Rosemont Explores Exciting Opportunity: Potential Sale of Public Theater to Private Entertainment Group

Officials in Rosemont are exploring the possibility of selling the Rosemont Theatre, a venue that has been part of the community for 30 years. Talks are underway with a private entertainment company interested in taking over the theater.

The village board recently took steps to rezone the theater’s location from a government and institutional district to a commercial zone. This move indicates that they are serious about considering a sale, although Mayor Brad Stephens made it clear that this is still just a possibility. The discussions have been ongoing for less than a year.

“We need to evaluate any good deal for our assets,” he said. The interested group remains unnamed but is described as a “substantial” entertainment firm that wants to manage the 4,400-seat venue.

This isn’t the first time the idea of selling the theater has come up. A prior agreement with the owner of the neighboring Fashion Outlets of Chicago aimed to buy and demolish the theater for mall expansion, but those plans fell through during the pandemic.

While the theater survived the pandemic, thanks to federal grants, its business has struggled in recent years, partly due to competition from venues in downtown Chicago. Opening in 1995, the theater initially thrived but hasn’t regained its previous momentum.

Years ago, financial advisers remarked that the village might as well “give it away.” Recently, Moody’s Credit Rating Agency assigned a Baa1 rating to Rosemont, citing concerns about the village’s reliance on entertainment and tourism for revenue.

Mayor Stephens noted that this rating reflects the challenges of owning atypical venues. However, he assured that two major public venues—the Donald E. Stephens Convention Center and Allstate Arena—are not on the table for sale.

If the sale goes through, it would bring the theater property onto tax rolls, potentially generating tax revenue equivalent to what the village currently earns from the venue. The new owner would likely take on existing shows, and the village would retain ownership of the parking lots surrounding the theater.

There’s also the recent retirement of two key staff members that could influence decisions about the theater’s future. Mayor Stephens hinted that some conditions of sale might be “deal breakers.”

Overall, the future of the Rosemont Theatre is uncertain. As discussions progress, it will be interesting to see how this iconic venue’s story unfolds.