Tax Breaks Approved For $15M Port Washington Film Studio Plan

PORT WASHINGTON, NY — An agency dedicated to promoting economic development in Nassau County has approved support to give tax breaks for plans to build six film production studios in Port Washington.

The Nassau County Industrial Development Agency said in a news release Friday that it approved support for the tax breaks for 101 Channel LLC, an affiliate of Lunar Module Park, LLC, to convert a vacant, 100,000 square-foot facility into a state-of-the-art film studio at the former Publishers Clearing House building on Channel Drive.

The development agency expects the move will create 400 new jobs once in use. The studio will fall within the New York City Film Zone as well, making it an attractive option for producers, the agency said.

"The film industry’s footprint in Nassau County is growing and we are becoming an even more attractive place for filmmakers," Richard Kessel, chairman of the agency, said in a statement. "Film production generates tens of millions of dollars in tax revenue and economic growth given the sheer volume of people involved and the patronage of local businesses during production."

Laura Curran, the county executive, said she was "delighted" that the development agency could help bring a third approved sound studio to the county, just as the film and TV industry makes a comeback.

"At its height, the industry generated upwards of $170 million in economic activity on Long Island annually," Curran said in a statement. "A new studio in Port Washington, coupled with our myriad locations and proximity to NYC, furthers Nassau’s position as the place to film."

Lunar Module Park was also granted a pilot extension for their Grumman Road Studios, a 161,000-square-foot complex with eight sound stages. Films including "The Avengers," "The Amazing Spider-Man 2," and "The Bourne Legacy" were shot at Grumman Studios in Bethpage.

Parviz Farahzad, owner of the studio, plans to spend $15 million to build the new studios in Port Washington. He said the development agency has supported Lunar Module Park's endeavors for years.

"In working together, we have been able to create hundreds of jobs and spur a significant amount of economic activity in the region," Farahzad said. "We look forward to continuing this relationship that delivers for all parties involved."

The 15-year pilot for the Port Washington based project, as well as the nine-year extension for the Bethpage facility, is expected to generate more than $759 million of economic impact over the course of the two pilots, the agency said. The agency calculated a net tax benefit to the county of nearly $38 million over the next 15 years, even with the reduction of tax payments.

“Job creation, economic output, attracting other people and businesses to the area is why it is so important to ensure businesses like Lunar Module Park stay right here in Nassau County," Harry Coghlan, executive director of the IDA, said in a statement. "Their contribution to our economy is far greater than the savings they receive in the way of stabilized real property PILOT payments."

Residents previously expressed mixed feelings of concerns and optimism about the plan, specifically over changing the zoning code to allow for a taller height needed for the studio. That could set a precedent for future development, residents said. Others thought the project will ultimately be "ugly."

Still others said they were happy it will bring jobs to the area.

Port Washington North Mayor Bob Weitzner has been one of the project's supporters, previously calling the proposal "exciting."