Center for the Arts asks for expansion, debt help

Debt retirement and how to use the original building

By Mark Reaman

What to do with the original Crested Butte Center for the Arts building and how to pay for any renovation and/or construction of a new building on the current site was the topic of discussion at the May 20 Crested Butte town council meeting. The council was on board with the idea of making the old building a multiple use facility (Phase 2 of the Center campus project) and council members were also open to consider helping the Center pay off its remaining $1 million debt associated with the new facility as long as other entities participated in the effort.

Center for the Arts executive director Jillian Liebl and chief business officer Brett Henderson said the Center has paid off $4 million of the original $5 million debt it held starting in February of 2020. Henderson said the Center is paying about $100,000 a year in interest and upkeep of the old building. The old building was described as largely unusable, and it would be a major undertaking to get it up to town code.

“The intention is to create a modest, affordable building with an outdoor stage,” said Liebl. “We have heard many requests for multiple uses that could be housed there and many would fit. We don’t know exactly what the scope looks like, but it is an opportunity to work together to provide more community space.”

“We would like the council to put in a budget line-item next year to help pay off the remaining $1 million on the new facility’s construction debt,” Henderson said, requesting $150,000 be allocated in 2025. “We will also be asking Mt. Crested Butte, the MetRec district, the county and private donors to help. Overall, we are introducing the idea to see what type of collaboration is possible.”

Crested Butte town manager Dara MacDonald told council she has been having ongoing conversations with the Center for a year and the problem is that the old building does not meet code. As for helping with the debt payment, she said the Center should make a formal request during budget season, but it was helpful “to get the temperature of council and see what other entities might contribute. It is a town-owned building and without equity in the building, the Center is subject to higher interest rates.”

The Center started a 50-year lease for $1 a year in 2020 with three potential 10-year extensions possible. 

Responding to councilmember Jason MacMillan, MacDonald said it would be an unusual move to help an organization pay off debt. She said government entities normally help with startup costs.

Henderson said the Center is expected to pay about $100,000 a year in interest and upkeep with a total of $400,000 annually budgeted for such financial costs. Liebl said that money would be better spent on an expanded facility, more programming or more staff.

“We have a building we can’t use as is,” said Henderson. “We want it to be used as the community needs will only increase in the future.”

Liebl said it has not been determined if the best path forward with the old building is a renovation or new construction project. “We want to do a robust community stakeholder process with the public in late summer or early fall,” she said. 

“It is hard to believe it would make sense to use the old building,” said mayor Ian Billick. “I appreciate the support the Center has from local residents and second homeowners. If other entities kick in money that could help. It is a facility used by people from all over the valley, not just people in Crested Butte. I like the idea of leveraging public and private financial support.”

“The Center is uniquely situated and meets a lot of community needs,” said MacMillan. “The diversity of groups using the Center is impressive. There is good opportunity with the old building.”

“Our community is growing as evidenced by how much you are offering,” said councilmember Anna Fenerty. “It is obvious this is needed and wanted. I support moving forward.”

“I would like to see how to bring down the financing costs,” said Billick. “It is tricky with it being a town-owned facility. The potential for broad leverage is attractive to me.”

Henderson said a refinance for the debt could happen in January of 2025. Billick said the town would like to see how much interest there is from other entities in participating with the debt reduction and building renovation project before making any solid commitments.

w said they would begin the additional outreach and report back to council. “We are stoked to move forward with this Phase 2 project,” she said.