The Old Dundee Bar & Grill will close next year to make room for Film Streams' expansion of the Dundee Theater.

On Wednesday, The World-Herald reported that Susie Buffett's Sherwood Foundation will donate the Dundee to Film Streams, which plans to renovate the theater as a second location by 2018.

In January, Denny Moran sold his block of Dundee properties near 50th and Dodge Streets, including the theater, to RH Land Management Co., which is affiliated with the Sherwood Foundation.

Amid subsequent rumors that the Old Dundee would be evicted or even torn down, Film Streams confirmed that the theater will be using the bar's space.

"We know some employees and patrons of the bar were disappointed to learn it would be moving next year, and that's understandable," Film Streams said in a statement Wednesday.

"Our priority from the beginning has been to save the theater, making it a sustainable cinema for decades to come. We won't be tearing anything down."

Film Streams said the Dundee Theater will need a new, safer entrance off Dodge Street, a lobby to accommodate crowds and concessions, and additional space for programming, community events and educational opportunities.

"These things will be necessary for the theater to thrive," the nonprofit said in the statement.

Joe Goodman, the bar's owner since 2009, declined to comment.

Old Dundee bartender Eric Franz told The World-Herald he had been informed that the bar's lease would not be renewed when it expires in January 2017.

"We didn't see this coming at all," said Franz, who has been a bartender at Old Dundee for more than five years. "I was honestly excited about the theater reopening. It was always kind of a symbiotic relationship between (the theater and the bar)."

Franz said he and other staff were notified of the news by Goodman via text message Tuesday afternoon. Franz said about 20 people work at the bar.

The Sherwood Foundation could not be reached for comment Wednesday. A few of Sherwood's other new tenants said they have not been told any news regarding their leases.

Jeanette Laitner, owner of Duggers Cafe, said she has heard "rumors flying around" but nothing concrete. She hopes to speak soon with her new landlords.

Carrie Rollins, owner of Matt Wayne Salon, said that if her business is moving, it's news to her.

Her landlords "have been very attentive," she said. "We're looking forward to a great rest of the year."

The Old Dundee Bar & Grill location, 4964 Dodge St., was the home of the Dundee Dell for 66 years, until May 2000. After the building sat vacant for a year, Patricia Maher and Mary Head opened the Old Dundee in the spot. Goodman bought the business in May 2009.

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