DISNEY DROPS THE AXE ON HOLLYWOOD CLASSICS

In a deal that’s now infamous for its high price, The Walt Disney Company acquired “Fox,” but they did not acquire the real estate—a massive studio complex situated west of Beverly Hills, which had been Fox’s home for decades. With the lease on this property set to expire, Disney has declared no intention to renew it, a decision estimated to save them around $50 million annually.

Originally more than twice its current size (until the failure of “Cleopatra” forced the gates closed for over a year before most of the land was sold to Alcoa Aluminum to create the bustling condo, apartment, and shopping/dining district known as “Century City”), the remaining area encompasses numerous soundstages, offices, and backlot streets. These were primarily constructed for the early 20th-century New York settings of “Hello Dolly” and have since been reused multiple times.

This is the location once owned by renowned film magnate Darryl F. Zanuck, a hub that saw the creation of iconic movies featuring stars like Shirley Temple, Marilyn Monroe, and Mel Brooks. It’s where blockbusters such as Towering Inferno and other disaster films by Irwin Allen were filmed indoors. This was also the site for numerous TV productions, including the original Combat!, Lost in Space, Land of the Giants, The Time Tunnel, Peyton Place, and even the 1966 version of the classic Batman series. Interestingly, Rancho Park, just across Pico from here, was often used to depict “Gotham Central Park” in the Batman series.

Initially spanning 99 acres, extending from Pico Blvd. to Olympic Boulevard and reaching up to Santa Monica Blvd. in the north, this expansive lot once housed a variety of settings, including Western towns, Arabian streets, European villages, submarine docks, special effects tanks, and much more. However, it shrank significantly when Century City expanded its boundaries. The land was acquired by William Fox about a century ago, before his company combined with 200th Century Productions.

In Los Angeles, where sound stages are still sought after despite a semi-downturn in the movie and TV industry following lockdowns and strikes, it’s likely that owners won’t struggle to rent them out to multiple productions. However, whether they will be managed centrally or subleased to several parties is yet to be determined. Fox has initiated the permit process for expanding facilities on a property worth around $1.5 Billion, suggesting their dedication to this location.

As a movie enthusiast, if the owners were to sell or lease the studios as residential/condo/highrise land, there’s no question they’d make a substantial profit, regardless of Disney’s decision to withdraw. This move seems more about Disney needing to trim costs due to several high-profile flops rather than any reflection on the studio’s inherent value itself. The non-Disney entities still occupying the lot, such as Fox Sports, Fox Network offices, and The Simpsons production offices, have yet to express any intentions of departing.

This iconic west L.A. landmark has been a staple for many years, with Disney’s numerous execs and offices making for a more convenient, enjoyable commute for their employees compared to the journey to Burbank HQ. However, these teams will now be centralized at the Disney and ABC properties in the valley.

Having spent my childhood just a stone’s throw away from the studio and having contributed significantly over the years, I’m thrilled that it appears to remain a source of entertainment. Yet, I can’t help but be astounded at the vast tracts of land Disney acquired, which seem to receive little attention or utilization by the company.

2025-04-03 00:55

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