This Hollywood property mogul stands to lose no matter who wins Warner

Subscribe to enjoy similar stories. A drastic slowdown in the streaming business has delivered a major blow to Hackman Capital Partners, the largest independent owner and operator of soundstages. Now, whatever the outcome of Netflix’s and Paramount’s battle for Warner Bros.

Discovery, it is likely to make matters even worse for the Los Angeles-based real estate company. Hackman owns more than 60 soundstages—spaces for making films, television programs and audio recordings—at six sprawling studio properties in the Los Angeles region. Hit television shows like “Seinfeld," “Parks and Recreation" and “Big Brother" were made at studio space now owned by Hackman.

But these days, the company is suffering through the most bruising correction in decades for the city’s entertainment business. “The whole ecosystem is really under distress," said Michael Hackman, chief executive of the company that he founded in 1986. Hackman’s studios face high vacancy rates and depressed rents.

He also needs to restructure hundreds of millions of dollars in debt borrowed when rates were much lower. Whether Netflix’s agreement to buy Warner or Paramount’s competing hostile bid prevails, either combination is likely to accelerate industry consolidation. That would probably further curb demand for soundstage space, in part because Warner’s vast library reduces the need to generate fresh programming.

Warner also controls a substantial amount of its own studio real estate. So a merged company—whether led by Netflix or Paramount—would likely shift production from leased stages to its owned facilities. The Los Angeles entertainment economy has been reeling as production of movies, TV and other content has dispersed throughout the globe partly because