Hackman Loses Grip on L.A. Studio After $1.1B Default: Report
Hollywood’s biggest landlord is handing the keys over to lenders
By Greg Cornfield January 14, 2026 4:25 pm
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It could be a wrap for the world’s biggest studio owner and one of Hollywood’s oldest studio lots, Bloomberg reported.
Hackman Capital Partners (HCP), the largest landlord of soundstage and studio space, is feeling the pain as the film and television production industry leaks out of Southern California. HCP defaulted on $1.1 billion in financing on the historic 1.2 million-square-foot Radford Studio Center, turning the keys over to lenders.
Goldman Sachs Group is leading the effort after the borrower failed to negotiate a modification or a restructuring for a loan appraised at $1.8 billion in 2021, per Bloomberg. Radford was 63 percent occupied in June 2025, but 36 percent of the leases are set to expire this August.
Neither HCP nor Goldman Sachs immediately returned requests for comment. The landlord told Bloomberg via email on Wednesday it is continuing to work with Radford’s lenders “on a path forward,” which could include some form of debt forgiveness by giving up the property deed and surrendering the studio.
Hackman and its partner Affinius Capital (formerly Square Mile Capital) acquired the nearly 100-year-old studio campus for $1.85 billion in 2021, and had planned a $1 billion addition that would have included another 1 million square feet of soundstage space, as well as production offices and support facilities. Once operational, the expanded studio was expected to generate $5.5 billion in economic output, according to a study at the time.
“Parts of the studio are severely outdated,” Michael Klausman, president of Radford Studio Center, said at the time.
Instead, as the industry that became synonymous with Hollywood continues to splinter, the revenue at Radford last summer covered only about 21 percent of the cost of servicing the debt, and HCP has not made a payment on the loan since it matured in June. Thus, resolving the issues at the studio could help the rest of the company’s portfolio moving forward.
“We have substantial capital behind us, hold 50 percent of our assets without debt, and remain geographically diverse, with 55 percent of our studios outside the U.S.,” the firm told Bloomberg via email.
Gregory Cornfield can be reached at gcornfield@commercialobserver.com.
