In 1885, William L. Wallace, a local chocolate manufacturer, had the idea to build a theater in the heart of Tarrytown. The building was to be mixed-use with apartments and commercial space, as well as a large entertainment area in the rear. Architect Philip Edmunds's design exemplified the Queen Anne style in its mix of materials, as advocated by Richard Norman Shaw, considered to have established the style. It cost Wallace $50,000 ($ in modern dollars) to build and opened in December. The first night's performance was instrumental selections from "The Mikado" with a quartet vocal performance of "Moonlight on the Lake".