LOWER MANHATTAN — After years of wrestling with debt and threats of eviction, Downtown dance studio Dance New Amsterdam has filed for bankruptcy, the organization announced Wednesday.
But the move will not shutter the cash-strapped studio and theater space at 280 Broadway, which will continue to offer classes and performances as its moves toward financial solvency, executive and artistic director Catherine Peila said in a statement.
“The decision to file for Chapter 11 reorganization protection provides us with the time to solidify agreements with new partners, increase funding and most importantly, continue to serve the New York City’s vibrant community of performing artists and avid cultural supporters,” Peila said in a statement.
“DNA’s executive team, faculty, and board of directors have worked diligently over the past five years to create strong programs and a business structure that supports DNA’s mission. These efforts, combined with the support of cultural leaders, have put us on the road to recovery.”
Dance New Amsterdam, a 28-year-old nonprofit, moved Downtown in 2006 after renting the 280 Broadway space and building a 130-seat theater, six studios and two galleries using federal post-9/11 funding.
But delays in the construction and other issues led the studio to fall behind on its rent, which had reached $68,945 per month by 2010.
Last year, the studio struck a new 10-year lease, with reduced rent, that allowed Dance New Amsterdam to save itself from eviction.
The bankruptcy filing will allow the company to continue with its financial recovery plan, but with added time to get out of debt, according to the orgazination.