Paramount Reopens Bay Theater After Palisades Fire

Paramount Pictures will reopen the Bay Theater in Pacific Palisades after the January 2025 Palisades fire, taking over the cinema lease and adding upgrades with operations by THE LOT to restore the venue as a community movie destination.

According to the Los Angeles Times, Paramount plans updated projection technology and in-seat food and drink service at the theater inside the Palisades Village shopping center owned by Caruso.

The cinema will show first-run theatrical releases from all studios and will be operated by THE LOT, a La Jolla-based luxury dine-in theater chain with four California locations, according to reports.

Rick Caruso, founder and executive chairman of Caruso, said the theater's return marks progress for the neighborhood after the fire and the restoration of Palisades Village.

"The comeback of this movie theater is a great signal for all of L.A. Los Angeles is resilient, and we’re going to show the country that Los Angeles can bounce back from a terrible, terrible disaster, and the comeback is going to be much greater than the setback," said Rick Caruso, founder and executive chairman of Caruso.

Caruso said the lease agreement with Paramount is long-term, but financial terms were not disclosed. Paramount also did not reveal the size of its investment in the project.

Caruso said Paramount's leadership has shown commitment to Los Angeles and the future of theatrical experiences through the partnership. He also described plans to make the venue a major moviegoing destination.

"Paramount is one of the world's leading entertainment studios, with an extraordinary legacy of cinematic storytelling and, importantly, a deep commitment to the City of Los Angeles and to the future of the theatrical experience. Together, we see an opportunity to bring that to the Bay with the care, design and hospitality we're known for, so that every visit feels special. The Bay has always been at the heart of the Palisades, and its return is one of the most meaningful signs yet that this community, following the reopening of the Palisades Village this summer, is coming back stronger than ever.

David Ellison and I have a shared ambition to make it one of Los Angeles' premier moviegoing destinations. I am grateful for David's leadership and commitment to Los Angeles and the entertainment industry," said Rick Caruso, founder of Caruso.

Skydance CEO David Ellison said Paramount and Caruso share the goal of restoring the theater as a gathering place connected to the cinema experience.

"Together with Caruso, we are proud to help bring the Bay back to life as a place for the Pacific Palisades community to gather around the shared experience of cinema. This theater has always meant more than movies alone – it’s woven into the fabric of this neighborhood, and helping restore it is a privilege," said David Ellison, Skydance CEO.

The reopening follows Netflix's end of its lease, which began in 2021 when the streaming company used the venue for events, classic film screenings and theatrical showcases of original movies.

Adolfo Fastlicht, founder and CEO of THE LOT, said the operator will focus on premium hospitality and curated programming when the theater returns.

"Through our curated offering and dedicated hospitality, we look forward to welcoming the Pacific Palisades community back to the movies, the way they were intended to be shared," said Adolfo Fastlicht, founder and CEO of THE LOT.