Just five months after the DreamWorks Animation campus in Glendale had been sold, it has been sold yet again, going for $30 million more than it did five months ago.
The residency deal allows DreamWorks to remain a tenant on the Tuscan-style property in a 20-year lease, paying an annual rent of $13.2 million with a rising 1.5% interest each year. The contract can be renewed every 5-years.
The initial sale of the campus was a part of DreamWorks’ plans to restructure the company after the loss of 500 jobs and shutting down their main PDI/DreamWorks Studio. The campus initially sold for $185 million in February to SunTrust Banks, Inc. Griffin Capital Essential Asset REIT then purchased it for $215 million. DreamWorks was able to gain 50% of the $30 million profit, splitting it with SunTrust.
The struggling studio had a $54.8 million loss when the first quarter period was announced on March 31, 2015. We will soon find out about Quarter 2 on August 4. Hopefully, the profits from this resale will help the company.
DreamWorks has been in upheaval, struggling with finances. Do you think that they will pull through?
Edited by: Kelly Conley
