LA North Studiosa sound stage and film production studio, signed a 70,550 square foot lease with landlords desert orchard and Golden Westminster Investments for a building in Santa Clarita, California. A CBRE team including Executive Vice President Craig Peters and Senior Vice President Sam Glendon arranged the transaction.
Located in the Valencia Commerce Center, the establishment of 28525 Witherspoon Parkway was originally built for MechanixWear Gloves in 2006 and served as the company’s headquarters until 2020, when the current owners acquired it for around $11 million.
The new LA North location includes 20,000 square feet of office space and a 54,000 square foot warehouse on 5.4 acres. The tenant plans to convert the facility into sound stages, while the offices will serve as a production studio. Building specs include 28-foot headroom and 1,600 amps of power. The property is less than 2 miles from Interstate 5, which connects to the Hollywood Film Center, approximately 30 miles east.
The most recent lease will bring LA North studio space to more than 460,000 square feet across five Santa Clarita locations. LA North, which launched in 2019, has grown its business over the past few years working for clients including Warner Bros., Disney, Netflix and Amazon. In November 2020, the studio signed a five-year, 113,640 square foot lease with Trammell Crow Co. and Clarion Partners for Building 5 of the Center at Needham Ranch.
Demand for production facilities has exploded since the start of the pandemic. In 2020, the global entertainment market topped $100 billion for the first time ever, with digital home entertainment accounting for more than half of revenue, according to Forbes.
Faced with strong national competition, the California film industry has the support of the state in its desire to stay one step ahead. In July last year, Governor Gavin Newsom signed a two-year, $330 million bill providing tax incentives for film and television production, with some $150 million earmarked just for renovations to the soundstage.