tune out of renewing lease on signature site.

CNN executives are close to deciding whether the cable news channel will pull the plug on its signature Hollywood offices.

The Atlanta-based unit of Time Warner Inc. has hired a real estate broker and issued a request for proposals from other potential landlords, according to sources close to the situation.

CNN now leases little more than 32,000 square feet at 6430 Sunset Blvd., a 14-story building also known as Sunset Tower. CNN's brightly lit logo tops every side the building.

The news channel's space is also home to its West Coast broadcast studios and the "Larry King Live" show. Messages seeking comment from CNN and its broker, Robert Chavez, weren't returned.

Bob Scanlan, a principal with the building's owner, ScanlanKemperBard Cos., said negotiations with CNN are continuing. A final decision is expected in two weeks. "As far as we can tell they have been happy," he said. "We have made them a very attractive offer."

Still, Scanlan concedes that CNN's office space needs to be renovated and upgraded, and the company may not want to run its television operations with construction under way. "In their business, it's not necessarily advantageous to have hammers pounding in the background," he said.

CNN leases a little more than 16 percent of the building, which ScanlanKemperBard purchased a year ago for $34 million. CNN pays $119,000 a month for its four suites and signage rights, according to the building's rent roll.

Despite losing a significant tenant, Scanlan said if CNN were to leave, it would allow a thorough renovation of the office space and bring in a user that doesn't require a 24-hour operation. "They are a very intensive user," he said. "While we would be thrilled if CNN would stay, they are a relatively expensive tenant in regards to use of energy and that type of thing."