This is used in many mob or gangster movies, Yes. This is because a "drop off", as the name goes, is where you "drop off" something.
The Free dictionary defines 'drop-off' as:
A designated place where people or things can be left.
Additionally, it is also the shortened version of "drop-off point". If it's a mob or gangster movie, the "drop-off" will be the location where certain things, (say drugs? ) will be delivered, from where the designated receiver can collect it from. The person or an object that is the target of discussion will be left here, and the people who drop them off should leave as soon as the drop-off is complete. (That's clearly the golden rule in a mobster/ gangster/ drug lord based transaction).
Carlos: Boss, we have the "package". Where are you seniōre?
Boss: I'm at the 'drop', you numb skull.
Carlos: All right, see you soon boss. Emilio Rodriguez Esteban Carlos Out.
PS, "Drop", "Drop-off", "Drop-off point" means the same when it comes to gangster slang.