Disney Space in Hamilton Closer to Getting New Tenant

The almost 120,000 square feet of Hamilton office space being vacated by Disney’s ImageMovers Digital is getting significant interest from new potential tenants, and one company is putting pen to paper to bid for part of the space.  The details are under wraps since the potential deal is in its early stages, but here’s what we know.

The interested party is a California-based company, according to Hamilton Landing’s commercial leasing agent, Brian Eisberg of Cornish & Carey. Eisberg also represents the prospective tenant, who is in the process of writing a letter of intent to lease one floor of a hangar, which amounts to half the building. Eisberg wouldn’t say whether it’s Hangar 7 or 9, both of which housed ImageMovers Digital  animation studio.   

“Our preference is for a tenant to occupy the whole hangar, which is about 60,000 square feet. But we could entertain a half-hangar tenant, at 30,000 square feet,” said Eisberg.

IMD announced last March that it would after completing production on "Mars Needs Moms," a 3-D computer-animated sci-fi film set for release March 11. The Disney subsidiary had set up shop at Hamilton Landing in 2008, becoming the largest tenant. Their seemingly abrupt exit came as a surprise to many.

Eisberg said Disney will pay out the lease obligation, which is expected to run until April 2014.That means prospective tenants need to negotiate with both Disney and the landlord, Barker Pacific Group.

Negotiations after a letter of intent can take upward of 90 days, but Eisberg said he expects this one to go more quickly, perhaps about 45 days.  The next step after the letter of intent is for Disney and Barker Pacific either to counter the offer or accept the terms. In the meantime, the space is still available and any other interested party could still step in and make an offer.

The letter of intent isn’t the only action around the Disney space. Eisberg said there have been two recent inspections, or showings, of Hangars 7 and 9, and one client in particular seems very interested.

Eisberg said interest in Hangar 9 is somewhat specific to the entertainment industry, as there is a large movie presentation theater and sound stage.  Hangar 7 is suited for general office space.

“We’re happy with the activity we’re seeing here,” said Eisberg. “I’m hopeful and somewhat confident that we’ll fill or almost fill these buildings by the end of 2011.”

All of this comes as good news to Café Joel in Hangar 6, a local business that has been hard hit by IMD's departure. 

“We’re thrilled to hear about a possible new tenant,” said Karen Brorby, the restaurant’s co-owner. “We look forward to finding out what they like to eat.”

IMD gave Café Joel enough business, through both catering and walk-ins, that they were able to afford extending their hours and staying open for dinner. But just a couple of weeks ago, Brorby and co-owner Chef Joel Grollmus were forced to cut back the café’s hours. It now closes at 3 p.m. instead of 8:30 p.m. weekdays. They hope to reopen for dinner if business picks up again.

To date, Hamilton Landing is 90 percent leased, according to Eisberg. He said some current tenants are in the process of expanding their spaces, and there are others who are renegotiating their leases to stay. Eisberg said to his knowledge, no additional tenants are leaving.