Loading...
Agenda 02/28/2017 Item #11C02/28/2017 EXECUTIVE SUMMARY Recommendation to evaluate the site feasibility and financial requirements of developing a regional tournament caliber sports facility and to provide guidance on future actions. OBJECTIVE: To comply with prior Board direction with an evaluation of several sites for the development of a regional tournament caliber sports facility and seek direction for the County Manager to either proceed with the recommendations presented or terminate the process. CONSIDERATIONS: Over the last several years, Collier County has experienced a significant increase in the demand for the use of our sports facilities. The demand comes not only from the increase in our local population but also from our success in attracting national, regional, and local tournament play. North Collier Regional Park (NCRP) in particular has seen utilization rates that have exceeded the recoverability rates of our natural turf fields. Growing interest in pickleball from both local and tournament play at the East Naples Community Park is driving facility upgrades and a full master planning effort. Events like the Football University national championship continue to call Collier County home, but the event sponsors have noted our facilities are not keeping up with competing venues. In early 2015, staff recognized that we were unable to keep up with demand and proposed seeking professional assistance in evaluating our existing facilities and planning for future facilities. On October 27, 2015, request for proposal 15-6419 was awarded to Hunden Strategic Partners Inc. (HSP) to evaluate existing facilities, consider future demand, provide recommendations for facility amenities, and identify potential locations. On June 28, 2016, HSP provided a report to the Board with a staff recommendation to proceed with site specific feasibility studies. During the presentation, Mr. Hunden simply stated: “You’ve got a lot of demand and not a lot of supply.” The presentation was well received by the Board and unanimously accepted with the recommendation to conduct site specific feasibility studies with the caveat that the NCRP site would be further evaluated with additional public input. The transcript and presentation are attached for reference. Subsequent to additional public input, the evaluation at NCRP was reduced to an artificial turf conversion analysis only. The three remaining sites (Magnolia Pond, City Gate, and CC305) were further evaluated by staff and outside engineering firms. Particular attention was paid to availability, functionality, constructability, and cost. Complete reports are attached detailing the review of the three sites. The following information highlights the key factors associated with each site that were considered in developing our staff recommendations: 1. Magnolia Pond This location is made up of two property owners and access is controlled by a third property owner. The ability to negotiate a four party agreement without zoning in place and the lack of adequate existing transportation improvements are the bigge st constraints of this location. 2. City Gate This location is properly zoned and shovel ready. It is the most expensive of the sites reviewed but requires the least amount of time and effort to develop. The owners have expressed an interest in continuing a dialogue with respect to price. 3. Collier County 305 11.C Packet Pg. 322 02/28/2017 The County already owns the site and can develop this property in conjunction with other efforts over time. It is estimated that vertical construction could take as long as three to five years to begin. This is the least expensive site at this time but requires extensive permitting and onsite/offsite improvements. In reviewing the three locations, it becomes apparent that the final decision is subject to a time versus cost analysis, and the question of whether the Board is willing to fund such an endeavor. The development of this type of complex will range in price from $60,000,000 to $100,000,000 depending on the final price of land, amenities selected, and actual construction costs at the time the project is bid. The Magnolia pond site has too many open variables to be viable at this time. Should City Gate be willing to lower their price per acre to be more competitive to CC305, then staff would recommend this location as the preferred alternative. If the price per acre of City Gate does not rationalize the value of time over CC305, then staff would recommend fast tracking the entitlement and permitting process for CC305. Additional engineering analysis will be required to value the potential non-monetary construction and drainage synergies available between the County and City Gate. This analysis takes us to our first round of decision making prior to selecting a final site. Is Collier County committed to financing and developing a competitive sports facility and what would be the revenue source(s) pledged to complete and operate the facility? It should be noted that Collier County remains one of the only coastal communities with a 4% Tourist Development Tax (TDT). Most of our peers and neighboring communities are utilizing a 5% or 6% TDT rate. Understanding that this type of facility would also provide local residents with a much needed venue, the financing plan would require some sort of blending between a TDT and ad valorem revenues. Considering all of the factors above and within the reports provided, staff would recommend a cautious but committed approach to a project such as this. It is clear from the HSP report, existing field utilization numbers, and end user demand/comments, we cannot stay competitive in nonprofessional sports development without additional facilities. Should the Board wish to move forward with the next phase of due diligence, it would be prudent to get a strong consensus that there is a commitment to funding a project of this size and scope. FISCAL IMPACT: The next phase of due diligence will only