DPAC tops financial projections
Posted November 5, 2009 1:59 p.m. EST
Updated November 5, 2009 2:06 p.m. EST
Durham, N.C. — After eight months of operation, the Durham Performing Arts Center more than quadrupled the financial expectations of its first full year, officials said Thursday.
A draft financial statement shows that Durham Performing Arts LLC had a net income of more than $1 million during the fiscal year that ended June 30. Under an operating agreement with the city, which owns the arts center, 40 percent of the profit, or $401,706, is shared with the city.
“That’s truly great news for Durham, especially in light of today’s economy,” Durham Mayor Bill Bell said in a statement. “Our first season has been undeniably successful. The management of DPAC, in addition to operating in a first-rate facility, has found the right combination and diversity of performances that attract people from throughout the region, and the numbers show that.”
Ticket sales, rental income and concessions generated nearly $7.9 million in revenue, while the costs for stage shows ran to more than $5.6 million, officials said. Other expenses included utilities and other operational costs.
The Nederlander Organization and Professional Facilities Management Inc., which together operate the center, loaned DPAC about $100,000 last year to cover expenses before the facility opened last fall. That amount will be deducted from the payment to the city, officials said.
"It's a remarkable achievement for this public-private partnership to achieve positive results in just its first eight months of operation," Nick Scandalios, executive vice president of Nederlander, said in a statement.