On paper, you have a good point, Robert. In practicality, it can kill an indie long before he develops enough clientele to support his theatre (if he does at all).
A case in point is our own area here. The old Charleston Cinema was leased by a couple that tried the art/indie route. They're the ones who gave it it's distinctive purple color scheme (before the present owners changed it). The indie idea died a tragic death. Over the years, it was tried at the Holiday Twin (now closed), the Plaza Twin (now closed), and at two of your company's local outlets (temporarily).
The only theatre that's been able to generate the economic system to support anything other than mainstream fare is the Lynwood Theatre, on Bainbridge Island. They've got the self-styled "upscale" crowd that supports what they run, and have done so for years... but they're the only ones in our county of 300,000+... go figure.
So, the notion of offering alternative entertainment, while noble, isn't something many will try... at least not in our blue collar area. The risk of losing ones shorts altogether is powerful motivation to stick with the mainstream... less risky!
Oh... disclaimer here... this is my opinion... worth what you paid for it. If you don't like it, I'll give you double your money back.
Jack