Sustainable growth: Netflix unveils expansion at its Albuquerque hub

Jun. 27—Enhancing its creative output and production was essential to entertainment powerhouse Netflix when expanding its Albuquerque facility, and approaching that in a sustainable way was a primary focus.

Ted Sarandos, Netflix co-CEO, unveiled the results of that approach Thursday at Netflix Studios Albuquerque. The expansion features four new soundstages, three mills, a production office, two stage support buildings and two dedicated backlot areas across 108 acres. The additions allow Netflix to increase its production of films and series in an environmentally conscious space.

The expanded studio features on-site solar and battery storage systems, geothermal heating and cooling, all electric appliances and 50 charging stations for electric vehicles. The features help reduce Netflix's carbon footprint and lowers its operating costs, the company said.

"All of this will help us do even more to entertain the world — and support the local creative community," Sarandos told the hundreds in attendance, who included Gov. Michelle Lujan Grisham, U.S. Sen. Ben Ray Lujan Jr., and Albuquerque Mayor Tim Keller. Each also spoke at the event.

"Albuquerque being one of our main production hubs, it's really important for us to lean into sustainability in a big way to minimize the operational impact from the carbon emissions perspective of the studio expansion and for the existing studio as well," Stefan Gerlicz, Netflix director of sustainability and operations, told the Journal.

"We have done that in three principal ways, the first being an on-site solar array, so it's solar plus battery — 5 megawatts of solar plus 3 megawatts of battery — that are coming online in (February of 2025). They are going to supply the expansion and the existing campus with 100% onsite renewable energy, which is something that we are really excited about."

Gerlicz said the expanded stages and support buildings will be heated and cooled using a geothermal or ground source heat pump located 300 feet underground.

"When your run water through the loops, it actually takes advantage of the temperature that is that far underground to cool these buildings in the summer and heat them in the winter," he said. "All of that is powered by electricity, and so when powered by renewable energy, that is how we are able to achieve almost zero operational impact."

Local architecture firm Decker Parish Sabatini and general contractor JT Maygan carried out the expansion that took 2,800 workers to build.

"We worked with great people," Sarandos told the Journal. "Local architects, local general contractors built these out, and I would put these stages shoulder to shoulder with any stage we could work on anywhere in the world. They're big and accommodating."

Sarandos said Netflix Studios Albuquerque, in the Mesa del Sol community, provides a space that can facilitate larger productions.

"These stages can all accommodate very large-scale productions, very big, ambitious productions," he told the Journal. "And it's that ambition of programming that's what Netflix is about. We are programming for about a half billon people around the world. No entertainment company has even tried that."

Recently, Netflix Studios Albuquerque filmed "Ransom Canyon," a contemporary Western romance; "Pulse," Netflix's first medical procedural; and "The Boroughs," a supernatural show.

"What's beautiful ... is that recently we had three simultaneous productions on the lot and it's beautiful to behold that it can happen, and it's unique to New Mexico because of the open spaces and you really have to have a great working professional relationship with the local and state government who can be supportive of the production infrastructure," Sarandos said.

Netflix representatives declined to disclose the cost of the expansion project but did say that since 2019, Netflix has invested nearly $575 million in New Mexico productions. Its use of Netflix Studios Albuquerque has contributed to an overall investment of about $900 million, they said. It has created a plethora of job opportunities in the region, employing more than 4,000 cast and crew members in New Mexico from 2021 to 2023.

Sarandos said it has been great seeing the growth and receiving support from state and local officials.

"They have seen the value in a growing big, clean industry that develops new jobs, and they are jobs across the spectrum from the service industry to the more technical aspects of the film industry, actors and performers on camera, and behind the scenes," he said.

In 2022, Netflix launched "Netflix in Your Neighborhood" where fans could explore the filming locations of movies and series shot in various parts of New Mexico. To date, the website features more than 100 locations and cultural sites across "Stranger Things, "Chupa," "Better Call Saul," "The Harder They Fall," and "Army of the Dead."

"Better Call Saul" and "Breaking Bad" creator Vince Gilligan was recognized during Thursday's expansion unveiling. A street on Netflix Studios Albuquerque will be named in his honor as Vince Gilligan Crossing. He was in attendance on Thursday to acknowledge the recognition.