Business Week: Broken Dream for DreamWorks?
Posted on July 2, 1999Ending a four-year drama, DreamWorks appears ready to abandon plans to build Hollywood's first new studio in 60 years, Business Week reports.
The film company has been unable to get financing for the $250 million studio complex it wanted to build on 47 acres in Playa Vista, Calif. Los Angeles billionaire Gary Winnick and AFL-CIO pension-backed Union Labor Life Insurance had intended to lend DreamWorks $200 million. But negotiations bogged down over lending covenants. DreamWorks, which BW says is likely to formally pull out in the next month, is already planning to expand its current Glendale, Calif. animation studio to accommodate its administrative staff.