Comcast’s 'SpinCo’ Is Scouting Space For New Manhattan Headquarters

The big bundle of cable networks that’s set to be its own public company sometime this year is on the move. Comcast‘s “SpinCo” is scouting locations for a new Manhattan headquarters, which will incorporate groups of workers, some entertainment teams and MSNBC, including its NY studio space and a production facility.

The new entity teased last year and formally announced in November is led by NBCUniversal Media Group’s Mark Lazarus, who updated staff this week on early plans in a memo obtained by Deadline. Several potential HQ locations are under consideration, sources indicate.

Englewood Cliffs, NJ, across the Hudson River from Manhattan, will remain home to CNBC as well as serving as the new company’s technical operations hub. SpinCo is also securing dedicated space at 400 North Capitol, which will continue to be the DC Bureau for MSNBC and CNBC.

The new entity doesn’t have a permanent name yet, with SpinCo used since the plan was first unveiled last fall. Lazarus said that should change soon – “We’re closing in” on one, he wrote in the memo.

NBCUniversal’s cable television networks USA Network, CNBC, MSNBC, Oxygen, E!, SYFY and Golf Channel will join the new entity along with digital assets Fandango and Rotten Tomatoes, GolfNow and Sports Engine, via a tax-free spin-off. Comcast shareholders will also have stock in the new public company, but its results will not be part of the mother ship’s. Bravo, as well as NBC and streaming flagship Peacock will remain at Comcast alongside Telemundo and the broadband business, theme parks and experiences, and film and TV studios.

The spinoff is one of the most significant efforts yet in the television business to try to reckon with steep declines in linear TV subscribers, distribution fees and advertising revenue. It will give the cable network company, with projected annual revenue of about $7 billion, the option of engineering acquisitions or other deals in the challenged pay-TV sector.

Warner Bros. Discovery appears to be moving along a similar path. It is restructuring into two divisions, Global Linear Networks and Streaming & Studios. Speaking with Wall Street analysts Thursday on WBD’s quarterly earnings call CEO David Zaslav said the new structure would allow the company to “we’ll be better able to respond to this generational disruption.” WBD and Paramount Global last summer took a combined $15 billion in write-downs on the value of their cable networks, sending a clear signal to the industry about the extent of the decline.

Comcast, led by Chairman-CEO Brian Roberts with President Mike Cavanagh, said last November that they were aiming to complete the spinoff within one year.

Here’s the full memo:

Team,It’s been about four months since we first announced our intention to create a new company, and behind the scenes, teams have been working non-stop to ensure a smooth separation. Today I’m pleased to share a few more details about our New York and New Jersey locations. In an effort not to miss anyone, I’m sending this note across the businesses where all or some employees will become part of our new company once we are spun off from NBCU. Until we become a clear employee population, we may end up over- or under-communicating, so please don’t hesitate to reach out to me, your manager or HR partner with any questions or visit the Internal Resource Site where you will find FAQs that you may find helpful.I’m excited to share that we are currently scouting space for our new company’s headquarters in Manhattan. This space will be home to our corporate groups, some of our entertainment teams and MSNBC including its NY studio space and a production facility. Englewood Cliffs will continue to serve as home to CNBC, as well as become the technical operations hub for our new company. Additionally, we are securing dedicated space at 400 North Capitol, which will continue to be the DC Bureau for MSNBC and CNBC. We will also continue to have office space in many of the cities where we operate today, and as we have more information about those locations, we will share with all of you.Some technical staff who support MSNBC may be located in NY, Englewood Cliffs, the DC Bureau or other locations. Details on the specific jobs and functions that will be moving locations will be provided over the next several weeks. We are working hard to ensure that each location will be set up quickly and can operate smoothly, but this process will take some time. It is very likely that our headquarters space will not be finalized at close of the spin off and that our New York employees will initially work from a temporary Manhattan location.I could not be more excited for what’s to come — including the name of our company which we’re closing in on — but most importantly I am grateful for your continued patience throughout this process. We don’t have all the answers yet, but we will continue to share updates as we have them.Mark

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