NATO exec says NYC cinemas need 75% capacity by July 4 to survive

Last Updated on July 30, 2021

New York City was presented with great news when Governor Andrew Cuomo announced that their movie theaters could reopen at 25% capacity back in March but these capacity limits need to increase in the near future or they will be back in a position where their future is very uncertain.

Joe Masher, president of New York NATO, made a bold declaration on Monday after Governor Andrew Cuomo made no moves during a press conference to boost the capacity of movie theaters in the five boroughs. The capacity limit still sits at 25% and New York exhibitors were hoping to see that be bumped up to 50%. The box office results for Godzilla vs. Kong had theaters owners hopeful for a tide change in terms of moviegoing but Masher believes that movie theaters really need to be open at 50% capacity or more by Memorial Day and 75% or more by July 4. Essentially, under the 25% limit, it's simply too hard to accommodate movie fans that are willing to go to the movies and it's difficult to make money under those restrictions. Masher says "We are at the Governor’s door every morning with a call or an email trying to get to a minimum of 50% right now across the state, given the fact that there are zero cases of Covid from theaters and that people clearly want to go to the movies. We just can’t make it at 25%. We have to accommodate the movie-going audience. We can safely do so."

A 50% capacity bump by Memorial Day would have New York City cinemas ready for Cruella and A Quiet Place Part II while a 75% capacity increase or more by July 4 has them prepared for Top Gun: Maverick and Black Widow. These are all potentially high box office earners and Masher is clearly a bit worried that where they stand now, they won't be able to accommodate these huge tentpole releases under their current restrictions. Masher said some 5,000 movie theater employees are still out of work since chains can’t afford to staff back up fully due to the 25% capacity limit and Masher believes the 25% capacity cap doesn’t seem to make sense scientifically or logically given that indoor dining at restaurants, where people sit across from each other talking, eating and drinking without masks, is at 50% capacity. Guests in theaters generally don’t speak, face the same direction and wear masks they're eating food. According to Masher, the majority of auditoriums in the have been retrofitted with oversized luxury recliners that already eliminate up to 60% of seating. This means that an original 200-seat theater now seats 80 people and, at 25%, 20 people.

New York City, along with Los Angeles, represents the biggest box office market in the U.S. When Governor Cuomo allowed movie theaters to reopen in New York State back in October, he opened them at 25% limited capacity and he has budged from that number. Meanwhile, in Los Angeles, movie theaters in the county reopened on March 11 to 25% capacity but the area quickly moved into a new tier that bumped up that capacity limit. On March 31, Los Angeles County movie theaters were allowed to operate at a 50% limited capacity. That move happened fairly quickly considering where Los Angles was before the reopenings and it's clear that exhibitors thought NYC would be at this level by now but that hasn't been the case.

Do YOU think New York City will see the capacity limit increases they're hoping for by July 4?