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M A S T E R P L A N


















A Feasibility Study, Market Analysis and

M A S T E R P L A N

For the Restoration and Revitalization of the

S T E R L I N G O P E R A H O U S E
~
Derby, Connecticut



















March 1, 2002



TABLE OF CONTENTS

I. Executive Summary

II. Existing Conditions Assessment

III. Needs Assessment and Market Analysis

IV. Facility Use Recommendations

V. Theatrical Recommendations

VI. Architectural Recommendations

VII. Master Control Budget and Cost Assessment

VIII. Operating Pro-Forma

IX. Business Plan and Management Options


X. Appendix


Naugatuck Valley Economic Data

Market Area Demographic Analysis

Claritas Prizm Report

Public Participation in the Arts

Patron Analysis

Organizational Surveys

Lower Naugatuck Valley Arts and Cultural Assessment

Comparable Projects Report

Needs Assessment Power Point Presentation

Business Plan Power Point Presentation

Master Planning Team Acknowledgements


(NOTE: The cover sheet of each section divider of this report includes a photograph of various building
details indicative of the Sterling Opera Houses existing condition.)




I. EXECUTIVE SUMMARY


Study Objectives

The Sterling Opera House, located in downtown Derby, Connecticut, is one of
the most valuable sleeping cultural assets in the Greater Naugatuck River
Valley and all of Western Connecticut. The historic building was constructed in
1889 and has the distinction of being Connecticuts first designated Landmark
listed on the
National Register of Historic Places
. Having played host to stars of
the stage and screen, as well as celebrated musicians and athletes, the theater
has been dark since 1945 yet remains essentially sound and in its original
configuration. The City of Derby, as well as other regional partners, recognize
the facilitys potential value in stimulating economic revitalization and providing
a center for the arts, learning, and gathering for the entire region.


The first step toward the realization of such an objective is the preparation of a
feasibility and marketing analysis evaluating the projects viability on a number
of levels. The basic objectives of this study include the following:


Test the projects economic viability and potential in contributing to Derbys
revitalization as well as stimulating further economic expansion in the entire
Naugatuck Valley Region including the communities of Ansonia, Beacon
Falls, Oxford, Seymour, and Shelton.

Establishing the basis for collaboration between the City of Derby and other
regional partners in the restoration and renovation of the facility.

Conducting a marketing study to determine the potential demand for various
uses of a restored Sterling Opera House.

Assess the current architectural and structural condition of the facility
including code and life-safety deficiencies and other issues pertinent to the
facilitys revitalization.

Determine the highest and best appropriate use for the facility.

Prepare a preliminary schematic design for the structures renovation and
restoration predicated on its value as an historic resource while
accommodating its highest and best use as identified in the needs
assessment and market analysis.

Develop an order-of-magnitude estimate of the renovation and restoration
costs for the project based upon the identified highest and best use for the
resource, including all hard and soft costs for the projects implementation.

Evaluate various long-term management options for the facilitys on-going
operation.

Prepare a preliminary business plan and management options for the
facilitys operation.

Overview of Findings
The market for the arts in the Valley is very positive. The resident community
represents a mix of occupations, higher levels of educational attainment, and
high household income levels. These factors normally suggest high levels of
participation in the performing arts and entertainment.

Using the PRIZM model
developed by Claritas, 79% of the resident population can be characterized as
more likely than average to attend arts events. Through interviews and the
distribution of surveys to organizations and presenters, we measured demand
for these facilities in the area on the part of regional professional arts
organizations, schools, presenters and promoters, and other community-based
organizations. The Planning Team found several potential uses and users for a
renovated Sterling Opera House. Above all, local and regional arts organizations

have expressed interest in using the facility for dramatic productions, lectures,
meetings and musical entertainment. Other uses include arts instruction,
historic interpretation, media training, social gatherings and special events /
fundraisers. If restored and reopened, the Sterling Opera House could be one of
the catalysts to Derbys downtown revitalization, which would result in quality
of life improvements such as educational opportunities, community
development and economic revitalization. Over time, the buildings programs
could become a destination for the Valleys tourist market. The facility would be
a true community arts center; accessible to the general public, serving local and
regional programming, and drawing resident and regional audiences.
A stage the size of the one in the Sterling Opera House is most suitable for
performances of drama, musical theatre, small music ensembles, bands,
recitals, small orchestras, and small dance ensembles or solo pieces. Lectures,
public meetings, and film screenings are also appropriate uses for the space.
The small square performance area, approximately 30' x 30', is not suitable for
opera or ballet, which require a minimum performance area of 48' x 48' to
achieve the staging demanded by those arts forms. Modern and folk dance
groups often have more flexible requirements, and may be successfully
accommodated at the Sterling Opera House. This building is not large enough to
accommodate symphony orchestras or traveling Broadway shows. Modern
concert halls do not have prosceniums and have very low stages in order to
place the musician and the listener in the same volume. Large orchestras require
an enormous amount of square footage and a large cubic volume for the music
to resonate within. An even greater area and volume is needed for symphonies
with a chorus. Smaller orchestras, chamber groups and solo recitals, however,
would be very successful venues at the Sterling Opera House. The Hall is
acknowledged for its superb acoustical characteristics.
A preliminary scenario indicates a potential use of the theatre by over fifteen
different groups totaling 153 performances per year. With 63 event days and
56 prep days, the theatre would be in use a total of 119 days per year.
Sterling Hall, a multi-purpose room supplementing the theatre, would account
for an additional 108 days of use. Total attendance would approximate 34,878
patrons.
Based upon the space program developed through the Needs Assessment and
Market Analysis, (as well as an assessment of the buildings historic
configuration), a preliminary schematic design for requisite building
modifications has been prepared to accommodate the Sterling Opera Houses
program of activities. The schematic design is respectful of the historic
Theatres position as one of Connecticuts cultural assets and is predicated on
the
Secretary of the Interiors Standards for Rehabilitation and Guidelines for

Rehabilitating Historic Buildings.
The schematic design also addresses the
requisite modifications to fully comply with all current life-safety and
accessibility requirements.

Based on the project as it is currently conceived and delineated in the
architectural recommendations, an order of magnitude estimate of hard
construction costs total approximately $6.1 million. (This equates to
approximately $181 / square foot.) Other capital costs including theatrical
equipment as well as furniture and fixtures total approximately $1.1 million.
Other miscellaneous expenses including administrative costs, design and
consultant fees and legal expenses total to approximately $1.9 million.
Consequently, the gross estimate for project implementation approximates $9.2
million.

A pro-forma operating budget for