{"id":224698,"date":"2021-04-12T10:11:00","date_gmt":"2021-04-12T07:11:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/the-streaming-wars-have-a-winner-in-this-real-estate-sector\/"},"modified":"2021-04-12T10:11:00","modified_gmt":"2021-04-12T07:11:00","slug":"the-streaming-wars-have-a-winner-in-this-real-estate-sector","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/the-streaming-wars-have-a-winner-in-this-real-estate-sector\/","title":{"rendered":"#\n  The streaming wars have a winner \u2014 in this real estate sector"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a35fd1b89dce\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a35fd1b89dce\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/the-streaming-wars-have-a-winner-in-this-real-estate-sector\/#Stay-at-home_entertainment_powers_a_real_estate_niche_soundstages_and_production_offices\" >Stay-at-home entertainment powers a real estate niche: soundstages and production offices<\/a><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/the-streaming-wars-have-a-winner-in-this-real-estate-sector\/#Here_we_are_now_entertain_us\" >Here we are now, entertain us<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/the-streaming-wars-have-a-winner-in-this-real-estate-sector\/#Landlord_to_the_stars\" >Landlord to the stars<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/the-streaming-wars-have-a-winner-in-this-real-estate-sector\/#Joy_Wiltermuth\" >Joy Wiltermuth<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong>#<br \/>\n  The streaming wars have a winner \u2014 in this real estate sector<br \/>\n<\/strong>&#8221;<\/p>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Stay-at-home_entertainment_powers_a_real_estate_niche_soundstages_and_production_offices\"><\/span>\n  Stay-at-home entertainment powers a real estate niche: soundstages and production offices<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div class=\"cx--next\">\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000227387\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       Hollywood was running out of studio space even before the pandemic hit.<\/p>\n<p> Now after a stay-at-home year, <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>etite for streamed entertainment, including original content, is surging. So, too, is demand for high-quality soundstages, creative labs and production offices.<\/p>\n<div class=\"paywall\">\n       How much are consumers bingeing? COVID-19 fueled a 74% year-over-year increase in streaming-video demand, according to an October report from CBRE Americas Research, a commercial-real-estate services firm.<\/p>\n<p>Netflix Inc.<br \/>\n        NFLX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/202353025\/composite\" class=\"positive\">+0.13%<\/bg-quote><span>,<\/span><br \/>\n       Apple Inc.<br \/>\n        AAPL,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/202934861\/composite\" class=\"positive\">+2.02%<\/bg-quote><span>,<\/span><br \/>\n       Amazon.com Inc.<br \/>\n        AMZN,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210331248\/composite\" class=\"positive\">+2.21%<\/bg-quote><span>,<\/span><br \/>\n       the Walt Disney Co.<br \/>\n        DIS,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/203410047\/composite\" class=\"positive\">+0.30%<\/bg-quote><br \/>\n       and its Disney+ and Hulu platforms, and other streaming companies that also create their own shows \u2014 not to mention legacy film studios, network television and advertising interests \u2014 have needed every last inch and more of an estimated 11 million square feet of production space in a handful of North American cities.\u00a0<\/p>\n<p>\u201cContent is king,\u201d said Spencer Levy, senior economic advisor at CBRE. \u201cIt\u2019s only getting more important and getting more diverse.\u201d<\/p>\n<p>Viewing habits may ease up once consumers venture back into restaurants and sports arenas, but the 24\/7 streaming trend, with watching on the go and across multiple devices, is expected to stick.<\/p>\n<h6><span class=\"ez-toc-section\" id=\"Here_we_are_now_entertain_us\"><\/span><strong>Here we are now, entertain us<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>The push to produce comes after years of studios operating at greater than 90% capacity, per CBRE, and as U.S. <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a> companies plan to dramatically increase their production budgets for original content, after spending an estimated $121 billion in 2019, according to data from Variety Intelligence Platform. The unique nature of the stay-at-home economic slump only reinforced entertainment\u2019s recession resiliency, which draws investors for the long term.<\/p>\n<p>With so much money on the table, Los Angeles and other filming hubs have been scrambling to attract new business, and they hope to keep the backlogged productions sidelined by COVID-19 from moving out of town.