IPIC Theaters files for bankruptcy for second time in 7 years, plans to close Westwood and Pasadena locations

by Rachel Morgan News Editor

Southern California is seeing another movie theater chain close its doors. IPIC Theaters, a luxury dine-in cinema, has filed for bankruptcy for the second time in seven years and will be closing its locations in Westwood and Pasadena.

Industry Challenges

This closure follows a similar announcement last month when LOOK Dine-In Cinemas shuttered three Southern California locations after also filing for bankruptcy. Ben Steinberg, founder of Save Your Cinemas, believes IPIC’s situation is a warning sign. He stated, “IPIC is one of the more luxury expensive movie theaters, so I think if they’re filing for bankruptcy, that pretty much means that no movie theater is safe at this point.”

Did You Grasp? Save Your Cinemas was founded approximately six years ago to advocate for independent theaters.

Steinberg attributes the challenges facing the industry to factors including the COVID pandemic and the rise of streaming services. He suggests that studios extending the time a movie is exclusively in theaters could incentivize more people to see films on the large screen.

A Resilient Industry?

Despite these challenges, Paul Dergarabedian, head of marketplace trends at Comscore, remains optimistic. He said, “Movie theaters are here to stay. They’ve taken on every challenge that you can imagine, from TV to streaming to a pandemic to strikes, and they still draw people into the theater.”

Expert Insight: The cyclical nature of the film industry, with periods of growth and contraction, is a long-established pattern. While current challenges are significant, the box office has demonstrated resilience in the face of disruption.

Comscore data indicates that 2025 was the highest-grossing year at the box office since the pandemic, with films like ‘Zootopia 2’ earning over $1.8 billion worldwide and ‘Scream 7’ performing well. Other upcoming releases, including ‘Project Hail Mary’ and ‘Hoppers,’ are anticipated to contribute to the industry’s performance.

Steinberg encourages support for theaters, particularly independent ones, by making moviegoing a regular outing.

Frequently Asked Questions

What is happening with IPIC Theaters?

IPIC Theaters has filed for bankruptcy for the second time in seven years and plans to close its Westwood and Pasadena locations.

What challenges are movie theaters facing?

The industry is facing challenges including the COVID pandemic and the increasing popularity of streaming services.

Is the movie theater industry declining?

While some chains are struggling, 2025 was the highest-grossing year at the box office since the pandemic, suggesting continued demand for the theatrical experience.

As moviegoing habits continue to evolve, what role do you see theaters playing in the future of film?

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