Q. What's the next improvement project in the works for the Hawai'i Theatre?

A. The theater is completely restored, interior and exterior. But we're not finished yet. Our next project is the backstage expansion, which we've entitled "Chinatown Revival, Act II." This will allow us to double the size of our stage. We'll put in a whole new basement level for storage of equipment, also space for rehearsal, space for educational activities. Then we're going to create a "Black Box" theater on Nu'uanu Avenue with approximately 100 flexible seating. We'll have additional space as we extend the backstage. We hope to go up about 75 feet and at the top we'll have additional rehearsal space, office space, etc. It'll be five years before we can begin the project and it's estimated to be about a $21 million project. By extending the stage the symphony orchestra could be here and we would put in an orchestra shell. We can also bring in bigger Mainland productions and with the "Black Box" theater we can have performances going on the main stage as well as in the "Black Box" theater.

Q. Where will the funding come from?

A. We would look to three sources: support from the state of Hawai'i, the federal government and the private sector. We're just in the initial planning stages.

Q. What brought you to the theater?

A. I began in 1989. I thought (the restoration) was a wonderful vision and a terrific project. A lot of challenges, but I believed I could make a huge difference in the performing arts world as well as to revitalize the neighborhood. Prior to that I was the executive director for the State Foundation on the Culture and the Arts.

Q. What were the challenges when you first signed on?

A. When I first started we thought the project was going to be an $8 million restoration for the theater. It turned out to be $32 million. About three months after I started I realized that the budget assumptions were not accurate. That was the first big challenge. Right away we had to either say we're going to develop a public-private partnership strategy or just forget the project. So we instantly sought public funds from the state Legislature and of course a private capital campaign. Our capital campaign was in three phases. They were called, "Renew the Vision," the second one was "Open the Hawai'i," and the third was "Light Up the Hawai'i."

Q. What are the differences between running a nonprofit and a commercial business?

A. We run it just like a business. Same values. We don't make a "profit," but we need to make sure we meet our revenue goals and stay within our budget and every year the revenues need to exceed the expenses. It's a lot of work and we do run it in the black because that's the only way you can have a future. We run about a $2 million annual budget. About 40 percent is earned revenue, and the other 60 percent we have to raise from the community.

Q. How important is fundraising?

A. My job basically is to ensure the financial security of the organization annually. We have a development director and membership coordinator. We seek funds through special events and we submit grants. We have membership. The City and County of Honolulu supports us. We try to leave not a rock unturned. Then there's the overall promotion of the theater itself; its brand, its standing in the community. And I need to make sure we stay within budget. We hired a very good staff, and I think we have a terrific staff here. Not a large staff, but very capable. I also assist in the overall fund-raising.

Q. Do parking concerns and the presence of the homeless in the area create problems?

A. Parking is tight during the day, but typically at night it's not a problem. There's Mark's Garage. There's also parking at the Chinatown Gateway Plaza. But the best, well-kept secret is the Smith-Beretania, a wonderful garage. It's the one underground and its back is right behind the theater. We've not had any incidents with the homeless. Occasionally, the homeless will collect in the Chinatown Gateway Park or will sleep against the side of our building. Mayor Mufi Hannemann has been very supportive of moving them on, and while it's reoccurring, they haven't caused us problems.

Q. The Better Business Bureau presented you with an award. Is that unusual for the head of a nonprofit to be honored by the BBB?

A. The BBB last year gave us an award. It's called the Torch Award for excellence in business ethics. That was the first year they had nonprofits being recognized. We were thrilled. We were honored. We were very pleased to be so recognized because we try really hard to make sure we uphold all good business practices and we do operate like a business.

Q. Any other major events that we should know about at the theater?

A. The Hawai'i Theatre is going to celebrate its 85th anniversary. Our actual date is Sept. 6. We've got some special events coming up and probably in maybe about a month or less I can share with you some of the exciting things that are going on.

Q. What's your future at the theater?

A. I haven't made plans at the moment. So far we're making good progress and I would like to see us get this backstage expansion done.

Reach Curtis Lum at culum@honoluluadvertiser.com.