LA Board: Greek Should Go To Us

The April 15 vote is apparently to approve the plan, with the public invited to have its say prior to a final vote. It comes at the end of a long and contentious battle between city politicians and the two facility managers vying for the next contract – Live Nation and Nederlander, which recently added firepower by partnering with AEG.

The rec and parks board originally opted to hand the Greek Theatre to Live Nation rather than renewing Nederlander’s contract, which led to a vote by the City Council, which opted to return the matter to rec and parks.

Members of the rec and parks board then suggested that it run the venue because there was no time to review new RFPs and would address the matter in a few years. The Greek would be an open venue, and the ticketing system, be it AXS or Ticketmaster or another, would be up to the promoter of each show.

Live Nation wrote a letter to the board supporting the decision because it leveled the playing field. Nederlander wrote a letter saying that, for extending its current contract, it would increase its annual minimum rent guarantee to the city to $3.5 million versus 10 percent of the gross receipts.

The April 15 meeting included a visit by Global Spectrum’s Hank Abate, who offered up Global Spectrum as another option for the city.  It also reportedly included citizens who didn’t trust the city to handle a concert venue considering the allegedly poor conditions of the parks it manages in 15 of the city’s districts.

Nederlander’s statement:

“Nederlander is disappointed that the Board of Recreation and Parks has accepted the recommendation to self-operate the Greek Theatre. 

Nederlander has successfully operated the iconic Greek Theatre for four decades, with a proven track record of ensuring the safety and well-being of our fans, community and the City. 

If this plan is to be implemented, it would require several more steps by the Department.  We urge the Department to reconsider today’s action and instead amend and extend Nederlander’s existing Greek Theatre Operating Agreement with an increased annual minimum rent guarantee to the City of $3.5 million for 2016, with zero expense or risk to the City.  This is the most fiscally responsible and seamless option for the City, backed by an operator with expertise in concert booking, management, promotion and community relations.

Nederlander is committed to the legacy we have built with the Department as a loyal tenant that works in partnership with its community and delivers guaranteed returns to the City. We have received overwhelming support from numerous groups, including the Greek Theatre Advisory Committee, The Neighborhood Council Budget Advocates Committee,

The Los Angeles Neighborhood Council Coalition and Los Feliz Improvement Association, plus 30,000 community members and we know that it is in the best interest of the City to continue its partnership with Nederlander, said Alex Hodges, CEO of Nederlander Concerts.”