Star Cinema Grill to close as theaters feel virus’ impact
Temporary shutdowns exacerbate declines for industry already reeling
Star Cinema Grill has temporarily closed its 10 theaters in Texas and Illinois in response to the coronavirus pandemic.
The Houston-based dine-in movie theater chain, which announced Monday it was being acquired by Cinemex, said on its website it is closing “in accordance with local government direction and recommendations.” Houston and Harris County officials on Monday shut down restaurants and bars.
“We value our staff and the communities in which we do business and look forward to providing our guests with an unmatched dine-in movie-going experience in the near future,” the company said in a statement.
Star Cinema Grill joins other theater chains in closing cinemas during the coronavirus outbreak. AMC Theaters, the nation’s largest theater
chain, said it will shut its doors nationwide for between six to 12 weeks. Regal Cinema, the nation’s second-largest, said it will close its locations until further notice. Alamo Drafthouse, an Austin-based dine-in theater chain, also said it will temporarily close.
The coronavirus, which causes a respiratory disease called COVID-19, has sickened nearly 180,000 people and killed more than 7,100 people worldwide, according to the World Health Organization.
There are 29 confirmed cases in the Houston area, and one death in Matagorda County.
Movie theaters, already challenged by the rise of online streaming videos and home entertainment systems, have seen a sharp decline in attendance as consumers increasingly follow public health recommendations to avoid crowds and as movie studios postpone major film releases.
Movie ticket sales last weekend plunged to their lowest levels in more than 20 years, generating around $55.3 million between Friday and Sunday. Disney-Pixar’s “Onward” was the only movie to make more than $10 million over the three-day weekend.
The theater closures will exacerbate box office declines, analysts said.
“This is something no business wants to do, but it makes sense,” said Daniel Loria, editorial director of Boxoffice Media, a New York-based trade publication. “The whole world is on pause, and the industry will be deeply impacted for the short and long term.”
Omar Khan, owner of Star Cinema Grill, said he saw attendance start to drop at his theaters last week but declined to share specifics citing the pending sale of the company. Prior to the closure, the Houston chain reduced theater capacity by 50 percent to ensure buffer seating between moviegoers and increased the frequency and intensity of cleaning.
Khan remained optimistic that the drop in attendance will be short-term and that theaters will see a surge in traffic once the coronavirus pandemic is resolved.
“In today’s market, you really aren’t going to get people out of homes to see a great movie,” Khan said. “But once this blows over, it will do wonders for the movie theaters. People are cooped up at home and will be looking for an escape. We are the perfect fit for that escape.”