| When projectionist Doug Harkness went to work at the Canyon Meadows movie theatre earlier this month, it didn’t take long to realize he was the latest to be caught in the middle of Cineplex Odeon’s financial crisis.
"I don’t know any first-hand details myself other than I showed up for work on Thursday the 19th (of July) and the doors were locked," Harkness says.
Earlier that day, the building’s landlord, Canyon Meadows Centre Limited, a partly owned subsidiary of Opus Building Corporation, had locked Harkness’s employer, Cineplex Odeon, out of the building.
The move was the culmination of negotiations related to Cineplex’s court-ordered financial protection – negotiations that, according to Opus’ executive vice-president Joe Shannon, led to the closure of the theatre.
Shannon says Cineplex tried to renegotiate their contract for the Canyon Meadows theatre to reduce it more than 50 per cent. When Opus refused, Shannon says Cineplex decided to pull out of the building and their lease.
"(Cineplex) basically wrote a letter to the landlord and says we’re going to close Canyon Meadows theatre on July 11 and we’re going to move out and take all of our stuff with us by July 18," Shannon says.
"The landlord had no alternative but to go in on the 19th and take possession of this theatre and that’s what they did."
Shannon says the theatre has been closed since July 19, and negotiations between the landlord and Cineplex have been ongoing since that time.
Representatives from Cineplex’s regional office in Calgary redirected requests for interviews to its head office in Toronto. A spokesperson from that office didn’t return phone calls before press time.
Shannon says Opus is hoping to purchase the equipment locked in the theatre so it can re-open with a new owner.
"I would like to think we can successfully conclude those negotiations this week, but unfortunately, we can’t start showing films until we conclude those negotiations," Shannon says.
"That might take a court order itself."
Shannon says several other theatre owners have expressed interest in the building, including the operator of the Okotoks cinema, who, if successful in leasing the space, would operate a discount theatre.
"There are several people that want to rent the theatre from us.... There are other companies, like Landmark and the Movie Dome, that would love to get their hands on Canyon Meadows. It’s a great location."
Cineplex Odeon has been under protection of the court since February after falling into deep financial problems that contributed to the closure of the Southland and London Town Square theatres earlier this year. The financial crisis is indicative of similar problems throughout most of North America’s movie house industry over the past year – stiff competition and years of building huge suburban multiplex theatres created a glut of theatre space. |
