Propped-up theatre trust grateful
Ratepayers have been carrying the debt burden for a new multimillion-dollar theatre in Marlborough, but financial independence may be waiting in the wings.
More than $2 million of public money was given to the beleaguered ASB Theatre in the past financial year, with another $1.45m expected to go that way this year.
The donations are part of the $5.1m promised to the Marlborough Civic Theatre Trust by the council last December.
The three-year deal will be rounded off with a $1.5m donation next year.
But with the theatre raking in almost $1.3m in ticket sales and conference fees in the past year, the ship seems to be heading for smoother waters.
The theatre took in slightly more than $900,000 in the 2015-16 year.
Marlborough Civic Theatre Trust treasurer Anton James said the trust was grateful to ratepayers for easing the financial burden regarding debt and interest.
James said social media impact was building with more than 3200 theatre followers on Facebook. There was also a partnership with promoters Cavalcade to bring new shows to Blenheim.
The Whitehaven Wine Room and the Pak ‘n Save Kitchen were up and running, complete with sponsors’ naming rights, and initiatives were starting to show on the balance sheet with 48 live performances, 115 days in use and more than 35,000 tickets sold.
The theatre was not getting quite as much conference and event use as it could, but was strong and growing at 40 events, 104 days in conference use, and 12,000 attendees.
Local groups were encouraged to use the venue with subsidies, with a lower return to the trust at about $2600 per day, compared to $7500 a day at full cost. Local users were subsidised to the tune of $269,228.
Ratepayers had also helped with a $390,000 operating grant for the year and $187,000 for interest on debt. The theatre’s operating cost was $1.044m and the final result showed a loss of $71,000 for 2016-2017.
The operating profit, or cash surplus, was $122,243 against a loss of $436,849 the year before.
Next year’s overall operating figures were expected to be about the same, and James said the operating funding level looked to be sufficient.
‘‘The completion of the Anderson Theatre will add to our ability to host smaller community events and touring shows,’’ James said.
In light of the financial backing from council last December, the council appointed finance manager Martin Fletcher to attend trust meetings on behalf of ratepayers and keep the council up to speed with costs associated with the theatre.
The strategic plan showed the trust planned to restructure to match the operating environment and align with a new ticketing arrangement with Ticketek, and it was expected this would attract new events.
The plan included improved relationships with Clubs of Marlborough, the Marlborough Convention Centre and Destination Marlborough.
James said the trust was keen to see how it fitted with the council’s tourism and events review being conducted by consultant Richard Jeffrey.
‘‘The long-term future shows conference bookings looking strong and in line with our targets set in the strategic plan. We’ll have Romeo Bragato, the National Brass Band Championships, International Sauvignon Conference, and the New Zealand JPs’ Association here.
‘‘It all adds to the economic flow into the region in the form of hotel accommodation, transport services, tourist attraction visits and food and beverage spending,’’ James said.
Marlborough Mayor John Leggett said the trust would provide the council with another update in six months.
Leggett said he was satisfied with the trust’s transparency to ratepayers.
‘‘I’m satisfied we’re getting regular updates on the trust’s activity and I’m also very happy with the feedback I’ve had about the theatre and the audiences it has been attracting,’’ he said.
‘‘It’s been particularly good to know there are events on its programme organised so they’re accessible to all parts of our community - school children especially.’’
"I’m satisfied we’re getting regular updates on the trust’s activity and I’m also very happy with the feedback I’ve had about the theatre and the audiences it has been attracting." John Leggett, Marlborough mayor