However, the increasing popularity of theatrical performances soon revealed the limitations of the Conservatory’s performance space. The venue could not accommodate the growing number of spectators, while the demand for theatrical productions continued to increase. This situation encouraged cultural administrators and theater professionals to search for a larger and more suitable location.
One of the most influential figures involved in this development was Seyyed Ali Khan Nasr, an important personality in the history of modern Iranian theater. Recognizing the need for a permanent and appropriately equipped performance venue, he decided to transform the Grand Hotel’s existing hall into a professional theater.
With the assistance of the Chief of Police, Nasr rented the hall in early Ordibehesht 1320 (April–May 1941). At that time, the building was operating as a branch of the Didehban cinema enterprise. The rental agreement was reportedly established for 3,000 Rials. In addition to securing the property, Nasr allocated approximately 25,000 Rials from the Acting Conservatory’s budget for renovation and reconstruction.
