NEW OPERATOR TO TAKE OVER THE NEW THEATRE:
CARDIFF council has signed off plans to let a new independent operator take on the city’s New Theatre.
The council’s ruling body has approved the new tenant to take on the 110-year-old theatre and has given the go-ahead to finalise a 25-year lease.
Some of the “most influential promoters and venue operators” in the theatre industry have bid to take over the New Theatre, according to the council, which currently spends £500,000 a year to keep the venue open.
And it says the new deal could see the venue operate without its subsidy and earn the authority a rent of £6.75m over the length of the lease.
Offloading the New Theatre is one of the ways Cardiff council is looking to close a £32.4m budget gap this year.
The council’s property and legal officers evaluated seven proposals from interested parties.
The preferred bid’s key offer includes:
■ 25-year lease with no rent-free period or breaks.
■ No requirement for operational subsidy from the council.
■ Council to receive rent of £6.75m over the term of the lease.
■ Commitment to invest £2.7m in the building over the term of the lease including refresh of the front-of-house areas.
■ Commitment to grow the programme from 335 productions in the first year to 359 by year three and thereafter.
■ Commitment to maintain and enhance the mix of week-long musicals, ballet and drama.
■ Existing staff structure to be retained and all costs associated with staff transfer and protection of pensions to be covered. ■ Council to retain responsibility for the maintenance and repair of the roof and external structure.
■ Operator to have responsibility for the maintenance and repair of all other aspects including plant and machinery.
■ Commitment to retain existing volunteer programme.
Cardiff council’s cabinet on Thursday agreed to give authority for the director of economic development to finalise a lease with the theatre operator.
Councillor Adrian Robson, leader of the Conservatives on the council, told the cabinet: “This has the potential to save the New Theatre. We are aware of the work that needs doing on the New Theatre – hopefully this will enable the council to address that.”
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