Please ensure Javascript is enabled for purposes of website accessibility
Tentative Ruling Paves Way for City Purchase of Tower Theatre
gvw_david_taub
By David Taub, Senior Reporter
Published 2 years ago on
June 15, 2022

Share

 

A Fresno County judge has denied Adventure Church’s motion to halt the sale of the Tower Theatre to the city of Fresno.

In a tentative decision issued Wednesday, Judge Kristi Culver Kapetan ruled that the church could not show its original agreement could be completed because a tenant on the property had the first right to buy its building.

“But (Adventure) Church has not shown how the court can possibly order specific performance of the PSA (purchase contract) under the circumstances of this case. Church’s contract is to purchase the entire Parcel, which includes the Premises to which J&A (parent company of Sequoia Brewing Company) has a right of first refusal that, per the Court of Appeals, is valid and enforceable,” Culver Kapetan wrote.

The judge also found that the church does not have the funding ready to make the purchase, despite the church’s claims otherwise.

Adventure Church plans to challenge the tentative ruling. An oral argument is scheduled for Thursday afternoon. Escrow is set to close on Friday.

Church Had Agreement to Buy in 2020

Adventure Church offered $3.9 million in September 2020 to buy the theater properties. A key question is whether that offer expired on March 31, 2021.

Culver Kapetan answered that in her ruling.

“Communications leading up to the March 31 expiration date indicate that, while the parties intended to work together to come up with some sort of deal to sell the Property to Church, the deal as outlined under the PSA was dead,” she ruled.

While the ruling deals a major setback to the church buying the theater, Culver Kapetan says the church can seek damages.

“The court does not express an opinion regarding whether Tower otherwise breached the PSA (sales contract) with regards to its disclosures, or in entering into the PSA without first satisfying J&A’s rights under its lease. But Church’s remedy for any such breaches would be damages, not specific performance, and there is no reason to enjoin the pending sale to the City and J&A,” the judge ruled.

When the Fresno City Council agreed to purchase the theater in April for $6.5 million, it also agreed to absorb all legal ramifications. This could mean taxpayers will be on the hook for any damages, plus the cost to defend Adventure Church’s lawsuit.

Legal Arguments Leading Up to Ruling

In a court brief, attorneys for the theater said it was wrong to call this the “Tale of Two Towers,” but rather it is the “Tale of One Contract.” Its reasoning is that the contract of Sequoia Brewing Company supersedes any church claim.

Tower is also claiming that overlooking Sequoia Brewing’s right of first refusal was a “bilateral” mistake and thus should void the contract with Adventure Church.

Two times during the sales process, Tower Theatre has been accused of dealing in bad faith.

The first time — J&A Mash & Barrel, the parent company of Sequoia Brewing Company, a theater’s tenant — successfully argued its right to buy the property first was not honored. Its lawsuit scuttled the sale to Adventure Church.

In turn, Adventure Church sued Tower Theatre for bad faith as well. It also accused the theater of double-dealing — meeting with the city of Fresno in January 2021 while a sale with the church was already in place.

City leaders felt pressure from weekly protests of the sale to the church. Every Sunday morning starting in January 2021, crowds gathered outside the theater while Adventure Church parishioners prayed inside.

Demonstrators argued that the church was not the right fit for the Tower District, that the church’s perceived views on the LGBT community were not in line with the neighborhood, and religious use of the theater violated zoning laws.

Mayor Jerry Dyer offered the use of the Veterans Memorial Auditorium. The church declined. The city publicly explored using eminent domain to take either the theater, the parking lot, or both. A judge granted the city’s request to force the theater to allow an appraiser in the building.

The city offered to purchase the theater in Feb. 2022 for $4 million. The church called this “a blatant display of interference.”

Read Tentative Ruling

RELATED TOPICS:

DON'T MISS

Smokey Robinson, Anthony Jeselnik, and Brit Floyd Are Top Choices for Father’s Day Weekend

DON'T MISS

This Shy Sweetheart Was Dumped in a Parking Lot with Her Siblings

DON'T MISS

Fresno City Attorney’s Wage Theft Unit Targets Valley Children’s Hospital

DON'T MISS

Fresno Police Chief Balderrama on Paid Leave, City Manager Says

DON'T MISS

Konstadinos T. Moros Discusses Gov. Newsom’s Proposed Firearms Amendment on Unfiltered

DON'T MISS

US Inflation Eases in May, Indicating Potential Relief from Price Pressures

DON'T MISS

Over 200 Rockets Launched from Lebanon Following Israeli Strike on Hezbollah Commander

DON'T MISS

Rep. Costa Blasts GOP House For Holding AG Merrick Garland in Contempt

DON'T MISS

Is California’s $20 Minimum Wage to Blame for Loss of 10,000 Fast-Food Jobs?

