Rob Renaud, executive vice president of global client solutions with commercial real estate brokerage and advisory firm Devencore, said fulfilling the type of commitment Netflix promised would not have been possible without some type of local leasing deal.
"I wouldn't be surprised if this isn't some type of short-term deal for them," said Renaud, who is familiar with studio leasing but didn't have any specific knowledge of the transactions. "I wouldn't be surprised if Netflix eventually opened up its own studio. It's just a matter of time."
Renaud said the Netflix deals will tighten the market for production space in Toronto. Bell Media said about a year ago that it had entered into an agreement for its Bell Media Studios division to acquire a majority stake in Pinewood Toronto Studios, in partnership with Comweb Studio Holdings, Castlepoint and the city of Toronto. The 325,000-square-foot studio is set to expand by another 200,000 square feet.
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