Calgary's historic Grand Theatre to close if sustainable business plan not found

The executive director of the society that operates Calgary's Grand Theatre said a feasibility plan was rejected by the building's landlord at the 11th hour, leaving the historic arts and culture hub to face an uncertain future.

Erynn Lystersaid the plan was focused on creating a sustainable financial future for the Grand Theatre, and centred on a resource-sharing agreement to bring theatre operations under the umbrella ofArts Commons.

Lyster said they had been working on the proposal for the last two years and found out in January that the landlord of the Grand Theatre building,Allied Properties Real Estate Investment Trust (REIT), was no longer in support.

"We were really excited to share this with the community, this was a well-thought-out plan that was sustainable," said Lyster.

"All parties were at the table, the terms seemed reallyamenable. We honestly thought we were putting the final touches on an agreement and instead our proposal was rejected at the last minute."

She added that, up until the plan was rejected, she was under the impression that Allied shared their long-term vision for the Grand Theatre.

The Grand Theatre was sold to Allied in 2021. After a long search for the appropriate landlord, Lyster said the Grand Theatre Society felt comfortable selling to Alliedbecause of their support for historicbuildings.

Lyster said the rejection mighthave been easier to accept if it had happened earlier on in thenegotiations, while the society still had time to figure out a different financial strategy.

LISTEN | Calgary Grand Theatre Society board chair discusses challenges, negotiations:

Calgary Eyeopener7:02Calgary GRAND Theatre

Why the future of Calgary's historic GRAND Theatre is now in doubt.

"If there were other options to pursue we would have done them a year-and-a-half ago, we just feel like we're now at the 11th hour, with very limited options in front of us."

For now, the Grand Theatre Society will continue to act in good faith with Allied, said Lyster, while trying to come up with another solution to save the Calgary institution.

Karen Ball is a long-time community leader and advocate for the arts in Calgary. She said cities need to prioritize spaces like the Grand Theatre in order for the arts to flourish.

"To see us lose a venue because there isn't a business model that supports itslong term operation is heartbreaking," said Ball.

Built in 1912 as a vaudeville theatre, the Grand's space has been home to a variety of arts and artists over the years.

Pierre Gauthier was the general manager of the Grand Theatre from the 1960s to the beginning of the 1980s, when its specialty was cinema.

"It was a great time everybody came to the theatres in those days. I mean, everybody," said Gauthier.

Now living in B.C., the former general manager says helooks back on his two decades long career with the Grand fondly.

"People came from out of town in those days. Small towns didn't get the pictures for three months, two months," he said.

"Theatres will never be the same."

Loss of creative spaces

And Ball isn't alone in these thoughts Alex Sarian, president and CEO of Arts Commons, says there's a demand among Calgarians for artistic and cultural venues in the city, but arts organizations nationwide are in a difficult position as physical spaces are lost.

"When we were in conversations with the Grand Theatre Society and Allied REIT, it was very much in an effort to see how [Arts Commons's] expertise might actually be a contributing factor to creating a vibrant business model for that particular venue," he said.

"We are left questioning what role we can play to help ensure that this venue remains accessible to artists, arts organizations and audiences for the next 100 years."

Sarian says losing the theatre could also have a negative effect on economic activity in the downtown core. He adds thatpublic and private sector partnershave to worktogether to ensure the viability and success of historicalarts and culture spaces like the Grand Theatre.

"For this venue, or frankly any other venue to thrive, there is a need for social enterprise to enter the lingo of arts organizations and our business models," said Sarian.

"But it also requires private sector partners to come to the table and say that we align in our values and we align in our belief that a vibrant arts community will make our cities better."

CBC NewscalledAllied Properties REITrequesting comment, but have not received a response.