A zoning variance is all that stands in the way of the IFC Center's plans to begin a $10 million-plus expansion to nearly double its Greenwich Village footprint. But if the Board of Standards and Appeals denies the art-house movie theater its zoning change, IFC says it may leave the neighborhood when its lease ends, even passing on its upcoming renewal option.

"IFC intends to continue to serve the Village for decades to come by entering into a new, long-term lease for the property if the variance is granted," IFC said to Crain's. "However, if the expansion doesn't happen, IFC might not be able to justify the lease extension beyond its current term. "A public hearing is expected this summer.

Adding to the drama, the IFC's expansion plans come amid scrutiny of a donation made by Joshua Sapan, CEO of IFC's parent company, AMC Networks, to Mayor Bill de Blasio's Campaign for One New York fund. Mayoral aides are being scrutinized by city and federal prosecutors for potentially skirting campaign-finance limits. Sapan, who is not under investigation, gave $5,000 to the fund five months before the expansion plans were released.

Though its plans face opposition, the IFC Center has been a mainstay in the neighborhood since it took over 323 Sixth Ave. in 2005. For the past 11 years, the theater has leased from Friedland Properties the three-story, 160 year-old building as well as a vacant lot behind it, on Cornelia Street, where IFC would build additional cinemas—one below ground and two above.

Bolstering its chances for getting the variance, IFC won Landmarks Preservation Commission approval in December of its plan to add six theaters, for a total of 11, by doubling its footage to more than 20,000 square feet. This would also double the center's capacity to 948 people. IFC says it has plenty of demand for its indie-film fare, one-third of which is by New York filmmakers. It said it turned away 4,500 potential ticket buyers—missing out on $63,000 in sales—from 249 sold-out shows in the first quarter alone.

At issue is that 16% of the vacant lot is zoned residential. Community members who oppose the variance to allow commercial use of that portion point out that the zoning applies to the land itself, not to the IFC, and the center's plans do not justify creating a large commercial lot in perpetuity. Currently, 65% of all ground-floor space on Cornelia Street is used for commercial purposes.

The center said that all foot traffic and use (with the exception of an emergency exit on Cornelia Street) will continue to face Sixth Avenue.

IFC General Manager John Vanco said keeping just a small part of the lot residential didn't make sense: "In order for us to build anything sensible or significant on the partially developed property, we need the variance."