It appears as if the curtains of The Bay Street Theatre will continue to rise in Sag Harbor following the theatre’s announcement of a lease agreement the cultural mainstay has reached with landlord Patrick E. Malloy III.

On Tuesday, October 7 Malloy and the theatre announced Bay Street would continue to operated at its current location at the corner of Main and Bay Streets in a three-to-six year lease agreement. Bay Street’s lease was set to expire in June 2010, meaning had a deal not been reached the theatre could have been looking at its last Sag Harbor summer season this coming year.

“We couldn’t be happier to be remaining in Sag Harbor, and specifically on the Long Wharf in our current location,” said artistic directors Sybil Christopher and Murphy Davis. “It’s a perfect spot and one that the theatre relies on for foot traffic of both locals and visitors alike. We thank Pat for his generosity and support of Bay Street.”

For over a year now, the future of Bay Street Theatre has remained uncertain, as the theatre neared the end of its lease and discussions began about whether the artistic institution would remain in Sag Harbor.

In 2007, Southampton Village Mayor Mark Epley courted the theatre, with the hopes it would relocate to Southampton Village in the soon to be vacant Parish Art Museum on Jobs Lane, offering the space for a mere $1 a year over a 40-year period.

Despite the potentially highly lucrative offer, theatre officials fought to remain in Sag Harbor. Following Southampton Village’s offer, Sag Harbor Mayor Greg Ferraris, joined by then Southampton Town Supervisor Patrick “Skip” Heaney and East Hampton Supervisor Bill McGintee announced that the three municipalities would seek to have the theatre jointly purchased from Malloy with Community Preservation Fund monies. The fund was established in 1999 and allows the five East End towns to purchase open space, farmland and parks and recreation through a two-percent real estate transfer tax. Talks on that deal stalled shortly after East Hampton Town came under fire for alleged misuse of CPF monies and have yet to be revived.

Most recently, East End Ventures, the developers looking to create luxury condominiums at 1, 3 and 5 Ferry Road, as well as the already approved condo project at 21 West Water Street, offered the theatre a space on West Water Street, although management stressed following the meeting it was their hope to stay on Long Wharf.

Frank Filipo, Chairman of the Bay Street Theatre Board of Directors, speaking on behalf of the board and the theatre’s entire management team, said staying on Long Wharf, especially as the nation enters into difficult economic times is vitally important. 

“Pat Malloy has, from day one, been one of Bay Street’s true champions,” added Filipo. “We thank Pat once again for understanding the needs of this great institution, one that has become such an important part of the community.”

“Bay Street Theatre provides a social, cultural and economic anchor to the Village of Sag Harbor that is paramount to the success and popularity that the village currently embraces,” said Sag Harbor Mayor Ferraris, a longtime supporter of the theatre. “On behalf of the entire village and surrounding community, I thank the Board of Directors for their leadership and Patrick Malloy for his continued support of Bay Street Theatre.”

Bay Street Theatre will continue with shows and community events throughout the fall and winter, including by televising the presidential debate on Wednesday, October 15. On Tuesday, November 4, the theatre invites the community to watch the Election Day drama unfold on the theatre’s big screen.