CBRE Report: Making a case for Investing in Entertainment Production Studio Rental & Technology Space
Anyone out there investing in the real estate side of entertainment production studios? Kind of a niche area but I've noticed more and more attention being put on this area. CBRE has a report (https://www.cbre.us/research-and-reports/North-Am…) that talks about some of the supply-demand side factors here and the growing impact of streaming services like Netflix really tipping the demand side of that equation. Waitlists for getting studio space at some of these studios can be as far as 1 -2 years out into the future. The report does not get into detail on the revenue that these studios make but I imagine the rent per square foot in these spaces must be pretty high to justify the spend on the equipment and specialization in these facilities. I am wondering if anyone has considered this space or has any experience investing or pursing these types of deals. Specifically, what types of rents can these guys get? And what does their op ex look like?