Ugh. This one hurts. New York magazine has the story:
Another East Village institution is shuttering: Two Boots Pioneer Theater, which specializes in indie, underground, and cult fare, will most likely close at the end of the month. “I’m still hoping for a reprieve,” says Two Boots owner Phil Hartman, who’s seeking a partner or new owner. “But it was always a labor of love and never commercially viable.” Hartman and his wife founded the cozy 99-seat cinema in 2000, but the venue seemed older: It attempted to resurrect the lost atmosphere of old, offbeat downtown movie houses. Now it’ll share their fate, done in by a looming rent increase and tough times in the exhibition business.