Shinfield Studios tunes into £261m development loan
Shinfield Studios has tapped Cain International for a £261.5m development loan, to build one of the UK’s largest film and television production facilities.
The loan from the privately held investment firm will support the development of a near-1m sq ft film and TV production campus near Reading. The site will comprise 18 soundstages across more than 437,000 sq ft, as well as 192,300 sq ft of offices and 265,500 sq ft of workshop space.
Matteo Milan, real estate finance principal at Cain, said: “With the UK’s creative industries having grown three times as fast as the wider economy between 2010 and 2018, and the pandemic accelerating trends towards online streaming exponentially, we are entering a fascinating moment for this market.
Shinfield Studios has tapped Cain International for a £261.5m development loan, to build one of the UK’s largest film and television production facilities.
The loan from the privately held investment firm will support the development of a near-1m sq ft film and TV production campus near Reading. The site will comprise 18 soundstages across more than 437,000 sq ft, as well as 192,300 sq ft of offices and 265,500 sq ft of workshop space.
Matteo Milan, real estate finance principal at Cain, said: “With the UK’s creative industries having grown three times as fast as the wider economy between 2010 and 2018, and the pandemic accelerating trends towards online streaming exponentially, we are entering a fascinating moment for this market.
“Having the appetite and drive to reach new markets, a collaborative approach, and the expertise to make the most of unique opportunities, we look forward to expanding Cain’s footprint in this sector and others in the near future.”
So far four soundstages have been completed and are fully let to Disney, with the remainder of the project scheduled to deliver in phases beginning in the first quarter of next year to Q3 2024.
Shinfield Studios is the first UK outpost of Blackhall Studios, which is controlled by affiliates of Los Angeles-based Commonwealth Asset Management.
The platform operates an 850,000 sq ft production campus with nine soundstages in Atlanta, Georgia, and is developing approximately 2.5m sq ft of production space across two purpose-built studio campuses in Atlanta and LA.
Demand for film and TV production space soars >>
Peter Rumbold, chief executive of Blackhall Studios owner BGP HoldCo, and managing director of real estate at CAM, said: “We are thrilled to partner with Cain International to deliver more of the much needed critical infrastructure necessary to support the increasing expansion of film and television production in the UK.
“A hallmark of our approach is to develop first class, purpose-built production hubs in key global markets to quickly and efficiently meet our customers’ needs. Completing the first phase of Shinfield Studios in under a year was a remarkable achievement by our team, and we are looking forward to delivering the next phase of the project early next year.”
Upon completion of these development projects, Blackhall Studios will own and operate a portfolio totalling 64 soundstages and more than 4.2m sq ft of lettable area, making it one of the largest operators in the sector.
Streaming companies’ production spending has been on a consistent upward trajectory in recent years, with 2019’s record total being 85% higher than five years earlier. In 2021, Lambert Smith Hampton forecasted an estimated shortfall of supply of 2.3m sq ft.
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Image © Shinfield Studios
