Listen to this story
Audio reading for accessibility.
Ready to play.
Table of Contents
Sherman Associates, Duluth Playhouse, the City of Duluth, development partners and the community celebrated the presentation of the historic NorShor Theatre to Duluth Playhouse from Sherman Associates today, marking the transfer of ownership interest of the theatre.
NorShor Theatre is a nearly 60,000 square foot, state-of-the-art, community-based contemporary regional arts center with full performing arts education and production facilities. It houses a 605-seat main stage theatre, wine bar, and music and theatre classrooms.
Sherman completed the $29.5 million adaptive reuse and historic rehabilitation of the theatre in 2017 as the result of a unique public, private, and nonprofit partnership between Sherman, Duluth Playhouse and the City of Duluth. Duluth Playhouse has managed the theatre since 2010 and has succeeded in bringing culturally rich experiences and world-class events to Duluth.
“The NorShor Theatre project has spanned two city administrations and two Duluth Playhouse executive directors, and the City of Duluth is so pleased to see this project move from its infancy to the fully realized vision of a HART District hub of downtown cultural and arts activity. It is incredibly rewarding to see the entirety of the arts and culture and business communities rally around this investment and see it through to the finish,” said Mayor Emily Larson. “Thank you to Sherman Associates, and to Duluth Playhouse, for helping this project become a driver of both economy and of culture in downtown Duluth. Downtown’s best days are ahead, in part because of visionary thinkers and partners like the ones involved in this project.”
After responding to an RFP in 2012, the Duluth Economic Development Authority awarded the project to Sherman, in partnership with Duluth Playhouse, to transform the theatre into a vibrant cultural center that serves the arts, dance, theatre, and musical needs from across the region.
"Last year, over 50,000 patrons visited the NorShor Theatre to see a show or take a class at the School of Performing Arts. Duluth Playhouse is honored to call this beautiful, historic building home and is happy to continue to be a beacon for arts and culture in downtown Duluth. The Playhouse’s partnership with Sherman Associates and the City of Duluth to restore the NorShor has solidified the HART District as a magnet for social gathering and tourism,” said Wes Drummond, Executive Director of Duluth Playhouse. “On any given night up to 600 people attend a production at the NorShor Theatre, while also shopping, drinking, and eating at all the wonderful local businesses surrounding the venue. Duluth Playhouse takes pride in our new home and will ensure that the NorShor Theatre continues to provide endless nights of entertainment to residents of the Twin Ports and beyond for many years to come."
The project used over ten sources of financing including private and public debt, equity, tax credit allocations, tax increment financing, and grants, including contributions from Duluth Playhouse and the City of Duluth. Sherman routinely seeks projects that focus on community, environment, and historic preservation, speaking to its own contribution of $1.7 million to the project.
“We are proud of the perseverance of our team and our partners to restore the theatre while maintaining its historic integrity and assembling its complicated financing structure. It has transformed the Historic Arts and Theater District into the flourishing downtown we envisioned from the start,” said George Sherman, CEO of Sherman Associates. “We look forward to our next opportunity to give back to the Duluth community.”
Sherman developed the property and served as managing member and building owner during the seven-year New Market Tax Credit (NMTC) compliance period, with the goal of transitioning it to the ownership of Duluth Playhouse at the end of the compliance period. This goal, coupled with the NMTC structure and goal to minimize long-term debt resulted in a complicated financing structure. Earlier this year, ownership of the property was transferred to the Duluth Playhouse for the put price of $500.
NorShor Theatre has delivered revitalized use to this important part of the city, including new employment opportunities and visitors, filling vacant retail spaces, enhancing public safety, and catalyzing other community and economic development opportunities.
Sherman has played a significant role in the development of Duluth over the last 25 years, consisting of over 600 units of multifamily, over 160,000 SF of commercial space, over 30 units of condominiums, and the 147-key Sheraton Duluth Hotel. Most recently, Sherman is the developer behind the historic rehabilitation of the Duluth Armory into an arts and music center with a food hall and commercial space in partnership with the non-profit, Armory Arts and Music Center.
Boys & Girls Clubs of the Northland Notebook
As part of its Children's Mental Health Initiative, the Rotary Club of Duluth has raised another $25,000 for the Boys & Girls Clubs of the Northland to continue supporting the Mental Health Access Program.
Gary Melander, President of the Rotary of Duluth Club 25 will present the check to the Boys & Girls Clubs of the Northland at noon Thursday during the Rotary Club's regular meeting.
Urshan Retirement Group, Inc. strives in helping people achieve retirement goals. This is accomplished through education of the financial planning process, analyzing each individual's investment needs, as well as continuously reviewing and monitoring their personalized plan. Jordan Urshan and Dan Urshan work as partners to ensure long-term consistency to your investment portfolio. They look forward to earning your business. Please give them a call to schedule your appointment. Call 218.625.7575 or stop by their office located at 5033 Miller Trunk Hwy, Hermantown, MN 55811.
Securities offered through Securities America, Inc. Member FINRA/SIPC. Advisory services offered through Securities America Advisors, Inc. Urshan Retirement Group and Securities America are separate entities.