incur additional engineering fees in an amount not to exceed $50,000. The ultimate project will cost between $60,000,000 and $100,000,000 and likely will require the issuance of debt under a strict TDT pledge. Borrowing $60,000,000 over 20 years at current market interest rates will require annual debt service of approximately $4,200,000. A 1% increase in TDT will annually generate approximately $5,200,000. The initial amount borrowed can be offset by a one-time buy down from any ad valorem share of the project. GROWTH MANAGEMENT IMPACT: The development of sports facilities does not conflict with Growth Management Plan. LEGAL CONSIDERATIONS: This item has been approved as to form and legality and requires a majority vote for Board approval. -JAK RECOMMENDATION: That the Board of County Commissioners reviews the information provided, approves the concept of developing a regional tournament caliber sports facilit y, and directs the County Manager or his designees to: 11.C Packet Pg. 323 02/28/2017 1. develop a financing plan with options that would support the facility and report back to the Board within 120 days; 2. negotiate with the owners of City Gate a final and best price for the land an d non-monetary exchanges and bring back the outcome with the financing plan; 3. deliver a final comparison of price and time comparing City Gate and CC305; and 4. authorize the expenditure of up to $50,000 for additional consultant services. As an alternative to the above recommendations, should a majority of the Board not support the concept, direct staff to terminate the search for a regional sports complex. Prepared by: Nick Casalanguida, Deputy County Manager ATTACHMENT(S) 1. [Linked] Magnolia Compiled study Final -r (PDF) 2. [Linked] 2016-01-31 CC SPORTS COMPLEX - 100 ACRES(CC) (PDF) 3. Magnola Pond market study (PDF) 4. Recorded DCA Amendment (PDF) 5. City Gate Market Analysis (PDF) 11.C Packet Pg. 324 02/28/2017 COLLIER COUNTY Board of County Commissioners Item Number: 11.C Doc ID: 2785 Item Summary: ***This item to be heard at 10:30 a.m.*** Recommendation to evaluate the site feasibility and financial requirements of developing a regional tournament caliber sports facility and to provide guidance on future actions. (Nick Casalanguida, Deputy County Manager) Meeting Date: 02/28/2017 Prepared by: Title: Manager - Technical Systems Operations – Administrative Services Department Name: Michael Cox 02/21/2017 5:20 PM Submitted by: Title: Deputy County Manager – County Manager's Office Name: Nick Casalanguida 02/21/2017 5:20 PM Approved By: Review: County Attorney's Office Jeffrey A. Klatzkow Additional Reviewer Completed 02/22/2017 8:15 AM Budget and Management Office Mark Isackson Additional Reviewer Completed 02/22/2017 9:14 AM County Manager's Office Nick Casalanguida County Manager Review Completed 02/22/2017 11:35 AM Board of County Commissioners MaryJo Brock Meeting Pending 02/28/2017 9:00 AM 11.C Packet Pg. 325 MARKET ANALYSIS MAGNOLIA POND PARK Parcel A: Magnolia Pond Holdings contains 9 parcels totaling 45.50ac, MPUD Zoning. The property owners has had discussions with GMD regarding the potential of light Industrial Use for greater bonus density. No price is available, open to discuss for potential Sale ttas is". Parcel B: Magnolia Pond Road Dev, LLC is 43.34ac with PUD Zoningwith an activity center overlay. The property owner is currently in negotiations for multifamily use. The price is $9 to $10 Million; the owner is willing to accommodate the County if feasible. Current Surrounding Land Uses: Schools, Multifamily units, & Proposed Commercial. Road Access: Magnolia Pond Dr. Larger acreage parcels with MPUD zoning and other land entitlements will cost in the range of $9,450,000 Dollars. 11.C.c Packet Pg. 326 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) Property o\uner OO29728OOO2 Site Adr. MULTIPLE PARCEL NUMBERS POND HOLDINGS tLC Property owner POND ROAD DEV CO tLC Parcel No. Name / Address (A) Site Adr. Name / Address (B) 11.C.c Packet Pg. 327 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) BACKGROUND The new home market in Lee and Collier County has softened along with the rest of the residential market," said Mike Timmerman, a Naples-based economic adviser to builders. "The supply has increased, and demand has slowed, which is putting pressure on pricing." While starts and closings remain positive for the present, permits - an indication of future growth - have started to taper off. In Collier County the year-to-date permits (reported through July) were down for both single-family and multifamily homes. Single-family home permits fell2.4 percent, to 1,667 from 1,708, while multifamily homes decreased 5.3 percent, to 54 from 57. In Lee County, year-to-date permits (reported through August) for single-family homes was up barely 1 percent, but multifamily permits tumbled 7 8.2 percent, to 25 4 from 1, 1 66. Timmerman said he considers the temperature of the current housing market cool and adds "the sales pace of new residential communities has slowed over the past 18 months, especially those communities which have similar product and pricing strategies. Multifornily Property Asking Frice lndex - Sole Trends Asldng Hic*s MultfamilyforSale Ntples, FL ($nJni$ @ Embed vs. 3 np. Jttn 16 prior Y-O-Y - Stltf gg2,3s6,t5 +2.99& +15.516 - Strir {! t.ooOtt. 11.C.c Packet Pg. 328 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) Market Analysis Overview Collter County lssued perurlts for t.,100 multi-family turits (bulldings r,vith 3 or more units) over the past 12 months endlng on March 3L, 2015. Ttls rvas a 9.8olo decrease from the prernlous 12 month periocl. 577 of the 1,1.00 multi-famtly unlts rvere for rental apartnrents (400) or assisted living (277) unlts. Excludlng rental and asslsted ltvlng units, the county sarv only a L.6o/o decrease in for-sale urultl-family permlt lssuance over the past 12 months. Mnltl-fanrtly perurtt tssuance ls expected to lncrease ln Colller County over the nert 18-24 months. 