One of many oldest film studios in Los Angeles is up on the market, maybe to the latest technology of content material creators.
The potential sale of Occidental Studios comes amid a drop in filming in Los Angeles because the native leisure business faces such headwinds as rising competitors from studios in different cities and nations, in addition to the aftermath of filming slowdowns through the pandemic and business strikes of 2023.
Occidental Studios, which dates again to 1913, was as soon as utilized by Mary Pickford and Douglas Fairbanks to make silent movies. It’s a small model of a conventional Hollywood studio with soundstages, workplaces and writers’ bungalows in a 3-acre gated campus close to Echo Park in Historic Filipinotown.
Kermit the Frog above the Jim Henson Firm studio lot in Hollywood.
(AaronP/Bauer-Griffin/GC Pictures)
The vendor hopes its boutique fame will garner $45 million, which might rank it one of the priceless studios in Southern California at $651 per sq. foot. A legendary Hollywood studio based by Charlie Chaplin in 1917 offered final 12 months for $489 per foot, in line with actual property information supplier CoStar.
The Chaplin studio identified till not too long ago because the Jim Henson Firm Lot was bought by singer-songwriter John Mayer and film director McG from the household of famed Muppets creator Jim Henson.
Occidental Studios could promote to one in every of at this time’s fashionable content material creators seeking a flagship location, stated actual property dealer Nicole Mihalka of CBRE, who represents the vendor.
She declined to call potential patrons however stated she is displaying the property to new-media companies who don’t current themselves by means of conventional channels reminiscent of tv exhibits and as an alternative depend on social media and the web to succeed in youthful audiences.
Occidental Studios, which dates again to 1913, was as soon as utilized by Mary Pickford and Douglas Fairbanks to make silent movies.
(CBRE)
New media entrepreneurs could not typically want soundstages, “but they like the idea of having the history, the legacy” of a studio linked to the early days of cinema, she stated. It would lend credibility to a model and grow to be a vacation spot for promotional actions in addition to being a spot to create content material, she stated. Mihalka envisions the area getting used for occasions for companions, sponsors and advertisers in addition to press junkets for brand spanking new product launches.
Leisure companies situated close by embrace filmmaker Ava DuVernay’s Array Now, unbiased movie and manufacturing firm Blumhouse Productions and movie and manufacturing firm Rideback Ranch.
Neighborhoods east of Hollywood reminiscent of Los Feliz, Silver Lake, Echo Park and Highland Park have grow to be residence to many individuals within the leisure business, which Mihalka hopes will elevate the attraction of Occidental Studios.
“We’ve been seeing film and TV talent heading this way for a while,” she stated, together with executives who additionally reside in these neighborhoods.
The proprietor of of Occidental Studios stated it’s gotten more durable for smaller studios to function within the present financial local weather that features competitors from main unbiased studio operators which have emerged in latest many years.
“Once upon a time, you did not have multibillion-dollar global portfolio companies swimming in the waters of Hollywood,” stated Craig Darian, chief government of Occidental Leisure Group Holdings Inc., citing Hudson Pacific Properties, Hackman Capital Companions and CIM Group. “They are not content producers, but have a long history of providing services for multiple television shows and features.”
Competitors now consists of abroad studios in such nations as Canada, Eire and Australia, he stated. “When production was really robust and domiciled in Los Angeles, it was much easier to remain very competitive.”
One other issue threatening the underside line for standard studios is quickly altering know-how used to create leisure together with instruments so simple as lighting.
“You used to know that equipment would last for decades,” Darian stated. “The new tools for production are becoming obsolete in far shorter order.”
Writers’ bungalows at Occidental Studios.
(CBRE)
Nonetheless, Darian stated, the potential sale “is not motivated by distress or urgency. Nothing is driving the decision other than the timing of whether or not this remains to be a relevant asset to keep within our portfolio. If we get an offer at or above the asking price, then we’re a seller.”
Darian stated he may additionally search a long-term tenant to take over the studio.
Occidental Studios at 201 N. Occidental Blvd. contains over 69,000 sq. ft of buildings together with 4 soundstages and help area reminiscent of workplaces and dressing rooms.
It’s among the many oldest regularly working studios in Hollywood, utilized by pioneering filmmakers Cecil B. DeMille, D.W. Griffith and Pickford, who labored there as an actress and filmmaker in its early years. Pickford reportedly stored an residence on the lot for years.
Extra not too long ago it has been used for tv manufacturing for such exhibits as “Tales of the City,” “New Girl” and HBO’s thriller “Sharp Objects.”
Native tv manufacturing space declined by 30.5% within the first quarter in contrast with the earlier 12 months, in line with he nonprofit group FilmLA, which tracks shoot days within the Higher Los Angeles area. All classes of TV manufacturing had been down, together with dramas (-38.9%), comedies (-29.9%), actuality exhibits -(26.4%) and pilots (-80.3%).
Function movie manufacturing decreased by 28.9%, whereas commercials had been down by 2.1%, FilmLA stated.
