Economics
Lions Gate’s $100 Million Yonkers Deal Highlights New Tax Break
- Studios are taking advantage of federal ‘opportunity zones’
- Incentive plans spark debate over whether the poor benefit
This article is for subscribers only.
Film companies are famous for chasing government subsidies across the globe. Now a few of them have latched on to a generous new federal benefit for investing in lower-income U.S. communities.
Lions Gate Entertainment Corp., the studio behind “Orange Is the New Black,” struck a deal Thursday to build a new $100 million-plus production facility in Yonkers, north of New York, its first in the U.S. The development sits inside an “opportunity zone,” which will enable the company and its partners to reap significant tax breaks on capital gains.