Nacho Libre was primarily filmed in and around Oaxaca, Mexico. Most of the exterior scenes were shot in Oaxaca, including the Municipality of Villa de Etla and Oaxaca Centro. Key locations include the Sanctuary of Las Peñitas near Villa de Etla, where Ignacio decides to become a luchador, and various streets in Oaxaca Centro. Some interior scenes, however, were filmed on sound stages and the Mexican Streets backlot at Universal Studios Hollywood in California. The final scene was filmed at the archaeological site of Monte Albán near Oaxaca. Additionally, the Arena Oaxaca scenes were filmed in a large warehouse used occasionally for lucha libre tournaments
