Photo by Danny Fulgencio.
The Alamo Drafthouse in North Richland Hills will remain permanently closed after it and two other locations voluntarily filed for bankruptcy Friday, but our neighborhood theater is expected to remain open.
Three North Texas Alamos, including North Richland Hills, Lake Highlands and Richardson — all owned by franchisees father and son Bill D. and Bill C. DiGaetanothe and their LLC called Two is One, One is None — filed for bankruptcy, according to a statement from the group.
But the owners say the Lake Highlands and Richardson locations (as well as other D-FW locations) will remain fully operational as they work through the bankruptcy proceedings and implement a restructuring plan.
The DiGaetanothes said in a statement that North Richland Hills closing is related to rent negotiations. It never did re-open following coronavirus related closings, though their others did. The inability to renegotiate the North Richland Hills lease has put a financial strain on the group and led to the filings, the statement indicates.
The action, they say, “will better position the company long-term for the return of the film exhibition market” at their theaters in North Texas (Richardson, Cedars, Lake Highlands, Las Colinas and Denton) and their one location in Woodbury, Minnesota.
To implement their plan, according to a statement from the LLC, the company authorized the filing of three voluntary subchapter V cases in the United States Bankruptcy Court. Information about the filing can be found here.
“The company hopes to emerge from subchapter V as quickly as possible, and the company and its advisors have ensured that the filing will not affect the company’s day-to-day operations,” the statement reads.
Last March, franchisor Alamo Drafthouse Cinema announced it had voluntarily filed for bankruptcy (that did not include the separately owned DFW locations), from which it emerged last summer.
According to the owners, the dine-in theaters’ Lake Highlands location, which opened to great local fanfare in March 2018 will operate “business as usual with no interruption.”
As for the future, Bill C. DiGaetano says he “looks forward to many great years of sharing films and great meals together.”
Although guests are gradually returning to theaters, revenues are significantly below 2019 levels, he notes, adding that the Alamo model has the best chance of securing pre-virus business levels .
“We are privileged to have an extremely talented and passionate team who welcome our guests every day in ‘their’ theaters. We believe in these team members, and they believe in creating a guest experience that is beyond compare. The steps we are taking will allow our Company to deal with the continuing challenges of film exhibition while maximizing future opportunities that allow us to compete more effectively within this highly competitive and dynamic industry,” DiGaetano says. “We love our film-loving guests – your support means the world to our Alamo family. We look forward to many great years of sharing films and great meals together!”
They add that all six of the company’s open theaters will be premiering the much-anticipated movie, The Batman, on its release date March 3.
