A major studio real estate deal has been finalized in Burbank, California, that hands a historic media property to a pair of private real estate developers.

Stockbridge, based in San Francisco, and Worthe Real Estate Group, based in Santa Monica, purchased the Warner Bros. Ranch in Burbank, California, for $175 million, according to public records. Numerous films and TV shows have been shot at the property over the years including "Bewitched," "Gidget," "WandaVision" and "National Lampoon's Christmas Vacation."

Warner Bros. said in an October 2021 statement Worthe planned to develop on the ranch 16 sound stages, a parking structure, a commissary, mill space and a 320,000-square-foot office complex. That space will be leased to Warner Bros. The roughly 926,000-square-foot project is expected to start construction next month, Jeff Worthe, president of Worthe Real Estate Group, said in an email.

Warner Bros. Ranch is about a mile north of Warner Bros. Discovery's main 100-acre lot in Burbank. Columbia Pictures acquired the ranch in 1934 until Warner Bros. took ownership of the property in 1990.

The Warner Bros. Ranch deal was part of a bigger $1 billion expansion announced by Warner Bros. in April 2019. As part of that announcement, Worthe and Stockbridge revealed it was developing a campus project called Second Century on Warner Bros.' main Burbank lot.

Warner Bros. Discovery has been consolidating its greater L.A. office footprint recently as it brings its workers to properties it owns and leases at its Burbank studios. The company plans to move out of roughly 480,000 square feet of office space this year and next year owned by Los Angeles real estate investment trust Douglas Emmett. In addition, CNN said in December it was moving from Hollywood in Los Angeles to a Warner Bros. Discovery-owned lot in nearby Burbank.

Meanwhile, developers keep pursuing soundstage projects in Los Angeles despite the ongoing actors and writers strikes. New York real estate investment firm East End Capital moved forward last month on plans to build 10 soundstages in Glendale, California. Los Angeles entertainment real estate investor Hudson Pacific Properties revealed plans in June to build roughly 130,000 square feet of entertainment-related space in Hollywood.

Warner Bros. Discovery said the strikes may cut the company's profits by $300 million to $500 million this year, according to a filing to the Securities and Exchange Commission on Tuesday.

A representative for Warner Bros. Discovery didn't respond to an emailed request to comment from CoStar News. A Stockbridge representative also did not respond to a phone call request to comment from CoStar News.