Worcester Business Journal

January 10, 2022

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6 Worcester Business Journal | Janurary 10, 2022 | wbjournal.com Will the show go on? Entertainment venues hanging by a thread must overcome new obstacles T he coronavirus lockdowns begun in March 2020 lasted longer for indoor perfor- mance venues than nearly every other type of business, cutting off the main revenue streams for these Central Massachusetts hubs for arts and culture until May 2021. Now, just as businesses have reopened and tried to find new footing as audi- ence preferences have shied, COVID variants are once again posing a public safety hazard. Iconic venues such as e Strand eatre in Clinton have closed due to the ongoing toll of the pandemic. In this ever-evolving landscape, enter- tainment-based businesses face liabili- ties as they wonder if they can survive yet another hit to their industry. "We are operating under this new reality, this new pandemic world where the costs are higher, the income is lower, and everything is more difficult," said Troy Siebels, president and CEO of e Hanover eatre in Worcester. An icon falls On Dec. 9, e Strand eatre an- nounced it was permanently closing be- cause audiences weren't returning in the same pre-pandemic numbers, leaving BY SLOANE M. PERRON WBJ Staff Writer 90% of its full-time staff and 100% of its part-time staff, quite a feat considering the lockdown brought the center to a complete standstill. DCU Center General Manager Sandy Dunn said the center has less available product as touring shows are postpon- ing because of the pandemic. An ionization system, line manage- ment equipment, and cashless purchas- ing/ticketing services are all innovations the DCU Center has implemented to make the space a safer environment. e goal is to keep audiences safe while instilling confidence in patrons who wish to experience live performances. "If we have learned anything from the past two years, it is that we always need to be thinking about contingency plans and remain flexible. We have and will continue to follow the directives of the [U.S. Centers for Disease Control] and our state and local health officials," said Dunn. Staffing is nor- mally a challenge the DCU Center faces each season due to the part- time nature of the positions, Dunn said. However, this year the venue is seeing only a fragment of the applications it has received in the past. e staffing shortage is impacting the businesses and associations who typical- ly utilize the DCU Center's convention center. Remote work has led some businesses to cut costs and transition to online events rather than pay for an off- site meeting venue. While some of the event producers and service companies the DCU Center works with have shut down, the venue is finding alternative clients and forming new relationships. e DCU Center has 14,500 seats, making it the city's largest performance venue, offering everything from celebrity performances to business conventions and graduation ceremonies. e DCU Center employs 600-plus individuals and hires local vendors and contractors. Additionally, the domino effect of having guests attend shows boosts nearby restaurants, hotels, and transportation services in the city, said Dunn. Community support e Hanover eatre has been very grateful for the community's financial giving, which made it possible for the historic venue to stay afloat, said Siebels. e Hanover eatre was one of 22 performing arts venues in Central Mas- sachusetts receiving federal funds from the Shuttered Venue Operators Grant program, a coronavirus relief initiative run by the U.S. Small Business Admin- istration. e Hanover eatre received $3.8 million, which will sustain the venue until June 30, at which point other strategies will need to be implemented in order to keep the business going, he said. "Financially, we are operating at a loss, and the only reason we are able to do that is because of the federal support we got, without which we would not have survived this long," Siebels said. Siebels said the federal monies sus- tained the theater, but were not being dispersed quickly enough. e the- ater survived the 2020-2021 season thanks to a $1-mil- lion grant from the e C. Jean and Myles McDonough Charitable Foundation in Worcester, along with more than $500,000 in other contributions. Most recently, the Hanover eatre received a $1-million gi from an anon- ymous donor, marking the largest single the venue unable to financially re- cuperate from the pandemic lock- downs, which le the venue closed for 15 months. Built in 1924, Rob Nierintz and Bill Grady pur- chased e Strand nine years ago. An iconic destination serving generations of movie-goers, Nierintz implemented creative strategies and events to entice patrons to return. While special events helped, the day-to-day movie atten- dance diminished. Nierintz said movie-goers' apprehen- sion was a major reason for the decline. Not only did the theater have to over- come its losses from the lockdown, but new variants and escalating case num- bers made patrons pause about going back to indoor shows. Plus, people were used to streaming movies at home, and movie studios were catering to that. "It is a downstream effect that affects people in seats whether they are in the- aters or restaurants. Ultimately, it comes down to the bottomline," Nierintz said. Weathering the storm When the DCU Center in Worcester reopened, the venue was able to retain Rob Nierintz, co- owner of The Strand Sandy Dunn, general manager at DCU Center Troy Siebels, CEO & president of Hanover Theatre (Left) Iron Maiden performs at the DCU Center. (Right) A production of "A Christmas Carol" at Hanover Theatre PHOTO | COURTESY OF DCU CENTER PHOTO | COURTESY OF HANOVER THEATRE

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