Studio formerly owned and led by George Lucas faces lease expiration

SAN RAFAEL, Calif. - The Bay Area could lose one of the birthplaces of modern filmmaking, a movie studio that very few people even know exists.

The small-scale studio in San Rafael has turned out movies that many know by heart and in their hearts.

The unassuming buildings in a light industrial area of San Rafael, have been an Oscar mill going on for almost half a century.

The 32TEN Studios began under the ownership and leadership of George Lucas in 1978, then called Industrial Light and Magic.

"Its importance cannot be overstated," said Sean House, a longtime associate of Lucas and 32TEN employee.