Full Breakdown
Lender-Led Sale of Television City Signals Strain in Los Angeles Studio Market
7/10/2026, 3:17:27 PM
Sale Initiated by Lender Consortium
A consortium of lenders headed by Deutsche Bank has begun the process of selling Television City, the historic 22-acre studio complex on Fairfax Avenue. The lenders are owed more than $357 million, according to a notice of default filed last month, and have opted to sell the note rather than renegotiate with Hackman Capital Partners. At the same time, Deutsche Bank is marketing Manhattan Beach Studios, which also carries a default notice after Hackman missed payments on a $337.5 million balance.
Market Downturn and Hackman’s Expansion
Hackman Capital Partners spent the past decade assembling a portfolio of over 145 soundstages across North America, the United Kingdom and Ireland. The firm bought Television City in 2019 for $750 million and Manhattan Beach Studios for $650 million. Production in Los Angeles, however, has slumped sharply: filming for TV shows is more than 50 percent below its five-year average, a decline driven by post-COVID streaming profitability pressures, the 2023-24 writers and actors strikes, and broader studio belt-tightening. The weakened financing environment has left Hackman vulnerable to creditor action.
Key Players and Potential Buyers
- Hackman Capital Partners – owner of the distressed assets.
- Deutsche Bank – leads the lender group seeking to sell the properties.
- Rick Caruso – billionaire developer of The Grove and adjacent Original Farmers Market, identified as a likely buyer for Television City.
- Gillmore family – owners of the Original Farmers Market, whose interests could affect any transaction.
- Unnamed industrial company – has submitted a pre-emptive, non-operational bid for Television City’s 15 soundstages.
Official Statement from Hackman
“The studio market is evolving, and the financing environment for studio assets remains complex.” — Hackman Capital Partners spokesperson
Legal Challenge and Buyer Considerations
In 2025, Caruso filed a lawsuit alleging that a state environmental law was being used to block Hackman’s renovation plans for Television City, a move that could complicate any sale. Prospective purchasers must also weigh the site’s proximity to defense-industry hubs in El Segundo and North Orange County, which may add strategic value beyond its cultural significance.