175 150 125 8885888 $ * i $ * n $ Sourct: Collhr Cqrnty Communlty Dcv.-+-lssued Units r88* t $ 88{}1g PPgSE=EE*3PPT $ t i $ * i $ H i $ H n $ tito *lr{ 2 g Collier Multifamily Unitt lssued Per Month t I tY1 \fl q i. il n/1 J\flil .i\A,.,. - fl n tilt IJ u tfY\JUr V -'\f-v vt,rJUt a 11.C.c Packet Pg. 329 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) Comparable Market Data J 11.C.c Packet Pg. 330 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) Comparable Listings: Vincentian Village $ 6,800,000 PUD -Naples - 30+ Acres $226,666 per acre Commercial Land. Commercial Zoned Acreage I 1480 Tamiami Trail E, Naples Cornmercial Land Vincentian Village PUD property consists of 30.68 acres of raw land entitled for up to 224 residential units q1 250,000 SF of commercial space (including but not limited to big box retail/grocery/department store, office, and hotel and assisted living). The property is located on the southeast corner of U.S. 4l East (aka Tamiami Trail East) and Southwest Blvd. A few additional highlights: . Located on a signalized intersection . ACOE & SFWMD Permits are active and in place . +/- 35,500 vehicles per day (2014) . +/- 830 linear front feet on Highway 4l East ' Only remaining undeveloped parcel, with l0 acres or more, along U.S. 4l East between Downtown Naples and Collier Blvd. (aka 95 l) , Suitable for big box retail East Naples is thriving with many new residential developments Zoning: 224 Townhome/Multi-family units or up to 250,000 SF of commercial. Zoning also allows 150-unit hotel and assisted living. Collier County Tax ID: 00439880008 11.C.c Packet Pg. 331 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) Comparable Listings: 650 Palm Springs Boulevard Naples, FL 34107 10.75 AC ' Land for Sale $2,150,000 $200,000 per Acre Sarecino I RMF Development Land Price $2,l50,000PropertySub-type Multifamily(land) Lot Size 10.75 AC Property Use TypeVacant/Owner-User Property TypeLand Features Electricity/Power Water Telephone Cable Multifamily (land) 65720320005 Price Lot Size Price/AC $2,150,000 Lot Type 10.75 AC APN / Parcel ID $200,000 rcT !::,ii-' 11.C.c Packet Pg. 332 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) Comparable Listings: Cope Lone ond County Born RD Noples, FL34112- 14.32 AC . Lond For Sole 4 Shore . * Wotch Property . O O"t Alerts . D Crecte Report . @ print Cope Reserve PUD Price 52,200,000 Property Sub-type Residential/Other (land) Lot Size 14.32 AC Property Use TypeVacant/Owner-User Electricity/Power Irrigation Water Telephone Cable s2,200,000 Get Finoncing Property TypeLand Features -i 11.C.c Packet Pg. 333 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) Valuation Market Analysis Overview: The asking price for the "listing comparables" acreage value is averaged to be $220,000 per acre. The asking price is typically higher than the actual sales price per acre. According to the market survey MPUD vacant Land has stabilized in some market areas, although the sales price is lower than the median price sold 6 months ago. Emerging Trends/Torecast Larger acreage lands being 45 acres with development entitlements are estimated to range $210,000 to $220,000 dollars per acre. Ex. 45 acres x $210,000 is $9,450,000 dollars. Roosevelt Leonard, R/W-AC Sr. Review Appraiser Real Property Management 3335 Tamiami Trail East Ste. 101 Naples. FL 34112 Ph:239 252-2621 11.C.c Packet Pg. 334 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) EXHIBIT C MPUD MASTER PLAII Revised l-12-10 ":I _5ii3 ri;! ;:iI 1::i SIEJ iolS i:r!::;i r,i;i i&, 'i tl.i l' I I l,'t II ti l! lil o: 6,tr. JitLo r{a.( 11: c.u:o:lrlE) G{ -l--' - -- *--- t-' !: I?9tltel E c..Jnn...Cl : >,] i riEtSSi Itr T,;ii;;IiI siatilq t .l3 i=t;l*' Eulil *J3AgEEE:lSttPE !- ,'-' '' ,.,,, - ,-,, 1..,, l, ll fl I t F o ol cii-,183 [ 3r Edl dl' o 6 loIu, 11.C.c Packet Pg. 335 Attachment: Magnola Pond market study (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 336 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 337 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 338 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 339 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 340 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 341 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 342 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 343 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) 11.C.d Packet Pg. 344 Attachment: Recorded DCA Amendment (2785 : Regional Tournament Sports Facility) MARKET ANALYSIS CITY GATE COMMERCE PARK D The City Gate Commerce Park Development of Regional Impact (DRI) is located on287 acres at the northeast corner of I-75 and County Road 951. ! The Proposed Area: Phase 3 being 153 acres. ! Zonins: PUD, with Business Park, Light Industrial, & Recreational uses. ! Current Surrounding Land Uses: Industrial Park, Public Utility Plant, & Mixed Use Commercial ! Road Access: City Gate Blvd N & City Gate Blvd S I Large acreage vacant land sites with entitlements, greater than 40 acres will cost $220,000 to $260,000 per acre. 11.C.e Packet Pg. 345 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) The City Gate Commerce Park Parcel # 00298160008 3721 WHITE LAKE BLVD CGII LLC 121 S MAIN ST STE 5OO AKRON, OH 44308 Lepal 35 49 26 Ntlz LESS WATER TREATMENT PIANT, IESS R/W & LESS OR 3336 PG 2498, IESS OR 4520 PGS 2222-23 BACKGROUND The City Gate Commerce Park Development of Regional lmpact (DRl) is located on 287 acres at the northeast corner of l-75 and County Road 951 in Collier County (see Attachment l, Location Map). The Board of Collier County Commissioners approved the project on December 13, 1988 in Development Order (D.O.) (88-93). This order was amended to settle an appeal taken by the Department of Community Affairs on August 28, 1990 in D.O. (90-4). The project is approved for a total of 90,000 square feet of commercial, 836,000 square feet of office, 1,920,000 square feet of industrial, 250 hotel/motel rooms, and 80,000 square feet of public, utilitarian, recreational and educational space. Industrial Market Activity: Current Naples market trends data indicates a decreas e of -2.6"h in the median asking price per sq ft for Industrial properties compared to the prior 3 months, with an increase of +13.07o compared to last year's prices. County-wide, asking prices for Industrial properties are -0.67o lower at $134 per sq ft compared to the current median price of $142 per sq ft for Industrial properties in Naples, FL. lndustrial Property Asking Price lndex - Sale Trends Asking Prices lndustrialfor Sale Naples, FL ($/SF) 31 60 $r20 $r00 $80 I)evelopment of Regional Impact (DRI) 2015 - Strtr - tilrtro - County 2013 - CiE *r.ooOrt. 