The Majestic Theatre, at 1925 Elm Street, opened in 1921 as the flagship theatre of Karl Hoblitzelle's Interstate Theatre chain.  Designed by noted theatre architect, John Eberson, the Majestic is a classic example of the opulent show house popular in America in the early part of the twentieth century.  The interior decor was described as eclectic Baroque.  

The theatre seated 2400, and the stage opening was 39-feet wide and 30-feet high.  In addition to the main aspect of the theatre - the auditorium space - the building also contained approximately 20,000 square feet of office space on the top floors of the Elm Street-facing portion of the building. 

The Majestic was the first Dallas vaudeville house to admit blacks, albeit to the fourth-floor "colored" balcony that had its own box office on the foyer level and was reached via a separate entrance from the street.  This side entrance is now the general entrance for Majestic employees.

Throughout the 1920s and early 1930s, some of the great acts of vaudeville appeared on the Majestic stage, including George Burns and Gracie Allen, Harry Lauder, Blackstone the Magician, and Bob Hope.  With the demise of vaudeville in the 1930s and the rise of moving picture popularity, the Majestic was converted to a movie theatre and continued in that role until declining business forced its closing in 1973.  As a movie theatre, the Majestic, along with other Interstate theatres, was among the first in the country to install air conditioning.

The theatre remained empty until the Hoblitzelle Foundation gifted it to the City of Dallas in 1977.  At this time, not only was the theatre placed on the National Register of Historic Places but also planning began to renovate the theatre as a downtown performing arts hall.  Funding for this $5.9 million project came from the following sources: 

•  $150,000 from the 1975 Bond Program

•  $4.0 million from the 1979 Bond Program

•  $1.0 million raised by the Dallas Ballet from private sources

•  $750,000 raised by the City Council and Park Board from other private resources

The work to be accomplished included providing a new roof; installing new heating and air conditioning, a new sound system, and light and theatre rigging; expanding the orchestra pit; refurbishing the lobby, painting interiors, recovering and painting existing seats; reworking the elevator; installing new carpets, dressing rooms, a green room, an orchestra room; and restoring the building's exterior.  

Local cultural agencies including the Dallas Ballet, the Shakespeare Festival of Dallas, the Dallas Black Dance Theater, and the Dallas Civic Opera performed in the renovated space.  Some companies, such as the Shakespeare Festival of Dallas, officed in the building.  The Majestic also housed touring roadshows and popular music attractions, which formerly could not find performing venues in Dallas.

The two-year construction schedule began in early 1981 and was completed in late 1982.   The building was re-dedicated in January 1983 with live performances beginning the same month.