X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

SAN DIEGO-A locally based chain’s latest financial results illustrate thetroubles that have accompanied the theater industry’s rapid expansion over the past few years.

CinemaStar Luxury Theaters Inc. announced an $848,000-loss for the quarterending June 30, nearly double the loss it also posted for the same time lastyear. Like other chains, CinemaStar has been forced to rethink its growthplans as hundreds of new Southern California movies screens have popped upover the last five years.

But a CinemaStar executive says the worst may be over. “We are successfully weathering a down-cycle in this industry,” says Jack Crosby, co-chief executive officer of CinemaStar. “We hope to improve margins by closing losing operations, avoiding excessive leverage, and capturing migrated audience flow from terminated theater operations in our markets.”

The movie house chain has grown especially fast in the Inland Empire, whereit finished a 20,000-sf expansion of its Mission Grove Theater in Riversidea few months ago. However, the company closed its six-screen theater onThird Avenue in the San Diego County city of Chula Vista at the end of Juneand is selling the property, company officials say.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.