The Light House Cinema Group last night (Wednesday ) announced that it has made the difficult decision to close the doors of the Pálás Cinema at the end of February due to ongoing financial losses.
This decision follows months of engagement by the Pálás team with Galway City Council, The Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media, the Western Development Commission and Screen Ireland as all stakeholders worked together to try to save the cinema.
"Regrettably, no viable alternative funding solution has been identified at this time and this leaves us with no option but to close the doors," the owners said in a statement to the Advertiser last night.
The Light House Cinema Group invested €1.5m in Pálás Cinema in 2018 with the objective of giving the people of Galway, and surrounding areas, access to an arthouse cinema and cultural space where independent films and a variety of events could be enjoyed.
Since that time, Pálás has brought 3,000 independent films to Galway audiences, has hosted festival events, Q&As, local school screenings, and supported local filmmakers and artists.
"The Pálás team is very proud of these achievements, of the cultural partnerships that have been forged, the loyal audience that has been fostered and the incredible group of people that have worked tirelessly at Pálás Cinema to help fulfil its mission," they said.
"However, the financial situation at the cinema is stark and continuing to operate at the level of financial loss isn’t an option.
"Since the Light House Group invested €1.5M in the cinema it has incurred operating losses of over €1.8m and is now at the point where it is incurring losses of roughly €250,000 per annum to keep the doors open.
"Rising costs, the impact of Covid and the oversaturation of commercial cinemas in the Galway area have all contributed to the situation that is faced today," they said.
"The Pálás team intends to continue to provide the best possible film-going experience until the end of February and is committed to facilitating an orderly transition of the building to its owners, Galway City Council.
"The Light House Group recognises the impact that this decision will have on the team that works at Pálás and is providing all available supports to them during this difficult time," they concluded.
