The Jim Henson Company's studio lot in Los Angeles is NOT being sold to the Church of Scientology, TMZ has confirmed.
Here's the deal ... a report surfaced this week claiming the historic studio lot that served as a home for The Muppets was going to change hands and end up with Scientology.
But in a statement issued Saturday ... the estate of the legendary puppeteer denied a sale was ever in place.
"In regards to recent rumors about the sale of the La Brea studio lot, the Henson family is not in any business dealings with the Church of Scientology, and that organization is not in consideration as a potential buyer of the property," the statement read in part.
"It is still the family's intention to move The Jim Henson Company to a new location it can share with Jim Henson's Creature Shop, but at this time the family is not in escrow with any buyer," per the estate.
The famous studio lot, originally built in 1919, has also housed Charlie Chaplin Studios. The Henson family bought it in 1999, and it's since served as HQ for the Jim Henson Company.
The studio lot is just off La Brea and Sunset Boulevard ... so it's a piece of prime real estate.
Deadline was first to report the studio was not being sold to the Church of Scientology.