Despite sleeper hit, Israeli director not getting offers for next movie

The Israeli director of "Paranormal Activity," a low-budget horror flick and a sleeper hit that has made more than $60 million since its release in the United States more than a month ago, is working on a second movie - but Hollywood seems to be giving it the cold shoulder even as "Paranormal" is expected to keep bringing in the bucks.

Paramount, which has the rights to "Paranormal," has said it's not in "active discussions" to buy Oren Peli's science-fiction thriller "Area 51," The New York Times reported this week.

The paper said at least six companies, including several major studios, have expressed interest in the film, but said "it has been easier to find those who are not buying than those who are."

DreamWorks, Overture Films and Lionsgate have not been active bidders either, the paper said, citing people who are involved with the sale but spoke on condition of anonymity to minimize interference with bidding. It said spokesmen for Warner Brothers, Sony Pictures, Universal Pictures and 20th Century Fox either declined to comment or did not respond to queries.

While "Paranormal" hit the screens in time for a Halloween boost, no one knows if Peli's second film will generate the same hype or follow the same upward trajectory.

Some are concerned by the precedent set by another wildly popular low-budget horror flick, "The Blair Witch Project," whose creators failed to replicate their initial success.

But, in his public statements at least, "Area 51" producer Jason Blum oozes optimism.

"Oren has already proven that he has a unique gift for using technology and our inherent fear of the unknown to tell simple yet emotionally compelling stories," Blum said in a statement. "In this case, his canvas is just a little larger."