Quadrupled expectations

DURHAM -- Aging rockers and Broadway touring companies have been very good to the Bull City.

The Durham Performing Arts Center quadrupled the city's revenue expectations in its first eight months or so of operation, according to a draft financial audit released Thursday.

The DPAC, which opened last November, generated a net income of a little more than $1.1million for the fiscal year that ended June 30.

Under the city's operating agreement with the companies that run the $44million, 2,800-seat downtown center, the city receives 40 percent, or $401,706, of that profit, said Reginald Johnson, senior assistant to the city manager.

The city had projected its share of the first year's profit to come in at about $100,000, Johnson said.

Durham Mayor Bill Bell attributed the center's success to the quality of programs brought in by Nederlander, based in New York, and Professional Facilities Management Inc., based in Rhode Island.

Performers have included Bill Cosby, bluesman B.B. King, magician David Copperfield, and the musicals "Grease" and "Legally Blonde."

The figures, especially in the current economy, show the city moved in the right direction in establishing public-private partnership, Bell said.

"It just confirms, at least so far, we made the right decision," he said.

According to the audit, the revenues for DPAC's first season totaled nearly $8million. Most of the overall income came from ticket sales, rental income and concessions. The operating expenses totaled about $6.9million.

The draft audit is being reviewed by the DPAC oversight committee as well as city staff, Johnson said.

The city's share will go to the DPAC Enterprise Fund, which can be used to maintain the venue, which the city owns, but not for operating expenses, Johnson said.

"Nederlander and PFM are pleased with how audiences have quickly embraced the DPAC," General Manager Bob Klaus said in a news release. "Our mission for presenting unique, one-of-a kind live entertainment events has connected with Broadway, concert and comedy fans and really established our brand in the market."

Nederlander and PFM lended the venue about $100,000 to cover pre-opening and marketing expenses. That amount will be deducted from the final remittance to the city, Johnson said.