360 11.C.e Packet Pg. 346 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) Market Analysis Overview swFL ECOr{OUIIC OVERVTEW Unemptoyme*t in the t#county region, rnirrsred both ttatewide and .natisnal tre*ds ovsr the preceding 1?+nonth prriod. Statrstics lor all three counties shorrv a year{ver-y€ar decline'lrom 2015, yet a rhght tncreaie rn unemployrnent {rsm May of 2D'16 to June of 281 6. The State ol Florrda remarned flat Irom May to June 2O16. yet nationalty, a simrl*r increase r rss reported Taxable sales ar€ ttp year-s\Ier-year in all ,3 Southvrest Florida Cor;nties--increa:rng 516 in Lee County, 316 in Collier County, and a signi{rcant inrrea*e *l 17% in Char{otte Cor.rnty for a total ,rsf $926..4 mrllion {rc65sn611}tsadjustedJ, Housing demand in the tricounty regioo was mixed---reporting anoiher penod ol dsnsecutive decline E percent year"overle) in anhe nurnber of exist,ng single.famity horne salel; yet the median .home price continues to rise, Cverall velocity ol p.ermits pulled year-overaear decrease.J by 3,Ot6 due to declines rn ColherCounty; iocte*ses were reportsd lor Lee and Char{otte Counti*c Latest paisenger dat* {or the 3 Ssuthwest Florida airport: .:how: a 3,016 increase over ttre rrne period DEitANP Clear Front $unner* Year to date, tl're subrnarkets of Br:qita/Estero and llorth Naple: are the clear {ront runnErs rn r€spect to the median pn(e per tquare of said parcels, yet, thete suhmarlcets po;ted the lowest nurnber ol ovetall rales {likely a {uqctron of availab]e la*d}, Overall, acrsss all 3 countres, only two *ubmsrkeE{Fqrt Myers No*h and Che rlatte Col.rnty} posted a median ealqs price per EquBre loot underthe l[3,00 threshold. A closer lsok at the segmentl of land sa}*r indicates signi{rcani Erowth tor resident,allyzaned land in Lee Cr:,unty---up lram a median price per lquare{+ot <rl $2.7t atthe Mid-Yearpoinl to$6"50 p#currently, From a dernand rtandpoint. 7 of the '!0 top lond rale: {by price} through Mid-Year urere lccated in C+llier Counry. Dlstribution c{ lan,J types was heavily we*ghted by csrnrneroal improved outparcels yrhlch fetched trelry price: p€r iquare {oot, lnvestor sale* were rnore limrted tiran in previous penods; instead, Fevelopers accolued {or a large nurnber *f land sales throq;gh MiCYear, The propo*ed use wai a trealrhy balance of residenti+l, senicrhousrng, mrxed planned developrnent. a*d traditianalcommerrlalsuFarcel, EII/IERGITiIG TREHDS I FORECAST Expectto lee rrsrng{Ferhaps raprdiy) Fncei for availalrle land rn Boaita. Estero. and North Naples despite tts development cond'tian and pockets ol lnsrsT5ing pric,ng {or rrr,p'roved and approved land pircels in iey rubmarketr tuch a s For-t M yer: Srx.rth ;nd Crpe Coral, tllnile quic* ttatittirs *row an a decLne tn mediao aler price {or fansacled industrial srlet in Lee and C+llier Coanty, thir ttafisnics is heav*ly inlluenced by the make-up of the land lales included, l*vantory of ifldu'.$trial eoned land in Colher Counry is heavily dimin,shed aed will trontrnue ts s€e elevated prrces for ideallylocated land, or parcels in close proxrrnrty to the tntrrstate and {eatunng over 1,5 acres, These parcels are in hrgh demand for user: desiiing to build a rn,dsized ltrurtufe and benefit lrom outdoor yard space and intercon nectinity to service a regional ql irntele, I z 3 € Lo Uoltn "(l9. \oo .;il BI q €o> rno o c! }IAftXITT$VE*ASE Orlr ,n thd srah-strcs s*ctr*l al this .€FE$t in hosed** land me*rrng ttre {olfouring .rsnift i3r rBquirs*€rite: ,' Coirlfn€fcrsllndlsrlaland Fegideoaal.roned faad 'Alllandsnes . lVoFgroterament ' Sele and Far Sale srsriilkr Lee County 51.47 53.6? C'sll,eraounT $10.09$11.96 CharlorieCuunty $f .54 tI.38 So{rhy.e.t FL f4.3t i4"27 + Leecounty 12.07 $4.87 .] Coll'*r(csr'ry 57.0S !?.6$ CherlbtteCounty f26,83 t5.tt Southrvest FL 53-63 l5-OU LeeCorrrty 3d.58 $?.71 Collr*r{ornl1 S}.28 55.61 (harisneqourliy tI.58 Ss.4l Sor$hyr€.t Ft. t2.71 10.90 t + tt +t + + *t r#E f,drfiarri!t R.rl grtrt. C6nrdl!d6tr, I lfFleridr LI{rfirod tsal Ert;rr Erohrr $E[n.{H s(}rD a0t6 e015 HVP$f sY 60uilTl MY MEb{AN SOLD af16 *lY 101! elYP5F BY COUhITI ilnEDiAN 301"D eor6 *tY ,015 MYP5F BY (OUNTI 11.C.e Packet Pg. 347 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) Comparable MarketData 11.C.e Packet Pg. 348 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) Comparable Listings: Vincentian Village PUD - Naples - 30+ Acres $ 6,800,000 $226,666 per acre Commercial Land, Commercial Zoned Acreage I1480 Tamiami Trail E, Naples Commercial Land Vincentian Village PUD property consists of 30.68 acres of raw land entitled for up to 224 residential units or 250,000 SF of commercial space (including but not limited to big box retail/grocery/department store, office, and hotel and assisted living). The property is located on the southeast corner of U.S. 4l East (aka Tamiami Trail East) and Southwest Blvd. A few additional highlights: . Located on a signalized intersection . ACOE & SFWMD Permits are active and in place . +l- 35,500 vehicles per day (2014) . +/- 830 linear front feet on Highway 4l East ' Only remaining undeveloped parcel, with l0 acres or more, along U.S. 41 East between Downtown Naples and Collier Blvd. (aka 95 1 ) . Suitable for big box retail East Naples is thriving with many new residential developments Zoning: 224 Tovnhome/Multi-family units or up to 250,000 SF of commercial. Zoning also allows 150-unit hotel and assisted living. Collier County Tax ID: 00439880008 11.C.e Packet Pg. 349 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) Comparable Listings: 650 Palm Springs Boulevard Naples, FL 34107 10.75 AC ' Land for Sale $2,150,000 $200,000 per Acre Sarecino I RMF Development Land Price $2,l50,000PropertySub-type Multifamily(land) Lot Size 10.75 AC Property Use TypeVacant/Owner-User Property TypeLand Features Electricity/Power Water Telephone Cable Multifamily (land) 65720320005 Price Lot Size Price/AC $2,150,000Lot Type 10.75 AC APN / Parcel ID $200,000 . *".