Isle of Wight Council will shortly begin the process of inviting offers for Ryde Theatre from interested parties.
This is after Platform One, which had proposed to take over the building, was obliged to pull out due to the current financial climate.
George Brown, IW Council Cabinet member responsible for the economy said “We are sorry that Platform One was unable to carry out its agreed plans for Ryde Theatre, but we understand the circumstances.
“I would like to thank everyone at Platform One for the time and effort they have given to this project. The council has a close working relationship with the organisation and this will continue.
“The council will evaluate any new offers we receive carefully before making any decisions.”
David Pontin, Director of Platform One said “It is with great disappointment that this move has been forced upon us. Funding streams that were available just 18 months ago are simply no longer there anymore and this situation is because of the national climate and not through any fault of either ourselves or the council.
“We continue to work very closely with the local authority, which has been very helpful during the contractual process, and do not wish to delay the sale of Ryde Theatre.
“Platform One would, however, be very interested to discuss the future of the theatre with any potential bidders.”
The council will announce the process for inviting offers in due course.