State Palace Theatre
Trademark
UnclaimedA historic New Orleans theater and former movie palace that later became a major Southern rave and concert venue.
Last updated August 24, 2026
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Overview
The State Palace Theatre is a historic performing-arts and entertainment venue in downtown New Orleans, Louisiana. It stands at the uptown lake corner of Canal Street and Rampart Street, directly opposite the Saenger Theater on Canal Street. The building was constructed in 1926 for the Loew's Theatre circuit and opened under the shorter name State Theatre on Easter Sunday, April 3, 1926. Its opening combined motion pictures with live stage appearances, reflecting the hybrid programming common to large American movie palaces of the period. Marcus Loew was associated with the opening, which featured appearances by performers including Lew Cody, Buster Keaton, Jack Mulhall, Dorothy Mackaill, Conrad Nagel, Dorothy Phillips, Lloyd Hamilton, and Dorothy Mason. The original theater had approximately 3,335 seats and included a 3/13 Robert Morton theater organ. In its early years it presented silent films and live entertainment. As sound cinema became dominant, talking pictures replaced silent-film programs. The Robert Morton organ, once one of the venue's notable technical and musical features, was later destroyed in a flood. The property was divided into three auditoriums in 1976. After it ceased operating as a movie house in the late 1980s, the partitions were removed. The venue was subsequently restored, renamed the State Palace Theatre, and repositioned around classic-film screenings and live concerts. During the mid-1990s it became one of the most prominent venues in the Southern United States' rave movement, hosting leading disc jockeys and electronic-music events. Its role in that scene was later documented in the film "Rise: Story of Rave Outlaw Disco Donnie." The theater was severely affected by the flooding associated with Hurricane Katrina and the failure of the New Orleans-area levee system in 2005. Limited cleanup allowed the building to host a small number of rave events through 2007, but its condition required substantial renovation. After the property changed hands, the fire marshal closed the venue. A proposed reopening connected with City Officials and Broadway South targeted the 2010–11 season, with renovation work planned for summer 2009; that work did not begin. In 2014, New Orleans developer Gregor Fox confirmed that he had purchased the theater and said he intended to restore its interior and exterior and return the property to commercial use in a way that would support the city's arts community. Fox put the theater up for sale in 2015 after concluding that the restoration could cost as much as $40 million. In 2018, LC Hospitality Group presented a redevelopment proposal to the Central Business District Architectural Review Committee. The plan called for removing most of the theater's interior and building a nine-story, 132-room hotel with a parking garage. The available reference material does not establish that this proposal was completed or that the theater resumed operation.
History
The State Palace Theatre began as the State Theatre, a large Loew's movie palace built in downtown New Orleans in 1926. Its location at Canal and Rampart streets placed it within one of the city's most important entertainment districts, opposite the Saenger Theater. The venue opened on Easter Sunday, April 3, 1926, with a program combining film and live performance. Marcus Loew was associated with the opening, and the opening-day stage appearances included a broad group of film personalities such as Lew Cody, Buster Keaton, Jack Mulhall, Dorothy Mackaill, Conrad Nagel, Dorothy Phillips, Lloyd Hamilton, and Dorothy Mason. The original auditorium seated about 3,335 people and was equipped with a 3/13 Robert Morton organ. It initially served the silent-film era while also accommodating stage acts. The transition to talking pictures gradually changed the building's programming, and the organ eventually ceased to be part of the theater's operation. A later flood destroyed the instrument. The building's history therefore reflects both the technological transition from silent cinema to sound and the changing economics of large single-screen movie palaces. In 1976, the State Theatre was divided into three auditoriums. This tripling adapted the property to the multiplex-oriented exhibition model, although it altered the scale of the original interior. After the venue closed as a movie house in the late 1980s, the internal partitions were removed. The property was restored and relaunched as the State Palace Theatre, with classic movies and concerts forming the core of its renewed identity. The venue later acquired a different cultural importance through electronic music. In the mid-1990s it became a leading Southern rave venue, hosting major DJs and attracting audiences to large-scale events. Its place in the rave movement is highlighted by the documentary "Rise: Story of Rave Outlaw Disco Donnie," which examines the outlaw-rave scene associated with the venue and its promoters. This period made the State Palace more than a traditional theater: it became a recognizable regional platform for electronic dance culture. The 2005 Hurricane Katrina disaster and the associated levee failure caused extensive flooding in New Orleans and seriously damaged the theater. Cleanup was sufficient to permit a limited number of rave events through 2007, but the building remained in need of major work. After a sale to new owners, the fire marshal closed the property. Several attempts to define a future for the building followed. A plan involving city officials and Broadway South sought a reopening during the 2010–11 season, with renovations anticipated in 2009, but construction did not begin. In 2014, developer Gregor Fox confirmed his purchase of the property and said he wanted to rehabilitate both its exterior and interior and return it to commercial use. He also described the project as a potential contribution to New Orleans's arts community. Fox later chose to sell in 2015 after learning that the restoration might cost up to $40 million. In April 2018, LC Hospitality Group brought forward a redevelopment proposal to the Central Business District Architectural Review Committee. The proposal called for a nine-story hotel containing 132 rooms and a parking garage, while gutting most of the theater's interior. The available sources do not confirm that the hotel project was built or that the State Palace Theatre reopened, leaving its later operating status unresolved.
