Florida Orchestra poised to take over St. Pete's Mahaffey Theater
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The Mahaffey Theater in downtown St. Petersburg. Photo: Education Images/Universal Images Group via Getty Images
The Florida Orchestra is on track to become the next operator of St. Petersburg's Mahaffey Theater.
Why it matters: The arrangement would give the orchestra a home base, resolving concerns over the future of the cultural institution.
- But it also skips a second round of bidding despite interest from entertainment players including Vinik Sports Group, Live Nation and Ruth Eckerd Hall.
State of play: Under the proposed arrangement, the orchestra would help oversee programming and handle artistic direction of its own performances while VenuWorks would handle day-to-day operations, orchestra leaders announced last week.
- VenuWorks is an employee-owned venue management firm that runs more than 60 performing arts centers, arenas and outdoor plazas across the country.
- The firm "will focus entirely on the Mahaffey in this market, with no conflict of interest from managing multiple venues here," orchestra spokesperson Kelly Smith said.
Catch up quick: The city has been running the Mahaffey since May, when the late developer and philanthropist Bill Edwards departed from the helm after 15 years.
- City officials weren't satisfied with the sole response to a request for proposals to take over operations and said they'd put it back out to bid.
- That didn't happen, and the Tampa Bay Times reported at the end of July that the city was in talks with the orchestra.
Between the lines: While government contracts typically go out to bid, city code exempts the Mahaffey Theater from such requirements.
- Still, Tampa Bay Lightning parent company Vinik Sports Group last month sent a 23-page pitch to run the theater for an initial five years with an annual management fee starting at $200,000, among other terms.
- Live Nation's Aug. 5 proposal included a pledge to invest $2.5 million over five years into facility improvements and called for a $300,000-per-year management fee.
- Ruth Eckerd Hall sent the city a letter of interest Aug. 7, while Legacy Management Systems, run by Brian Ligon, sent a proposal this month.
What they're saying: Live Nation has worked as the Mahaffey's promoter for the past eight years and was "hopeful about the opportunity to build on that partnership," Florida market president Brittany Flores said in a statement.
- Vinik chief venue officer Kevin Preast said in a statement that his firm's proposal "embraces the Mahaffey as the home of The Florida Orchestra, while also creating a path toward long-term financial sustainability."
Zoom in: A draft term sheet with the orchestra, dated Aug. 11, calls for a three-year term with two one-year options for renewal.
- The city would pay an annual management fee of $240,000 and another $438,000 per year for facility improvements.
- The orchestra would pay the first $325,000 of maintenance and repair costs, with the city to kick in after that.
- The draft terms also state that the city will pursue $20 million in tax increment and tourist development funding for a "major renovation."
What's next: The agreement will have to go before the City Council for approval.
- City spokesperson Samantha Bequer told Axios there isn't an exact date yet but that "it should be soon."