AXA IM Alts is set to acquire the BBC Elstree Centre, the studio known for being the filming location of EastEnders and Strictly Come Dancing.
The alternative investments firm has exchanged contracts on the 16-acre campus in Borehamwood, WD6, which comprises seven stages and currently includes workshop, office and postproduction facilities. The deal is due to complete in early 2025.
As part of the transaction, AXA IM Alts will lease part of the studio campus back to the BBC for 25 years.
It is understood that the BBC put the site on the market with a price tag of £70m in August 2022, shortly after its commercial arm extended its lease at the site.
AXA IM Alts also said the site presents an opportunity for brownfield redevelopment to deliver a new studio campus, with filming and production space.
The move marks the company’s first investment in the UK film and television studio market and marks a move toward the sector as it benefits from growing demand for content. It is being transacted on behalf of private clients.
This follows AXA IM Alts’ acquisition of the Bry-sur-Marne Studios on the outskirts of Paris in June 2023, which includes one of France’s largest film and TV studios and underpins increasing global demand for purpose-built studio space.
BBC Elstree Centre was the first of several studio complexes in the area, which are collectively known as Elstree Studios. It was originally built as a film studio for Neptune Films in 1914 before being converted for use as a television studio in 1960. The site was sold to the UK national broadcaster in 1984 as the production base for soap opera EastEnders.
John O’Driscoll, global co-head of real estate at AXA IM Alts, said: “With the signing of BBC Elstree Centre we will be acquiring one of the oldest working TV and film studios in the UK, with a history dating back almost 110 years.
“The structure of the transaction allows the BBC to continue its production on the site for at least another 25 years, while providing us with the opportunity to invest in the site to create new world class studios.”
O’Driscoll added: “The TV & film studios sector remains one of our conviction asset classes, being underpinned by increasing demand from an ever-broader array of production houses, content creators and broadcasters. This is coupled with very limited supply of high-quality modern film and production space, particularly in and around London where new construction is hindered by a lack of available land in the right locations.”
Oxygen Studios advised on the acquisition and will act as development and operating partner.
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