Warner Bros Discovery pledges $8.5 billion on Nevada Studios pending tax credit approval
5:06 pm Tuesday, August 20th, 2024
(Reuters) – Warner Bros Discovery said on Tuesday it would spend at least $8.5 billion to produce movies and television shows at a new studio at Las Vegas in Nevada, if the state provides promised tax incentives.
The media giant is partnering with the University of Nevada, Las Vegas and family-owned real estate firm Birtcher Development to lease and operate a production facility that will be known as “Warner Bros. Studios Nevada”.
The facility will be located on a proposed 34-acre campus at the UNLV’s Harry Reid Research & Technology Park in Las Vegas and will feature full-service film and television studios and other facilities.
The new partnership depends on the outcome of a proposal, initially introduced by State Senator Roberta Lange during the 2023 legislative session.
Such financial incentives are attractive to Hollywood studios as they grapple with mounting production costs, further exacerbated by cord-cutting by consumers and slump in ad dollars.
Warner Bros Discovery wrote down the value of its TV assets by about $9.1 billion earlier this month, reflecting declining television viewership and ad revenue.
(Reporting by Jaspreet Singh in Bengaluru; Editing by Mohammed Safi Shamsi)
