Netflix, the American subscription streaming service giant, has assigned the lease on an 84,000-square-foot hub in Hayes in west London that it never occupied, as it offloads some of the space it committed to before the recent slowdown in UK production.
Smurfit Westrock, the sustainable packaging group, advised by Cushman & Wakefield, has taken an assignment of Unit 1 at Segro's North Hyde Gardens, Segro Park in Hayes from Netflix.
Netflix has also recently vacated 230,000 square feet it had preleased in 2020 at Segro Park Enfield and then used to make a number of productions.
On this occasion, Netflix converted three warehouses into sound stages and workshops as it committed to spending over $1 billion on productions across the UK in 2021.
The UK film production industry has been hit by the continued impact of the pandemic and then by the Hollywood writers’ and actors’ strikes which halted US-funded titles being made in the UK.
A rip-out to return the Netflix space in Enfield to the original base build was completed in October 2024 with the space now being marketed for lease. The space has been handed back to Segro with Netflix exercising its five-year break clause.
Savills, Glenny and Colliers are advising on leasing the space.
Netflix's move to discontinue production in Enfield is understood to have also been driven by a decision that the location was not working.
The wider UK broadcasting industry has had a tough year nevertheless. Census figures from industry body Pact in September 2024 said UK broadcasters such as ITV, the BBC, Channel 4 and Sky cut programming commissioning budgets due to factors including falling advertising market, viewers turning away traditional television and inflation. The BBC’s licence fee freeze also led to spending cuts.
Netflix is advised by CBRE.