BLOCKBUSTER is the latest in a succession of big name high street firms to go into administration.
The DVD rental business announced yesterday that accounting firm Deloitte will take over day-to-day running of its 528 stores.
Blockbuster has a store in Gloucester at Northbrook Road, near Eastern Avenue.
It also had a store at The Olympus Centre in Quedgeley, which closed down in May last year.
Liam Kelch, chairman of Matson and Robinswood Residents' Group, said: "It's really sad news on the back of HMV and Jessops.
"I've been at a job club today and there are jobs out there, but it is definitely not easy by any means."
Deloitte said the firm had been affected by increasing competition from internet-based companies that offer a similar service.
The firm has said it will keep trading while a buyer is sought.
But pressure is on the administrator to find a buyer in a bid to save almost 4,200 jobs.
It comes a day after music store HMV called in the administrators after struggling to compete against internet-based firms.
Blockbuster is the third to fall in 2013 with Jessops being the first a week ago.