The Tivoli Theatre Foundation announces the recent closing of the financial transaction needed to fund the Tivoli Theatre Restoration and the creation of the new Tivoli Performing Arts Center, which will be an expansion into the adjacent building next door. The investment was made by U.S. Bancorp Impact Finance, a U.S. Bank subsidiary, and facilitated by National Trust Community Investment Corporation, a Washington, D.C.-based Community Development Entity.
The Foundation also closed on loans from National Community Development Financial Institution the Reinvestment Fund, which included loan participation by local WesBanco, as well as a Historic Tax Credit Equity Bridge Loan, facilitated by Midland States Bank.
Additionally, the Foundation closed one of Chattanooga’s first and largest C-PACE loans, which promote energy efficiency in construction projects through financing provided by Nuveen Green Capital, a leader in sustainable commercial real estate financing solutions. The $73 million financing package was one of the most complex projects of this type in the Southeast, involving numerous financing sources, in addition to $25 million in private contributions and funds raised by the Foundation.
“As many in our Chattanooga community are aware, this bold, ambitious project began in 2018 and has weathered a global pandemic, an extensive design process, rigorous preparation of construction documents, and much more, but investments from such sophisticated entities demonstrate the bright future of the Tivoli Theatre Foundation,” said Nick Wilkinson, Tivoli Theatre Foundation CEO. “This project would not have been possible without the hard work of the Foundation team and trusted outside partners; counsel Baker Donelson and Jones Walker in New Orleans, consultant Bob Jacobs, Don Sabine with Novogradac, and Nick Krauss and Jen Davel, Historic Tax Credit consultants with Heritage Consulting Group."
“U.S. Bancorp Impact Finance is thrilled to have stood by the Tivoli team through many headwinds and setbacks in recent years,” said William Carson, senior vice president of New Markets and Historic Tax Credits. “We understand the vision, perseverance, and hard work required to elevate and restore this incredible historic complex into a phenomenal place for quality arts and cultural enrichment in Chattanooga, and we can’t wait to help celebrate its reopening.”
“We are thrilled to close this loan which will help revitalize an important anchor institution in the Chattanooga community,” said Christina Szczepanski, president, Lending and Investments of Reinvestment Fund. “This theatre represents the first step in building a lasting, transformative impact on the lives of youth and their families. Creativity is the foundation of innovation and progress, and we are honored to support more creativity through this theatre.”
Michael Doty, senior director of Originations, Nuveen Green Capital added, “We were proud to partner with The Tivoli Theatre Foundation to finance this notable and historic project. It is exciting to see C-PACE’s cost-efficient capital leveraged for a creative project like this – demonstrating its flexibility and use across all asset classes.”
“The Tivoli Theatre is a cultural landmark for Chattanooga, and as members of this community, WesBanco is proud to partner with the Reinvestment Fund to enable this transformative project to come to life,” said Stephen Ratterman, senior vice president with WesBanco. “The Tivoli Theatre and the new Performing Arts Center will restore a historic treasure and enrich the Chattanooga community through expanded cultural and economic opportunities. Collaborating on local initiatives like this reflects WesBanco’s vision of making every community we serve a better place for people and businesses to thrive.”
“Midland States Bank is excited the Tivoli team selected Midland as one of its funding sources for this very exciting historic Project,” said Rodney Walker, Senior Commercial Relationship manager. “It has been an honor to work side by side with the Tivoli team in getting across the finish line of the financial close. This historic renovation is going to restore a wonderful asset of the Chattanooga community and it will be exciting to see the completed renovation.”
The $73 million financing package was one of the most complex projects of this type in the Southeast, involving numerous financing sources in addition to $25 million in private contributions and other funds raised by the Foundation.
“The Tivoli Theatre is an iconic part of Chattanooga’s history and is key to our work to build a thriving cultural economy.” said Chattanooga Mayor Tim Kelly. “Art isn’t a luxury, it is essential for building community and inspiring people. I’m proud that the city was able to support this effort to restore and expand the Tivoli.
“The Tivoli Theatre is a cultural and architectural icon in Chattanooga and I’m thrilled that it is being preserved and expanded for generations to come,” said Hamilton County Mayor Weston Wamp. “We owe a debt of gratitude to Nick Wilkinson and the entire team at the Tivoli Theatre Foundation for their stewardship of such an important asset to our region.”
“As someone who has called Chattanooga home my entire life, the Tivoli has always been a meaningful part of our community,” said Tennessee State Senator Bo Watson. “This project exemplifies the power of collaboration between public and private sectors to preserve our history while paving the way for innovation and growth. I am proud of the State’s role in supporting such an ambitious initiative that will serve as a beacon for arts, culture and community engagement for generations to come."
‘I’d like to recognize the amazing Tivoli Theatre Foundation team and their remarkable accomplishments,” said Keith Sanford, chair of the Tivoli Theatre Foundation Board of Directors. “Every single member of the organization contributed to the ability to secure funding and close on this project. From overseeing the concept plan that architects Mills+Schnoering and associates presented in April of 2019, to tracking down extensive information and financial data, to staging the Tivoli Theatre for site visits, to the years of work required to secure these investments, loans and donations, every single member of the Foundation team is responsible for this achievement. This was all accomplished while successfully operating the most successful venues in the region and is just another testament to the incredibly bright future of the Tivoli Theatre Foundation and the new Tivoli Performing Arts Center.”
Construction on the Tivoli Theatre and Performing Arts Center will begin in January. The Theatre is slated to reopen in the summer of 2026. The Tivoli Theatre Foundation will celebrate the start of this work with a wall breaking ceremony in the Tivoli lobby on Tuesday at 11 a.m., where guests will help break through the walls of both buildings and launch an exciting new phase in the life of the performing arts in Chattanooga. To learn more about the project or how to support the Tivoli Theatre restoration, please visit tivolichattanooga.com/yourtickettohistory.