The shift is part of a strategic partnership between Raleigh, Hackman Capital and MBS. Financial terms for the arrangement were not disclosed in an announcement. The 10-acre Raleigh complex, which dates to 1915, has 13 soundstages on a campus across the street from the Paramount Pictures lot, the original locus of Hollywood production.
Starting out under the name Clune Studios, Raleigh fostered the original United Artists upon its founding and served as a backdrop for a number of well-known film and TV productions. In the 1980s, it upgraded its offerings, building some of the first soundstages in L.A. to be erected in decades.
Through the new strategic venture, HCP and MBS will also take operational control of Raleigh’s Saticoy Studios, a 49,500-square-foot studio facility in Van Nuys, in LA’s San Fernando Valley. Saticoy has two soundstages, office and production support space and is home base for the syndicated game show Let’s Make a Deal.
Hackman and MBS have assembled a portfolio of production facilities, equipment and services in several cities. Its roster includes Culver Studios, the fabled backdrop of films like Gone with the Wind and now home of Amazon Studios; Television City Studios, the former CBS broadcasting facility near the corner of Fairfax and Beverly; and New York City’s well-established Silvercup Studios. The company also controls MBS Media Campus in Manhattan Beach, CA; Second Line Stages in New Orleans, LA; and Eastbrook Studios, which is under construction in London.
Before the coronavirus ground nearly everything to a halt in spring 2020, production was booming, with soundstage capacity at a premium. Even with Covid-19 continuing to create complications, the rise of streaming services has continued to make the facilities business a vital part of the entertainment ecosystem, though investors are taking the long-term view during the pandemic.
“As the world’s leading independent owner and operator of studio properties, we are delighted for the opportunity to have forged this relationship with Raleigh Studios and the Rosenthal family, which has been an incredible steward of this property for 41 years,” Hackman Capital Partners CEO Michael Hackman said. “We are excited to become part of the legacy of this historic property.”
Mark Rosenthal, CEO of Raleigh Studios and Raleigh Enterprises, added, “Both George Rosenthal, our Founder and Chairman, and I are thrilled about this strategic venture with Michael Hackman, his team and his partners. It feels like a homecoming as many of the key executives and managers of The MBS Group were formerly part of the Raleigh family, which makes the transition easy for our incredible Raleigh staff and our treasured tenants and clients.”
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