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Some Landlords Consider In-Theater Dining a Recession-Proof Retail Concept

Dallas’ Look Dine-In Cinemas Sees Interest Rising for Possible US Expansion

Look Dine-In Cinemas is generating interest from developers across the country. (Look Dine-In Cinemas)
Look Dine-In Cinemas is generating interest from developers across the country. (Look Dine-In Cinemas)

Brian Schultz, known as the godfather of in-theater dining after running with the concept about 30 years ago, has been getting a dozen requests each week from developers and landlords across the country wanting him to open a new Look Dine-In Cinemas location at their property.

The calls are a sign of anticipation that Americans, with the pandemic easing up, are looking to go out again, seeking leisure activities and entertainment. Schultz said the discretion they’ll show when it comes to spending money will help his business, even during a recession.

Schultz’s dine-in theaters aren’t just about the latest movies and reclining seats. They showcase whatever may be relevant to a local community, be it Japanese anime or a political documentary, and often include post-screening talks. Moviegoers can order drinks from a bar and order freshly made food from either their phone or the waitstaff. The average time spent at the theater can be easily three to four hours.

“We curate to each community and become a pillar ... rather than [being] a homogeneous box,” Schultz said in an interview at the ICSC retail real estate conference in Las Vegas. “It’s a hospitality experience from start to finish. ... You are seeing the traditional theaters decline. Developers want something that’s experiential. The future of the [movie theater] industry is all about personalization and giving your guests control.”

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1 Min Read
May 24, 2022 09:41 AM
Real estate professionals venture to Las Vegas to compare notes on the retail landscape.
CoStar News Staff

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Schultz said Dallas-based Look Dine-In Cinemas is at the front of a transition going on in the entertainment industry. The company currently operates theaters in five states, according to its website: Arizona, California, Florida, New York and Texas.

“People come to theater because they want the overall experience, get a meal and some beverages and hang out. It becomes a social experience. Everywhere I go, whether it’s restaurants or bars, people just want to go out. There’s a social push. An average place isn’t going to do well. They will fall away because they’ve not kept up with the times. Post-COVID, the bar is a lot higher,” Schultz said.

Is he worried about inflation, which is at its highest level in over 40 years? He answers that when consumers are free to make their own choices, they can find a reason to open their wallets for something unique. With the talk about the United States possibly falling into a recession, he said developers see a concept such as Look Dine-In Cinemas as a safe bet.

Stiff Competition

The company isn’t alone, however, and faces competition from large U.S. theater chains AMC and Cinemark, which also offer dine-in services.

“If everything is more expensive right now, it’s got to be worth it,” Schultz told CoStar News. “A lot of retailers are struggling. You have to be able to innovate. … Movie theaters thrive in the recessionary [time]. It’s an affordable staycation.”

For proof of the interest Schultz is seeing, Look Dine-In Cinemas had nearly 50 meetings scheduled in two days at the ICSC event.

“All of the meeting requests have been inbound,” Schultz said. “Right now we are opportunistic. We want to work on the best ones that will have the best impact.”

The company has also received inquiries from overseas, though it’s focused on the U.S. market for now, he said.