The Garden Oaks Theater will not be demolished! On Tuesday, Nov. 10, community non-profit Arthouse Houston closed on the purchase of the nearly 80-year-old cinema, putting $2 million down on a seller-financed loan for the $7.1 million property. The group plans to reopen the building in 2028 as an Arts & Film Center.
The theater sits on a 2.3-acre lot on North Shepherd Dr., where the Heights, Garden Oaks and Independence Heights meet. More than 900 donors from over 220 ZIP codes, giving between $5 and $500,000, made the down payment possible.
How the Theater Was Saved
The effort started in late February 2026, when MFAH film curator Marian Luntz and the Zarzana family, the theater’s previous owners, warned Arthouse Houston that a quiet demolition was planned. The building had been sold to Heights Investment Fund, Inc., which bought it to clear the land for a strip center developer.
Protests followed, and the press took up the story. Councilwoman at Large Sallie Alcorn heard an Arthouse interview on Hello Houston and offered help. She and Councilman Mario Castillo then helped connect Arthouse with the owner, who agreed to sell for what it had paid. Arthouse signed a purchase contract in March.
Filmmakers Wes Anderson and Richard Linklater, who both spent formative years in Houston, have backed the campaign. A Wes Anderson Homecoming Soirée in downtown Houston in July drew nearly 500 supporters and raised more than $300,000.
Founding donors Phoebe and Bobby Tudor and Allison Sarofim and Patrick Seabase each gave $500,000. The Tudors’ gift starts a $3 million fund to name the Grand Lobby after Anderson.
What Comes Next
About $3 million has been raised so far. The full project, covering purchase, restoration and equipment, is estimated at $18–20 million and will run in three phases:
Phase I ($7.1 million plus closing costs)
Buy the property and pay off the loan as quickly as possible to limit financing costs.
Phase II ($6.9–$8.9 million)
A three-year capital campaign to restore the marquee, the neon blade sign, the ornamental grand staircase handrail and the original murals. It will also add classrooms, production studios, screening spaces and community areas. Arthouse has hired the specialists who restored the exterior of the River Oaks Theatre to work on the sign and marquee.
Phase III ($4 million)
Production, exhibition, education and performance equipment, plus the technology for year-round programming.
The finished center will have a main auditorium with more than 700 seats for premieres, live performances and festivals. It will also include a microcinema and flex theater spaces, gallery space, eateries, co-working space for arts groups, and an arts and media education center with all-ages classes and residencies. During construction, Arthouse hopes to run a temporary drive-in in the parking lot.
Designed by Pettigrew & Worley of Dallas for the Interstate Circuit, the theater is a Streamline Art Deco landmark. Its last film screenings were in February 1994, and Grace Church used the building from 2008 to 2025. Once the loan is paid off, Arthouse will seek protected landmark status. When it reopens, it will be one of only two historic Houston cinemas still operating as cinemas.
Gifts of every size are welcome, including Name-a-Seat contributions and support for the sign and marquee restoration. Details are on the Arthouse Houston website. Major donors can request private tours at info@arthousehtx.org.
