The curtain has dropped on the Town's working agreement with Theatre Collingwood.

Darrin Smith, chair of the non-profit theatre company, said that the organization has accepted the town's request to cancel the memorandum of understanding.

The town signed an MOU with the theatre group in September in hopes of constructing a performing arts venue on the site of the former Tremont Hotel.

According to a press release from Theatre Collingwood, the reason for withdrawing the MOU because of pressure from the town's Heritage Committee and residents, that they want the "building preserved and restored to its former status as a landmark in the downtown core."

One of the sticking points on the agreement was who was going to pay for a study to determine whether the building - or a portion of it - could be used in any future design.

Theatre Collingwood chair Darrin Smith said the group is still looking at building a venue, but feels it should be in the downtown core.

"The goal of building a performing arts centre on this site was to improve the cultural infrastructure for the Town of Collingwood.  Any project to build a performing arts centre needs to be a win-win for the Town and its citizens" said Smith.