Closure of a civic theatre: the Gaiety at Ayr

Paul Iles was engaged in 2008, via RGA Consulting Edinburgh, to lead on a business case for the Gaiety Theatre, Ayr Town Hall and the Troon Walker and Concert Hall complex, three venues owned and directly managed by South Ayrshire Council. This was Paul's second review of Ayr venues; this time his co-author was Andrew Ormston. After several years’ poor maintenance and neglect, the Gaiety Theatre in particular was in disrepair, with health and safety problems, antiquated stage machinery, bad ventilation and wiring, asbestos identified in staircases, and a tumbledown external appearance. A structural survey in 2006 concluded that without urgent refurbishments, the Gaiety was deteriorating rapidly and had a limited life-span. Council had decided to close the Gaiety Theatre after the 2008 pantomime. Meanwhile the Council had reduced the theatre operation to an intermittent programme, supported by a skeleton staff after several employees were redeployed to other Council work.

In May 2008, a proposal by architects CRGP Limited to upgrade the Gaiety recommended at least £4.5 million capital expenditure. Before committing funds, the Council required a business case for capital investment in the Gaiety Theatre. This case was also required to examine future governance, management and staffing, audience development, programming, external funding partnerships and operating subsidy needs. The Council also required a short external review of its other venues, with opinion about their state of repair, audience development, attractions and management arrangements – including the possibility of transferring activities from the Gaiety Theatre to Ayr Town Hall and Troon Halls during interim or permanent closure.

Ayr Town Hall was refurbished in 2007 with Council funds of £1.25 million, although after reopening its utilisation remained low. The Troon Halls are a very popular community complex, but had no upgrades for many years. These other venues are invariably hired, with no Council risk as a concert hall management.

The Gaiety Theatre is a 584-seat receiving theatre. It is, or was, the premier theatre in South West Scotland. Built in 1902 (original architect: J. McHardy Young), the building was reconstructed after a fire in 1904, its façade remodelled in 1935, and further reinstated after a fire in 1955. After seventy years in private ownership – which included periods as a producing repertory theatre and renowned variety house – the Royal Burgh of Ayr (later Kyle and Carrick District Council) acquired the theatre freehold in 1974, since when it was operated as a municipal theatre under direct local authority management. Following reorganisation of local government in 1995, responsibility was transferred to South Ayrshire Council, a unitary authority. Council supervised the theatre through the Department of Education, Culture and Lifelong Learning, having transferred responsibility from Department of Environment, Land and Property Educational Services in 2005, after a Council-wide restructure. It had previously been managed by Education until 2001.

The building is a Category B listed heritage theatre, with architectural merit. In 1995, an annexe was constructed, including a new café, box office, dressing rooms and studio space. Unfortunately, no significant refurbishments, repairs or planned maintenance have occurred since then: it is not so surprising that the deterioration of the building has quickened during recent years.

The Gaiety presented a mixed programme of pantomime, summer variety season, touring and amateur theatre; approximately 220 performances were staged annually to nearly 80,000 theatregoers.

There was a Friends supporting society of 400+ members in 2008, a fourfold increase from 2003. The popularity of the Gaiety Theatre was remarkably steady, especially for the pantomimes. However, despite revivals of the famous Gaiety Whirl summer season productions, these declined as in all British seaside resorts, and made significant losses.

The annual cost of the Council’s operating support was approximately £400,000 up to 2003, plus £200,000 amortisation of capital charges. This sum had been a solid Council commitment in real terms over several years. However, in recent years the margin retained on box office income improved:

 

THE GAIETY THEATRE, AYR (584 SEATS)  BOX OFFICE SUMMARIES FOR THE EIGHT FISCAL YEARS ENDING 31 MARCH 2008
Year	Performances	Seats Sold	% of capacity	Cash Net of VAT	Share to Producer	Retained by Gaiety Theatre	% Margin Retained
2000/01	214	74,935	60%	£498,132	£420,529	£77,603	16%
2001/02	263	96,278	63%	£777,778	£669,871	£107,907	14%
2002/03	213	76,012	61%	£587,964	£496,240	£91,724	16%
2003/04	223	78,012	60%	£604,593	£501,708	£102,885	17%
2004/05	233	80,022	59%	£638,567	£485,231	£153,336	24%
2005/06	235	83,282	60%	£764,485	£555,423	£240,462	31%
2006/07	214	81,918	65%	£821,448	£592,931	£233,916	28%
2007/08	210	77,804	63%	£791,120	£535,142	£245,931	31%

Unfortunately for the Gaiety, these improved margins led the Council to reduce its operating investment, so that by 2007-08 this was reduced to £250,000-to-£300,000 (excluding amortisation charges). As the Gaiety improved its operation, so Council decreased its support. Furthermore, the amortisation charges were not used to maintain the fabric of the building over time. The theatre manager left and was not replaced. These factors triggered a spiral of decline.

