Construction of the largest cinema outside Budapest began in 1920. Departing from the original plans by Budapest architect Tibor Szivessy, one of the country's most beautiful Art Deco palaces was ultimately built based on designs by Szeged architect Endre Sebestyén. The main auditorium was designed to accommodate theatrical performances as well, equipped with a stage trap, fly loft system, and a spacious orchestra pit in front of the stage. The ground floor seated 700 guests, with an additional 500 seats across the balcony and private boxes. Sweeping staircases on both sides led to the upper floor. A buffet was situated above the entrance foyer, while an open first-floor terrace on the corner of Deák Ferenc Street was dedicated to smokers. A passageway connected the foyer toward Stefánia to the Park Café—originally famous under the name Kossuth Café as one of the early venues hosting regular motion picture screenings as far back as 1905.

The very first film screening at Belvárosi Mozi took place on September 8, 1920, and in mid-October it was officially inaugurated as a concert hall with a performance by violin virtuoso Sándor Füredi. Going to the movies back then was far more than just watching a film. The variety show or cinema sketch was an integral part of the program, featuring actors singing, dancing, and performing comedy sketches and scenes live on stage.

In October 1921, a ministerial decree regulated motion picture presentations, prohibiting other forms of public entertainment such as music hall acts, cabarets, song recitals, and concerts during standard cinema runs. However, this ban did not apply to live performances illustrating specific scenes or themes from the motion picture being shown. Consequently, cinema sketches endured, allowing on-screen narratives to be complemented by live theatrical scenes. In major movie houses, musical accompaniment was provided by their own resident in-house orchestras.

In 1943, when the Hungarian film industry produced a record total of 53 feature films, Belvárosi Mozi screened 22 new domestic titles, five of which had their national world premieres right here in Szeged ahead of Budapest.

The liquidation of Belvárosi Mozi Rt. took place in early 1949, yet the commitment remained to preserve the cinema as a premier cultural hub, just as it had started in the 1920s and 1930s. From 1978 until October 1986, during renovation works at the National Theatre of Szeged, the cinema's Vilmos Zsigmond Hall alternated between theatrical performances and film screenings.

In 2009, the largest auditorium was upgraded for 3D film projection. Live opera broadcasts and alternative cultural content transmissions showcasing rich performing arts became an integral part of this modern cinematic experience. 3D technology was relocated to the Béla Balázs Hall during the comprehensive 2020 renovation.

Even as it approached its centennial milestone, the venerable cinema attracted around 100,000 visitors every year, making building renovations increasingly urgent. The project was made possible in 2019 through municipal backing and European Union grant funding.

Alongside the partial restoration of historical architecture, the building underwent comprehensive energy modernization and tourism development. The renovations opened up expansive spaces in the main lobby, providing full barrier-free accessibility from basement to attic. As part of its tourism development, the cinema offers interactive experiences: new exhibition spaces set within the former side boxes and basement utilize 21st-century technologies to present the past, present, and future of cinema history, highlighting the legacy of three celebrated Szeged-born masters: Vilmos Zsigmond, Béla Balázs, and József Csőke. For visitors interested in virtual and augmented reality as well as visual effects, the VR Game Room, VR Cinema, and Film Experience Centre offer a cutting-edge world of entertainment.

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