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Controversial tech investor unveils revival plan for shuttered 112-year-old movie theater

The Clay Theater on Fillmore Street will eventually screen 500 films a year.

A small cinema with a retro design named "CLAY" is shown, featuring a red neon sign and marquee. A group of people gather outside, under a cloudy evening sky.
The Clay Theater, closed for five years, will undergo a major rehabilitation.

The 112-year-old Clay Theater on Fillmore Street, which has been closed since early 2020, is on its way to a new life.  

The movie theater’s owner, venture capitalist Neil Mehta, sparked fears of a “hostile takeover” when he started buying up properties on Fillmore Street in early 2024. His team on Tuesday announced plans to restore the faded cinema.

The project ties in with Mehta’s ambitious and divisive goal of revitalizing the neighborhood

The Clay Theater will require extensive renovations. When the work is completed, the theater will seat 200 people and host more than 500 screenings annually, according to Mehta’s team.

To bolster its programming with filmmaker talks and “repertory classics,” the theater has hired Ted Gerike, founder of Los Angeles cinema and bookstore Now Instant Image Hall, as creative director.

A person stands in front of a closed building with a sign reading "CLAY" above the door. A "For Lease" sign is visible, and there's an old ticket booth nearby.
Neil Mehta stands in front of the Clay Theater. | Source: Lauren Segal for The Standard

Before Clay Theater screened its last film in January 2020, it operated at a loss for six years, former owner Landmark Theaters said at the time. 

Mehta’s team will submit renovation plans to the city this year, though his partner Cody Allen says it’s too early to release a timeline about the construction and reopening. 

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“The theater’s current condition necessitates extensive rehabilitation work, and this will take time,” said Allen, executive director of the Upper Fillmore Revitalization Project

Mehta is funding his Upper Fillmore real estate play, which includes the purchase of approximately eight buildings, with a $100 million capital allocation.

Last year, neighbors rallied around small businesses on Fillmore Street that were afraid that they’d be pushed out by the project. Indeed, several tenants, including a Starbucks and a sushi restaurant, have moved out following Mehta’s acquisition of their buildings, though the Middle Eastern eatery La Mediterranee signed a lease extension

The Fillmore Merchants Association released a statement in support of the Clay Theater’s rehabilitation, calling it “an investment in the vibrant, connected future of our neighborhood.” Supervisor Stephen Sherrill, who represents the district, also signaled his support: “I’m ecstatic that this cherished landmark will remain a theater and cinematic centerpiece.”

Jillian D’Onfro can be reached at jdonfro@sfstandard.com