New York has recaptured most of the jobs lost there during the recession. Mayor Michael Bloomberg has done a great job at attracting technology tenants to the Big Apple. For example, Google has a million square foot facility in the Chelsea area of New York. That space trumps its 100,000 square foot facility in the Venice area of Los Angeles. The music sharing service Spotify, and Livestream, the market leader for live event coverage, are also located in New York. There is a website, called Made in NY Digital Map, that points out digital and tech tenants located throughout the city.
Not only is New York attracting tech and digital tenants, but they are also starting to court a substantial piece of L.A.’s film post-production business with a recent tax credit. New York Governor Andrew Cuomo recently enacted this law, which increases the previous 10% credit to a whopping 30% on post-production costs. If a company wants to earn a slightly larger credit, they can venture to upstate New York and get a 35% credit. New York is aggressively going after L.A.’s post production business, which has a heavy concentration on the Westside of Los Angeles. This is the first type of post-production credit the industry has seen. Time will tell if companies will move to the East Coast to take advantage of it.
New York has been having an astounding year in TV production, mainly because of its film tax credit program. They are setting aside more than $400 million a year in order to attract film and TV productions. Compared to the $100 million that California spends, one has to wonder why they aren’t putting up much of a fight against New York.
The Los Angeles Times goes more in-depth about this subject in their recent article.