-ffid s r st{tRfYooo PASX = ll35 units 11.C.e Packet Pg. 350 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) Comparable Listings: Bush Blvd. & Tollhouse Dr. Noples, F|34114 1Cl 66 AC . Lono For"Sole 4 snore * Wotch Property 0 ce: Alrr:s . D creste Repcrt € Print s5,500,000 Get Finoncing Price Lot Size Toll Gate Commercial / Industrial Use $3,500,000Property Sub-type Commercial/Other (land) 10.66 AC Property Use TypeVacant/Owner-User Property TypeLand Features Electricity/Power Irrigation Water Telephone Cable Asking price: $328,330 per acre # ll 11.C.e Packet Pg. 351 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) Valuation Market Analvsis Overview: The asking price for the "listing comparables" square feet is averaged to be $5.77sf / $251,341ac. The asking price is typically higher than the actual sales price per square feet. According to the market survey, Industrial Land has stabilized in some market areas, although the sales price is lower than the median sold 6 months ago. Emerging Trends/Torecast Ordinances 09-68 & 09-69 are providing the City Gate Commerce Park the establishment of a "community development district" and the streets within the PUD will be open to the public. The market survey indicates for the subject property's competitive market range will be $5.05sf / $220,000 to $6.00sf / $261,360 per acre. Roosevelt Leonard, R/W-AC Sr. Review Appraiser Real Property Management 3335 Tamiami Trail East Ste. l0l Naples. FL 341 l2 Ph 239 252-2621 11.C.e Packet Pg. 352 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) Buildino Site Usaoa Servlce Statlon HotcuMotet ll, R.stiurbnt/l6ung. l2l Rctall. personal servlc.. medical service l3l Public. utilitarlan. recr€atlonal. educatlonal offic.s (q) Lighi manufacturing; processlng; storage and distributlon Research. testinq, development Service and repair br.rslnesses Showrooms aod sales centersin association wlth P€rmltted uses Publishlng. reproduction. commdnlcations lot"l TABLE 12. B.3. t of Gross Buildlns Slte Buttdlno Development by Ph.so Slt. - parklno Emolov€es! ll lll lV y Acrcaqe soaces-(s| 'lsi tof Grosg Buildlng Slte Area 3 4 3 ll 5 20 35 6 10 I t I - - 6.21 Ittt-8.36 I - 1 | - 6.2.' tlll-6.36 Amount of Bldg. Developmelt 3 statlons 250 roomj 3{,000 sq.ft. 56.0b0 sq.ft. 80,000 sq.ft. 836.000 sq.fl.. 1.250 1,520,000 sq.ft. 313 100,000 sq.ft. 572 160,000 sq.ft. 60,000 sq.tt 80,000 sq. ft. l0-q5 75 500 500 33tl' 516 3l 200 125 .o -{ 6) {m! 0 3 lh-{tn*t Fz !vo!ottnoln =m Cti og -Il2t 261 -356641.82,052!.q33 5 l0 l0 5 5 222 -2224 73.15 1,000 l2.5rl 300 20.9 500 26t . 251 tt.865 5 t00 122 10.q5 516 :_:l?2 l0.rl5 250 I 19 26 24 22 . 209 5.553 11.C.e Packet Pg. 353 Attachment: City Gate Market Analysis (2785 : Regional Tournament Sports Facility) Hunden Strategic Partners February 27, 2017 2 o Demand for both indoor and outdoor sports is not being accommodated by existing facilities locally. o Multiple large events are outgrowing Collier County facilities and have or are considering relocating. o Hospitality package impacted by limited number of available affordable rooms and seasonality. o Outdoor facilities are highest priority, closely followed by indoor facilities. o North Collier Regional Park expansion ideal scenario. Other sites offer more flexibility with development. Overview of Previous Study by HSP 3 HSP Recommended Sports Complex o Outdoor athletic facilities are first priority over indoor facilities o Recommended Phase I Outdoor Sports Complex o Eight multipurpose fields o One championship field o Lighted and turf fields o Eight diamonds o One championship field o Lighted and turf infields o Field overlay plans for outfields of diamonds o Recommended sports complex should be developed on a site that provides adequate amount of acreage for future growth of the sports facilities and development of support amenities, such as hotels and dining options. 4 Key Questions o What are the potential sites? What is the viability of each proposed site? What are the challenges presented at each site? o What are the site plans proposed for the recommended sports complex? What is the assessment of the proposed site plans? o What are the proposed parking plans? Are the proposed parking plans adequate for a tournament-quality complex? o What is a high level assessment of the feasibility of an indoor sports facility? o What are minimum size requirements? o What are costs for a quality facility? o What is HSP’s high-level view of supply and demand situation? o What is optimal management structure for proposed sports complex? 