The Gaiety Theatre was now experiencing a ruinous period. Not all consultants' recommendations are acted upon - indeed, this study was buried from elected members, staff and the theatre supporters! The report resurfaced only after an abrupt change of Council culture director and the closure of this famous theatre on 31 January 2009, after 107 years. And even by 2010, there are other studies that have been disregarded, such as a probing feasibility study authored in 2005 by theatre architects Burrell Foley Fischer, and a conservation study by LDN of Edinburgh.

The shutting of the Gaiety dismayed theatregoers, Friends, performers and theatre managements, including Robert C Kelly Limited, producers of the Gaiety Whirl and Scottish pantomimes. There were public meetings, protest marches and questions in the Scottish Parliament.

By late 2009, Council decided to invite tenders for a new external operation. A new non-profit company, the Ayr Gaiety Partnership Limited, became preferred bidder. This new trust was promised capital funding from South Ayrshire Council and the Town Centre Regeneration Fund: £1 million was allocated to the project to reopen the Gaiety. The Ayr Gaiety Partnership launched a public appeal to raise £2.6 million additional capital funds. But will they be successful? By October 2010, they were reported to have raised only £5,000. And even if £3.6 million is raised, will this provide more than an ersatz repair? Who set this sum as the optimum cost of refurbishments? And will Council fund the cost of the theatre operations again?

The Gaiety was a good working instrument with one of the best theatrical atmospheres in Scotland. It was much-admired by theatregoers and artists for its ‘magical’ ambience.  If the Council want to save the theatre, the theatre must be properly refurbished to be fit for purpose in its second century. With modernised facilities that meet new expectations in design quality for arts buildings, it will be able to offer more performances and serve a wider public.

In order to save the Gaiety, the Council needs more than its own exertions and well-intentioned contribution. New funding partnerships are required.

This sum of £3-to-£4 million does not represent value for money; the proposed scheme, if adhered to, is a sticking plaster that will store up problems for the not too distant future. The scheme needs to include essential conservation work for a Category B listed building, with period seating, carpeting and a new decorative colour scheme and lighting in the auditorium. This would cost more, and should have a claim on external funding.

Some key points arising from a RIBA Stage E study by CRGP Ltd (with theatre consultant Carr & Angier et al) in May 2008 were:

1. Their recommendations were guided by the Council’s intimated budget of £3 to £4 million for essential upgrades to ‘enable the theatre to operate legally and to protect the historical aspects’;
2. Repairs are undertaken to ensure that the Gaiety can continue to present small to medium sized shows to the level of comfort, technical facilities and safety required and expected by current legislation;
3. They point out that ‘the theatre continually requires repair, maintenance and upgrading to comply with legislation’;
4. Fabric: structurally the theatre and extension is in good condition, requiring only superficial repairs;
5. Services improvement: including options for comfort cooling;
6. Acknowledgement that decoration is poor throughout and requires a full upgrade;
7. A heightened fly tower with greatly sophisticated flying system;
8. Ambiguity of two front entrances to the theatre and audience circulation;
9. Upgrades to the studio;
10. Improved access to comply Disability Discrimination Act;
11. Twelve months to undertake the work;

We made the following observations on their proposed scheme:

1. There had been a distinct absence of a specialist, critical theatre ‘client’ contribution to these proposals. This may be because there was no theatre manager at the Gaiety, or because the technical manager had been uninvolved in a brief to the architects;
2. Whilst the architects acknowledged Category B Listed status, no reference was made to a Conservation Statement authored by LDN, Edinburgh (August 2004); this identified several items of cultural significance and should be re-read and discussed by the Council;
3. We believe that upgrading the studio has been inflated, especially as proposals are not related to an articulated change of use, such as an education and learning suite;
4. The proposals concede that back of house improvements would be difficult and costly, but nevertheless are propounded;
5. For the stage house, the need for a reconstruction of the fly tower and machinery is overemphasised, linked to a ‘need for bigger shows’; we suggested that bigger shows are not required. This is a medium sized theatre with 584 seats; it will never be able to afford bigger shows and need not aspire to more technically complex attractions;
6. With a reduced scheme for the fly tower, guaranteed full compliance with building control might be achieved more easily; a modest upgrade to bring the facilities in line with current legislative requirements is preferable.

