Philadelphia’s Kimmel Center for the Performing Arts — dogged by budget problems and acoustic snafus since its opening — has found at least a short-term formula to turn a deep operating deficit into a sudden surplus: Broadway blockbusters plus litigation. The Center is waiting for auditors to confirm a $1.2 million budget surplus in its recent fiscal year, primarily due to an extended run of Disney’s The Lion King and an undisclosed settlement with its facility designer, Rafael Viñoly Architects.
The surplus is likely a happy oasis in what will be a challenging future for the facility, which still has $27 million in debt from its construction, will soon come to the end of a multi-year, $13-million support package from three massive foundations, and has to renegotiate rental agreements with six of its resident companies. A task force convened to address the operations and financial issues now suggests that a longterm solution will require about $55 to $65 million in additional capital (beyond the $35 million already pledged or contributed).
Blockbusters on the scale of The Lion King are rare beasts, indeed. And lawsuits against design architects are not likely to be revenue line items for other mega-million performing arts centers. But many will soon be facing fiscal pressures similar to Kimmel (even though they won’t say so out loud). With several, comparable facility projects now announced or underway, it will be interesting to see how the new kids learn from the challenges of those that came before them.
