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From indie gem to cultural hub: the Palm Theatre has a new identity as The Film Center

The Palm Theater has been a beloved independent movie house since it opened its doors in 1988.
Courtesy of the SLO International Film Festival.
The Palm Theater has been a beloved independent movie house since it opened its doors in 1988.

This month, the Palm Theatre in downtown San Luis Obispo has become the SLO Film Center. The Theater has been a beloved independent movie house since it opened its doors in 1988. Now, the nonprofit San Luis Obispo International Film Festival is running the theater — leasing it from owners Jim and Patty Dee, who are retiring.

Jim Dee, a longtime movie enthusiast, had a vision to create the go-to spot for indie films on the Central Coast, showcasing works from auteur filmmakers worldwide.

“It was always the idea that there is so much more cinema — great films beyond your multiplexes,” Dee said. “They do what they do just fine, but if you look at 10 multiplexes they’re all playing the same Hollywood stuff.”

But The Palm wasn't always a theater. It was once an empty building on Palm Street, formerly housing the Employment Development Department.

“You’d walk in the door and could see all the way to the back, so I had to create the theaters that are in there today,’’ Dee said.

Dee already owned and operated The Rainbow Theatre nearby when he was inspired to expand, and convert a rundown government building into the fully functioning movie landmark we know today as The Palm Theatre.

“I had to transform a building that wasn’t intended to be a three-screen theater. It included sloping the floors. It was a major operation,” Dee said.

Jim Dee is the co-owner of the Palm Theatre. He is now leasing it to the nonprofit, San Luis Obispo International Film Festival.
Courtesy of the SLO International Film Festival.
Jim Dee is the co-owner of the Palm Theatre. He is now leasing it to the nonprofit, San Luis Obispo International Film Festival.

Since then, The Palm has featured films like the South Korean masterpiece “Parasite,” one of Taika Waititi’s early hits “What We Do in the Shadows,” and the Academy Award-winning Polish film “EO.” And the theater has recently leaned into programming more classic films, giving younger generations the chance to experience “The Shining,” “The Big Lebowski,” “Psycho,” and more on the big screen.

But theaters across the nation are struggling, and there's been ongoing debate among filmmakers, movie-goers, and theater owners about whether the movie-going experience is dying. Dee explained that discussion has been spurred by changes in an industry whose evolution he has been observing for decades.

“Going from three channels on TV, and then, oh my gosh, cable! Then you go to HBO and Cinemax, and then VHS, and then DVDs, and now we’re into streaming,” Dee said. "Normally a movie would sit in the theaters for a few months and then maybe come out with a DVD, but now these theatrical runs are cut short. So, going back to the 70s to now — it’s really kind of challenging for movie theaters, seemingly.”

Publications like The New York Times and Forbes have joined in on the discussion about whether movie theaters are dying, citing factors like streaming availability, the overwhelming number of new films and TV shows, and rising prices for concessions, parking and tickets.

But according to The New York Times journalist A.O. Scott, going to the movies isn't dead. He argues that art forms mutate rather than become extinct. Sometimes theaters mutate, too, so they can survive.

Visitors outside the Palm Theatre in Downtown SLO.
Emily Schiffenhaus
Visitors outside the Palm Theatre in Downtown SLO.

“Most theaters — 80% plus, like the Palm across the country — are nonprofits,” Dee said. "They’re a nonprofit, where their survival is based on grants, donations, philanthropists and things like that. I have a number of friends who have theaters, and I asked them, ‘can you survive with the number of people coming through the door?’ And the answer is, ‘No.’”

That’s a big reason Dee has partnered with leaders of the San Luis Obispo International Film Festival, including its executive director, Sky McLennan, who will lead the charge in the theater’s next chapter.

“We’ve really wanted to have more of a year-round presence, and have a brick and mortar space where we can center film and celebrate film, and be more than just a six-day film festival,” McClennan said.

She notes that The Film Center will offer great resources for filmmakers, film lovers, and students.

“We’re just gonna have many more things, just on steroids. More filmmaker panels, more Q&As, more events,” McClennan said.

She explained that The Film Center will not only allow The Palm Theatre to continue, but also make the film festival an ever-present cultural hub for the region.

“The Film Center really is for the community of SLO. The Palm Theatre is one of the only independent theaters in the entire county,” McClennan said. “It’s the only place you can see independent film currently. It’s also for the filmmaking community, which is a small but mighty one.”

McLennan, a Templeton native and filmmaker, acknowledges the nerves long-time Palm patrons may feel about this change. She grew up attending The Palm Theatre, where she first fell in love with independent film, inspiring her to become a filmmaker.

“It’s very surreal to come back here and be in that space and think about what we’re doing,” she said. “A big part around a lot of our discussions and planning is really trying to keep that essence — that space and energy — and really leaning into that even more.”

Both McLennan and Dee agree that the best way to support the new Film Center at the Palm Theatre is simply by going to the movies.

“Come out. Show up. Keep coming to the movies,” McClennan said. “We will continue to offer what the Palm has offered the community for many, many years. It’s just the next chapter.”

Stay updated with news and movie showtimes at thepalmtheatre.com and follow them on Instagram @slofilmfest and @thepalmtheatre.

The KCBX Arts Beat is made possible by a grant from the Community Foundation San Luis Obispo County.

Alyssa Toledo is an award-winning queer Latina writer, director, and editor from California's Central Coast. She came to KCBX in April 2024 as a freelance reporter, who focuses on covering the arts. After studying film at Allan Hancock College and Cal State Fullerton, she dove into the film industry, spending several years assisting on Netflix's hit series, "Outer Banks." Aside from reporting at KCBX, Alyssa is wrapping up her latest feature film, "Toledo," which draws from her own Latin upbringing on the Central Coast.
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