Wachs Urges Panel to Review Theater Deal

In his second attempt to increase the pressure, City Councilman Joel Wachs asked the Recreation and Parks Commission Monday to reconsider its position on extending the lucrative contract to operate the Greek Theatre.

A majority of the commission had approved extending the lease with the current contractor, the politically well-connected Nederlander-Greek Inc., which has operated the theater exclusively for 25 years. The Nederlanders and their attorney lobbyist, Neil Papiano, are close friends with City Council President John Ferraro and other council members.

At issue is whether the contract should have been competitively bid. Wachs, and others, believe it should be.

“Which part of ‘this deal stinks’ doesn’t the commission understand,” Wachs said in his letter. “It’s a bad deal for the taxpayers, and it’s even worse for the reputation of city government.”

Ferraro and his council allies, however, say the company should be granted a five-year extension because Nederlander is willing to make some necessary and badly needed improvements to the Los Feliz theater immediately and has promised to pay workers a living wage.

The council is expected to vote on the contract extension Dec. 14.

The House of Blues/Universal is aggressively seeking the Greek contract. Another potential competitor backed out.

Wachs said the contract is worth a potential $200 million over the next 15 years and that the extension to Nederlander “reeks of political favoritism and back room dealing.”

Wachs sent a similar letter to the commission immediately after its vote on the issue earlier this fall.