5 Collier County Site Summary •Collier County 305 & City Gate sites provide opportunity for the county to acquire additional acres beyond the current parcel size. •City Gate site ownership will allow County the opportunity to purchase additional land when future phases of sports complex are needed. •Magnolia Pond expansion not a likely possibility. Collier County Site Options Site Ownership Approximate Size (Acres)Suitability Collier County 305 Collier County 306 Land use and infrastructure challenges, County-owned City Gate Private 153 Large enough, privately-owned Magnolia Pond Drive Private 46 Site too small Source: Collier County 6 Collier County Site Summary •Collier County 305 & City Gate sites provide opportunity for the county to acquire additional acres beyond the current parcel size. •City Gate site ownership will allow County the opportunity to purchase additional land when future phases of sports complex are needed. •Magnolia Pond expansion not a likely possibility. Collier County Site Summary Hotels Site Closest Node # of Hotels # of Rooms Collier County 305 Collier County New Excellent 305.6 Yes TBD Mid- to Long-term < 1.5 miles 7 832 Yes City Gate Private New Excellent 153.0 Yes TBD Short-term < 1.5 miles 7 832 Yes Magnolia Pond Drive Private New Excellent 45.9 No TBD Long-term < 1.5 miles 7 832 Yes Source: Collier County Property Appraiser Office, Hunden Strategic Partners F&B NearbyEst. Time to DevelopmentOwnershipDevelopmentMitigation Costs Potential for ExpansionSizeAccess & Visibility 7 Magnolia Pond Site Plan Exhibit F-4 •Parking: 1,067 spaces 8 Magnolia Pond Site Plan Exhibit F-5 •Parking: 1,035 spaces 9 Magnolia Pond Exhibit F-4 Site Plan Assessment o Magnolia Pond site plan provides advantages and challenges for a tournament- quality sports complex. o The plan’s ability to develop majority of multipurpose fields and diamonds together provides a flow to manage high-traffic tournaments. However, development of championship multipurpose field and diamond, which are planned to be developed across an active street, could present safety and traffic challenges. o Generally, tournament organizers’ ideal facility will include one access point for entry into complex, which allows for ease of taking gate fees. In Exhibit F-4, event organizer would need to staff entry points at multiple locations. Plan is adequate for tournament-quality sports complex; however, the site plan and site do not allow for future expansion or additional development of support amenities.. 10 Magnolia Pond Exhibit F-4 Parking Plan Assessment o Site plan includes 1,067 parking spaces, or approximately 67 per field. Generally, at tournament-quality sports complexes, allocation for parking ranges from 75 to 100 spaces per field/diamond. o Design and layout of parking spaces presents challenges in distance to fields and diamonds. Preferred design and layout would provide individual parking areas for groups of four fields/diamonds. o Parking plan would present challenges during high-traffic tournaments and should not be considered for recommended sports complex. 11 Magnolia Pond Exhibit F-5 Site Plan Assessment o Site plan includes eight diamonds and six multipurpose fields, including a championship diamond and field. The recommended sports complex calls for a development of eight multipurpose fields, which generally is the cutoff for tournament organizers. o Site plan shows a disconnect between multipurpose fields and diamonds, with no clear access point between the two sets of facilities. In addition, the connection between diamonds and championship diamond is non-existent without crossing an active road. o As with Exhibit F-4, Exhibit F-5 does not allow room for future expansion or development of support amenities. Plan is not ideal for tournament-quality sports complex. 12 Magnolia Pond Exhibit F-5 Parking Plan Assessment o Parking plan features 1,035 spaces, or approximately 74 per field. o As with Exhibit F-4, parking design and layout presents challenges regarding proximity from parking lots to farthest field/diamond. o Disconnect amongst championship fields, multipurpose fields and diamonds provides challenges for any overflow parking. o Although parking allocation per field is in line with accepted levels, parking design in Exhibit F-5 is not ideal for the recommended sports complex. 13 Magnolia Pond Site Conclusions o Con’s: o Largest hurdle to development is existence of multiple owners and parcels. Access to site would require additional parcel. In order for County to purchase the site, it must negotiate with four site owners. Strategic, price, timing and complexity constraints. o Site size and potential for additional developments are limited. o Challenges exist related to conservation and drainage for a sports complex. o Pro’s: o Access would be ideal for recommended sports complex if parcels were acquired and combined. o Proximity to hotel and dining options make this site attractive for large tournaments. o HSP suggests that the Magnolia Pond site not be considered. 14 City Gate Commerce Center Sports Complex Conceptual Plan 15 City Gate -Site Plan Assessment o Site plan includes recommended sports complex and is sited on a contiguous plot of land, which is ideal for event organizers. o Only two access points into complex are planned. o Ease of wayfinding by both vehicle and pedestrians throughout complex. o Site plan is designed to allow for multiple events to be programmed at same time. However, disconnect between the two four-wheels of diamonds could present challenges by event organizers. o City Gate site plan features a sports complex that includes all features currently required for tournament-quality sports complexes. 16 City Gate Parking Plan Assessment o City Gate parking plan features more than 1,800 parking spaces, which is approximately 106 parking spaces per field. At this ratio, parking plan matches requirements of event organizers. o Design and layout of parking allows for ease of access to all fields and surrounds entire sports complex. o Allotment of parking spaces per field and design and layout of parking spaces throughout complex make parking plan ideal for recommended sports complex. City Gate Parking Summary Parking Ratio Units Required Parking Provided Parking 15 Fields / 1 Fieldhouse 50 spaces / Field 16 Fields 800 801 3,000 seat Championship Venue 1 Space / 3 Seats 3,000 Seats 1,000 1,000 Bus Parking ------8 Total ---1,800 1,809 Source: Davidson Engineering, Hunden Strategic Partners 17 City Gate Site Conclusions o Provides Collier County with flexible and contiguous space for development of sports complex and amenities plus ability to expand. o Site’s location, access and proximity to support amenities are ideal for tournament- quality complex. o Major challenge is expected cost to acquire site from its private owner. However, ownership group has provided option to allow County to acquire additional land throughout phased development. o HSP suggests that City Gate site be considered for development of recommended sports complex. 