Credit: DisneyDisney has slashed more of its West Coast operations, as per recent reports.
Like many mega-corporations, Disney operates from multiple hubs across the United States. In Florida, for example, the company operates out of offices in the likes of Lake Buena Vista and Celebration to support the running of Walt Disney World Resort. Meanwhile, in California, the company’s corporate headquarters can be found at The Walt Disney Studios in Burbank.
But according to CoStar, Disney has recently decided to downsize one of its West Coast corporate locations.
Disney Downsizes on the West Coast
The publication reports that The Walt Disney Company is the latest corporate heavyweight to trim its real estate footprint in Seattle, joining a growing list of major firms opting to renew leases with reduced square footage. Disney recently offloaded nearly 30% of its space at the Fourth & Madison tower downtown, shrinking from roughly 170,000 square feet to about 121,600 in a deal finalized last month.
Disney’s Seattle office has largely supported its tech operations. The company declined to comment on the change.
This downsizing leaves a notable void at the 925 Fourth Ave. building, which has seen its vacancy rate climb to around 40%, per CoStar data. Disney, once the anchor tenant of the 845,500-square-foot high-rise, now trails global law firm K&L Gates in total occupancy — a reshuffling of the building’s tenant hierarchy as Seattle’s office market continues to recalibrate post-pandemic.
Earlier this month, it was also reported that Disney will leave the historic Fox Studio Lot in Los Angeles by the end of the year, where it’s been the main tenant since acquiring most of 21st Century Fox’s entertainment assets.
While that $71.3 billion deal didn’t include the lot itself, it did lock Disney in as a tenant for at least seven years. That lease, tied to the Fox property on Pico Boulevard in Los Angeles, is set to expire in March 2026. Anonymous sources from The Walt Disney Company told the Los Angeles Times that the company will not renew this lease and will instead exit by the end of 2025.
Disney Branches Out to New Locations
Disney’s decision to downsize comes days after reports that the company had spent eight figures on a plot of new land in North Carolina.
Notably, this land isn’t earmarked for corporate offices or a theme park. Instead, as announced in 2023, Storyliving by Disney announced plans to build a second community called Asteria in Pittsboro, North Carolina, just outside Raleigh. This marks Disney’s second community after Cotino in Ranchero Mirage, California.
Disney reportedly completed the first phase of a multi-step plan to acquire 1,500 acres in Pittsboro for its newest residential project in March. According to WRAL News, the company shelled out $23.3 million for the initial 217 acres, part of a nine-step rollout that will eventually pave the way for 4,000 new homes under the Storyliving by Disney brand.
The development is a joint effort between Disney and Arizona-based DMB Development. Operating under Stanley Living at CP LLC, the partners have already submitted preliminary plans to the town, with public details expected to be released in May. Once complete, the community will feature a mix of single-family and multi-family residences, with sales projected to begin in 2027.
Described by Disney as “an oasis for lifelong learners,” Asteria will blend meticulously designed homes with immersive Disney experiences. Think storytelling dinners, curated art classes, and green spaces designed by Walt Disney Imagineers — all anchored by cast members delivering the signature service Disney is known for. While pricing hasn’t been announced, Disney’s similar Cotino project in California tops out in the $4 million range.
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