Netflix Commits $1 Billion for Production Facilities in New Mexico
By Movieguide® Staff
The streaming giant Netflix announced a $1 billion production commitment to spend at its ABQ Studios in Albuquerque, New Mexico, along with additional plans to expand as Los Angeles continues to crack down on permits during the coronavirus pandemic.
Netflix, New Mexico Gov. Michelle Lujan Grisham, and Albuquerque Mayor Tim Keller agreed to Netflix’s expansion. Netflix chief executive Ted Sarandos revealed plans for the New Mexico location to add 300 acres, which would make ABQ one of the most extensive production facilities in North America.
The expansion would also mean an estimated 1,000 new production-related jobs over the course of the next decade and 1,467 new construction jobs to complete development, Netflix said.
“My administration has expanded our state’s competitive film incentives, facilitating higher-wage employment for New Mexicans all across the state, and increased opportunities for rural communities,” Grisham said.
The expansion would result in roughly $150 million in capital expenditures. The studios plan to add 10 new stages, post-production services, mills, backlots and training facilities, wardrobe suites, and other buildings.
Netflix’s partnership with New Mexico’s government sees a state provision of $17 million, along with $7 million in financing and $6 million in infrastructure in-kind funding from the city of Albuquerque.
According to TechCrunch, the city will also aid the company through issued bonds that will abate property and other taxes over 20 years, which will cover the first $500 million investment by Netflix.
The deal also includes Netflix’s lease of 130 acres to the State Land Office, coupled with the private purchase of an additional 170 acres.
Per New Mexico’s Economic Development Department Cabinet Secretary, Alicia J. Keyes, the state and streaming company deal could result in $2.5 billion worth of state spending.
Netflix plans to shoot the upcoming season of STRANGER THINGS in the state, among other projects.
- Content: +1Share:
- Content: +1