<\/p>\n<p>\u201cEntertainment is an extremely important part of the California economy,\u201d said Colleen Bell, executive director of the California Film Commission, adding that production had ramped up in the state through summer, fall and winter, following the implementation of new health and safety precautions.\u00a0<\/p>\n<p>\u201cCalifornia\u2019s ability to bring production back after shutdowns from COVID-19 has resulted in fast-impact expenditures that have helped quick-start the economy,\u201d Bell said.<\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>California offers $330 million in annual tax-credit funding to film and television companies, but media companies also could be entitled to further funding under Gov. Gavin <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a>om\u2019s pandemic budget proposal.<\/p>\n<p>Speaking from another large film hub, Lee Thomas, deputy commissioner of the Georgia Film, Music and Digital Entertainment Office, said that production began to return to the state in September following the shutdowns, but that by January the state had 12 features and 39 television <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">series<\/a> in different stages of production. \u201cThat\u2019s busy for us,\u201d Lee said.<\/p>\n<p>Entertainment companies had historically rented soundstages on an as-needed basis. Netflix snapped that trend when it began routinely taking on multiyear leases to keep its production pipeline in full swing. Content rivals have followed Netflix\u2019s lead, and so have real estate investors.<\/p>\n<p>Still, the ongoing real estate allure of this creative sector is not a foregone conclusion. There\u2019s at least one burgeoning competitor from outside the entertainment business. Warehouse demand tied to the jump in online shopping and shipping also requires industrial-sized footprints. Building a soundstage comes at roughly four to five times the cost of building a distribution warehouse.<\/p>\n<h6><span class=\"ez-toc-section\" id=\"Landlord_to_the_stars\"><\/span><strong>Landlord to the stars<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>The niche market already has a blockbuster deal as a yardstick. As Los Angeles was resuming studio production in June after a near-three-month halt, real estate behemoth Blackstone was wrapping up its plans to take a splashy 49% stake in Hudson Pacific Properties\u2019 Sunset Studios, one of Hollywood\u2019s largest studio operations.<\/p>\n<p>The deal included 2.2 million square feet of studio space and nearby office properties valued at $1.65 billion, alongside rights to build another 1.1 million square feet at the three-studio complex.<\/p>\n<p>\u201cToday, it is one of our highest-conviction themes,\u201d said Nadeem Meghji, head of real estate in the private-equity firm\u2019s Americas region, referring to ownership of studio space for creating film, television and digital content.\u00a0<\/p>\n<p>Meghji said the lack of available land in Los Angeles County has meant almost no new studio supply being created in the past 20 years. \u201cFundamentally, this is a real estate play, and critical infrastructure for the production of TV shows and film.\u201d<\/p>\n<p>\u201cWe think we are uniquely positioned to grow our studio footprint, both in L.A. and a small handful of markets in the U.S. and globally,\u201d Meghji told MarketWatch. That\u2019s reported to include other known film hubs including New York, London and Vancouver.<\/p>\n<p>\u201cWhat we love about this,\u201d the Blackstone executive said, \u201cis the strong demand, and also very limited supply.\u201d\u00a0<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>      <span>By<\/span><\/p>\n<div class=\"author  hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Joy Wiltermuth\",\"subhead\":\"The Wall Street Journal\",\"list\":[]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Joy_Wiltermuth\"><\/span>Joy Wiltermuth<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<\/p><\/div>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B21005575-02D4-D4B5-4572-D3783BAB24BD%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# The streaming wars have a winner \u2014 in this real estate sector &#8221; Stay-at-home entertainment powers a real estate niche: soundstages and production offices Hollywood was running out of studio space even before the pandemic hit. Now after a stay-at-home year, appetite for streamed entertainment, including original content, is surging. So, too, is demand&#8230;<\/p>\n","protected":false},"author":1,"featured_media":224699,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-224698","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/224698","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=224698"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/224698\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/224699"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=224698"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=224698"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=224698"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}