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NEWS STORY

ZOO Blues
Weekend concerts at the Oregon Zoo are increasingly popular--and lucrative. But will those sweet sounds fade with MERC's plans for a new amphitheater?

BY NICK BUDNICK
nbudnick@wweek.com

Last year, the zoo took in $16.7 million in revenue. Of that figure, more than $1 million was from its summer concert series. Half of that money, about $500,000, came from the weekend concerts that some say are threatened by the amphitheater.

 

For six weekend concerts last summer, the zoo sold an average of 3,200 tickets. The proposed 5,000-seat Portland Pavilion plans to hold 20 to 25 summer concerts.

 

Currently, MERC is in negotiations with Pace over lease terms. After that is finalized, the amphitheater proposal must go before the councils of both MERC and Metro for public hearings.

 

 

Earlier this month, facing a second straight year of red ink, the Oregon Zoo raised its admission prices by $1.

The fee hike was explained as a way to get on top of expenses related to the zoo's ongoing expansion. But the 112-year-old institution faces another, longer-term threat to its finances: an amphitheater planned near the Expo Center that could cut into the success of the zoo's lucrative summer-concert series.

Although officials at the animal emporium say they're not worried, the zoo's own promoter says they ought to be.

"I don't think they grasp how seriously threatened this revenue stream is," says Steve Reischman of Showman Inc., who for 18 years has contracted with the zoo to handle its summer concerts.

Reischman's worries began in May, when the Metropolitan Exposition-Recreation Commission announced plans for the Portland Pavilion in North Portland. The 5,000-seat outdoor amphitheater would be operated by Pace Entertainment, part of the huge entertainment conglomerate SFX Entertainment Inc. Under the proposed arrangement, SFX would lease the MERC-owned property for 20 years and pay the public agency an amount that is still under negotiation.

Reischman contends the amphitheater will take the most profitable shows--those held on Friday and Saturday nights-- forcing the zoo to book lesser acts and eventually drop its weekend concert series. "The zoo will not be able to compete, because the zoo does not have the deep pockets that Pace has," he says.

Although the zoo concerts take place just outside the elephant exhibit, we're not talking peanuts. The zoo grossed $463,000 last summer in six weekend concerts. Sponsorship from Wells Fargo shoots that figure to about $510,000. The zoo says its profit on that is about $100,000; Reischman puts the figure closer to $170,000.

The latter number happens to be exactly what MERC hopes to pull in once the amphitheater is up and running, according to MERC General Manager Mark Williams. That money, he says, is badly needed to pay for renovation of aging facilities such as the Expo Center.

Dan Bean of Pace says he hopes to attract acts such as Chicago, the Moody Blues, Harry Connick Jr., Robert Cray and blues great Buddy Guy--acts he describes as a higher link in the entertainment food chain than those found at the zoo.

Reischman, however, points out that Cray played the zoo this summer, as did country legend Steve Earle, the Cowboy Junkies and Joan Armatrading. Past years have drawn Lyle Lovett, Boz Scaggs and blues great B.B. King. "They're definitely going after the exact niche that the zoo currently serves," he says.

Williams rejects Reischman's worries, saying that the promoter, who also books shows for the Champoeg State Park, is just scared of competition.

That may be, but the fact is that MERC and the Oregon Zoo are both public agencies. What's more, they're both arms of Metro.

Metro spokeswoman Pam Wilson says her agency hasn't analyzed the potential effects of MERC's plans on the zoo budget. "We kind of relied on the zoo for this," she says. "If they say it won't have an impact, we'll take it at face value."

The question is, has the zoo given the matter much thought? "I really can't say anything about whether this new [amphitheater] is going to affect us," says deputy director Kathy Kiaunis, the zoo's budget guru. "If it becomes something that's not profitable for us to do anymore, we'll find something else to do."

Fans of the 21-year-old concert series, however, say the zoo is a superior venue because of its family-friendly atmosphere and proximity to light rail. Dan Eichler, a loyal summer concertgoer, says, "When I meet people who've just moved to town, I tell them it's one of the best things about living here."

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Willamette Week | originally published October 13, 1999

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