Frank Cotton built this theatre between 1909 - 1910, just as the popularity of traveling companies was starting to decline. The Cotton Theatre could accommodate about a thousand persons, and was designed for the elaborate sets and scenery that were typical of the pre-World War I theatre.

It soon became clear, however, that Cedar Falls could not support a live theatre. Cotton sold out in 1913. Subsequent owners also had trouble attracting an audience, due in part to competition from the Grand and Empress motion picture theatres in Cedar Falls. The Theatre changed hands several times before it became a motion picture house, the Regent Theatre, in 1918.

The building has had extensive refurbishing and is once again a 'live' theatre. It is listed on the National Register of Historic Places.