There are profound PR implications for the Council. Ayr residents would expect to see a greatly improved Gaiety Theatre. The ‘wow factor’ can best be achieved through an authentic and original auditorium design. We made the following observations on a revised scheme:

1. There is need for a better balance of upgrade expenditure between the stage and auditorium;
2. A remodelling of the proscenium arch may be as important as the fly tower;
3. The auditorium refurbishment should include new period theatre seats (there are important pitch and ergonomic differences between the existing ‘conference’/’cinema’ seats, and recent advances in replica period theatre chairs; an Edwardian carpet design should be researched; a new colour scheme for the auditorium might include recreations of period wallpapers used in Ayr; a ‘theatrical’ design for the ceiling, including clouds and muses; new house lighting to include recreations of period light fittings, etc);
4. Improving the scheme might cost a total of £6.5 million (plus fees);
5. To source extra money, time is required to approach external funding partners, devise a fundraising campaign, including grassroots individual giving and corporate support;
6. A theatre repair of this magnitude may require more than twelve months closure; setting an imperative of twelve months would sow the seeds of budget overruns;
7. The scheme should not be rushed for a February 2009 handover to builders: listed building consents and contracts are unlikely to be approved in only four months;
8. Plans for refurbishments should be considered by The Theatres Trust and/or the Association of British Theatre Technicians’ Planning Committee;
9. Without a theatre-experienced client to lead the design team, the costs of any scheme are likely to overrun. With 15 years’ of the National Lottery-induced theatre building boom, there are experienced project managers who could assist the Council;
10. The scheme will need the continuing efforts of a project champion;
11. We recommended that the Council incorporate an independent theatre and venues trust to operate the Gaiety, Ayr Town Hall and Troon Halls; this trust should be Council’s client-partner, and might be chaired by the project champion;
12. The new trust should employ a transition project manager for the scheme, working with trustees, and the Council as proprietor;
13. The transition project manager should prepare briefs, related to the future use of the Gaiety, thus avoiding the Ayr Town Hall experience of a building refurbished without a business plan for future operations.

This study included discussion of comparator civic theatres, analysis of programme costs and attendances over time, the future of the summer season, pantomimes, education and learning prospects, marketing, an options analysis, budgets, action plan and recommendations. A five year business case included the following SWOT analysis – with recommended responses:

STRENGTHS

COUNCIL'S RESPONSES

Gaiety Theatre is Category B Listed heritage theatre (fine rococo auditorium)  in historic town centre Gaiety has intimate, comfortable three-tier auditorium excellent for many performing art forms Gaiety has well known name and good image for light entertainment among senior theatregoers Gaiety has ample adjacent parking High status of Gaiety with amateur companies Popular and profitable café, Popplewells, at the Gaiety An in-house studio at the Gaiety Good, reckonable base of 80,000 annual average ticket sales  Ayr Town Hall is refurbished Category B Listed building Restored organ at Ayr Town Hall Troon Halls: popular locale for community events Troon Halls: ample circulation space Troon Halls: good adjacent parking

Include conservation in refurbishment plans Reappraise seating and configuration    Extend brand identification to wider audience Maintain links with Britannia Parking Enhance amateurs’ involvement at all venues, including client role Keep café open full-time, until closure of Gaiety Upgrade studio Plan for modest increase in sales upon reopening Promote heritage factors of Ayr Town Hall Promote organ recital series Plan maintenance programme Improve signage Advertise this advantage

 

 

WEAKNESSES

RESPONSES

Gaiety Theatre is in run-down state of repair, barely meeting licensing requirements Dated technical and stage equipment; hemp house at Gaiety Lack of comfort-cooling for summer seasons at Gaiety Incoherent and unbecoming alterations to once excellent Gaiety auditorium Down-at-heel exterior impression at Gaiety, facing dismal outlook to vacant site, multi-story car park and uninspiring office developments – ‘a grotty side street’ Unattractive social spaces and poor circulation at Gaiety: front of house vulgarised with kitsch ornamentation Many health and safety issues at Gaiety Noise from street through get-in door and side stalls exit, at Gaiety Gaiety now has low status with professional touring theatre promoters Gaiety has low national profile, in Scotland and UK Gaiety has no sustained collaborative partnerships Gaiety has no theatre manager Weak, reactive, intermittent and unadventurous programming at Gaiety Relative to other theatres, Gaiety is in a ‘time-warp’ Absence of  organisational ‘entity’ at all three venues No education and learning programme at the venues Lack of effective business planning Lack of marketing plan Cumbersome and inflexible management accountability chain within Council All three venues not currently DDA compliant Lack of ‘balance sheet’ to reconcile year-end to budget and drive longer perspectives and integrated theatre-concert hall-and-business culture  Marketing function at Ayr Town Halls and Troon Halls trails Gaiety Health of Ayr town centre has stagnated in recent years; trade lost to competing shopping towns Traditional seaside entertainment in decline, nationwide

