The Los Angeles film and television production sector has experienced a decline, leading to reduced work opportunities. Production activities are increasingly relocating from the industry's traditional base in Hollywood. Major studios like Netflix, Paramount, and Lionsgate have established new production facilities or leases in regions such as New Jersey. Other states, including Georgia, Louisiana, New Mexico, and Illinois, are also attracting projects through tax incentives, while New York maintains and aims to expand its entertainment industry presence.
Studio lots in Los Angeles are offering their spaces for influencers to offset reduced orders for TV episodes and scripted series. Some studio operators are consolidating assets, selling soundstage complexes without anchor tenants, and focusing on core properties. For instance, the operator of Radford Studio Center, which CBS sold in 2021, has reportedly defaulted on a $1.1 billion loan.
Victor Coleman, CEO of Hudson Pacific, which operates Sunset Bronson Studios, stated in November that state and local officials had "taken the industry for granted for a very long time" and now recognize the need for competitiveness.
Production Data Highlights
Recent reports provide a comprehensive view of this trend:
- Luminate's Annual Report (January 21): Indicated a 24 percent year-over-year decrease in major scripted film and TV projects shooting in Los Angeles. Over a six-year period, data shows a largely downward trend in L.A. production, with a temporary boom in 2022 due to streaming production.
- FilmLA Data: Reported a 16.8 percent year-over-year decline in feature film shooting in L.A., a 14.7 percent decrease in television shoots, and a 14.5 percent drop in commercial shoots. Total shoot days in L.A. for the past year were 19,694, a decrease from 36,792 three years prior.
Responses from State and Local Officials
State and local officials have initiated actions to address the decline:
- Governor Gavin Newsom: Signed a bill in July to increase film and TV project incentives from $330 million to $750 million annually. This is presented as a preliminary step, with further efforts planned to reduce administrative hurdles for filmmakers.
- L.A. Mayor Karen Bass's Office: On January 15, released a list of actions to simplify filming in L.A. These include:
- A proposal to lower fees for shooting at Griffith Observatory.
- A pilot program for a tiered permitting structure for low-impact productions.
- Improved response times for application reviews.
- Other operational updates.
- California Film Commission: Offers tax credits for projects depicting California-centric stories. Examples include:
- Fox’s Baywatch reboot: received $21 million in incentives for production at Venice Beach.
- Universal’s Snoop Dogg biopic: received $17 million in incentives to film in L.A.
- Ang Lee’s Gold Mountain: will shoot in Sacramento County with $7.7 million in tax credits.
Broader Industry Shifts
The streaming business has adopted a global distribution strategy. Concurrently, the number of movies produced for wide theatrical release (2,000 screens or more) has decreased from 120 in 2019 to 112 in 2025 (per Comscore). Studios and tech giants are now seeking locations with favorable incentives and filming in countries that represent target audiences for their content.
Luminate's report indicates a 12 percentage point drop over five years in scripted features and TV projects shooting in the U.S. Canada and the United Kingdom have seen increased filming counts, with rises of 10 percent and 11 percent respectively in the fourth quarter year-over-year (per ProdPro).
Overall production spending also experienced a decline, with ProdPro estimating a total of $41.8 billion, an 8 percent decrease year-over-year. The potential sale of Warner Bros. is a subject of discussion within the industry, with prospective buyers like Netflix's Ted Sarandos and Paramount's David Ellison suggesting increased job opportunities and film production if their bids are successful.