Netflix Among Suitors Interested in Buying Radford Lot

Netflix in Talks to Purchase Radford Studios Lot in Studio City

According to a reliable source familiar with the negotiations, Netflix is one of the potential buyers interested in acquiring the Radford Studios lot in Studio City.

The initial report about Netflix’s interest in the property, which went into foreclosure earlier this year, was disclosed by Michael Trujillo, a political campaign consultant. Bloomberg later confirmed the report, citing three sources with inside knowledge of the discussions.

While the deal is not finalized yet, Netflix is reportedly a frontrunner in the bidding process to purchase the lot.

The Radford Studios lot was bought by Hackman Capital Partners for $1.85 billion from ViacomCBS in 2021. However, due to a significant decline in occupancy and rising interest rates, the company defaulted on its $1.1 billion note, leading to the lot being seized by Goldman Sachs, its primary lender.

Reports suggest that the sale price for the property is approximately $400 million, with rumors circulating among brokers and City Hall officials.

While Hackman continues to manage the lot, Goldman Sachs is actively seeking a buyer for the property. Both companies have chosen not to comment on the ongoing negotiations. Similarly, Netflix has also refrained from making any official statements regarding the potential acquisition.

The 55-acre site, originally constructed in 1928, is in need of significant renovation. Hackman had previously announced plans to invest $1 billion into the property in 2023, but those plans have been put on hold.

In addition to the potential acquisition of the Radford Studios lot, Netflix has committed to building a $1 billion studio at Fort Monmouth, a former Army base in New Jersey. The streaming giant is set to receive substantial state subsidies and tax credits for its production activities at the new studio.

Netflix has previously made similar investments in studio infrastructure, including the purchase of ABQ Studios in New Mexico in 2018. The company has received generous tax incentives from the state for its long-term commitment to production activities.

Hackman Capital Partners, a major player in the studio ownership industry, also owns Culver Studios, Television City, and various other studios across different locations globally.