Regal denies Griffiths’ claim to be backup buyer if retail plan fizzles

A letter from Regal Entertainment Group is casting doubt on Walt Griffiths’ claim to be a legitimate bidder for the Whiteside Theatre, but Griffiths insists he has made a good faith offer on the property and is in position to buy it should three Portland developers pull out.

The Portland group, called Whiteside Partners LLC, has a contract to purchase the historic downtown movie house from Regal, although it hasn’t completed the transaction. The deal is contingent in part on city approval of the group’s redevelopment plans.

On Tuesday, the Corvallis Historic Resources Commission met to consider those plans, which involve converting the 84-year-old landmark into a restaurant and retail complex.

Griffiths has been leading the charge against that proposal, saying he wants to restore the Whiteside as a theater to be operated by his nonprofit Christian ministry, Relevance Inc., and that he has made a backup offer to buy the property.

Not so, according to a letter from Todd S. Boruff, vice president for real estate with Regal Entertainment Group.

The letter, dated Monday, was included in a packet of written testimony at Tuesday’s Historic Resources Commission hearing and asks the commissioners to approve the Whiteside Partners application. (The commissioners have delayed a decision to allow time for additional public comment.)

In part, the letter reads: “Recently, we received a proposal from Mr. Walt Griffiths who originally wanted the property donated to his organization. After a period of negotiations, we declined his proposal because we were simply too far apart on price.”

The letter goes on to discuss the agreement with Whiteside Partners and adds, “We have no backup proposals.”

Nonsense, says Griffiths.

“I talked with Todd yesterday,” Griffiths said Friday. “I let him know we were still very interested.”

Griffiths produced copies of his correspondence with Boruff in late May and early June, chronicling some of the negotiations between the two over the Whiteside. He also produced an offer sheet that appeared to match Regal’s asking price for the Whiteside, although there was no letter from Boruff acknowledging that particular offer.

Alan Wells, a local commercial real estate agent, has worked with Griffiths in his pursuit of the Whiteside, even though Griffiths has done all the negotiating himself. Wells was surprised to learn of Boruff’s letter to the Historic Resources Commission, saying he didn’t understand how Regal Entertainment Group could claim to have no legitimate offers on the theater besides the one from Whiteside Partners.

“They are aware of Walt’s interest, they are aware of the terms he was willing to offer, and it’s my understanding that the terms would be acceptable to Regal if they did not already have another offer,” Wells said.

So what does Regal have to say about the latest Whiteside Theatre dispute?

Nothing, so far.

Boruff declined to discuss the matter, referring all questions to Dick Westerling, a Regal corporate spokesman. Westerling did not return a phone message Friday.

Bennett Hall is the business editor for the Gazette-Times. He can be reached at 758-9529 or bennett.hall@lee.net.