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Tax Incentives & Streaming Demand Lure Productions Back to LA

January 22, 2018


The ongoing popularity of binge-worthy content from streaming services, along with expanded state film tax credits has resulted in a record number of Los Angeles based film productions in 2017. Until recently, filming projects were fleeing to other states such as Georgia and Louisiana where tax incentives were stronger and production costs were lower.


The surge in content from Netflix, Amazon and Hulu for programming is a response to subscribers year-round demand for a steady flow of new shows and new seasons of their favorite programs. Many of these programs are now shot in LA, a revival attributed to the boost in tax incentives implemented in 2015. According to FilmLA,  the $1.5 billion incentive program provides 20% - 25% tax credits which has lured several TV series back to the city of angels.


Several significant LA productions are now shooting on-location and in-studio including Netflix’s  “Grace and Frankie”, “The Ranch”, “Love” and the upcoming “Bird Box”. LA is also home to Amazon’s “Transparent”, “Goliath” and “Bosch”.  NBC’s blockbuster “This Is Us” also calls LA home, with traditional network TV content also contributing to the rise in local film production successes.


In 2017, nearly 500 scripted shows were produced in LA, up 7% from the year prior. Given the streaming service provider announcements to increase production spend in 2018 by several billion; it’s a safe prediction that the county will benefit from an even higher production engagement in 2018. For local property owners monetizing their assets through on-site filming projects, that’s good news and likely new revenue in the waiting.

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