Netflix is rumored to be in talks to buy the historic Radford Studio Center lot from Goldman Sachs-led lenders for as much as $400 million. The rumors come nine months after lenders repossessed the 55-acre lot from Hackman Capital Partners after the company defaulted on a $1.1 billion loan.
The $400 million is just a fraction of the $1.85 billion price tag Hackman paid for it in 2021. The deal was expected to close earlier this year according to The Hollywood Reporter, though the deadline passed without a sale.
A foreclosure auction for the property is scheduled for Nov. 24 in Pomona, according to a notice from Los Angeles County. The lenders are reportedly looking for an estimated $1.3 billion but the final purchase price is likely to come in far below that figure given the historically low levels of production taking place in Los.
At present, there haven’t been any required filings with the SEC or L.A. County by Netflix for the purchase of the lot. There is still time for another bidder to come forward and secure the lot.
The purchase would be a big step in establishing a concrete L.A. based studio for the streaming giant. For years, the company has been a tenant at Sunset Studios, owned by Hudson Pacific Properties, while also filming at Raleigh Studios. With the purchase of Radford, Netflix could consolidate their hodgepodge production scattered across the L.A. area while cutting costs associated with renting by becoming an owner of 22 stages, 210,000 square feet of office space and 172,737 square feet of support space.
Netflix has also set up shop in multiple states across the country, taking advantage of different incentives individual states have put in place. The streamer has Netflix Studios Albuquerque, a 108-acre campus with 12 soundstages, with more scattered across New Mexico. In New York, there are the six soundstages of Netflix Studios Brooklyn. In neighboring New Jersey, the massive nearly 300-acre Netflix Studios Fort Monmouth studio is currently under construction with a price tag of more than $1 billion. The projected 12 sound stages are expected to start operating in staggered openings starting next year and in 2028. In addition to its domestic production, just outside London, the streamer’s UK hub of Longcross Studios, with its five sound stages
Since 2018, Netflix has filmed more than 300 movies and TV shows primarily in the L.A. area.
“Los Angeles is an incredibly important place for film and television production, and we’re committed to keeping it one of our core production hubs in the US — supporting the city and the creative community that makes it such a vibrant place to work,” it said in a press release earlier this year. “With its diverse locations, deep bench of talent, experienced crews, best-in-class vendors and a wide variety of locations, the city offers everything we need to bring ambitious stories to life.”
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