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Studios: one company will leave after rent increase

Only one business has confirmed it will leave the Elstree Film Studios site in Borehamwood following large increases in rent.

Earlier this month the Borehamwood & Elstree Times exclusively revealed that Hertsmere Borough Council, which owns and manages the site, handed out letters informing the 21 companies that operate from the Shenley Road studios that their rents would be increased.

Businesses based at the site include MGM cars, which supplies cars and mechanical services for films, a drape hire company and Elstree Props, which supplied items for films such as the Star Wars and Indiana Jones trilogies.

Companies were given a week to reply to the letters, but despite initial anger at the large rises and the short notice, 17 tenants have agreed to the new rates.

Two have still not replied, one is undecided and only one is definitely leaving the site.

A council spokeswoman said: "One new tenancy has already been agreed and a further five serious enquiries from prospective tenants have been received in the last ten days or so.

"There are opportunities for other companies to move on to the site and we welcome further approaches for all types of businesses."

After the announcement of the rent hike, the council justified the move, saying some units at the studios were costing the authority money because previous rent rates were too low.

The studios are world-renowned as the home of films such as The Dam Busters and Moby Dick, and currently hosts the filming of Who Wants to be a Millionaire?, Dancing on Ice and Big Brother.

8:30am Saturday 22nd March 2008

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