The Holly Theatre was constructed during the Great Depression. In fact, the building permit was pulled in October of 1929. Construction languished for a few months while the owners waited to see how long the troubled times would last. In March, 1930, construction was begun again and the theatre completed, albeit with much more modest interior features. The building was originally designed to accommodate both vaudeville and movies, so it featured a fairly deep stage behind the proscenium, as well as 6 dressing rooms, and it had close to 1,200 seats without a balcony. It was (and remains) the largest indoor theater in the Rogue Valley.
The Holly continued to operate as a movie theater until 1986, when it finally closed its doors. In 2011 it was purchased by the JPR Foundation, Inc., with a goal to restore the building to its former glory and make it once again available for live productions and movie specials. Oregon Architecture has been tasked with renovating the building to meet current codes, including Life Safety, Accessibility, Building and Structural, and to update the interior to allow it to function as a modern performance hall.