Forest City Enterprises Inc. is still locked in talks with CineLux Theatres, which is now planning a springtime opening of an eight-screen cineplex shuttered in January 2000 by United Artists before it filed bankruptcy. A representative for Campbell Plaza Theatres, CineLux's parent, tells GlobeSt.com that the project is on track, but minor problems in negotiating the lease with Forest City has delayed the ribbon-cutting. The chain had planned to reopen the former United Artists building by the end of 2002.

The property is located between First and Second streets along Paseo de San Antonio. The theater is an integral part of the Pavilion, a mixed-use development under the control of Cleveland-based Forest City and the San Jose Redevelopment Agency. The Pavilion consists of 196,000 sf of office space, 55,000 sf of retail and a 293-space underground parking facility. A city representative confirms the Pavilion pact requires the 70,000-sf theater site to be used for movies until 2006.

Forest City owns the Pavilion, but leases the ground from the agency. That means the lease must also get a green light from the San Jose City Council. The Campbell Plaza representative says lease details will remain confidential until an agreement is reached, but city council has approved a preliminary six-year lease agreement with an annual rent of about $315,000--a rate that increases with sales.