18 Collier County 305 Site Sports Complex Conceptual Plan 19 Collier County 305 Site Plan Assessment o Collier County 305 site plan features recommended sports complex plan. o As with City Gate site plan, Collier County 305 site plan has two access points and an ease of access throughout complex for vehicles and pedestrians. o Design and layout of sports facilities is ideal for a tournament-quality facility. By keeping like sports facilities adjacent to each other, plan keeps tournament traffic contained and centralized around relevant sports facilities. o Collier County 305 site plan is ideal and incorporates design requirements and expectations of nationally-relevant sport complex developments. 20 o The Collier County 305 parking plan features an allocation of nearly 110 parking spaces per field, and a total of nearly 1,900 spaces, more than necessary. o Design and layout of parking features adequate amount of parking spaces and vehicle access path surrounding entire complex. o Although a few fields and diamonds do not have immediate parking access adjacent, walkways allow for ease of access to fields. o At nearly 110 parking spaces per field and vehicle access surrounding the complex, this parking plan is most desirable for a tournament-quality complex. Collier County 305 - Parking Plan Assessment Collier County 305 Parking Summary Parking Ratio Units Required Parking Provided Parking 15 Fields / 1 Fieldhouse 50 spaces / Field 16 Fields 800 859 3,000 seat Championship Venue 1 Space / 3 Seats 3,000 Seats 1,000 1,000 Bus Parking ------8 Total ---1,800 1,867 Source: Davidson Engineering, Hunden Strategic Partners 21 Collier County 305 Site Conclusions o Site is owned by Collier County and is the largest of three potential sites (more than 300 acres). At this size, site provides more than adequate acreage for recommended sports complex, future expansion and the development of support amenities. o Access and proximity to County amenities, such has hotels and dining options, makes site very attractive to tournament organizers. o Site presents challenges in investment needed to improve site infrastructure and mitigation. o Overall, the site presents opportunities for the County to develop the recommended sports complex as well as additional developments. HSP suggests Collier County consider this site for the sports complex. 22 Indoor Facilities 23 •Average age: less than 4 years old •13,000 SF per basketball court •6,500 SF per volleyball court Case Studies Indoor Youth Sports Facilities - Case Studies Facility Name Location Opened SF Basketball Volleyball Fieldhouse USA Frisco, TX 2009 144,000 12 24 UW Health Sports Factory Rockford, IL 2016 108,000 7 14 Lakepoint Sporting Community Emerson, GA 2014 170,000 12 24 Westfield Grand Park Westfield, IN 2014 88,000 8 16 Average 2013 127,500 10 20 Source: HSP 24 Fieldhouse USA–Frisco, TX Fieldhouse USA development has three locations: •Frisco, Texas •Grapevine, Texas •Mansfield, Texas 25 o Fieldhouse USA in Frisco features: o 144,000SF facility and includes 600 parking spaces o 13,000 hotel bookings and 62,000 room nights since 2009 o 1.5 million visitors annually o More than 31 tournaments and 25,000 participants per year Fieldhouse USA Frisco Overview Fieldhouse USA Key Data Points Location Frisco, Texas Ownership City of Frisco Operator Sports Village Holdings, LLC Year Opened 2009 Facilities 12 full-sized hardwood basketball / volleyball courts Regulation indoor soccer turf 5 pitching / batting cages Cost $17.5 million Funding Private / Public Source: Fieldhouse USA, CASE Commercial Real Estate Partners, City of Frisco, HSP 26 •Owned by City Rockford •Opened in May of 2016 •Cost: $24.4 million •Operated by the Rockford Parks District •Includes 7 basketball court and 14 volleyball courts UW Health Sports Factory Lake Point Sports Community –Outdoor Lake Point Sports Community –Indoor Overview: •12 Basketball Courts •24 Volleyball Courts Tournaments / Events include: •Under Armor Boy’s Basketball Tournament •Preseason Harlem Globetrotters •Lake Point Tip-Off Classic 27 Overview: •8 Baseball Diamonds •3 Multi-Purpose Fields Tournaments / Events include: •Perfect Game –Baseball •Johnson Ferry Christian Soccer •WWBA Memorial Day Tournament Location: Emerson, Georgia (73 miles from Newnan) 1,400 acre campus –full build-out by 2018 –4,500 hotel rooms 28 o Tournament first facility –state funded infrastructure –privately owned land o $37 million indoor facility –own fiber network for broadcasting –netting comes down from ceiling –170,000 SF, column free space o Need for 7,000 hotel rooms at peak –June & July o Corporate sponsors –Coca-Cola, Kia, Local Health Facility o Hydro Chill –cools multi-purpose fields –FieldTurf o Philips Lighting –world class LED field lighting –outdoor facilities o Activate dead space –retail stores –shipping containers –collect rent and share of revenue o Perfect Game programs baseball complex o Prefer to host events internally –few external event organizers Lake Point Sports Community -Feedback 29 Grand Park -Westfield, IN •Opened in 2014 30 Westfield Grand Park Location: Westfield, IN Opened: 2014 Size: 400 acres Facility Overview: -31 soccer fields -26 Baseball Diamonds -Indy Eleven Training HQ -Jonathan Byrd’s Fieldhouse -Eight court facility -Events Center ( July 2016) -370,00 square feet -Three full-size soccer fields Sports hosted: Soccer, Lacrosse, Football, Baseball, Rugby, Basketball, Volleyball 31 Grand Park Event Data •61,970 hotel rooms in Hamilton County generated from Grand Park events in 2015 •No local use, only tournament use Grand Park Event Visitor Data - 2014 - 2016 Soccer and Field Sports Baseball and Softball Grand Opening Yearly