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Warren Buffett's Berkshire Hathaway bets on Atlantic City

Source: Newseum

Warren Buffett is going to Atlantic City, N.J., with his growing wager that community-oriented newspapers in small- to medium-sized cities can survive and even prosper in the Internet age.

Berkshire Hathaway's BH Media Group will buy The Press of Atlantic City next month, according to the newspaper and the Omaha World-Herald, also a Berkshire property.

The seller is Abarta, a family-owned holding company based in Pittsburgh that's owned the newspaper since 1951.

The price was not disclosed.

The Press will become Berkshire's 30th daily newspaper. The roster includes recent purchases the Roanoke Times in Virginia and The Tulsa World in Oklahoma.

(Read more: Berkshire buys Omaha newspaper despite industry's 'terrible' future)

Once again, the Press fits Buffett's strategy of buying community-oriented newspapers in small and midsize cities that provide information not available from the online sources that are threatening larger publications.

It has a daily circulation of 67,000 and a Sunday circulation of 77,000. The Press says its website has 700,000 unique visitors each month.

(See more: Warren Buffett tossing papers and singing his 'Paperboy' song)

At this year's Berkshire shareholders meeting in May, Buffett told CNBC that he doesn't expect to "move the needle" at Berkshire with its newspaper buys but he does think they'll generate an annual return of 10 percent, so "we're not doing anything dumb."

—By CNBC's Alex Crippen.

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