June 22, 2010 -- A MC Entertainment Inc. recently acquired from Mann Theatres the six-screen Criterion on the east side of the Third Street Promenade off Arizona Avenue. This means AMC is in control of all three film venues on the Promenade. The company also has a proposal to build a large cinema complex on Fourth Street and Arizona, and the acquisition of the Criterion could be a factor in this project.

When the City Council last fall gave its support in concept for the building of the new movie theater, it did so with the condition that there be a limited amount of total theater seats on the Promenade (although no exact number has ever been stated). One proposal on how to do this is for AMC to close the Broadway 4. But that could be complicated because the landlord would like a cinema at that location. (See: Landlord Calls AMC Plan Disturbing, April 8, 2010.)

John Warfel of Metropolitan Pacific Capital, which is teaming with AMC on the new theater project, told The Lookout News on Monday that the acquisition of the Criterion “gives a little flexibility for closing seats if need be.”

He added, “It will factor into the overall strategy.”

The new complex is proposed for a City-owned site currently occupied by a parking structure. The 83,000-square-foot complex would include 12 screens with 2,197 total seats along with 2,100 square feet of retail space. Also, an interior restaurant that would be open to non-theater-goers is proposed. The main attraction would be a four-story-high IMAX auditorium with 3D capabilities.

Downtown Santa Monica theaters, which were responsible for boosting the Promenade to its world famous status, today lack the sophistication of high-tech, large crowd-attracting movie complexes in nearby areas. Because of this, Santa Monica cinema attendance has taken a nose dive in the past decade.

“This is going to be state-of-the-art,” Warfel said of the AMC project during a presentation last week to the Planning Commission. “We are planning on having the best theater in Los Angeles. It’s going to have all the bells and whistles because we believe this market can support that.”

The presentation was done as part of a float-up session at which commissioners were supposed to make comments and ask questions. But since the presentation did not begin until after 2 a.m. due to an excessively long meeting, the commissioners were asked to wait until the July 7 meeting to make their remarks. Several commissioners will not be able to attend that session, so they will submit their comments and questions in writing.

A few members of the public spoke during the meeting. Elan Glasser said he was concerned about eliminating the parking structure and the effect that would have on parking and traffic.

”I think tearing down (the parking structure) is probably one of the most poorly thought-out decisions to ever come across my experience with this city government,” he said.

Warfel said parking should be a concern, and replacing those spaces elsewhere is something that will be done by the City. It has not been established where the new parking spaces would go, although there are several options. During the construction period when there will be a parking shortage, some monthly downtown parking will be moved to an area below the library and to the Civic Center structure.

Jack Walter praised the project during the meeting.

“I think it will be a great draw and a great addition, and Santa Monica needs it,” Walter said. “(Santa Monica) has become the center for the movie industry, the music industry, creative arts … and I think Santa Monica is lacking a state-of-the-art theater.”

Following the July 7 commission meeting, council members will have an opportunity to review the project proposal in a float-up session. They will decide whether City staff should proceed with negotiations on a development agreement. This would be followed by a full environmental review and the project returning to the commission and council for final approval.