The shifting landscape of film and TV production in Los Angeles
A city in transition: The decline in production
Los Angeles, the heart of the entertainment industry, has experienced a notable decline in film and TV production over the last three months. According to FilmLA, which monitors production levels through location permit data, overall production has decreased by 12.4% compared to the same quarter last year. This decline is primarily driven by a staggering 57% drop in reality TV production.
Philip Sokoloski, a spokesman for FilmLA, attributes this decline to a global contraction in content spending, which began even before the Writers Guild of America and SAG-AFTRA strikes last year. “Los Angeles is not uniquely suffering at the present time,” Sokoloski said. “The contraction in content spend is going to hit all jurisdictions that rely on steady production volume.”
Scripted vs. reality TV: A tale of two genres
While scripted production has somewhat rebounded post-strike, it has plateaued at levels below pre-strike norms. In contrast, reality TV, which was unaffected by the strikes, has seen a significant decline. Total production shoot days are now 33% below the five-year average, according to FilmLA data.
Joe Chianese, who handles film incentives at Entertainment Partners, noted that reality TV is not eligible for the California film and TV production tax credit. He pointed out that production is starting to pick up in other locations like the United Kingdom and Australia, where tax incentives are more competitive. “If you look at the world, it’s really the U.K, Canada, and Georgia,” Chianese said.
The global perspective: A shift in production hubs
The decline in Los Angeles is part of a broader trend affecting the global entertainment industry. As production costs rise and tax incentives become more attractive elsewhere, many production companies are looking beyond California. The International Alliance of Theatrical Stage Employees recently reached a tentative agreement, which is scheduled for ratification this week. However, the Teamsters and other Basic Crafts unions are still in negotiations, with their contract set to expire on July 31.
Sokoloski mentioned that an increase in production next quarter is “possible, pending successful contract negotiations.” He added, “If we see new content investment, it will be cautious and measured, and the gains will be globally distributed.”
Soundstage occupancy: A barometer of industry health
FilmLA also released a report on soundstage occupancy, revealing that it dropped to just 74% during the strike in the second quarter of 2023. Historically, Los Angeles has led the world in soundstage space, with occupancy rates typically holding above 90%. When production declined due to the strike, soundstages turned to event producers and marketing agencies to fill some of the slack.
The future of Los Angeles as an entertainment hub
The decline in production in Los Angeles raises questions about the future of the city as the epicenter of the entertainment industry. With other regions offering more competitive tax incentives and a global contraction in content spending, Los Angeles faces significant challenges.
However, the city still holds a unique position in the industry, with its vast infrastructure, talent pool, and historical significance. The coming months will be crucial in determining whether Los Angeles can adapt to these changes and maintain its status as the entertainment capital of the world.
Personal reflections: The human element
As someone who has lived in Los Angeles for over a decade, I’ve seen firsthand the impact of these changes on the local community. The decline in production has affected not just the big studios but also the countless small businesses and freelancers who rely on the industry for their livelihoods. The streets of Hollywood, once bustling with film crews and tourists, now feel eerily quiet.
Yet, there is a sense of resilience and hope. The entertainment industry has always been cyclical, and many believe that Los Angeles will bounce back. The city’s creative spirit remains undiminished, and there is a collective determination to adapt and innovate.
Exploring new horizons: Must-watch trailers
For those interested in exploring the latest in film and TV, here are some must-watch trailers:
- The Crown: Dive into the latest season of this critically acclaimed series that delves into the lives of the British royal family.
- Stranger Things: Get a sneak peek into the upcoming season of this beloved sci-fi series that has captivated audiences worldwide.
- The Mandalorian: Experience the adventures of the galaxy’s favorite bounty hunter in the latest season of this Star Wars spin-off.
A reflective closure
The decline in film and TV production in Los Angeles is a complex issue with far-reaching implications. While the city faces significant challenges, there is also an opportunity for growth and reinvention. As the industry continues to evolve, Los Angeles will need to adapt to maintain its status as a global entertainment hub. The coming months will be a critical period of transition, and it will be fascinating to see how the city navigates these changes.