DON'T MISS

Balderrama: ‘I Plan on Leading This Police Department to Even Greater Heights’

UP NEXT

This Shy Sweetheart Was Dumped in a Parking Lot with Her Siblings

UP NEXT

Fresno City Attorney’s Wage Theft Unit Targets Valley Children’s Hospital

UP NEXT

Fresno Police Chief Balderrama on Paid Leave, City Manager Says

UP NEXT

US Inflation Eases in May, Indicating Potential Relief from Price Pressures

UP NEXT

Over 200 Rockets Launched from Lebanon Following Israeli Strike on Hezbollah Commander

UP NEXT

Rep. Costa Blasts GOP House For Holding AG Merrick Garland in Contempt

UP NEXT

Is California’s $20 Minimum Wage to Blame for Loss of 10,000 Fast-Food Jobs?

UP NEXT

Balderrama: ‘I Plan on Leading This Police Department to Even Greater Heights’

UP NEXT

Wired Wednesday: Clovis Raises Water Development Fee by 105%. Impact on Homebuyers?

UP NEXT

As Californians’ Stance on Crime Hardens, Republicans Try to Regain Relevance

David Taub,
Senior Reporter
Curiosity drives David Taub. The award-winning journalist might be shy, but feels mighty with a recorder in his hand. He doesn't see it his job to "hold public officials accountable," but does see it to provide readers (and voters) the information needed to make intelligent choices. Taub has been honored with several writing awards from the California News Publishers Association. He's just happy to have his stories read. Joining GV Wire in 2016, Taub covers politics, government and elections, mainly in the Fresno/Clovis area. He also writes columns about local eateries (Appetite for Fresno), pro wrestling (Off the Bottom Rope), and media (Media Man). Prior to joining the online news source, Taub worked as a radio producer for KMJ and PowerTalk 96.7 in Fresno. He also worked as an assignment editor for KCOY-TV in Santa Maria, California, and KSEE-TV in Fresno. He has also worked behind the scenes for several sports broadcasts, including the NCAA basketball tournament, and the Super Bowl. When not spending time with his family, Taub loves to officially score Fresno Grizzlies games. Growing up in the San Francisco Bay Area, Taub is a die-hard Giants and 49ers fan. He graduated from the University of Michigan with dual degrees in communications and political science. Go Blue! You can contact David at 559-492-4037 or at Send an Email

Fresno Police Chief Balderrama on Paid Leave, City Manager Says

15 hours ago

Konstadinos T. Moros Discusses Gov. Newsom’s Proposed Firearms Amendment on Unfiltered

16 hours ago

US Inflation Eases in May, Indicating Potential Relief from Price Pressures

17 hours ago

Over 200 Rockets Launched from Lebanon Following Israeli Strike on Hezbollah Commander

17 hours ago

Rep. Costa Blasts GOP House For Holding AG Merrick Garland in Contempt

18 hours ago

Is California’s $20 Minimum Wage to Blame for Loss of 10,000 Fast-Food Jobs?

18 hours ago

Balderrama: ‘I Plan on Leading This Police Department to Even Greater Heights’

19 hours ago

Wired Wednesday: Clovis Raises Water Development Fee by 105%. Impact on Homebuyers?

19 hours ago

As Californians’ Stance on Crime Hardens, Republicans Try to Regain Relevance

20 hours ago

Lawsuit Claims Valley Children’s Paid On-Call Employees Less Than Minimum Wage

Smokey Robinson, Anthony Jeselnik, and Brit Floyd Are Top Choices for Father’s Day Weekend

There’ll be an assortment of events you can do with your dad this Father’s Day Weekend. R&B singer Smokey Robinson, comedian...

2 hours ago

2 hours ago

Smokey Robinson, Anthony Jeselnik, and Brit Floyd Are Top Choices for Father’s Day Weekend

3 hours ago

This Shy Sweetheart Was Dumped in a Parking Lot with Her Siblings

Fresno City Attorney’s Wage Theft Unit Targets Valley Children’s Hospital

15 hours ago

Fresno Police Chief Balderrama on Paid Leave, City Manager Says

16 hours ago

Konstadinos T. Moros Discusses Gov. Newsom’s Proposed Firearms Amendment on Unfiltered

17 hours ago

US Inflation Eases in May, Indicating Potential Relief from Price Pressures

17 hours ago

Over 200 Rockets Launched from Lebanon Following Israeli Strike on Hezbollah Commander

18 hours ago

Rep. Costa Blasts GOP House For Holding AG Merrick Garland in Contempt

Search

Send this to a friend