From azcentral.com (so take it for what it's worth)....
Investors file plans to build production studio in Mesa
by Angelique Soenarie - Aug. 14, 2009 09:33 AM
The Arizona Republic
Mesa could become a filmmaker's destination if plans for a production studio can come to life, but proposed power line and the expiration of the state's motion picture incentive program could kill it.
A Gold Canyon developer and a private investment group have filed plans with the city of Mesa to build a $70 million production studio complex called Gateway Studios near Hawes and Power roads in east Mesa. The 55-acre campus would be the first major production studio and sound stage to be built in Arizona in decades.
Vince Stark of CBC Inc., a firm that builds churches and luxury homes, said he and his investment partners hope to cash on the film projects that are leaving Los Angeles because of the high costs there.
"A lot of the film industry is trying to expand outside of California and looking for other avenues other than Los Angeles. That's what you're finding in Michigan and New Mexico," Stark said.
"I saw it has a niche. My company is part owner in the land, and that was part of the driving force. I went out to find investors to do this," he said. Stark said a future luxury resort and the Phoenix-Mesa Gateway Airport make it a prime spot for movie makers. "This is something we think is necessary for the state. I don't think the state has taken advantage of the film industry."
He noted that the economic impact of New Mexico's film industry is 10 times that of Arizona's, and virtually all of it has to travel through Arizona from California.
Construction for Phase I of the complex is scheduled for next fall, Stark said, depending on approval from the city. Stark said he is scheduled to go before the zoning board in October or November. Plans include four soundstages, ranging from 15,000 square feet to 22,000 square feet, production facilities, storage buildings, an auditorium, daycare center, gym, spa, medical services building, large back-lot production areas and street production sets. The studio would generate 250 direct jobs and 300 indirect jobs, Stark said.
"We feel that Arizona, due to its proximity to California think it should be the first to benefit from the expansion of the film industry," he said.
Scot Rigby, Mesa's economic development project manager, said he believes the project has potential.
"I think he stands a good chance to get through the city process. We think it's a great location and a great project. I think Arizona stands to benefit from this," said Rigby.
There are potential pitfalls, however.
Salt River Project is proposing a major power line route near Hawes and Germann roads, which would cut across Stark's property.
The utility wants to install four power lines to serve the Pinal County and Queen Creek, and the lines could interfere with delicate sound recording equipment.
Mesa is opposed to the power line because it threatens future business developments near Phoenix-Mesa Gateway Airport such as Gateway Studios.
"We're not willing to threaten the viability of the airport," said Rigby, adding that the potential development of Gateway Studios is "a great case in point of why we're opposing the power line."
Another potential obstacle is the fact that the Arizona Motion Picture Incentive Program, which provides tax breaks for movie industry projects in Arizona, expires at the end of next year.
Last year, film productions that participated in the incentive program spent an estimated $44.9 million in Arizona. That's not including direct expenditures of $67 million from productions that did not participate in the program.
"When the projects come in here it's about location. But the incentive is the no. 1 driver. It is the most aggressive tool in our toolbox. If that goes away, we're going to see a dramatic drop in future film production," said Ken Chapa, program manager of the Arizona Film Office.
Lobbyists are already working on getting the program extended.
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This would be great, and something we should have had long before now!