Tennessee Theatre

Inside the Tennessee Theater

Nestled in the heart of Knoxville, Tennessee, the Tennessee Theatre has been a beacon of cultural heritage and community spirit since its grand opening on October 1, 1928. Originally a motion picture palace, it has hosted both film screenings and live performances, evolving into a cherished landmark over the decades. The theatre’s history is rich with tales of triumph and tribulation, including its critical role during the Great Depression and World War II as a sanctuary where people gathered to escape their troubles and stay informed about global events.

Despite its illustrious past, the Tennessee Theatre faced significant challenges in the post-war era. The rise of suburban multiplexes in the 1960s and the changing economics of entertainment saw the theatre struggling to remain relevant. It ceased showing premier films in 1977 and closed its doors, only to be revived by a dedicated group of local enthusiasts and later, the support of a nonprofit organization that spearheaded a comprehensive $30 million renovation project, completed in 2005. This meticulous restoration breathed new life into the theatre, preserving its historic grandeur while modernizing its facilities.

The resilience of the Tennessee Theatre was put to the test once again in March 2020, when the COVID-19 pandemic forced it to shut down. The initial expectation of a brief closure soon turned into an 18-month hiatus, during which the theatre grappled with mounting operational expenses, layoffs, and a complete halt in programming. The situation appeared dire as the theatre burned through over $100,000 a month in operating expenses despite being closed.

The Tennessee Small Business Development Center (TSBDC) began working with the Tennessee Theatre in April 2021 to assist with the SVOG application process. With their help, the Tennessee Theatre was awarded both a first round of funding in the amount of over $3.7 million in July of 2021 and a supplemental grant of over $1.9 million in November of 2021. The TSBDC also worked with the Tennessee Theatre to review compliance with the SVOG reporting requirements and ensure that all documentation was provided.

In this darkest hour, the Shuttered Venue Operators Grant (SVOG) emerged as a lifeline. Administered by the Small Business Administration (SBA), this federal grant was designed to support venues that had been critically impacted by the pandemic. For the Tennessee Theatre, the SVOG provided a substantial infusion of $5.7 million, representing 45% of its 2019 revenues, with the possibility of additional funding if any remained unallocated.

The SVOG funding was pivotal. It enabled the theatre to cover significant losses and operational costs incurred since the pandemic's onset in March 2020. This financial support was not just about keeping the lights on; it was about preserving a cultural cornerstone for future generations. The grant allowed the Tennessee Theatre to resume programming by August 2021, and by the end of that year, it was back to normal operational levels, albeit with necessary health and safety protocols in place.

The return to normalcy was not immediate, but the theatre's management, staff, and the broader Knoxville community remained steadfast. The success story of the Tennessee Theatre is a testament to the power of community support, the importance of federal assistance programs like the SVOG, and the unyielding spirit of those dedicated to preserving the arts. Today, the Tennessee Theatre stands as a vibrant cultural hub, continuing its legacy of entertainment and community engagement, a symbol of resilience and hope for the future.

This article does not constitute or imply an endorsement by the SBA of any opinions, products, or services of any private individual or entity.