Rehoboth Beach Commissioners Advance Clear space Theater deal,Financial Details Remain
rehoboth Beach city commissioners moved forward with a advancement plan to attract Clear Space Theatre to the city,approving moast terms of a proposed agreement while pausing on final financial details. The discussion, held recently, centered around a lease agreement for land, city funding, and a public-private partnership to support the theatre’s relocation.
The proposed agreement outlines a $1 per year land lease for Clear Space, a $1 million contribution from the city towards the theater’s capital campaign, and a waiver of building permit fees. In return, the city would retain revenue from any additional parking spaces created as part of the project and would implement a facility fee on all tickets sold for events at the new theater. A number of designated parking spots would also be reserved for Clear Space, mirroring an arrangement with the city’s senior center.The agreement explicitly guarantees Clear Space full creative and business autonomy.
Commissioner Chris Galanty voiced support for all aspects of the plan but emphasized the need for further scrutiny of the financial implications. Commissioner Craig Thier expressed concern about potential financial risk to the city should Clear Space decide to withdraw from the project, advocating for the implementation of milestones the theater must meet before receiving city funds.
Clear Space Executive Director Joe gfaller acknowledged these concerns, stating the theater also seeks a mutually beneficial agreement. Commissioner Suzanne Goode raised questions about the fairness of providing financial support to Clear Space when similar assistance isn’t offered to theaters in other Delaware cities. gfaller responded that the lack of such partnerships in Delaware reflects a 40-year gap in the construction of new performing arts facilities.
The discussion also touched upon a competing offer from the city of Lewes. Goode expressed concern over Lewes’ private negotiations with Clear Space, requesting City Solicitor Lisa Borin Ogden provide details of Lewes’ offer to the commission. Ogden confirmed Lewes had presented a “strong competitive offer” comparable to Rehoboth’s proposal, but declined to share specifics.
Public comment generally favored moving forward with the plan, though some residents raised concerns regarding premature agreement, zoning regulations, the cost of staff time offset by waived permitting fees, the need for a parking garage, and the potential loss of open space.
Ultimately, Commissioner Galanty motioned to approve all sections of the term sheet except the financial details, allowing city officials time to refine the agreement. Commissioner Susan Stewart successfully amended the motion to include the land lease portion of the financials.Commissioner Goode was the sole dissenting vote.
Mayor Stan Mills anticipates the financial details will be finalized by the commissioner meeting on Friday, october 17th.Following the meeting, Gfaller indicated Clear Space’s board will decide on a property location at their meeting on Wednesday, October 22nd.
