The Art House Cinema occupies the former Center Bowl, located at 109 North 30th Street.  It has operated for over two years with a single screen and small wine and beer service area.  The owners received a small revolving fund loan and technical assistance grant that assisted with the original planning and building.  Phase II improvements are planned for 2018-2019 and would expand the facility to a multi-screen theater with food and beverage services.  The operators also plan to purchase the building prior to making these large scale improvements.  The Downtown Billings Partnership, Inc. (DBP) Board reviewed the attached application for assistance and is recommending to the Council that it grant up to $350,000 from the Downtown Tax Increment (TIF) fund.  If approved by the City Council, the grant will reimburse the owners for TIF eligible expenses and according to a development agreement that will be developed and executed by the owners and the DBP.   

City Council may:

• approve the grant recommendation. Approving it will allow the owners to seek additional donations and debt financing to buy the building and complete the Phase II improvements; or
• disapprove the grant recommendation. Disapproving the grant may hamper further fundraising for the proposed improvements.   

The proposed grant has been programmed for future years because the payments will reimburse the owners for their costs, expected to occur in 2019.    

The DBP Board recommends that the City Council approve a grant of up to $350,000 for the Phase II improvements to the Art House Cinema.