It will surely pain the City Haters, but momentum is on the side of Downtown right now. The developers are seeing the positives and the public is starting wake up. Granted the pissy pants crowd will surely undo their diapers on this idea, but I really don't think their stink can stop thing going forward.
Having the Playhouse Downtown would be HUGE! Add to that a multi use venue that could holder "larger" events (concerts etc) and you have an anchor to the Fountain Square area that will draw better than almost anything that could be put in that space.