N. Hollywood Company Finds Space in Simi Valley

founders: Aaron and Jason Labowitz year started: 1996 Business: Distributes collectibles based on television, film and comic book characters. About 35 percent of sales are to individual consumers through the company website and 65 percent to retail outlets. Two dozen items are exclusive to the company Collectibles distributor Entertainment Earth Inc. will move to Simi Valley this summer after a search for larger space in other areas failed to turn up a suitable site. The company, which offers action figures and bobbleheads of television, movie and comics characters, will more than double the space it currently has in North Hollywood and receive other benefits not found at the current location. Entertainment Earth employees got a look at the new building on April 1 and were joined by representatives from the city and the Simi Valley Chamber of Commerce who were given a tour by Aaron Labowitz, who co-owns the business with his brother, Jason, who serves as president. “This for us is just exciting, lots of space,” Labowitz said, his voice echoing in the future warehouse. Less exciting for Los Angeles officials is hearing that another business is leaving to relocate to a neighboring city. Not that the brothers didn’t try to stay in Los Angeles. Buildings in Chatsworth and Van Nuys were also considered, as was Valencia. But those locations would have limitations, such as not enough parking or not meeting the minimum number of loading docks (six) needed to meet the volume of shipments coming in an and out of the warehouse. On an average day, the company ships out 1,000 packages a day to its individual consumers and to retail shops. During peak times, that number rises to 6,000 packages a day. Walking through the warehouse with the city and chamber officials, Labowitz praised the spaciousness. “One of the hardest things to get in North Hollywood is high ceilings,” Labowitz said. Quieter location There were other factors in favor of the Simi Valley building as well, better landscaping for instance, and a quieter location. The North Hollywood site is adjacent to railroad tracks and under the flight path to Bob Hope Airport in Burbank. City officials are pleased to see that a sizeable building that has been vacant for two years has a new tenant. The building has been empty since Ronco, the company behind the Ginsu Knife, non-stick cooking pans and other products pitched by its founder Ron Popeil, relocated its distribution and manufacturing operations. The city and the Labowitzes have been in contact for about six months on their interest to move. Now that it is going to happen, the city will do what it needs to make the transition go smoothly such as expediting permits for interior changes. “That is one less thing they have to worry about,” said Brian Gabler, an assistant city manager and director of economic development. The move by Entertainment Earth is more good news for a city that has seen other relocations within recent months from both new and existing businesses. Other moves Both Tim-Co and Pharmaceutic Litho & Label moved from Chatsworth in recent months. You Rock Digital relocated from Irvine. In March, there were three existing businesses that moved to larger locations to accommodate their growth, Gabler said. These businesses come for and then stay for the attractive area Simi Valley has become, Gabler said. “We will entice business with a friendly government and place they can grow and succeed,” Gabler added. Although Los Angeles has the reputation of having a difficult business environment that was not a factor in why Entertainment Earth is leaving the city, Aaron Labowitz said. “If we wanted to continue our growth, we needed more space,” he said. The two buildings the company currently uses adds up to about 30,000 square feet. The new building is 65,000 square feet, most of it in the warehouse. Office space totals about 15,000 square feet but a small percentage of that will be leased to outside businesses, Labowitz said. The move is expected to be completed by July 1 just as sales begin to pick up and Entertainment Earth prepares for its annual appearance at Comic-Con International in San Diego.