A major Hollywood infrastructure player is scaling back sharply,cutting jobs and shutting down key partsof its studio services business. The move is underscoring continued strain across the production economy centered in Los Angeles and California.
Hudson Pacific Properties iswinding down most ofits Quixote soundstage operations in LA while also exiting operations in Georgia and New Mexico.
The move will affect about 70 employees across Atlanta and LA, a source familiar with the decision toldthe Hollywood Reporter.
The pullback marks a reversal for a company that expanded aggressively during the streaming boom, when demand for production space surged across California and competing production hubs nationwide.
Back in March, Hudson Pacific CEO Victor Coleman warned of shifting production patterns, saying: “LA and New York have seen a rise in production with the downfall of other markets like Albuquerque, New Mexico, New Orleans, Louisiana, Atlanta,” pointing to weakening regional hubs even before the latest cuts.
In a memo to clients, Quixote confirmed the decision, writing: “Quixote has made the difficult decision to begin the process of winding down most of our sound stage business in Los Angeles, including our main commercial studio in West Hollywood,” adding: “Like many of you, we have persisted through the prolonged and ongoing slowdown in commercial, television, and film production. But ultimately, industry conditions have forced difficult decisions.”
Quixote operates vehicle fleets, production supplies, and soundstages across multiple states.
In LA, it is closing leases at several sites, including Quixote West Hollywood and its Van Nuys facility at Quixote Central Valley, formerly Chandler Valley Center Studios, known for use on NBC’s The Office.
Griffith Park Studios will remain open due to an existing tenant.
Hudson Pacific acquired Quixote in 2022 for $360 million at the height of the streaming expansion.It also bought Star Waggons in 2021 for $222 million, expanding into production trailers and on-set services.
Source: California Post – Breaking California News, Photos & Videos
