Theater Loan Program
In November 1992, the Redevelopment Agency provided funding assistance to several civic organizations in the downtown Cultural District. A total of $1.1 million was disbursed in the form of grants (25%) and low-interest loans (75%). Interest on the loans was set at 4.5% and deferred for sixty months. Recipient theater groups included the Lobero Theatre Foundation, the Santa Barbara Civic Light Opera, and Artspace, Incorporated/Center Stage Theater. Funds were also provided to the Santa Barbara Trust for Historic Preservation, an organization involved with restoration of several historic structures in the downtown area. The purpose of this financial assistance was to preserve vital performing arts activities and cultural resources in the redevelopment project area, attracting people to the downtown area of the city where they would shop, dine and go to the theater. The three theaters draw thousands of patrons annually who buy tickets, shop locally and dine in area restaurants. The theaters employ many individuals in the downtown area and generate thousands of dollars in annual tax revenue. The revitalization of these historic theaters has been an unqualified success. In May 1997, the recipient theater groups requested forgiveness of their Agency loans. Because these cultural organizations generate both cultural and economic benefits within the Central City Redevelopment Project area, the Agency found that these organizations could best continue to contribute to the community without the burden of repaying the loans. Relief from the Agency debt would allow the organizations to direct their revenues to further physical and programmatic enhancements.

Lobero Theater Master Plan - Phase II Improvements

The Lobero Theatre Foundation received an RDA matching grant of $600,000 as a contribution to the cost of completing over $2.2 million in necessary technical and capital improvements. The Agency's contribution was a catalyst to help complete Phase 2 of the Lobero's Capital Improvements Master Plan fundraising campaign. The funds were used to complete the renovation of the Lobero's rigging system, upgrading and enlarging the lights dimming system, upgrading the sound system, restroom upgrades, and orchestra pit upgrades. Increased performances will bring more people to the project area to shop and dine. The Agency's contribution toward enhanced performing arts facilities and a vibrant arts community will benefit the redevelopment project area and the community culturally, socially, and economically.

The Lobero Theater

Performing Arts Needs Assessment

In January 1998 the Santa Barbara Center for the Performing Arts and the Santa Barbara Cultural District Group requested Redevelopment Agency support of the groups' goal to develop a self-supporting Performing Arts Center in Santa Barbara. The Agency agreed to provide $20,000 toward the cost of a Phase I Needs Assessment Study. This study, which was prepared by Milano, Ruff & Associates, has been completed and validates the finding, predictions, and recommendations of an earlier study completed in 1985, known as the Bailey Study. The Redevelopment Agency also funded the Bailey Study.

The new study reports that Santa Barbara has a very healthy and active cultural and performing arts life. When compared with similar cities, Santa Barbara has a higher than average attendance at such events. The study also finds that it probably would not be financially feasible to construct a new performing arts center. This finding was supported by most of the local performing arts groups that responded to a survey conducted as part of the study.

The study does recommend the construction of certain components lacking in Santa Barbara's existing pool of performing arts facilities, such as rehearsal spaces and a small, 350-seat proscenium theater. Finally, the study recommends that community efforts be concentrated on reconfiguring and improving existing facilities to improve the quality of the performance experience. The suggested improvements for the existing facilities include:

• Converting the Arlington Theatre to a flexible concert hall, with superior acoustics and improved sightlines.
• Upgrading the Granada Theatre by restoring the balcony seating and improving the lobby and public service areas.

It is anticipated that Santa Barbara's Cultural District, located in the project area north of Carrillo Street, will benefit from the improvements recommended for the theaters. Enhancement of these cultural venues will result in additional pedestrian traffic in the area and enhanced retail vitality. At this time, Phase II of the Needs Assessment Study is in progress. The Agency contributed an additional $25,000 toward this phase, which will contain a Business Plan and Case Statement and focus on the recommended improvements and additions for the existing facilities.