Key facts
- Lenders are selling the $240 million mortgage on Manhattan Beach Studios.
- The property is being marketed as a prime site for defense technology and advanced manufacturing.
- The South Bay submarket is a hub for aerospace and defense companies like Raytheon, Northrop Grumman, and SpaceX.
- Hackman Capital Partners bought the studios in 2019 for $650 million.
- Lenders filed a notice of default on the property in June.
- Hackman is in lease negotiations with over four potential new tenants.
Lenders are seeking to sell the $240 million mortgage on Manhattan Beach Studios, leveraging the growing aerospace and defense technology sectors in the South Bay submarket to attract potential buyers. Cushman & Wakefield is handling the listing for the 15-soundstage campus, with Deutsche Bank AG and Kennedy Wilson identified as the lenders.
Cushman & Wakefield Vice Chair Kevin Donner stated that the site is ideal for advanced manufacturing and has been tracked for a long time. The South Bay has become a magnet for defense tech and aerospace companies, including established players like Raytheon and Northrop Grumman, as well as newer firms such as SpaceX. These companies accounted for 11% of new industrial real estate leases in the area since the beginning of 2025, according to Newmark.
Hackman Capital Partners acquired Manhattan Beach Studios in 2019 for $650 million. The property is part of Hackman's broader portfolio of studio real estate, which has faced difficulties due to rising interest rates and disruptions in the entertainment industry, including strikes. Lenders filed a notice of default on the Manhattan Beach Studios property in June.
In a separate but related development, another Hackman property, the Radford Studio Center in Studio City, was repossessed by lenders led by Goldman Sachs Group Inc. and is slated for sale to Netflix at a significantly reduced price. Hackman has not yet relinquished control of Manhattan Beach Studios and is reportedly in lease negotiations with more than four potential new tenants, with lenders also showing interest in financing the site.