The historic former Warner Bros. studio on Sunset Boulevard, now occupied by television station KTLA-TV Channel 5, has been put up for sale by Tribune Co. amid a wave of high-stakes real estate investment in Hollywood.
No price has been set for the block-size property at the southeast corner of Sunset and Bronson Avenue that also houses Tribune Entertainment and Tribune Studios. In recent years, other studios and historic properties in the neighborhood have sold for millions of dollars as investors race to take part in Hollywood's resurgence.
A real estate expert who asked not to be identified because he may become involved in the bidding process valued the property at about $175 million. Nearby Sunset-Gower Studios, the former Columbia Pictures headquarters, sold this month for more than $200 million.
KTLA occupies the prominent Colonial-style mansion facing Sunset that was built by Warner Bros. in 1919.
City officials expressed hope that the property would remain entertainment industry-oriented. Several historic properties in Hollywood are being turned into condos, apartments and shops.
Television shows filmed at Tribune's production facilities on the property -- but separate from KTLA -- include "Judge Judy," "Judge Joe Brown" and "Hannah Montana."
Chicago-based Tribune, which also owns the Los Angeles Times, has retained real estate brokerage Cushman & Wakefield "to explore strategic alternatives for the property," said Gary Weitman, a Tribune spokesman.
Even after a sale, KTLA would remain at its current location as a tenant for an indefinite period, said Carl Muhlstein, a Cushman & Wakefield broker. "They hope to start planning for a new facility either somewhere else on the site or nearby. KTLA has a long-term commitment to Hollywood."
KTLA needs to update its facilities, General Manager Vinnie Malcolm said. "We have been working around a lot of not-very-efficient uses of space. There is no question we could use a better physical plant."
Tribune is moving quickly to sell the property by year-end, Muhlstein said. That could coincide with the company's pending $8.4-billion buyout by Chicago real estate magnate Sam Zell, expected to close in the fourth quarter.
A representative for City Councilman Eric Garcetti said the councilman hoped the property would continue to be a hub for entertainment businesses.
