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Paris theatre ‘hung out to dry’ by council after €3m loss due to occupation

La Gaîté Lyrique has warned it is very close to bankruptcy and has called upon the city’s council to uphold previous pledges to provide additional support to aid its financial recovery.

Mary Stone
4 min read

A theatre in Paris that shut for more than five months after being occupied by hundreds of unhoused young people has said it incurred costs of €3m due to the closure, putting 80 jobs at the venue at risk.

According to a statement from La Gaîté Lyrique, the venue has been “hung out to dry” by the city’s council, which owns and funds the theatre, after it reneged on previous pledges to share the financial burden of the closure.

The theatre’s 100-day closure began on 10 December, following a free conference as part of its longstanding Factory of Our Times project, which aims to secure housing, food, and employment solutions for vulnerable individuals.

Hundreds of attendees, many of whom were migrants, refused to leave the venue, leading to all performances being cancelled.

The theatre’s staff continued to manage and maintain the building voluntarily, to allow the council “the time needed to carry out its legitimate negotiations with the national government”.

However, staff abandoned the site on 28 February as the number of people occupying the venue swelled to 446, citing “untenable overcrowding”.

A few weeks later, on 18 March, the theatre said it was “in shock” after police forcibly evicted those remaining in the venue amid protests from the occupiers and supporters.

Facing bankruptcy

“Sadly, these negotiations failed and more than 400 young people were thrown out of the centre without any housing solution,” said the venue.

“Most of those young people are still on the streets of Paris today – a situation acceptable to no one. But the penalty for this collective failure cannot, under any circumstances, be the sacrifice of this cultural institution and its 80 jobs.”

The institution has warned it is “very close to entering a bankruptcy protection procedure” due to the council’s refusal to contribute to the facility’s financial recovery, despite comments from Deputy Mayor for Culture Carine Rolland indicating otherwise.

Speaking to the city council on 9 April, Rolland said, “We will uphold – I would like to be very clear on this point – the commitments made as part of our contract with Factory of Our Times, on the management and operation of the facility.

“We will continue the dialogue on management with the concession holder and provide for any form of compensation necessary.”

A ‘baffling’ decision

The venue claims that on 9 May, the City of Paris transferred its annual subsidy of €3.3m, but informed the La Gaîté Lyrique management and its partner organisations that “no financial compensation would be provided to offset the exceptional loss of operating income”.

“Estimated at over €3m, these losses – both direct expenses stemming from the occupation and lost operating income for the concession holder and its artistic partners – require additional financial support to rebalance the centre’s financial model,” said the theatre.

“In recent weeks, La Gaîté Lyrique has proposed various reopening scenarios and funding methods, all of which [have been] rejected by the City of Paris.”

The venue, which remains closed, said that it is “aware of the existing budgetary pressures and firmly supports proper, efficient use of public funds”, noting in normal circumstances, around 70% of its budget is self-generated and that it has lined up public and private partners to support its reopening.

However, the theatre called upon the City of Paris to reverse its “baffling” decision and provide additional funds to aid its financial recovery and protect jobs.

“The crucial effort towards La Gaîté Lyrique’s financial recovery grows more difficult and costly with each passing day. It is now urgent for the municipality to respect its commitments by providing a financial framework and a clear schedule,” said the venue.