Boom time for UK studios

Broadcast

The impact of Brexit has, in the short term at least, increased demand for space as TV projects and feature films battle it out while studios expand capacity. http://www.broadcastnow.co.uk/features/boom-time-for-uk-studios/5110280.article

The UK might be mired in economic uncertainty, but studios are confident that their recent boom can continue.

“To put it cynically, the exchange rate post-Brexit has done us a favour and, if anything, intensified the volume of enquiries, particularly from the US,” says Film London chief executive Adrian Wootton.

Since 2013, the UK has gone from having almost no alternative studio space to ramping up space at The Bottle Yard, the opening of Pinewood Cardiff and Church Fenton in Yorkshire – not to mention three new stages at Leavesden, multiple warehouse conversions like the one in Hayes for Tiger Aspect’s Fortitude, and additional stages coming on stream at Pinewood HQ and in Belfast.

“Production is cheaper than it was before,” says Wootton. “In truth, we’ve done really well to manage capacity, but we do want more, from London to Scotland, because we know the demand is there. I don’t think we’re tapped out in terms of demand or potential for more infrastructure.

“We’re being very proactive and aggressive about marketing UK studios.”

In November, two massive sound stages, comprising 66,000 sq ft, will open in Belfast.

Costing developer Belfast Harbour Commission £20m, the soundproofed North Foreshore Film Studios are bespoke builds, not retrofits of existing warehouses, and can be split for two entirely separate productions or joined to create one workspace.

High-speed internet pipe Project Kelvin provides access to the US east coast, for studios wanting to screen dailies.

“The UK reached a tipping point a few years ago where there just wasn’t enough bespoke stage space to keep pace with the rise in TV drama,” says Andrew Reid, head of production at NI Screen.

“The Harbour Commission has had the foresight and confidence to address that demand.”

Indeed, there are already plans to build a further 42,000 sq ft. “We’re investing more in training and bringing more people into the region to service anticipated new productions,” says Reid.

Belfast’s capacity is at its limit with Game Of Thrones installed in the eight acre (64,000 sq ft) Titanic Studios.

The latter has added another two sound stages of 21,000 sq ft, and there is also the Linen Mill half an hour to the south.

NI Screen also leases three studios at a former Britvic distribution hub, comprising 86,000 sq ft, to productions including Fox feature Morgan and BBC drama Mother And Other Strangers.

Studio owners almost universally report a boom that shows no signs of stopping.

Bristol’s Bottle Yard “has had its best business year yet”, according to site director Fiona Francombe.

Although Deal Or No Deal is no longer a fixture, shows including Company Pictures’ Starz drama The White Princess and Netflix and E4 co-pro Crazyhead are shot there.

Mammoth Screen’s Poldark shot series three in Tank House 1 and 2, with the entire production co-ordinated from the Yard’s offices.

“We’re looking to invest next year to bring more spaces into use,” says Francombe.

In East London, “business is busier than ever for occupation and future bookings”, reports 3 Mills head of studios Tom Avison.

While MasterChef cooks away on site, the main driver is high-end drama, notably series three of E!’s The Royals, for which 3 Mills has pencilled in further series.

In Manchester, The Space Project plans to double capacity by September next year.

Benefiting from a £14m investment from the City Council, Outer Space will include a 30,000 sq ft stage, 10,000 sq ft set construction workshops and 40,000 sq ft of business units.

This follows the first full trading year of drama hub The Space Project, whose productions included Cold Feet, The A Word and Houdini And Doyle.

“Netflix and Amazon have driven exponential growth in the amount of content the industry has to create, and someone has to create space in which that is made,” says founder Susan Woodward.

“We are gaining a reputation for repeat business – Dragon’s Den is signed for another run – and we’ve have had interest from American producers keen to locate outside London.”

Having been sold by Avesco to property developer Quintain in January, Fountain Studios (below) will close in December, taking with it one of the biggest fully equipped TV studios in the country.

But there was some solace this week when London mayor Sadiq Khan announced plans for the capital’s first major new TV and fi lm production studio in 25 years.

The London Local Enterprise Partnership and Barking and Dagenham Council are spending £80,000 putting together a business case for the proposed new Dagenham site, led by Film London, which they estimate could bring in more than £100m in UK spend and attract international productions.

Meanwhile, the new owner of Pinewood Group, US real estate firm Venus Grafton, paid £320m for the legendary brand and seems prepared to expand the business.

Five new sound stages, totalling 170,000 sq ft, opened in June, marking phase one of a wider £200m development.

The new owners will inject capital to kick-start the second phase of expansion, totalling a further 170,000 sq ft, and there’s a “masterplan” to redevelop the 80-year-old Shepperton site, says director of strategy Andrew Smith.

“Capacity has been constrained for many years and the UK has had to turn away business,” he says.

“Our five new purpose-built stages will allow Pinewood to accommodate two additional large inward-investment films this year.”

Films that may have shot in the UK but for a lack of space include Fox’s Alien: Covenant and Disney’s Thor: Ragnarok. Both rerouted to Australia.

Elstree will unwrap a 21,000 sq ft stage late next year, increasing site capacity by 30%, with a further 39,000 sq ft planned.

Strictly Come Dancing is lodged in Stage 2 and Netflix’s The Crown will be back at the end of the year.

“The studios are probably going through their most successful period ever, but there’s still a shortage of suitable stages in the M25 London area.

“That’s where most clients want to work, and where the majority of crew, cast and skills are,” says managing director Roger Morris.

“We already have clients who wish to use our new stage once it’s built, but more is needed.”

That’s where new space in Liverpool might come in.

Developer Capital & Centric is to build a £30m, 11,000 sq m studio near the city centre. The first phase of the project, including the soundstage, is likely to begin in early 2017, according to Liverpool Film Office, which says C&C will invite bids to run the studio.

Meanwhile, the Scottish government continues to mull the rubber-stamping of the £140m Pentland Studio development outside Edinburgh, which would bring considerably more purpose built stages to the nation.

A decision is expected within the next month and, if approved, PSL Land – the private company spearheading the studio and fi lm academy – could break ground on the 86-acre complex as early as February for opening in the first quarter of 2018.

Plans include five stages totalling 130,000 sq ft plus an exterior water stage.

The government has already approved a 30,000 sq ft extension at Wardpark, which is where Amazon and Starz’s Outlander is shot.

Two 50fthigh sound stages will bring space there to 78,000 sq ft, but the only other purpose-built unit in Scotland is a 5,000 sq ft stage on Stornaway.

Creative Scotland is also marketing 50,000 sq ft of converted space at the BBC’s Dumbarton Studios and an additional 435,000 sq ft of pop-up space at places like The Pyramids in Bathgate, Leith’s Pelamis Building, Glasgow’s West Way and Dundonald in Ayr, where ITV’s Loch Ness recently shot.

IMPACT OF BREXIT: SO FAR SO GOOD

“In the short- to mid-term, we’re as strong as we’ve ever been, but we need to find out what the government is going to do and then see what effect that has.”

Tom Avison, 3 Mills

“Most of our customers are domestic and there’s no sense of change yet. The biggest issue is uncertainty and that’s the one thing the industry doesn’t like.”

Fiona Francombe, Bottle Yard

“The biggest concern is the freedom of movement of labour. Some aspects of the industry, notably VFX, draw heavily on skilled labour from abroad. We can’t automatically fill the vacuum from the UK.”

Adrian Wootton, Film London

“Some clients have expressed concern about future investment and obviously the lack of production investment would affect studios. However, our business model is perhaps more resilient than some and we are confident we can weather any storm.”