Agree urgent procurement for refurbishments and brief   Maintain hemp house with added counterweight lines Include cooling in refurbishments Deliver new decorative paint scheme in auditorium, new carpet designs and seats Repair exterior; liaise with planning department for vicinity     Improve circulation during refurbishments; examine ‘Edwardian’ embellishments Address during refurbishments Include sound-proofing during refurbishments Emphasise building and management improvements, during refurbishments Improve PR during fundraising period; as part of marketing plan Undertake networking campaign Appoint venues manager Identify new productions fund in new business plan   Address in marketing plan Incorporate venues trust Coordinate with Arts and Cultural Strategy, and new Arts Development Manager when appointed Commission business plan Commission marketing plan Address during formation of venues’ trust   Address during refurbishment and maintenance plans Address during formation of venues’ trust   Reconcile in joint-venues’ marketing plan Include Gaiety upgrade and Town Hall change of use in town centre regeneration plan Identify new productions fund in new business plan

 

OPPORTUNITIES

RESPONSES

Gaiety Theatre is potentially best theatre building on west coast, between Glasgow and Blackpool Potential for sensitive restoration/refurbishment of Gaiety auditorium Car park space for studio theatre/stage extensions, at Gaiety Framing a new vision for the Gaiety Creating a distinctive identity through improved programme and marketing Upgrades to Gaiety Theatre assist Council in making town centre more attractive as leisure and shopping destination Upgrades to Gaiety Theatre as catalyst to improve  town centre evening economy whilst protecting residential amenity To investigate partnership with University of the West of Scotland, including management of the Gaiety as interim commercial music venue At the Gaiety, to investigate radical new stalls seating arrangements, for dinner theatre To investigate radical new use of Ayr Town Hall as centre for small cultural industries To develop spaces for youth music activity To improve maintenance at Troon Halls To recruit inspirational venue management, including client role for refurbishments Reinventing summer season shows  Creating strategic alliances for programming; including co-productions and presentations with circuit of Scotland mid-scale theatres Applications to Ayr Common Good fund for considered, adventurous programming underwritings, at each venue Further development of Friends of the Gaiety and use of volunteers Large student population at expanding campuses An education and learning programme for three venues Opportunity for partnership funding for capital works at Gaiety, from Heritage Lottery Fund, Scottish Enterprise Ayrshire and private sector campaign

Promote refurbishment during building programme Consult The Theatres Trust   Resume discussions with Britannia Parking Discuss during formation of new venues’ trust Discuss during formation of new venues’ trust  Include Gaiety upgrade and Town Hall change of use in town centre regeneration plan Include Gaiety upgrade and Town Hall change of use in town centre regeneration plan Initiate dialogue with UWS (and Ayr College), encourage wider music participation  Research comparator, at Royal Court Theatre at Liverpool Research comparators, e.g., Dean Clough at Halifax, Temple Bar at Dublin, Dance East at Ipswich Prioritise in future Ayr Town Hall developments Address during refurbishment and maintenance plans Recruit transitional client manager Identify new productions fund in new business plan Network and identify new productions fund in new business plan  Apply to fund for new productions money  Engage with Friends, including trusteeship of new trust  Address in marketing and learning plans Align arts development activity with UWS and Ayr College community and education developments Research partnership funding sources

 

THREATS

RESPONSES

South Ayrshire Council may decide to close the Gaiety permanently High level of local media concern if Council shuts Gaiety Failure to define objectives for operations would frustrate refurbishment plans, at Gaiety Addressing immediate shortcomings of the Gaiety may not be enough to sustain the theatre’s future If Council  accept band-aid refurbishments, spiral of decline will resume A number of better-differentiated competitors who respond to the market Without repairs, Troon Halls will join venues’ spiral of decline

Agree communications strategy Prepare communications plan Procure specialist advice, and submit plans to ABTT Theatre Planning Committee  Procure specialist advice on best value  Address through marketing plan           Address in planned maintenance

   

See the Gaiety Theatre website here.

See Paul's review of John Moore's history of the Gaiety Theatre.

Note: since the Gaiety Theatre closed, South Ayrshire Council presented a 2009-10 pantomime at the Citadel. At this Ayr sports centre, Robert C Kelly Limited was hired to stage the show, but in July 2010 it was announced that Council had lost £125,000 on Cinderella in three weeks (an amount equal to one-third of their annual operating investment in the Gaiety). By contrast, the final pantomime at the Gaiety in 2008-09 made a significant contribution to theatre costs, of £93,000. The Council decided not to stage a Christmas production for 2010-11.