Hudson Pacific Winds Down Quixote Operations Amid Production Slowdown

During the streaming-war boom, Hudson Pacific bought Quixote for $360 million in 2022, adding vehicle fleets, equipment rentals and soundstage services. Since then, studios have cut content budgets, and Luminate projects an 11 percent drop in new series premieres for 2025, marking three years of decline.

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• 2021–2022 – Hudson Pacific expands services, buying Star Waggons for $222 million (2021) and Quixote for $360 million (2022).

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• Early March 2024 – CEO Victor Coleman calls the Quixote purchase “not the best deal we’ve ever done” and announces a wind-down of Quixote operations in Atlanta and New Mexico, with 70 layoffs.

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• April 28 2024 – Update confirms the transition plan and equipment relocation to Los Angeles and New York.

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Hudson Pacific expects $21-$27 million in annual cost savings from the wind-down. Hollywood soundstages are 96 percent occupied, while Quixote stages sit at 53.3 percent, reflecting lower demand. ProdPro data show a dip in filming counts and spend in Georgia and New Mexico early in 2026.

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Mark Lammas, president of Hudson Pacific, said the company is “moving away from leased soundstages and markets characterized by structural cost or demand disadvantages” to focus on higher-performing assets. Quixote’s client note affirmed that its fleet, equipment and supply rentals remain fully operational and that the transition will be “phased, collaborative” to limit disruption.

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• “L.A. and New York have seen a rise in production with the downfall of other markets like Albuquerque, New Mexico, New Orleans, Louisiana, Atlanta,” — Victor Coleman, CEO, Hudson Pacific

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• “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,” — Quixote, client note

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• “Quixote’s fleet, equipment and supply rentals remain fully operational and ready to support production needs,” — Sean Griffin, SVP of Sales, Quixote

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• “Quixote is taking steps to move away from leased soundstages and markets characterized by structural cost or demand disadvantages, which will allow Hudson Pacific to focus financial and operational resources on our office portfolio and higher performing segments of our studio business.” — Mark Lammas, President, Hudson Pacific

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The withdrawal reduces soundstage capacity in Atlanta and New Mexico, two former growth hubs, and may concentrate future projects in Los Angeles and New York, reinforcing a market concentration trend noted by analysts.

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Hudson Pacific will relocate select Quixote equipment to Los Angeles and New York while keeping Griffith Park Studios active. The firm also expects to finalize Netflix’s potential purchase of the historic Radford Studio Center, expanding its Los Angeles footprint.

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