- 2018
Hotel redevelopment proposal
[1]LC Hospitality Group submits plans for a hotel redevelopment that would remove most of the theater's interior.
- 2014
Gregor Fox purchase
[1]Gregor Fox confirms his acquisition of the theater and proposes a comprehensive restoration.
- 2005
Katrina flooding
[1]The theater is flooded during the Hurricane Katrina levee-failure disaster.
- 1995
Rave-era prominence
[1]The State Palace becomes a major Southern rave venue and hosts leading electronic-music DJs.
- 1980
End of movie-house operation
[1]The venue closes as a movie house in the late 1980s before its partitions are removed and the property is restored.
- 1976
Triplex conversion
[1]The theater is divided into three auditoriums.
- 1926
State Theatre opens
[1]The Loew's-built State Theatre opens on April 3 with a 3,335-seat auditorium, silent films, live appearances, and a 3/13 Robert Morton organ.
Products and positioning
A historic downtown New Orleans entertainment venue whose identity evolved from Loew's-era movie palace to restored classic-film and concert theater, and later to a highly influential Southern electronic-music venue.
Cinema programming
Classic-film screenings
After the venue's restoration and renaming, classic movies formed part of its programming alongside concerts. This represented a return to the building's original cinema identity while using the historic theater as a broader entertainment venue.
Live entertainment · 1926
Live concerts and stage performances
The State Palace has hosted live performances from its opening period onward and later operated as a concert venue. Live music helped sustain the theater after its conventional movie-house era and formed an important part of its restored State Palace identity.
Electronic music events · 1995
Rave and electronic-music events
During the mid-1990s, the venue became a prominent Southern rave location, presenting events with leading DJs. Its role in this scene is one of the defining chapters of the building's modern cultural history.
Marketing campaigns
- 1995Southern rave programming
Southern United States
The theater developed a strong identity as a large-scale rave venue, hosting prominent DJs and helping establish New Orleans as a destination within the Southern electronic-music circuit.
Outcome. The State Palace became closely associated with the regional rave scene and was later featured in a documentary about that movement.
Brand decisions
2018
Proposed hotel redevelopmentStrategyBackground
LC Hospitality Group submitted a redevelopment concept for the long-closed and heavily damaged property.
Action taken
The proposal called for gutting most of the theater's interior and constructing a nine-story, 132-room hotel with a parking garage.
Aftermath
The available reference material does not confirm whether the proposal received final approval or was completed.
2014
Proposed historic restorationStrategyBackground
After acquiring the property, Gregor Fox sought to return the damaged historic theater to commercial use.
Action taken
Fox proposed renovating the interior and exterior and linking the redevelopment to New Orleans's arts community.
Aftermath
Fox decided to sell the property in 2015 after learning that restoration could cost as much as $40 million.
Estimated restoration cost. $40 million (2015 estimate)
2009
Planned reopening for the 2010–11 seasonStrategyBackground
After Hurricane Katrina damage and later closure by the fire marshal, city officials and Broadway South sought to return the theater to operation.
Action taken
Renovations were planned for summer 2009 with a targeted reopening during the 2010–11 season.
Aftermath
The renovation work was never started, and the planned reopening did not occur according to the reference material.
1989
Reposition the property as a concert and classic-film venueStrategyBackground
Following the theater's closure as a movie house in the late 1980s, the existing internal division no longer supported the property's next operating model.
Action taken
The partitions were removed, the venue was restored, and it was renamed the State Palace Theatre.
Aftermath
The theater resumed an entertainment role centered on classic films and concerts before becoming prominent in the 1990s rave scene.
1976
Convert the single theater into three auditoriumsGeneration changeBackground
The property was adapted to the multiplex-style exhibition model by dividing the original theater into three screening spaces.
Action taken
The State Theatre was tripled.
Aftermath
The partitions were later removed after the movie-house era ended and the venue was restored under the State Palace Theatre name.
Sources1 sources
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