Imagine being able to purchase real estate today at values from 2017.
Peoria-based Arizona Broadway Theatre is doing just that, and then some.
The company will buy the land its theater sits on, 7701 W. Paradise Lane, from the city of Peoria, pursuant to their lease agreement signed five years ago.
Klos Enterprises, the company the theater operates under, signed a lease with the city June 13, 2017, which included an option to purchase the 4.2-acre property located in the Arrowhead area.
The contract included an option to purchase the property at the 2017 appraised value if exercised within five years, or 2022. This appraisal was $685,000.
Additionally, under the contract’s purchase option, all monthly rent payments totaling nearly $265,000 made under the lease agreement were credited against the purchase price, for a total final purchase price of $420,133.
ABT Executive Producer and Co-Founder Kiel Klaphake said Arizona Broadway Theatre is grateful to the city of Peoria for the opportunity to purchase this land.
“Ownership of this property is a part of ABT’s long-term strategy to build a robust and impactful arts organization in the West Valley,” he said. “Reinvestment is key to the success of Arizona Broadway Theatre.”
ABT will continue to operate at the location after the land is purchased.
The uses will be limited to what is used today — restaurant, theater and meeting space. Expansion would have to be approved by the city, according to the agreement.
ABT Co-Founder and Artistic Producer Cassandra Klaphake said ABT is honored to have the strong community support of its donors, subscribers, volunteers, and staff, and looks forward to engaging community members and arts leaders outside this circle.
“ABT’s vision is to be at the heart of a culturally rich community, and as we expand, so does high-quality arts education and professional, one-of-a-kind entertainment in the West Valley,” she said.
Peoria has had a ground lease with KLOS since 2003, and the theater opened two years later without taxpayer funding.
Since then, Cassandra said the theater has transitioned operations to a nonprofit arts organization to enhance community connectivity as well as receive public financial support.
“Thanks to private investments, 17 years later, Arizona Broadway Theatre is a one-of-a-kind, award-winning professional theater showcasing locally and nationally acclaimed artists and providing sit-down table service prepared fresh daily to accompany the on-stage fare,” she said.