Atlanta’s Areu Studios LLC has filed for Chapter 11 bankruptcy.
The film studio, founded by Ozzie Areu, former president of Tyler Perry Studios in Atlanta, filed for reorganization on Oct. 29 in U.S. Bankruptcy Court in Atlanta. In Chapter 11, a business continues to operate while it attempts to reorganize its debts. Areu Studios reported assets of $50,000 or less and liabilities of $1 million to $10 million dollars. (Read the filing here.)
An affiliate company, Good Deed 317 LLC, also filed for Chapter 11.
Court documents do not state a reason for the filing. But in March, studios across the state shut down production to avoid the spread of the novel coronavirus.
Areu Studios was reportedly the first Latino-owned and operated major film and television studio in the United States.
In December 2018, Areu bought film mogul Tyler Perry’s former 57-acre complex in southwest Atlanta. The purchase of the 205,751-square-foot studio at 2769 Continental Colony Parkway S.W. included a 24-acre site with approximately 33 acres of excess land, totaling 56.61 acres, the Chronicle reported. A spokesperson for the seller’s realtor, Atlanta Fine Home Sotheby’s International Realty, said the complex sold for $18.5 million. See more at ABC.