Why the historic Walkerville Theatre is still for sale

THE LANCE
January 18, 2012

The curtains have remained closed at the near century old Walkerville Theatre for seven years despite a plummeting price tag and an owner driven to sell.

With the Palace Cinemas closing its doors on Jan. 8, and the recent closure of Forest Glade Cinemas, the City of Windsor is without an independently owned film theatre.

The empty Forest Glade Cinema and the adjacent bowling alley is on the market for $4.9 million, while the Walkerville Theatre’s $549,900 asking price has been slashed nearly in half to $299,000. Among a number of thriving restaurants, cafes, shops and services on Wyandotte Street East sits the the Walkerville Theatre— a historic and majestic building that is behind in the neighbourhood revival.

Built in 1918 and once known as the Tivoli, the 7,000 square foot, 500-seat theatre was used for live entertainment and film screenings until 1965, according to Elaine Weeks, managing editor of Walkerville Publishing and Communications, which has published much about the theatre’s history.

The Walkerville Theatre was also used as a bingo hall, dance theatre and most recently as a gay nightclub called Life from 2001 to 2002.

“The people we have that are interested in [the theatre] don’t have any money,” said Russel Lalovich, a Re/Max realtor whose partner Mark Lalovich has been the listing agent for the Walkerville Theatre for five years. “We’ve had a couple of people come from Toronto, and they say, ‘We’d love to do this in Toronto, but we can’t afford it.’ This is obviously an attractive price point. It’s insane what you’re getting for $299,000.”

Current theatre owner Steve Gibson invested in the theatre in 2002 by offering to mortgage it to new owners. According to Gibson, the owners wanted to revive the building as a film theatre. Both parties invested a total of $500,000 in renovations over two years, but the then owner defaulted on his taxes and mortgage to Gibson, and Walkerville Theatre never re-opened.

“It seemed like a good business and was at the time appraised for $1 million,” said Gibson, a 60-year-old retired tool maker and owner of the property management firm Gibson Diversified.

“The theatre can be operational in a short amount of time,” said Gibson, adding that some cosmetic renovations and a new roof would be needed, but the building is otherwise structurally sound.

In the last seven years, Gibson recalls receiving at least five firm offers on the theatre, but none of the deals materialized. In the meantime, he’s amounted over $80,000 in back taxes to the city to maintain the theatre.

“I’ve found the right people [to take over the theatre], but unfortunately, they don’t have quite enough money. In this day and age, they don’t want to take a chance. But when you start a business you have to put your whole life on the line.”

Determined to see the building restored to a performance theatre, Gibson has even reached out to the University of Windsor and St. Clair College, hoping the schools would be interested.

“It really, really should be a theatre,” remarked Gibson. “Walkerville is unique. It has its own culture, its own history. The University of Windsor would benefit tremendously from having it … but both the university and St. Clair College would like a donation.”

The Windsor International Film Festival is among a few interested parties that has toured the Walkerville Theatre in the last few months. Although Gibson is willing to continue mortgaging the property to a new owner, festival director Peter Cody said it’s impossible for the non-profit to come up with money for a down payment and operational costs.

“Walkerville is going through a resurgence of sorts with the restaurants. It’s becoming a little hub of activity,” said Cody. “Who knows, something should happen to that building. If [WIFF] had the money, if this was a different world and I could renovated it, God, it would be a wonderful place to have our offices and screenings.”

With no new offers coming his way, the only financial relief for Gibson may come from a deal with telecommunications company WIND Mobile, who plans to pay him $10,000 a year to lease space on the roof for an antenna.

“All I want is someone to take me out. I didn’t get into this to be in the theatre business,” said Gibson, “but if someone else doesn’t come in and take over … I’ll have to get it going on my own.”

Looking and pointing to the heavens, Gibson laughed, “I’m wondering, is someone trying to force me into that theatre?”