This song is a look at the temporary nature of most relationships, as people are always coming in and out of our lives. It's told through the eyes of two characters, Bobby (in the first verse) and Johnny (in the second). They do their time in Hollywood, but now find themselves moving on with their lives, a natural progression in the series of hellos and goodbyes in life.
Musically, Joel wrote this in the style of The Ronettes, specifically their song "Be My Baby," a wall-of-sound Phil Spector production. Joel was a big fan of '60s girl groups and loved both Phil Spector's production and Ronettes lead singer Ronnie Spector's voice. In "Say Goodbye To Hollywood," he pays homage to Ronnie's vibrato, emulating it when he sings the would "boulevard." Joel met Ronnie a few times over the years, but only after he wrote the song.
On The Howard Stern Show, Joel explained that he wrote "Say Goodbye To Hollywood" in a high key that was challenging to sing - he had an easier time hitting those notes when he wrote the song.
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