Moviegoers attend the Elco on Jan. 22, 1989, to see “Oliver & Co.,” an animated Disney film. It was the last movie shown there. Photo: Fred Flury / The Truth
Moviegoers attend the Elco on Jan. 22, 1989, to see “Oliver & Co.,” an animated Disney film. It was the last movie shown there. Photo: Fred Flury / The Truth

ELKHART -- It began in 1923, when Elkhart businessman Harry Lerner decided to build a vaudeville/movie theater.

In those days, these were "movie palaces," a description that certainly fit the new Lerner Theater.

A draped gold curtain hid the stage, rising to reveal vaudeville acts, big bands and the latest in silent films. The equipment was the newest, the decor in the 2,000-seat auditorium was plush and facilities were top of the line, even including a nursery where youngsters could be left in the care of a nurse.

On the official opening day, Nov. 27, 1924, more than 7,500 people attended the four performances of the silent film "The Navigator," starring Buster Keaton, and listened to the musical background score played on the Kimball Theatre Pipe Organ.

Early live performers included escape artist Harry Houdini, actress Eva Tanguay and band leader Paul Whitemen.

Five vaudeville acts were scheduled every Saturday, according to Walter Lerner, younger brother of Harry, who ran the box office in the early days. In 1928, organ music was replaced by sound, and talking pictures came to the Lerner, which was soon to change owners and name.

In 1930, the theater was leased to Warner Bros., which renamed it The Warner. Two years later, it was taken over by the Indiana-Illinois Theater Company which, after a contest in 1934, announced its new name, The Elco. There is no record of other choices.

In 1940, the Manta and Rose chain bought the Elco. The name remained. Among the ushers was Elkhart High School student William P. Miller, leader of his own dance band, winner of a Mickey Rooney look-alike contest and future show-biz entrepreneur. Drafted in 1942, he returned to Elkhart after the war and worked as manager of the State Theater, which he and wife Ruth bought from Manta and Rose in 1951. It was the beginning of a decade of competition which ended in 1961 when the Millers bought the Elco for $350,000.

The theater was the focal point of downtown entertainment for almost five decades.

Saturday matinees with "cliffhanger" serials, birthday parties for youngsters, Mother's Day specials, midnight spook shows ("Dracula," "Dr. Phibes," "Phantom of the Opera") on Halloween, concerts by Big Bands, Depression-era Bank Night drawings for cash prizes, talent shows and even a cooking school sponsored by NIPSCO and The Truth, all were special events which drew crowds to the Elco.

The major physical changes included a modernization begun in 1950 that included 2,200 new seats, a new marquee and a redecorated lobby and, in 1953, a wide-angle Cinemascope screen and 21-speaker stereophonic sound.

In 1980, the theater was officially listed on the National Register of Historic Places and celebrated the distinction with a gala evening. "Where Dreams come True" featured a repeat showing of "The Navigator," a concert on the Kimball by celebrated theater organist Dennis James and entertainment by music and dance by groups from Central and Memorial high schools.

In February of '82, another special event, "Evening of Nostalgia," featured silent film star Buddy Rogers and a showing of "My Best Girl," a silent movie starring his wife, Mary Pickford. The evening was sold out and provided a look back at the early, elegant days of the movies.

But the times were beginning to catch up with the Elco. Movie palaces were expensive to maintain and audiences were moving out to Miller Theaters in suburban areas.

In 1987, Bill Miller was killed. Son Phillip returned home to help with the theaters. In 1988, theatrical consultant Daniel Pierotti of Madison, Wis., and Chicago theatrical architect Daniel P. Colley came to talk to the community about the importance of preserving the Elco. It was the first time, but not the last, that this tune would be sung.

The last movie to be shown in the Elco, on Jan. 22, 1989, was an animated feature, Walt Disney's "Oliver & Co." According to a June 2000 story in The Truth, "Only 13 people bought tickets for the show."

After that, only special performances and other presentations sparked life in the fading grand dame.

The doors were closed and a date -- April 1, 1990 -- was set for its final bow. That was the projected sale date for the other Miller Theaters: Cinema 1 downtown, Concord 1 and 2 at Concord Mall, Holiday 1 and 2 at Pierre Moran Mall and Encore Park 1, 2 and 3 on Cassopolis Street. All eventually were purchased by G.K.C. Theatres of Springfield, Ill. Except the Encore, none are movie theaters any longer and, indeed, only one is still in use.

The Elco was not included in the package.

In the hope of its remaining alive in the community, Ruth Miller reduced the asking price to the initial purchase amount of 30 years earlier. The city, hoping to stop the deterioration process caused by vacancy and lack of use, paid $350,000 for the Elco. A new roof was put on and the race to save the theater was on. At that time, renovation costs were estimated at $1 million.

America's Children Tomorrow, a group formed by Elkhart businessman Stuart Cochran, put up a portion of the sale price and stepped up to take over management of the Elco. Plagued by financial and employee problems, it was replaced by Premier Arts in 1992, a nonprofit organization that continues as management today in cooperation with the 21-member Elco Commission, formed by the city in 1997.

In 1996, Dale Balsbaugh of South Bend, formerly with the Morris Center, was hired as manager. During the next five years, as money allowed, a number of improvements were made. The original movie screen was removed, 1,076 main-floor seats were reinstalled, a stage elevator was purchased and installed, and the light board was updated, as were dressing rooms. Newer lighting was purchased.

On stage were a variety of attractions, including regular performances by local groups such as the Elkhart Concert Club, the Elkhart County Symphony Orchestra, Patchwork Dance Company, the Elkhart Municipal Band and the Elkhart Jazz Festival, plus touring attractions that rented the theater or events booked in-house by the Elco. These met with varying degrees of success, from near-capacity audiences to cancellations. In the years since, except for the Municipal Band, all local groups either have disbanded or gone to other performance venues.

Pierotti was contracted to serve as a consultant in '98 and '99. In 1998, he outlined long-range plans for the movie-theater-as-entertainment-center and shared results of an Elco Community Survey. Cost projections: $6.5 million to $8 million plus $3.5 million for a proposed smaller theater. In 1999, plans drawn up by Leedy/Cripe Architects put the total cost at $16 million.

The next year, a fundraising coordinator was hired, a campaign was launched with a gala champagne kick-off June 14, 2000, and the Lerner/Warner/Elco Theater began billing as the Elco Performing Arts Center. Despite some funding for capital improvements and a few private donations, when the economy went south in 2000, the campaign was postponed several times and finally halted before it really began.

In November 2000, Balsbaugh resigned, citing ill health, and an Elco aide, Robert O. Decker, was named interim director. He became director in August but, after eight increasingly unsatisfactory months, was fired by the mayor.

The Elco Commission stepped into the leadership position until June, when Ed Higy of Cleveland, Ohio, was hired as general manager. The Leedy/Cripe design was broken down into two smaller options but the full cost still was projected at $21 million.

In August 2005, the building facade came loose, causing the theater to close until after repairs and putting the focus on the urgent necessity for renovations.

In February 2006, Higy was fired. Local businessman Harry Houser offered to buy the Elco but instead was hired immediately as manager and, almost as immediately, resigned.

The Elkhart Parks and Recreation Department became Parks and Cultural Resources and its superintendent, Bob Edel, was named to oversee the Elco. Eleanor Billey, former director of the S. Ray Miller Auto Museum, was designated manager.

In April 2007, the 400 Block Study Group submitted its proposal for a $13.5 million renovation, to include the space of the former Sorg jewelry store property and titled "The Next Bold Step."

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