Michigan films in focus for services supplier

Ferndale’s S3 Group provides equipment, services to movie, TV production industries.

Neal Haldane / Special to The Detroit News

FERNDALE — S3 Entertainment Group executives predict filmmakers will spend $60 million to $75 million this year making movies in Michigan.

Next year, Jeffrey Spilman and Larry August expect movie spending in the state could exceed $250 million and they want their firm to capture a share of that revenue.

Michigan’s April adoption of lucrative incentives to lure filmmakers to the state has created a “gold rush” among companies that want to service moviemakers, said Spilman, who has worked as an entertainment lawyer. The state offers film producers 40 cents to 42 cents back for every dollar spent filming here.

“The incentive is what brings them here in the first place, but they need to have a rock-solid experience when they get here or they won’t come back,” said Spilman, who co-founded S3 Entertainment Group in 2005 and moved the company to Michigan when the incentives came into play.

S3 Entertainment Group provides equipment and services to the film and television production industries and wants to help the state create an infrastructure that lets producers take full advantage of the tax breaks.
The company plans to build a Hollywood-style studio complex in Oakland County to complement its other offerings, which include equipment rental, catering, location and travel services and music licensing.

“I’d like to see us have a third to half of the movies that come here use some or all of our services,” Spilman said. The company has already assisted Clint Eastwood’s “Gran Torino” production and worked with the producers of “Demoted,” “Butterfly Effect: Revelation” and “Miss January.”

Other companies and institutions also are capitalizing. Livonia has hosted a couple shoots and filmmakers have booked more than 3,800 hotel room nights in the city.

“The growth in the movie business in our area has provided our hotels, restaurants and stores with a wonderful boost,” said Dan West, Livonia Chamber of Commerce president.

The chamber is planning a presentation to let members know more about film production opportunities and the city has created a Web site ( www.filmlivonia.org) to tout its location and amenities.

S3 Entertainment Group’s growth shows the incentives are paying dividends, said Anthony Wenson, chief operating officer for the Michigan Film Office.

“Their new company demonstrates how the overall economic stimulus plan has begun to diversify and grow Michigan’s economy and create jobs,” Wenson said.

Once the state’s infrastructure becomes more developed, filmmaking could become a year-round business in Michigan, said August, who serves as chief operating officer for S3 Entertainment Group and has experience in the commercial and film arenas.

Filmmaking will likely slow down this winter since cold weather makes it more difficult to produce movies and the state lacks studio space for interior work.

Neal Haldane is a Metro Detroit freelance writer.

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