uStudio Opens New Film Campus in South Valley

uStudio Pictures was named a film partner by the New Mexico Film Office two months ago. The designation grants the company additional tax incentives, including the ability to rebate costs for directors and producers. In return, uStudio committed to producing in New Mexico for the next 10 years.

The company is building a new $13 million production campus called The Lot on the former General Electric site at 336 Woodward SE. Rick Metz, the producer who co-founded uStudio Pictures in 2010, said the location is symbolic because the company built on the foundations left behind when the conglomerate closed in 2010.

The Lot includes a completed 50,000-square-foot prop house and a 47,000-square-foot studio complex. The studio complex contains offices, post-production space, and two sound stages, each measuring 12,000 square feet. Construction on the studio complex is expected to finish at the end of the year.

The sound stages will feature virtual production capabilities through a partnership with Sony. Large wraparound LED panels will display three-dimensional environments that update in real time based on camera movement. Metz said this technology allows crews to shoot scenes that mimic locations like Italy without traveling, which can reduce costs and post-production time.

The New Mexico film industry has faced a downturn since fiscal year 2022. According to the New Mexico Film Office, production spend dropped 62 percent to $327 million in fiscal year 2026. The number of film projects fell 28 percent to 80. Metz attributed the challenges to the 2023 Writers Guild of America strike and increased international competition.

Metz said the partnership allows uStudio to offer better financial terms to productions. He estimated that the new incentives will easily bring in $100 million in production spend that might not have come otherwise. The company has received inquiries for four different projects scheduled for December, even though construction is not yet complete.

The site qualifies for development incentives under federal Opportunity Zone rules and the city’s Metropolitan Redevelopment Area designations. Rob Black, the state economic development Cabinet secretary, said the partnership helps create opportunities for New Mexicans to build careers. Steve Graham, the New Mexico Film Office director, called the project a long-term investment in the state's film infrastructure.