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Disney Cuts Ties With Los Angeles Location, Update Given

Disney is officially moving out of one of Hollywood’s most iconic properties. The company has confirmed it will vacate the historic Fox Studio Lot in Los Angeles by the end of 2025, bringing an end to its run as the lot’s largest tenant.

The decision marks a significant shift in Disney’s California footprint and comes as part of a larger effort to consolidate operations closer to its Burbank headquarters.

Roy E Disney Animation Building with more than 500 Disney characters
Credit: Disney

A Historic Studio With a Star-Studded Past

Long before it housed modern hits or streaming empires, the Fox Studio Lot was the birthplace of several cinematic milestones. It’s where The Sound of Music sang into existence, where The Seven Year Itch helped define a genre, and where the writing room for The Simpsons continues to churn out scripts more than three decades strong.

The lot is still a functioning production hub for Fox Sports and a variety of other media projects. But after acquiring most of 21st Century Fox’s entertainment assets in 2019—minus the physical property—Disney inherited a seven-year lease on the site. Now, as that lease approaches its March 2026 expiration, Disney is opting out early.

Entrance to Fox Studio Lot
Credit: Fox Studio Lot

According to anonymous sources cited by the Los Angeles Times, the company will leave by the end of 2025. That means the last remnants of Disney’s Fox acquisition will soon be centralized elsewhere.

Fox Corp., which remains separate from The Walt Disney Company and still owns the studio lot, isn’t expected to have trouble filling the space. In a statement, it said, “The Fox Lot is second to none in terms of location and premium production and post-production facilities available,” and added that it remains confident in attracting new tenants. Disney, it’s believed, pays roughly $50 million annually to lease the property.

Burbank Bound: A Strategic Consolidation

While the exit from the Fox Lot may come as a surprise, it’s part of a broader internal shift. Over the last year, Disney has quietly been consolidating its teams in Burbank, home to its original studio lot, ABC, and Walt Disney Animation Studios. Walt Disney Imagineering, the creative cornerstone of the company’s theme parks, is based nearby in Glendale.

The Walt Disney Company entrance on a bright, clear, sunny day. A Disney employee recently suffered a hack after downloading an AI program.
Credit: Disney

The decision to move out of Century City reflects Disney’s aim to streamline operations, especially on the TV side. Many executives who had remained on the Fox lot are being brought back into the fold at headquarters. Still, Disney hasn’t yet commented on the fate of shows currently produced on the Fox Lot, including 9-1-1 and 9-1-1: Lone Star.

For Disney, the move is symbolic as much as it is logistical. It marks a final step away from the sprawling Fox legacy it inherited just over six years ago—and a reaffirmation of its roots in Burbank, where the company has been shaping its own legacy since 1940.

What do you think of the latest move from the Walt Disney Company?

Chloe James

Chloë is a theme park addict and self-proclaimed novelty hunter. She's obsessed with all things Star Wars, loves roller coasters (but hates Pixar Pal-A-Round), and lives for Disney's next Muppets project.

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