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Home OUR CITY  Harold Washington Cultural Center in financial jeopardy
Friday, October 23, 2009

Harold Washington Cultural Center in financial jeopardy

5-year-old venue has until Oct. 28 to come up with $1.4M

by Kathy Chaney

Better management of the Harold Washington Cultural Center in Bronzeville and improved economic conditions in the area could help the center become prosperous should it emerge from foreclosure, residents say.

Shorebank filed a foreclosure suit seeking $1.3 million in August against Tobacco Road Inc., the nonprofit organization that manages the beleaguered venue. In March 2004, the bank issued the organization a mortgage for $1.4 million.

The center has until Oct. 28 to resolve its issues with the bank.

Named after the late Mayor Harold Washington, the $19.5 million, 40,000-square-foot building that boasts a broadcast and digital media resource center, and radio facilities, opened in August 2004.

It is on the southeast corner of 47th Street and King Drive and is managed by Jimilita Tillman, executive director of Tobacco Road. She is one of former Ald. Dorothy Tillman’s (3rd) daughters.

Calls by the Defender seeking comment on the HWCC went unanswered.

However, the former alderman sent out a letter seeking donations to help Tobacco Road meet the banks terms.

“The Harold Washington Cultural Center has been open for 5yrs (sic) and during this time we have been a safe haven for over 100,000 youth. Through our community partnerships, teen summits, talents showcases and educational programs, we have kept many youth off the streets and gotten them into college as well as entertainment professions,” the letter reads.

“Now we are in need of support. The Harold Washington Cultural Center has been hit by all the directions of these tough economic times. Corporate sponsorship has dwindled, artistic grants have been cut, and event rentals have been strained.

“Our center is faced with a foreclosure judgment when all we wanted to do was catch our note up and pay it forward. Our lending institution have (sic) called in the entire note of 1.4 mil and won’t accept our past due amount of 50k.

“We continue to offer free programs to our youth and community partners. We need our friends in art, culture, spirit, sports and entertainment community to step up and save our jewel in the African American Community. While the violence and neglect is being highlighted nationally, our students are crying to save our building...their artistic home.

“We have until October 27 to raise 1.5 million dollars to keep our doors open and our kids off the street. We need a George Washington for Harold Washington. 2 million hands strong together praying, volunteering, donating to our humble community cultural arts center,” the letter continues.

The city invested $6.8 million in general obligation fund bonding and has overseen $1 million in federal empowerment zone grant funding to build the HWCC. The grant expired a few years ago but Tobacco Road is obligated to make the financial records available until the end of this year and adhere to the grant’’s requirements, according to a spokesman for the city’s Office of Budget Management.

The center must hold at least 239 days of events each year, however, an audit of the organization conducted last year by the city found there were fewere than 100 days of events held at the center between January 2005 and August 2008.

The center failed to meet the requirements, said Pete Scales, spokesman for the department.

“I see little activity at the cultural center. The location is wanting for more pedestrian traffic and the area needs economic vitality to bring people to the area. That vitality should be in the form of quality businesses and not just liquor stores, chicken joints and store after store selling the same clothing lines. As of now, the center is the white elephant in an otherwise economic desert,” said Mel Cragwell, who lives in Bronzeville.

During previous school years, students visited the center to watch plays or participate in other education-related events. The weekly half-hour local educational quiz show “Know Your Heritage” was taped there and many Chicago Public Schools graduations were held at the center.

This year, several events were held at the center, including a Youth Symposium and comedy concert.

Businesses in the area include Blu 47 restaurant, comedy venue Jokes and Notes and Spoken Word Cafe. All are located in the 47th Street Market Place building on the across the street from HWCC.

The building on the northwest corner of the intersection is under renovation and will include Peaches restaurant and Abundance Bakery. The building’s owner is also hoping to attract an upscale sports lounge.

Another area resident agreed with Cragwell and suggested the center's management could use a facelift.

“It appears the center is not being professionally run. Maybe Tobacco Road Inc. should reconstitute its staff because a long-range plan needs to be put into effect in order to make sure the center isn’t ever at this point again,” said Susan Ross.

Ald. Pat Dowell (3rd) said the impending foreclosure suit is a private transaction between Tobacco Road and Shorebank. The city has no involvement, she said.

“At this point we have a close eye on how this will be resolved. If foreclosure is the result, the City of Chicago or a private entity could acquire it. But, options can’t be determined until we know what’s been reached between Shorebank and Tobacco Road,” said Dowell.

 
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