After announcing intentions to build a sound stage and film studio in Buffalo, NY just over three years ago, Buffalo Studios is putting those plans on hold due to financial issues, the organization announced in a release Tuesday.

The original plan was set to bring a “major film studio” as part of an $80 million project, but as a result of the COVID pandemic and rising costs of building materials, the project’s price tag ballooned to $120 million. The Buffalo Studios team was left with a roughly $5 million deficit, and despite persistent efforts to resolve the issue, it became clear a pause was necessary.

“While we remain hopeful that the project will be resumed and we can fulfill our vision to help entrench the entertainment industry in Buffalo/WNY while creating strong social impact, there is no set timeline at this juncture,” the release stated.

Buffalo Studios originally intended to transform a 27-acre Brownfield site in South Buffalo into a large-scale TV/film studio that would’ve allowed for increased Hollywood filming in the area. The plan was to break ground in spring 2021 and complete the project by the end of 2022, but that was unable to take place.

Buffalo Studios CEO Matt Fleckenstein said this was not the end of his company’s involvement in the local film business.

“Continue to monitor the markets. In the meantime we’re also talking about potential pivots, different ways we can get involved locally,” Fleckenstein said. “We’re still here in the interim to support the growth of the industry as much as we can.”

Tim Clark, head of the Buffalo Niagara Film Commission said while this opportunity may be on hold, that doesn’t mean the local film industry will have to suffer.

Buffalo FilmWorks, the production company that helped bring acclaimed films “Nightmare Alley” and “A Quiet Place Part II” to film in Western New York, has one of the largest film studios on the east coast.

“People realize that we have a crew base here, that we have all the amenities here, we have great restaurants and all that stuff, but most importantly we have the locations, we have the current sound stages that are in place, that being Buffalo FilmWorks and Great Point Media, and it’s just a wonderful place to be,” Clark said.

Clark said Western New York remains poised to grow as the next major American film hub.

“To put it in perspective, in the last two days, we got two new film films that will be made here this summer, this spring and this summer,” Clark said. “And this happens so often here.”

Check out Buffalo Filmworks here