SANTA MONICA, CA-It looks like the Santa Monica Civic Auditorium will survive. Now the question is: as what?

That was the concensus that emerged from a sometimes-contentious City Council meeting here on Tuesday, as the future of the faded public auditorium was discussed over two hours by an estimated 26 speakers.

At the end of the long night, the City Council was clear on one point: “It's a city landmark and should be retained,” says Karen Ginsberg, the director of community and cultural services for the city.

As previously reported in GlobeSt.com, things looked a bit grimmer for the Santa Monica Civic Auditorium last month. One official did not rule out demolition for the venue

The previous recommendations of the Urban Land Institute, a non-profit education and research group, to develop the property into something that will support the money-losing cultural landmark, were favorably received by the council. There will now be a long period of public input and still more meetings before any formal plan of action takes hold.

However, it appears that the option of demolishing the beloved and iconic auditorium is no longer on the table. Recommendations to add creative offices and other facilities in adjacent parking space in an effort to bolster the auditorium's viability were suggested by the ULI and also supported in reports given by city staffers and presented at the event.

The Santa Monica Civic Auditorium is a 3,000-seat venue which once hosted the Academy Awards and the famed T.A.M.I. Show, a concert featuring James Brown, the Rolling Stones and Chuck Berry. But the facility costs $2 million per year to operate and has been running in the red for several years, a drain on city coffers. Some experts have pegged necessary renovations at over $50 million.

The staff recommendations, which came from a report authored by Goldberg and Andy Agle, director, housing and economic development, call for a review of an interim-use plan for the Civic Auditorium; options for managing and operating the facility; strategies to generate revenue for the renovation and operation; and a review of the concept of the Civic Auditorium as the hub of a creative district and mixed-use cultural campus, among other things.

If the Civic is to be renovated as a large-scale, mixed-use, performing arts venue, the report stated, the presence of a high profile “anchor” as a long-term partner (e.g. Golden Globes or the Independent Spirit Awards) could be leveraged for sponsorship revenue.

The city staff met with representatives from the major promoters and event operators in town, including AEG/Golden Voice, Live Nation, the Dolby Theater and Nederlander Entertainment.

“Based on these interviews, and those with other entertainment industry experts, there continues to be a great deal of interest in the Civic Auditorium, primarily as a venue for concerts, and special events such as award shows and movie premieres,” says the report. “Hotel operators and business partners such as the Convention and Visitors Bureau remain interested in the venue both for meeting space and as a venue for special events, such as a major film festival in conjunction with the American Film Market.”

The Civic Auditorium has local landmark status, and is eligible to be placed on the national register as well, but has not gone through the process. Any changes to the building would require a certificate of appropriateness.

There are events being held at the facility until a June 30 partial mothballing. After that, it will continue to be used as meeting space for non-public events and the main hall will be available for filming and/or use as a sound stage.