I have to confess to being confused by all the fuss this week regarding the Tennessee State Legislature’s move to pass a bill allowing the Chattanooga City Council to approve alcohol sales at the Tivoli Theatre and Memorial Auditorium.
It has long been my understanding that the only reason we do not have alcohol and better concession sales at those venues is a couple of key people here in town have not wanted it. Facility managers and city mayors over the years have honored those requests. Other than Memorial Auditorium’s proximity to a church, there is no legal reason we can’t enjoy a hot dog and a beer at the Tivoli. It has been done before, in fact.
I do understand the mayor’s apprehension about getting the city into the alcohol sales business, and I believe that we soon will see a private organization step in and facilitate alcohol sales. But let’s not overlook the food issue, because both are important components to making the facilities profitable.
Most entertainment facilities have only four ways to make money: rent, tickets, concessions and parking. The market has changed dramatically through the years, to the point where promoters now expect to negotiate all four of those items when booking shows.
Neither of our facilities has a parking garage. Local managers can give a little on rental costs, but I don’t believe the numbers are big enough to come into play, so rent essentially is a fixed number.