Alamo Drafthouse Reopening DFW Locations

All five of its Dallas-Fort Worth Alamo Drafthouse Locations locations will reopen, following their sudden closure, the Dallas Business Journal reported.

The theaters closed after the local franchise partner operating the DFW theaters and a location in Woodbury, Minnesota, filed for Chapter 7 bankruptcy, leaving many employees jobless.

The theaters — in the Cedars, Lake Highlands, Richardson, Irving and Denton— are now under the direct ownership of Alamo Drafthouse. It’s unclear when they will reopen.

The Richardson theater recently underwent significant renovations in partnership with the city, enhancing its audiovisual equipment and seating arrangements.

All affected employees would be compensated for lost wages owed before the closures, the company said in a news release. The company offered former franchise employees the first opportunity for job interviews and promised enhanced benefits for those rehired. The benefits include immediate eligibility for daily pay, a 401k match, paid medical leave, accrued PTO and free mental health services.

“We were heartbroken to hear about the franchisee’s decision to close their locations in Dallas-Fort Worth and Woodbury, Minnesota, but we immediately got to work to acquire these as Alamo Drafthouse owned locations,” said CEO Michael Kustermann.

The company plans to hold soft openings with promotions and discounts. Those who were owed ticket refunds from the sudden closures will receive ticket vouchers. In addition, Alamo Drafthouse season pass holders will get a free month of service if they reactivate their subscriptions.

The former franchisee operator of the DFW locations, Two is One One is None LLC, filed for bankruptcy due to industry-wide declines in guest counts post-pandemic, the prolonged writers’ and actors’ strikes and unsustainable franchise fees. Attempts to negotiate fee reductions or close unprofitable locations were unsuccessful, leading the LLC to inject over $3.5 million in capital to sustain operations, a measure that ultimately proved insufficient.

—Quinn Donoghue