
Sources tell me (interestingly they are Lib Dem) that the
Rose Theatre deal with
Nadhmi Auchi is on the skids.
This is not much of a secret as it appears that Sir Peter Hall was very despondent during a recent Reader's Festival event. It looks like the eighteen months of negotiation have floundered and certainly my past involvement showed me that more and more demands were being made and we were getting a worse and worse deal.
I also gather that the Friends' had a somewhat depressing meeting last week when it was clear that the deal was not going well.
As many will know I am a supporter of there being a Kingston Theatre but have always been against the idea that Council Tax should be used to hand over "our" building to an international company. I have nothing but respect for Mr. Auchi in this process as he is after all a businessman and he always made it clear that what he was doing was a business deal and not pure philanthropy.
However, the Council handing over control of the taxpayers asset to
General Meditteranean Holdings was wrong. If this has fallen through and the theatre is set to flounder then my last recollection is that the Council we will be writing off £2m of loans it made to the Trust, hardly a good way to start a new administration.
So what now? This project faces an uphill struggle because we have managed to waste an entire year chasing this property deal. The Lib Dems seem to have few choices. Choice one is that they stump up the extra £3-4m required. I really cannot see that happening but who knows with this party; they supported the previous deal.
Alternatively they can bring in another theatre operator but given this messy situation who is going to want to take it on? Any new operator is going to be worried by the bad publicity that this collapsed deal is going to bring. Equally we are now at their mercy as we have developed few alternatives.
The real problem is that the terms of the deal with St. George (the developer of Charter Quay) means that the building can only be a theatre and cannot be turned into anything else. I presume we can get around this by asking St. George but I imagine this comes with a price tag.
If everything fails then we will have an empty building sitting opposite the Guildhall to remind everyone what happens when politicians make brave decisions and then do not put in the leadership and work to make it happen. It appears that the days of dinners for Mr. Auchi at the House of Commons, hosted by our MP's, were over as soon as the Lib Dem administration decided to go ahead and little has been done by politicians since then to bring this deal off.
It is a total mess and such a shame for the Borough as a theatre has been a dream for many of us for such a long time.
Interesting that this broke just after the election?