Total Overnight Visits 2014 161,982 100,360 --262,342 2015 247,952 402,735 --650,687 2016*272,747 426,235 698,982 Day Trip Visits** 2014 139,037 108,610 --247,647 2015 163,823 183,480 --347,303 2016*180,205 191,323 --371,528 Local Visits 2014 209,863 177,444 9,500 396,807 2015 225,619 158,026 --383,645 2016*248,181 190,067 --438,248 Total Visits 2014 510,882 386,414 9,500 906,796 2015 642,041 744,241 --1,386,282 2016*706,245 807,625 --1,513,870 2015 % Non-Local 64%79%---- *Estimate **Visitors from outside of Hamilton County Source: City of Westfield, Hunden Strategic Partners Westfield Grand Park Overview 32 o Primary Tenants: o Soccer: Indiana Soccer Association & IN Fire Juniors o Baseball: Indiana Bulls o Houses the Indy Eleven training headquarters o Brings in more than 1.5 million visitors annually o Long-term goal is to make Grand Park a development hub fostering retail, hotel and entertainment growth all geared towards enhancing family sports atmosphere o Event center and hotels are under construction o Urick Concessions –official concessionaire o Westfield is reviewing the rental value of its fields and diamonds to determine rental strategy going forward Westfield Grand Park Event Overview 33 o Host 70-80 events per year between all sports o Attendance has grown from 900,000 in the first year o 1.5 million in 2015 Projected over two million visitors in 2016 o Soccer and baseball are primary uses o Local use primarily fills indoor facility on weekdays Westfield Grand Park Development Analysis 34 o New highway and 24-hour care center were developed simultaneously with the complex o Hospitality development is critical o Three new hotels in the area o Outperforming other regions o Noticeable effects from youth sports such as extended waits in restaurants o Grand Park Village is in the development and design stage. Will be an adjacent 220- acre development designed for lakeside dining, retail and entertainment all along a pedestrian-friendly boardwalk. o Jonathon Byrd’s has pulled its sponsorship/partnership with the fieldhouse at Grand Park. Westfield Grand Park Hotel Feedback 35 o The closest hotel attributes 90 percent of weekend guests to Grand Park o Third party housing agency works to connect Grand Park with hotels o Three new hotels under construction will support Grand Park o Current room night demand is served by properties in Carmel, approximately five miles south. Westfield Grand Park Parking Overview 36 o Nine parking lots with roughly 4,500 paved spaces o Utilize nearby unpaved space for overflow o Could use more paved parking for some events 37 Development Cost Ranges for Indoor Sports Facilities* Basketball Courts Minimum Building Size for Courts Likely Building Size Cost Range Low Cost Range High Parking Suggested Site Size Suggested (Acres) 4 28,800 40,000 $10,000,000 $12,000,000 200 3 6 43,200 60,000 $15,000,000 $18,000,000 300 5 8 57,600 81,000 $20,250,000 $24,300,000 400 7 10 72,000 101,000 $25,250,000 $30,300,000 500 8 12 86,400 121,000 $30,250,000 $36,300,000 600 10 * Costs do not include site or parking Source: Hunden Strategic Partners Indoor Facility Assessment 38 Governance Structure 39 If you build it, will they come? o Not necessarily…. 40 Governance o Unlike most government operations, such as passive parks or general services, sports complexes (and any event facilities) operate within a competitive marketplace. o A successful complex requires o Nimble, experienced and aggressive management, o Funding for operations and to incentivize key bids/event, o Knowledge of various sports and how they operate, o Relationships with event promoters, leagues and sports organizations, o Ability to create repeating events o Ability to generate sponsorship and other revenue streams o Housing coordination o Others 41 Primary Models o Public Management (Parks and Rec, Government) o Private Management o Authority or Similar Management Model 42 Governance o Public Management o Often within government bureaucracy and constraints o Revenue and expense sides of ledger may not be related o Can limit ability to make quick or creative decisions o Incentives not in place to act like a business enterprise (customer service, desire for room night impact) o May resist maximizing schedule to minimize repairs, maintenance and overall work involved in being creative to generate impact o If within government, expectation should include stipulations similar to private management company (marketing, revenue generations, expense control, customer service) o Can be influenced by political and public sector personalities o If this option chosen, suggest it is created as an enterprise unit of government with own revenue, expense goals as well as impact and customer service expectations 43 Governance o Private Management o Competition drives improvements –companies competing for contract o Experienced management with diverse backgrounds and networks o Relationships with national and regional event promoters o Some lack of control by municipal owner, but depends how contract is written o Focused on generating high utilization, revenue and minimizing expenses o Focused on hotel impact, as that often generates revenue for facility and tournaments o Many groups claim to be experts. Check references and all claims about past performance and reputation. o Be smart about fees, incentives. 44 Governance o Authority Model o Can be best of both worlds o Independent board appointed by County and CVB (for example) o Keeps politics at arms length o Still an enterprise with guaranteed public funding support, but with business model to maximize utilization, impact o Authority will hire manager or management team or a third-party private management company o Ability to modify expectations and actions as market and reality demands o Local control + hired expert management team o May still have some government constraints, but not always a bad thing. Authority can weigh each on the merits. o HSP recommends this model. 45 QUESTIONS?