Warner Bros. Discovery announced it has joined the joint venture between Howard Hughes Holdings and Sony Pictures Entertainment for the creation of Summerlin Studios.
The project is reliant on the passage of Assembly Bill 238. The bill aims to increase Nevada’s film tax credit allocation from $10M to $105M on a yearly basis. The bill was scheduled its first hearing on Thursday after the time of writing.
This could be the start of a trend in which film companies partner to take advantage of limited incentives offered by states. AB238 would set aside up to $80M for Warner Bros. and Sony, while setting aside the additional $25M for other productions. The funding would last for 15 years.
If passed, a 31-acre production facility on a 100-acre mixed-use development in Summerlin would commence. Supporters of the bill have stated tens of thousands of jobs will be created, and the economic impact is slated to surpass $3B. A study has not been conducted for this project. Gensler is the architect attached to the project.
Summerlin Studios is set to contain multiple stages and the necessary assisting buildings. AB238 could be available as early as July of 2028. The film giants would only be eligible to receive the tax credits if infrastructure construction is finished by the time tax credits are earned. The partners are also required to invest a minimum of $400M to receive the credits.
Another bill, Senate Bill 220, aims to make $83M in transferable film tax credits available for a proposed studio at the Harry Reid Research and Technology Park. This bill is backed by Manhattan Beach Studios Group and Birtcher Development. Birtcher and Warner Bros. were originally partnered until January. (Source)
