BEVERLY — In terms of entertainment value, the foreclosure auction at the North Shore Music Theatre yesterday has to be considered a flop.
Instead of a dramatic rescue by another theater — the scenario that some fans had hoped for — the winning bid was submitted by a grim-faced bank vice president in a suit and tie.
Citizens Bank bid $3.6 million, allowing the bank to retain control of the property and try to find another way to recoup the $4 million it is owed on two mortgages. The next highest bid was $3.5 million, by an unidentified bidder.
Citizens Bank Vice President Gavin Taylor, who bid on behalf of the bank, said he's "not sure" what will happen to the property. He declined further comment.
North Shore Music Theatre, which opened in 1955, went out of business in June under $10 million in debt. The foreclosure auction was held under cloudy skies on the pavement outside the theater's main entrance, not on its iconic theater-in-the-round stage.
About 50 people attended, most of them spectators rather than certified bidders, who were required to show up with a $100,000 deposit in case they were the winning bidder. The bank refused to release the names of the bidders.
Auctioneer Dan McLaughlin tried to start the bidding at $5 million, but the first bid fell well short of that. Richard Maestranzi, co-owner of the Maestranzi Bros. snowblower and lawn mower store next to the music theater on Dunham Road, bid $1 million.
The property, which includes 26 acres and three buildings, including the theater, is assessed by the city at $12 million.
The bidding then went to $2 million, $2.5 million, $3 million and $3.5 million. At one point, the bidding was so slow that McLaughlin said, "Did we mention that it's 26 acres right on Route 128?"
Finally, Taylor made his $3.6 million bid — $3,599,999, to be exact.
The auction was anticlimactic for many people, including former North Shore Music Theatre Artistic Director Jon Kimbell, who drove down from his home in New Hampshire to watch the auction.
"I doubt the bank is going to be producing anything," he said. "But I don't think they're going to tear it down, either. That wouldn't be good publicity."
Kimbell said he remains hopeful the bank will end up leasing the space to a theater producer. He said there were a couple of producers in the crowd, but he did not know their names.
"If they can successfully negotiate a lease, I think you'll see the place up and running again," he said. "I still can't imagine the place not functioning as a theater. It's been here for a long time, and the audience is still here. It makes the most sense."
Among the registered bidders were representatives of Cummings Properties, the owner of the Cummings Center in Beverly. Cummings Properties President and CEO Dennis Clarke said the company was possibly interested in buying the property and leasing it out, but decided not to bid.
The crowd also included developer Henry Bertolon of Beverly. Bertolon declined to comment.
About a half-dozen former employees and volunteers of the theater also attended the auction. Beatrice Smith, who worked as the assistant house manager for 16 years, said "it would be nice" if the property remains operating as a theater.
As for the bank submitting the high bid, Smith said, "I thought it was a setup. I thought it was all decided."
Staff writer Paul Leighton can be reached at 978-338-2675 or by e-mail at pleighton@salemnews.com.
Lower-hassle Screening to Be Tested at Airports
Raw Video: Dog Rescued From Icy Colo. Water
Helmet Camera Captures Calif. Fire Rescue
Worker Tells 911: Powell 'exploded the House'
Triple Win: Santorum Takes Minn., Mo., Colo.
Injured Marine Inspired by Homecoming
No Rape Charges Against Son of NYPD Commissioner
Egypt's Ruling Generals Play Risky Game With US
Former Komen Exec Defends Funding Cut
Skip the Coffee Cup and Inhale Your Caffeine Fix
Calif. Gay Marriage Ban Ruled Unconstitutional
Jury Selection for Ex-UVa Athlete Enters 2nd Day
Cab Driver Helps Wis. Family Escape House Fire
Staff Removed at LA School During Abuse Probe
Runaway Goat Leads Police on Wild Chase
