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Developers of the $50 million Connecticut Studios complex in South Windsor have received a $5 million loan from Ocean Capital, the commercial lending division of Home Loan Investment Bank.

The financing will support the creation of Connecticut Studios’ new 500,000 square foot motion picture studio.

The project, which has faced several delays and has not yet broken ground, will include nine sound stages totaling approximately 175,000 square feet of space; sufficient space for location shooting; approximately 104,000 square feet of office and support space, and 75,000 square feet of mill and storage facilities; a 125-room, 75,000 square-foot hotel; four restaurants occupying 30,000 square feet of space; a retail building with 16,000 square feet of space; and room for expansion as business grows.

Ralph Palumbo, CFO and a partner of Connecticut Studios, said the loan is part of a nearly $40 million package of public and private financing that will cover the costs of the first phase of construction.

The financing will include the sale of about $15 million in TIF bonds from the town of South Windsor. That debt will be paid off by property tax proceeds from the movie studio.

Joseph A. O’Brien, Jr., Special to The Courant

The Hartford Courant

SOUTH WINDSOR - The developers of a proposed $50 million film studio complex to be built in the town’s I-291 gateway development zone have received approval for $5 million in private financing to move the project forward.

The money for the Connecticut Studios project has been committed by Ocean Capital, the commercial lending arm of Home Loan Investment Bank F.S.B., in Warwick, RI, Elizabeth M. White, a spokeswoman for Connecticut Studios, said in a prepared statement.

The loan is part of a $39.2 million package of public and private financing that will cover the costs of the first phase of construction of four sound-stage buildings, a mill building for set construction, offices, a 150-room hotel and at least one restaurant.

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Kory Loucks

Journal Inquirer

February 3, 2011

SOUTH WINDSOR — Developers of the $50 million Connecticut Studios LLC complex announced Monday they’d secured $5 million in private financing from Ocean Capital, the commercial lending division of Home Loan Investment Bank.

The money will be used to complete the sound stage buildings.

“The securing of private financing moves us one step further in the process of bringing a full-service, state-of-the-art motion picture studio and production facility to South Windsor,” said Ralph Palumbo, chief financial officer and partner of Connecticut Studios.

Ocean Capital is a nationwide small business lender that offers financing through government-guaranteed Small Business Administration loans and U.S. Department of Agriculture loans.

The private financing will support Connecticut Studios’ new motion picture studio, which will create an estimated 400 to 500 jobs during construction. Once completed, the studio is expected to employ over 1,600 production-related union workers and 40 full-time studio facility workers, generating over $100 million in additional payroll, officials said.

Connecticut Studios LLC is a partnership between Los Angeles, Calif.-based Pacifica Ventures LLC and Providence, R.I.-based Halden Acquisition Group LLC. It will build and operate the motion picture and television studio, production, and post-production facility at the intersection of Route 5 and Chapel Street.

The almost 500,000-square-foot studio would include nine sound stages totaling approximately 175,000 square feet, enough for location shooting; approximately 104,000 square feet of office and support space, and 75,000 square feet of mill and storage facilities.

The development plan also includes a 125-room, 75,000-square-foot hotel, four restaurants occupying 30,000 square feet, a retail building with 16,000 square feet of space, and room for expansion as business grows.

“Connecticut Studios has demonstrated a sound business plan and a commitment to bring sustained economic opportunities to South Windsor and the entire state,” said Katherine Marien, senior vice president and commercial lending manager of Home Loan Investment Bank.

“We are very pleased to support this project and look forward to its success.”

Palumbo commented: “We are committed to … creating real, sustained job opportunities for Connecticut residents.” He said the developers hope to begin operations this year.

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