There is no business like show business!  Buying and selling theaters is a distinctive and complicated process due to the unusual number of parties involved; the different and diverse needs of buyers and sellers; the uniqueness and complexity of the transaction; and, the need for confidentiality.

Parties involved could include not only the buyer and seller but also the entertainer's performing in the venue along with their managers as well as a theater management company operating the theater.  In some sales, the seller may only be selling the improved real estate, land and building, but not the acts and or Management Company.  There may also be a need to buyout an existing performance contract should the buyer want the theater for his or her own venue.  168

 Different and diverse needs of buyers and sellers would involve whether the buyer is an entertainer, Entertainment Company, or an investor and what use they have for the property.  A seller could be an entertainer wanting to retire or go back on the road; an investor wanting to diversify property holdings; or, an entertainment corporation wanting to sell to invest in other entertainment ventures.

Buying and selling a theater is a unique and complex transaction not only because of the parties involved and the different and diverse needs but also due to the dollar amount involved; the possible requirement for complex financing arrangement; and, an extended due diligence period.  Further, entertainers are normally booked at least a year ahead and can’t just cancel booking dates.

The need for confidentially is paramount to the buying and selling of a theater.  No one, especially the buyer or seller, can afford to have any information released to the public that a buyer has purchased a theater or that a theater is for sale.  Therefore, a prospective buyer must sign a binding confidentiality statement before any information will be released.  You can find that agreement at (confidentially).