Krikorian describes reasons for further delays in project

Behind a recently completed separate project, the Krikorian Theater walls still stand, untouched for 18 months. (File photo)

By Doug Spoon, Editor

Local residents awaiting the special guest appearance of Krikorian Premiere Theatres owner George Krikorian at the Menifee City Council meeting Wednesday night didn’t get a whole lot of information they didn’t already know.

At the urging of Menifee economic development director Gina Gonzalez, Krikorian (left) agreed to appear in person to provide an update and answer questions about his theater project in Menifee Town Center. Yes, the project that has stood unfinished for 18 months since construction was halted at the start of the COVID-19 pandemic.

Starting out by making the point he had driven 3 ½ hours from Torrance to be here, Krikorian was all business as he made the following points – some of which were a repeat of explanations he has given the media before:

-- Krikorian said he realizes the unfinished structure at the site of his theater complex in Menifee Town Center is “an eyesore problem that I want to get resolved,” but that “right now is not the time to move forward.” He repeated his previously stated belief that a lack of production of first-release films and poor attendance at local theaters “does not support the economic viability of completing the project at this time.” He did not say whether he has secured any of the funding needed to resume the theater project at some point.

-- However, Krikorian said he remains committed to the project and will eventually see it to completion. “I’ve invested probably $20 million in this project,” he said. “People have suggested I’m not committed to the project, but I think that number is evidence that I am.”

-- Krikorian said he has plans to erect a large fence around the unfinished walls of the theater complex, which still is planned to include 16 theater screens – including a 100-foot screen – in addition to a bowling alley, arcade and sports bar. “I want to surround the theater site with appropriate fencing to reduce the unsightly aspect of it,” he said.

-- Addressing the issue of a timeline for a resumption of construction on the theater, Krikorian said, “I’m committed to moving forward as soon as things open up. That could be a few months, but it could be longer.”

-- In the “good news” category, Krikorian said he plans to “move forward with the development of the corner property”. That refers to the row of wood framework structures along Newport Road between rows of shops already completed by other developers. “We’ve gotten those tenants to agree they can open without the theater,” he said. “We hope to get those up as soon as possible.”

-- Pressed for a timeline on the retail development, Krikorian said construction could resume “realistically in 60 to 90 days.”

-- Asked for a list of tenants signed for the retail row, he mentioned Navy Federal Credit Union, a dental group and a Broken Yolk restaurant.

There certainly was no effort by City Council members to put Krikorian on the hot seat about a topic that is one of the most talked about in the community. They generally portrayed a positive outlook on the project in Krikorian’s presence. That included Robert Karwin, who previously asked for the personal update and recently told Menifee 24/7, “As the new guy in town, I don’t worry about whether he’s pulling out, because I believe he already has. Lay out all your woes and we can fact check them to see if it’s just lip service.”

On Wednesday night, however, Karwin simply told Krikorian, “Thank you for coming so the people could hear personally from you” and “having the frontage property worked on, I think, will lift the morale of the community.”

Mayor Bill Zimmerman had nothing but praise for Krikorian and understanding for the delays he has faced during the pandemic.

“I’ve spoken to a lot of people at HOA meetings and Town Halls and asked them if they still want to see a theater here. Every hand goes up,” Zimmerman said. “Thank you for coming tonight.”

On a more somber note, council member Matt Liesemeyer told Krikorian, “Thank you for being here and staying invested in the project. I want you to know that a lot of other people are equally invested in you, including tenants in that center who are invested in following your reputation for success."

Outside council chambers before he left, Krikorian answered some additional questions from Menifee 24/7 that hadn’t been addressed during the meeting: Following are highlights of the impromptu Q&A:

Q: Is funding for the retail construction tied to funding for the theater, and have you completed funding for that part of the project?

A: “You have one project there, but one can be funded by one lender and another can be funded by another lender. If a lender is providing funding for the retail component, it doesn’t mean they have to have anything to do with the rest of it. We’re going to get financing for the retail. That’s all I can say.”

Q: What impact will the lawsuit have on resumption of work? [Krikorian is involved in a lawsuit brought by several parties representing contractors who say they are owed money for work already done or products already ordered and secured].

A: "The lawsuit is a separate issue. I don’t want to spend any time talking about the lawsuit. My attorney doesn’t think it’s a good idea to talk about it.”

Q: Will there be new construction crews working on the retail project that are not involved in the lawsuit?

A: “I can’t say off-hand.”

Q: You mentioned in the meeting that revenue for movie theaters in the area is down 54 percent because of a lack of new film releases. Could you build the other components of the theater complex – the bowling alley, arcade and sports bar – and open them while waiting on the theater funding?

A: "No. It all has to be built together because it’s all under the same roof. All the components must come together.”

Q: When work finally does resume on the theater, will any of the existing walls have to be torn down because of possible damage? [As reported earlier, the walls are simply a framework made up primarily of foam blocks].

A: “I don’t see any reason why you would have to tear any walls down. I don’t know where that’s coming from. The top layer wasn’t completed. It wasn’t going to fall down. It never fell down. It just didn’t look good. It was not a structural crisis.”

Before he ended the interview, Krikorian wanted to make his personal feelings on the matter clear to a reporter.

“I’m not looking to be a hero, but I’d sure like to defend my character,” he said. “I mean, I don’t think I need to come out and apologize for where we are today. That’s just the reality of the challenges we’re faced with.”