Opera sells its house to pay off debts
OperaPortland Opera in Oregon is vacating the Hampton Opera Center, prior to sale.
The opera company bought the building, which houses all its performance, production and admin activities, in 2003, paying $5.7m.
Portland Opera is currently servicing a $2.4m debt.
More here.
If I remember correctly, the Austin (TX) Opera also sold its building to pay off debts. I believe this was around 2011-2012.
There’s half a billion for yet another makeover of (currently Geffen) Hall, but not 2.4m for this opera house?
But even after that debt was zeroed, would they be able to run at at least break-even afterwards?
This move to sell suggests they don’t think so.
New Yorkers really couldn’t care less about what happens in Oregon. It’s not their problem.
Slipped Disc is not a New York-exclusive site. It’s for classical music news from around the US and the world. I would think that, as a classical music enthusiast, you’d want all fine arts to thrive, no matter where they are located. The fact that pretty-much all the fine arts orgs here in the Portland area have survived the pandemic, in a city that was having lots of problems & fires during the pandemic, should tell you that the music scene here is still alive and well. Rejoice!
Just to be clear, this is NOT where most of the operas are performed. That happens downtown at the Keller or the Newmark. This is mostly administration and production with a few rehearsal rooms.
Now is the time for some deep-pocketed local (Nike?, Tektronix?, Intel?, Mentor Graphics?,Boeing?, et. al.) to step up and retire the Opera’s debts. These are companies that tout quality of life as a draw for talent. Having an opera company and an orchestra fills that bill.
Well…contributes to filling that bill. Given the widespread crisis in opera attendance and recording sales, it would be awfully arrogant to consider that the only, or even first, element of a city’s quality of life.
Haha find me one Boeing or Nike recruit who rejects a job offer because there’s no opera company in town and I’ll find you… ah nevermind it won’t happen.
There is zero incentive for corporate support of Portland Opera. All of those companies are based outside Oregon, except Nike, which isn’t based in Portland but in the suburbs.
Good time to sell, the RE market is still hyper-inflated
In 2018/19, this company produced 5 productions and now has 2 productions scheduled for this season. You don’t need an opera center if you don’t produce a substantive season.
The loss of infrastructure is concerning. Smaller opera companies are emerging in the city and a summer company is out producing Portland Opera using artists from the previous Portland Opera leadership.
Perhaps the board needs to make an additional move.
Unfortunately when this happens, they are just kicking the can down to the road. Not a long term solution to their financial problems because the proceeds will eventually run out and there will be no more assets to liquidate. The only solution is to build up a sustainable endowment but that will require time and community support. Very difficult but possible. Good luck!