Traverse City commissioners voted unanimously Monday to approve a five-year agreement with Studio Anatomy to operate the Bijou by the Bay/Con Foster building as a performing arts venue. 

Studio Anatomy will manage and the operate the venue “as an independent contractor at no cost to the city,” according to Parks and Recreation Director Michelle Hunt. The contract includes an annual operating fee paid by Studio Anatomy to the city that will start at $20,000 in year one and gradually increase over the five-year term to $40,000 in year five. The group will be required to cover utilities, insurance, trash disposal, and other operational costs.

Studio Anatomy must provide a minimum of one ticketed and one free public event per week. That number is an average that should total at least 52 such events annually but provides flexibility in week-to-week programming, staff said. The group must also submit quarterly event reports and maintain annual programming standards under the agreement terms. Studio Anatomy has city permission to obtain a liquor license and serve alcohol at events as a key part of its revenue plan, though City Manager Benjamin Marentette noted that was intended to be an ancillary use to its main function of providing community events and programming. 

There are standard terminaton clauses in the contract if “things aren’t working out” that would allow the parties to end the agreement sooner than five years, Marentette said. However, he added he had confidence in the group’s proposal. Studio Anatomy plans to invest approximately $58,000 into building improvements and will begin renovations as soon as the possible with the goal of opening the venue this fall. Marentette said Studio Anatomy would likely be able to take possession of the building within the next few weeks.