Compromise reached in Egyptian Theatre's bid for Palmer Court

DeKALB – Representatives of the Egyptian Theatre have reached a compromise with neighbors in their quest to acquire a portion of a nearby alley for their planned expansion project.

Alex Nerad, the theater's executive director, said the city of DeKalb and the theater each will give some land to Larry and Kay Berke, owners of Royal Travels & Tours, 122 N. First St.

The Berkes own the building and live on the second floor.

The agreement was reached after a meeting with city and theater officials, as well as with Hillside Restaurant co-owner Gavin Wilson. The restaurant is at 121 N. Second St.

"We've come up with a solution that all parties involved are happy with," Nerad said. "We feel very happy with the resolution."

City Manager Bill Nicklas said if the compromise is approved by the theater's board of directors and the City Council, the Berkes would receive three small portions of land in between theirs and the theater's property.

Nerad said the properties would act as a buffer and prohibit any future development from encroaching on the Berkes' land. In return, the theater will acquire some of the Palmer Court property to make way for its planned expansion.

For $1, the theater would transfer ownership of a patio-sized area on the west side of the building, facing First Street, to the Berkes to be made into a garden. The city also would transfer two small portions of land around Palmer Court for $1 each to the Berkes: a small parcel of land between the west end of the Berkes' property and the proposed Egyptian addition and a 5-foot strip of land on the north end of the alley.

Larry Berke initially had expressed concerns about the view of the new addition from his home.

On Monday, council members postponed a vote that would have given a small part of Palmer Court, less than a half-acre behind the theater at 135 N. Second St., to the theater to build an addition as part of a planned $4.5 million construction project.

The city is contributing $2.5 million in tax increment financing funds for the project.

Wilson and Larry Berke made their comments during a heated Planning and Zoning Commission meeting Feb. 20.

"In doing so, the Berkes have agreed to support the current footprint of the expansion project that has been proposed," Nerad said, adding that the dimensions of both properties still are being defined. "I can't provide any dimensions other than saying it's a very small portion of land from the theater and the city."

"I think it was fair," Larry Berke said. "I thought it was an awesome meeting. All systems are go. We're in."

Nerad said the theater's board of directors was scheduled to meet Wednesday night to discuss the plan.

"I anticipate [the board] will approve and move forward with what was worked out," Nerad said.

Gavin Wilson's wife, Mary Wilson, who is co-owner of Hillside Restaurant, expressed strong opposition to the plan Feb. 20, but she dialed back her comments Monday after learning that sewer work was to be done around her restaurant, which she said also needs work.

Nicklas praised the mediation's success.

"I am very heartened," he said. "When we came into the meeting, there was some tension in the room still. When we left, there was a lot of good will and trust. As city manager, it was the most moving moment I've had so far."