On Friday, Palm Springs authorities reached an accord with Grit Development that settles their legal disagreement concerning property access rights essential for restoring the historical Plaza Theatre. Under this agreement, the city will contribute almost $1 million along with building a new open-air dining area.
The pact involves a payment of $986,500 to Grit and ensures a perpetual easement on property next to the theater. City authorities claim this is essential for the anticipated extensive renovation initiative.
Under the terms of the agreement, the city will construct a new outdoor eating area for Kalura Trattoria, which is situated on Grit land adjacent to the construction zone. This patio will occupy public sidewalk space and feature seating for up to 60 individuals, along with amenities such as illumination, cooling sprays, audio equipment, an internet hookup, and fixed awnings.
According to the settlement papers, the city has agreed to provide Grit with a rent-free easement for the area, provided that the restaurant continues to operate.
The City of Palm Springs is delighted to have achieved a favorable outcome with Grit Development concerning the access rights for the historical Plaza Theatre,” stated Amy Blaisdell, who serves as the city’s communications director. “Throughout this process, the primary objective of the city was to guarantee public safety while also safeguarding one of Palm Springs’ most recognizable cultural symbols.
The agreement settles an eminent domain case initiated by the city in December, along with a follow-up counterclaim from Grit alleging inverse condemnation concerning the easement and neighboring lands.
Local authorities stated that the resolution paves the way for the reopening of the Plaza Theatre this autumn, at which time it will “welcome renowned artists once more and considerably enhance the energy of our city center.”
Along with the monetary compensation and the building of the patio, the city consented to cover up to $15,000 of Grit’s legal expenses associated with the agreement.
The agreement encompasses stipulations requiring the city to enhance the courtyard area in front of the theater, aiming to develop a “unified, walker-oriented public zone” alongside neighboring enterprises under official directives.
Blaisdell states that the renovated theater will act as a “keystone for the rejuvenation of the city’s downtown area, contributing millions of dollars to economic growth and enhancing Palm Springs’ dynamic arts and cultural landscape.”
The arrangement features a clause permitting future bathroom usage for Plaza Theatre visitors via Grit’s adjacent Plaza Las Flores site should the city or its theater managers rent space there; however, such an arrangement would be subject to a distinct pact.
Each party committed to protecting the other from liabilities stemming from the project, and it is anticipated that the court will issue a final ruling permitting the city to officially obtain the easement.
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The city has agreed to settle with Grit Development for $986,500 to support the restoration of the historical theater.
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