Sixty Days: Beach Theatre Foundation Under the Gun on City Loan
By Jack Fichter
CAPE MAY— If the city insists in the next 60 days on collecting $100,000 it loaned to the Beach Theatre Foundation, the non-profit group could be forced in to bankruptcy.
In addition, Frank Theatres, owner of the Beach Theatre, is suing the Beach Theatre Foundation for $50,000 for a breach of contract for common area maintenance area fees for the theater complex.
The foundation operated the theatre for a year and a half under a lease agreement and has undertaken a vigorous campaign to preserve the theater and partner with a developer to refurbish the property.
Beach Theatre Foundation President Steve Jackson told the Herald the organization does not have $100,000 in the bank and if the city presses the foundation for full payment in 60 days, it would have to file for bankruptcy and the city would have to go to the 35 persons that signed pledges to guaranty the loan amount.