ViacomCBS is considering selling its CBS Studio Center property in the Studio City neighborhood of Los Angeles.
A possible deal to sell the 40-acre production lot with 18 sound stages is part of ViacomCBS’ plan to offload non-core assets to focus on streaming space. On August 16, real estate firm Harbor Group International purchased the downtown Black Rock property in Manhattan, known as the CBS Building, for $760 million, with ViacomCBS taking a short-term lease on site.
“ViacomCBS has engaged commercial real estate firm JLL to explore a potential sale of our Radford campus to Studio City,” CBS president and CEO George Cheeks told employees Monday of the Studio City property. via an internal email obtained by The Hollywood Reporter.
“Similar to our announcement last week regarding the sale of Black Rock in New York, this aligns with our strategy of disposing of non-core assets like real estate and directing that value towards priorities like building more of our top-notch content,” Cheeks added.
The studio closed earlier sales from CNET and Simon & Schuster to fund its expanding content and streaming strategy.
“I know that even the possibility of a sale raises many questions, especially for those who work at Radford. I can tell you that whether Radford is sold or not, we will ensure that we have the studio capacity to support our core broadcast and production businesses,” Cheeks told employees.
The asset sales were intended to position ViacomCBS with a similar structure to streaming giant Netflix, which continues to grow its international originals as it expands around the world.