Investor Group Buys Burbank Studios From Warner for $375M

Worthe Real Estate Group and two other firms have bought The Burbank Studios from Warner Bros. Discovery.

The deal is worth $375 million, according to The Real Deal, which cited a Los Angeles County record filing. Located in Burbank’s Media District, the area equals 685,000 square feet. The 27-acre studio campus comes with eight sound stages, office space, and production.

Furthermore, Worthe is eyeing two phases of development. It will include five new sound stages that will range from 18,000 square feet to 20,000 square feet each.

Along with Worthe, QuadReal Property Group, and real estate investment firm Stockbridge Capital Group are listed as buyers of The Burbank Studios.

Meanwhile, Warner Bros. will be the main tenant through a sale-leaseback. The entertainment giant has provided the sellers with financing, which amounts to $281 million, according to The Real Deal.

Worthe said in a statement today that the move “will stabilize the property with some creative office space still available for lease.” As of now, the real estate developer owns 13 buildings in Burbank.

Interestingly, Worthe and Stockbridge held ownership of The Burbank Studios for a decade and a half after purchasing the property in 2007 from NBC Universal. Then they sold it last year to the Warner Bros., in what Worthe described as a “complex transaction,” which involved the entertainment company leasing the Second Century towers. Worthe and Stockbridge were the developers of the 800,000-square-foot space.