Seen in Orgazmo, which is set in LA. Maxxx Orbison films Orgazmo (the movie within the movie) there
http://www.script-o-rama.com/movie_scripts/o/orgazmo-script-transcript-stone-parker.html

I don't think the exact location is mentioned, but since Joe Young and Ben Chapleski seem to get around on foot, it's probably not in the San Fernando Valley where most x-rated movies in LA are shot. Also the studio was one of the places Joe went door to door to as part of his Mormon work so it seems to be in a residential area. Since they also visit Fresh Sushi it's likely in an area close to where sushi places are. I've already suggested  South Park for Fresh Sushi so I suggest the St. James Park area since it's within walking distance of South Park and seems pretty residential.