Coming Attractions wants to be the only movie business in town, even once the Egyptian is sold.

In negotiations, the theater company has stipulated that if, indeed, the Urban Renewal Agency purchased the Egyptian, no movies could be shown at the theater.

According to Larry McLennen, Coming Attractions president, even showing old movies or art films could create competition between the Egyptian and the Pony Village Cinema.

“We're hoping it will be used as a performing arts or town hall meeting place,” McLennen said. “We're in the community for the long hall, and that's why we spent the money on expanding the Pony Village Cinema. We certainly wouldn't want to sell the (Egyptian) and have it competing with us.”

Coming Attractions has owned both movie theaters in the Bay Area for six years. The two theaters didn't compete for the same first-run films under the single company and Coming Attractions wants to keep it that way.

“We've been waiting since September. But we're hoping to support this project and make a sizable donation of the facility, as a community facility to benefit the area, as well as not competing with us,” McLennen said. “I think the two can go hand in hand.”

While this requirement may have been acceptable to Little Theatre on the Bay, as the local arts group planned on renovating the Egyptian into a performing arts venue, live theater may no longer be the Egyptian's fate.

LTOB sent the city a letter this week, rescinding the organization's current or future role in the purchase of the Egyptian. According to city councilor and URA member John Muenchrath, the letter indicated that LTOB had reviewed the financial responsibility of the Egyptian and found that renovating and maintaining the building would be beyond the organization's means at this time.

“I wouldn't rule out LTOB ever being involved, but they can't take the helm at this time,” Muenchrath said.

Live theater may have been one concept for the Egyptian, but without LTOB in the picture, showing movies at this historic theater may be the best bet.

Muenchrath and Kevin Stufflebean, the Urban Renewal Agency chairman, indicated they believed showing films at the movie theater was a big part of the viability of the Egyptian as a business.

The city's independent appraisal placed the value of the theater around $930,000, five years ago, but that value included the business, the building and the contents, including the Wurlitzer organ. If the city or an organization managing the Egyptian were not allowed to show movies at the theater, a significant portion of the appraised value could be lost.

“It's imperative that we have a plan that has a reasonable chance of success for the theater,” Muenchrath said. “If this crashes and burns, then not only will we have an empty hulk in the middle of the city, that will have a non-compete clause and will be un-sellable, but the Egyptian will effectively be dead. And that's the worst of all worlds.”

At this point hammering out an agreement may be difficult.

“When you look at the face value of everything, it looks great, but when you get behind the scenes it becomes a more complex issue around that first-run term,” Stufflebean said. “We need to look at the sustainability of the facility, and look into the definition of first-run movies.”

The other main concern between purchasing the Egyptian right away and waiting until a plan of action is in place, is the cost of maintaining the building. Although the Urban Renewal Agency can purchase the Egyptian with Urban Renewal funds, any costs for heating and maintaining the building in its present condition would have to come from the Coos Bay general fund. This prospect is of great concern to the agency, as once the city purchases an empty theater, it could become a large drain on the budget.

“Since we have such limited flexibility in our funds, and don't have discretionary funding in our budget, $2,000 to $3,000 of operating costs each month could really affect (the city's) budget negatively,” Stufflebean said. “Since 85 percent of the budget is dedicated to staffing, we would possibly have to make reductions in other areas to offset that new expense.”

According to Stufflebean, the agency requested city staff research the definition of first-run films and ascertain the Egyptian's month-to-month operating costs. Once the agency has gathered the necessary information, it can consider the next step.

While it may seem the situation is proceeding at a snail's pace, Muenchrath says the city is doing its homework and taking the time required to do what's best for the community and the Egyptian.

“The city's approaching this as any good businessman would,” Muenchrath said. “Just because (the Egyptian's) owned by the city doesn't mean it can run at a loss.”