Written by new-contact on Sep 29, 2011. Posted in Incentive News

Michigan loses Iron Man 3 to location filming incentives in North Carolina

Michigan’s bad fortunes are continuing with news that the state has lost its bid to host production of Marvel’s next Iron Man sequel, according to the Detroit Free Press. The film, which will star Robert Downey Jr, will instead film in North Carolina where the filming incentives are more generous.

The film fund in Michigan has been slashed to an annual figure of USD25 million from the next fiscal year. Marvel was looking for incentives of up to USD30 million to film for Iron Man 3, but was initially offered USD13 million by the state. The offer was raised to USD20 million, but with lots of provisos in place the studio turned to North Carolina’s 25% tax credit.

We put a competitive and fiscally responsible offer on the table. They, like projects every day, had to make a business decision.

Michelle Begnoche, Michigan Film Office

Randy Richardville, Michigan’s Senate Majority Leader, spoke to the paper: “[North Carolina was] more prepared than we were to win that deal. We were seen as a real player and this is a real blow to that reputation.”

Michelle Begnoche, spokeswoman for the Michigan Film Office, told the paper: “We put a competitive and fiscally responsible offer on the table. They, like projects every day, had to make a business decision.”

Richardville added that there’s a sense of history repeating itself, as Marvel also pulled out its Avengers shoot this time last year when the future of Michigan’s incentive scheme was being hotly debated. The state’s been a production powerhouse in the US for the past couple of years, but once Oz: The Great and Powerful wraps it seems unlikely it will be able to attract big-budget productions anymore.