Regal Cinemas will close 39 locations across the US

Regal Cinemas will close 39 locations across the US

Web Desk
January 20, 2023

Regal Cinemas will close 39 locations across the US

The Wrap has revealed that while Cineworld’s bankruptcy proceedings continue, its affiliate Regal Cinemas.

Regal Cinemas will start turning down leases for the theatres shutting on February 15.

With its current debt of $4.8 billion and the closure of cinemas globally in 2020.

The Wrap has revealed that while Cineworld’s bankruptcy proceedings continue, its affiliate Regal Cinemas would liquidate 39 theatre sites starting next month. One of the venues slated for closure is the well-known Sherman Oaks Galleria property, which the movie theatre company acquired from the defunct Arclight Cinemas in June 2021.

According to the source, Regal Cinemas will start turning down leases for the theatres shutting on February 15. According to the bankruptcy documents, the main cause of the closures was post-epidemic expenses including higher rent driven by delayed payments from the pandemic. Additionally, it stated that between 2019 and 2022, the average monthly rent for each theatre climbed by 30%. The most recent filing says:

“In the lead up to these chapter 11 cases, the Debtors undertook an extensive analysis of their U.S. lease portfolio as part of formulating a revised, go-forward business plan. The objective of that analysis has been, and continues to be, identifying unprofitable, underperforming, or otherwise undesirable theater locations in the United States. In total, the Debtors estimate that rejecting the Leases will save their estates approximately $22 million annually.”

The epidemic has had a significant influence on the theatre industry, and now the price is being paid. With its current debt of $4.8 billion and the closure of cinemas globally in 2020, Cineworld will suffer a $3 billion loss. While the box office has increased over the past year, with a domestic total of $7.38 billion, up from the $4.4 billion grossed in 2021, it is largely due to films like Marvel Studios’ Spider-Man: No Way Home, Shang-Chi, and the Legend of the Ten Rings, and Sony’s Venom: Let There Be Carnage that attracted audiences back to the theatre. However, that sum is still around $4 billion less than the $11.3 billion in North American revenue for the same period in 2019.

Seven multiplexes in California and six in New York are included on the complete list of theatres that have closed. This is in addition to the 12 venues that were already shuttered this past fall in the wake of Cineworld’s bankruptcy notice, including multiplexes in Anaheim, Portland, Cleveland, and Las Vegas, as well as other ones. While Regal continues to run theatres at L.A. Live in locations like downtown, North Hollywood, Simi Valley, and Palos Verdes, among others, the Sherman Oaks Galleria site is the only one that will be closing in Los Angeles County. When it filed for bankruptcy, Regal ran about 500 movie theatres across the country.

Below is a list of all the Regal Cinemas locations that are closing:

Tikahtnu Stadium 16 IMAX and RPX (Anchorage, AK)

Metro Point (Costa Mesa, CA)

Berkeley 7 (Berkeley, CA)

Parkway Plaza Stadium 18 and IMAX (El Cajon, CA)

Escondido Stadium 16 and IMAX (Escondido, CA)

Hemet Cinema 12 (Hemet, CA)

Sherman Oaks Galleria 16 (Los Angeles, CA)

Yorda Linda and IMAX (Yorba Linda, CA)

Meadows Stadium 12 (Littleton, CO)

SouthGlenn Stadium 14 (Centennial, CO)

Shadowood 16 (Boba Raton, FL)