Netflix is officially in the running for a large tract of land in New Jersey. Thus it is one of the largest developers in New York City.
The streaming giant made an offer on the so-called “Mega Parcel” in Fort Monmouth on Monday, NJ.com reported. Bidders had until noon Monday to submit proposals for the 289-acre land, a former Army base made available through the Fort Monmouth Revitalization Authority’s bid request.
Details on the offer weren’t available, but Netflix would likely be looking to turn the land into a production facility. The property isn’t sterile, however, and includes the 100,000-square-foot McAfee Center.
There is also the Fort Monmouth parade ground, a World War II memorial and Cowan Park. All these historical features must be preserved by the winning bidder.
Netflix does have some competition, however, as it was one of four offers submitted for the land. One of these came courtesy of Extell Acquisitions, a subsidiary of Gary Barnett’s Extell Development. Extell led part of the development at New Jersey’s Pier Village before selling its 50% stake in two completed phases of the project to Kushner Companies in 2020.
The other bidders for the land were Mega Parcel Development LLC and RDR Partners, a venture between Russo Development, Dinallo Development and River Development Equities. Officials warned that the selection process could take several months.
New Jersey Governor Phil Murphy pushed to make the state friendlier for film and television production. Studios are looking to take advantage of this, whether they’re intrigued by the proximity to New York City or the profitable tax breaks re-authorized by the state in 2017.
Last month, Great Point Studios reportedly began developing the Lionsgate Newark project at the former Seth Boyden Court site in the town of the same name. The $ 100 million hub is expected to span 15 acres and open by March 2024. It will include six soundstages and space for set construction, assembly, catering and crew trucks.
Cinematic facilities are also in the works in West Orange and Bayonne.
Soundstage square footage in New York and New Jersey has increased 14% since the beginning of last year, according to CBRE. The states combine for nearly 3 million square feet of stage and film areas. Another million square feet of stage is on the way.
Netflix’s motivation for bidding on the land is unconfirmed, but after seeing its shares plummet in one of its worst quarters, an effort is likely underway to cut production costs: renting out the studios. it is not cheap.
[NJ.com] – Holden Walter Warner