Park district pushes plan for Wheaton theater

Predicting that the Wheaton Grand Theater could become "an engine for economic growth" downtown, theater supporters got to work Monday trying to sell city leaders on a plan to restore the 84-year-old building.

That included assuring Wheaton City Council members that a proposed partnership between several entities, including the city and Wheaton Park District, won't be a risky proposition for the taxpayers.

"We believe this is a significant time in the city of Wheaton," said Michael Benard, the park district's executive director. "And we believe we have a once-in-a-lifetime opportunity here to make a significant difference and, hopefully, ease some of the pain that we know all of you are feeling as those people charged with stewardship of the city's tax dollars. We're here to help."

The idea Benard outlined to city council members could open the Wheaton Grand to live performances by the end of 2011. It would involve the park district taking ownership of the building along Hale Street and borrowing $19.3 million to renovate and expand it.

The Grand Theater Corp., the not-for-profit group that oversees management of the theater, then would pay an annual licensing fee to the park district. Money raised from the fee would be used by the park district to repay the 20-year loan.

But first, park district officials are asking the city and Downtown Wheaton Association to serve as a partial financial "backstop" in case the theater fails to raise enough cash for the loan payments.

Association officials say their group has signed on to serve as the first backstop. Still, the city must join the partnership before the park district can move forward.

That means Wheaton would have to be willing to provide a second backstop payment - up to $250,000 a year - if the theater doesn't raise enough money to pay the debt during a given year and a $250,000 contribution from the downtown association isn't enough to cover the shortfall.

Benard said he believes the theater could generate enough money to meet all its financial obligations. If the city ever has to contribute cash, he said it would be reimbursed by the theater within a year.

When asked what would happen if the theater failed, Benard responded: "With the sincerest respect, the worst case scenario is for all of us in this community to do nothing."

Theater: If city needs to contribute cash, theater to pay it back in a year, park district official says