Netflix Giving Up 180K SF In Burbank Amid Subscriber Loss, Layoffs
After years of gobbling up space at an astonishing rate, Netflix is looking to give some of it up.
The streaming company placed 180K SF in Burbank for sublease, Commercial Observer reported. The move comes after a rough first quarter for Netflix in which it lost 200,000 subscribers — the first time in a decade it has lost subscribers in a quarter, Variety reported. The company has laid off almost 500 employees since the start of the year.
The spaces Netflix is looking to offload are at 2350 West Empire Ave. and 2400 West Empire Ave., sources familiar with the matter told CO.
The spokesperson said that “the company evaluated its real estate portfolio and will be subletting or terminating lease agreements at a few locations that are not being utilized,” according to CO.
Netflix has about 170K SF at the same Burbank media campus it is using for an animation studio, and will not be giving up that space, a spokesperson told CO.
Netflix is far from the only one putting its space on the market. Sublease space in Q2 rose to 9M SF from 8.5M in the first quarter, according to a report from Savills.