HE found the inspiration for the all-time television high, Dad's Army here and once owned and ran the Palace Theatre Watford with his wife, Gilda, but, when Jimmy Perry returned to the hometown of his past, he got lost, stuck and confused by the intricacies of the town's infamous road system.

When, 20 minutes later than scheduled, he stepped out at the top of the stairs at the gallery in Watford Museum in Lower High Street, it was with a huge smile and a wicked glint in his eye, declaring: "I bet you are saying to yourselves: Is he still alive?'"

Jimmy had been invited to be the surprise guest to perform the official opening of the museum's exhibition, The History of the Palace Theatre, which has been arranged to coincide with the closure of the theatre for refurbishment in July.

History credits Jimmy and Gilda Perry with saving the theatre by persuading the council to take it into public ownership in 1964. According to Jimmy, history could have been very different.

"I could have finished it," he confessed, relating an anecdote from some 40 years ago.

"One day, a builder came and asked: Would you take £30,00 to go? We want to pull down the theatre and the Carlton next door and build a supermarket'."

Living with constant cash crises, Jimmy decided to share the thought with his wife, Gilda, who gave him a cold stare and simply replied: "How dare you?"

Gilda, who sent her regards but did not join Jimmy at Monday night's appearance at the show, approached "Mr Watford", Mr Rigby Taylor, who put a lot of personal money into the theatre and temporarily saved it until the Perrys finally gave up and persuaded the council to take over.

With lingering love for the theatre, Jimmy recalled taking over in 1956, knowing nothing about the way to run a theatre in the days when councils considered theatres trivia and the maximum grant they eventually obtained was £5,000.

"We used to make £2,000 on the panto and use it to subsidise the rest of the year," Jimmy recalled, adding when things got really bad, the repertory company would put on Agatha Christie.

"I would play Poirot -a lot better than David Suchet," he grinned, savouring memories from more than 600 appearances on the Palace stage with people like Tony Bell, Norman Cockburn, Rodney Bewes and Glenda Jackson.

"Little did I know I was performing love scenes with the future Minister of Transport," he laughed.

He did make one final appearance at the Palace Theatre Watford just two years ago, when he joined the Water Rats in Roy Hudd's benefit show for the current theatre appeal.

Before making his exit having asked directions for Bushey Arches Jimmy sincerely urged preview guests to beware the dangers of theatre closure and remember "the Palace is still there".

The theatre's history, with pictures and programmes from the past and fabulous costumes from present productions, can be seen in both museum galleries until Friday, August 23.

The Palace Theatre Watford is staging an open day tomorrow (Saturday), with guided tours from noon until 4pm. Spaces are limited, so telephone the box office for details on 01923 225671.