HomeMy WebLinkAboutItem No. SA6.CITY OF LAKE ELSINORE
REPORT TO REDEVELOPMENT AGENCY '
TO; CHAIRMAN & BOARDMEMBERs
FROM:, RON MOLENDYK, CITY MANAGER
DATE: March 23, 1993
SUBJECT: Theater Proposals
BACKGROUND
Since the March 4th Redevelopment Agency Meeting regarding the
proposed Camelot Properties (Kirkorian) theater, interest has been
expressed toward development of theaters on two other sites held by
Oak Grove Equities (Edwards Theatres Circuit, Inc.) and Rancon
Financial (Cinemark). Requested by Boardmember Cherveny.
RECOMMENDATION
Discuss the attached information and give appropriate direction to
staff.
PREPARED BY:
APPROVED FOP
AGENDA LIS4
PAGE OF LA
*EDWARDS CORr OFFICES P02 YjvVr' VVL
Edwards Theatres Circuit, Inc.
S 300 he pert QmLer Drvc. Mcmporl be6:h.ORlire me 92660 (174)(444600
tr. IWA t&tr& M
DM&&Pl
March 16,1993
Mr. Craig Schleuniger
Oak G3rtrw; Equilin
350 Railroad Canyon Road, Suite E
Lake Elsinore, California
RE: Elsin m City Center
Wal•Matt/Mar Wncatre
SEC Railroad Carryon Road and I -15 Fivmav
Lake Elsinore, California
Dear Cra3:
AR 1 7 NY.
'AIa -+
Pursuant to a recent phone convmation I had with Jim Clarkson at Grubb & EMM
Company, I wanted to reiterate our interest in locating an Edwards 'theatre in Lake
Elsinore, .6.s you and City officials are aware, I haw been evaluating LAke Elsinore over the
past few years to determine the size of the theatre best suited for Lake Elsinore and the
most prorranent location.
Elsinore City Center (Wal-Mart) is being presented to our Real Estate Committoe by June
as the project in which Edwards Theatre would desire to locate. I hope there is still time to
work with the Lake Elsinore Redevelopment Agency in locating our 35,0()0- 40,000 square
feet, lo•pler theatre at this site. please let me know at your earnest convenience if the City
is still in e. position to consider this possibility.
�s:
M04R -I8 -9_ 7 H
SEV BY:RANCO\ FINANIN.AL
i i -. i i HOwt - -• -;-
: 3 -17 -93 c 4 :26FI; s UNCQ\ FI\ArC'IAL-
Tere Cherverky
City of Lake Elsi?s:)re
130 S. Main Strut
Lake Elsinore, CA 92330
Re: Lake Elsinore plaza
theater proforma
Dear Ms. Cherveny,
7146742304;# 1J 1
19"'Wtl 714 -676 66M
Ca �,/
Fax M 11Z..' * G {
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To follow up on the proforma sent to you yesterday, we are
continuing to tali, to Ci.r.emark and would be able to have leases
executed with its shell corporation within sixty days. we would
then need an additional ninety days to do the working drawings and
got permits. This would Penn we could start construction as soon
as se.ptembcr.
The proforma was based on, the '.assumption that Ranson would
contribute the land and site improvements and that the RDA would
contribute the cost of the building, and that the cash flow from
the lease would be split 50/50. The coE.t of the building is
estimated to t•e $1,677,650. This doer. not include the fixture
allowance that is now included in the CFO.
The monthly net rent from the theater is estimated to be
$17,422, of which the RDA would receive $8,711, as long as the
operating e:rp2nses did not escalate. Using a twenty year
amortization schedule, this payment would equate to a 2.2841
interest rate.
Siinnc;otrely,
Martha L. Cannon.
Project Manager
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Exzendea Page
27110 ldfusm Avenue
rormoulk California 9.1sm
(714167"064
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TRRNSACTAIC-m PEPORT
MAR —17—,iS WED I7.12
DATE STAFT — SENDER RX TIME FACES NOTE
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