Galaxy Theatre property in Atascadero facing foreclosure Copyright 2021 Scripps Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. KSBY and last updated 2021-02-26 00:49:05-05 A retail center in Atascadero which includes the Galaxy Theatre is in danger of foreclosure. A lending group from New York has initiated a foreclosure on the Colony Square Property located on El Camino Real. The City of Atascadero has since adopted a resolution emphasizing the importance of these businesses in the community. Movie theaters have been hit especially hard by COVID-19 restrictions that have made it impossible for some to pay rent. The property owners in turn have also struggled to keep up with mortgage payments.