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Five Flags Civic Ctr StudyMEMORANDUM May 15, 2003 TO: FROM: SUBJECT: The Honorable Mayor and City Council Members Michael C. Van Milligen, City Manager WORK SESSION - May 19, 2003 Five Flags Center Study Leisure Services Manager Gil Spence has provided the attached information on the Analysis of Potential Future Uses for Five Flags Center, as prepared by Conventions, Sports & Leisure International. This document will be discussed at a City Council Work Session on May 19, 2003 at 5:30 p.m. at the Carnegie-Stout Public Library. Dinner will be served at 5:00 p.m. MCVM/jh Attachment cc: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Gil D. Spence, Leisure Services Manager CITY OF DUBUQUE, IOWA MEMORANDUM May 7, 2003 TO: FROM: SUBJECT: Michael C. Van Milligen, City Manager Gil D. Spence, Leisure Services Manage~ Five Flags Center Study City Council Work Session INTRODUCTION The purpose of this memorandum is to provide the City Council with advance information for the May 19th work session on the study that was done to analyze future uses for the Five Flags Center and the associated renovations that are budgeted. DISCUSSION Attached are three different pieces of information that will be used to discuss the study and the building improvements that the study recommends. Attachment A is a summary of the five recommendations of the study with some issues identified for those recommendations. Some of these recommendations would put Five Flags in competition with the Grand River Center and we will not do that. Civic Center Manager Paula Jo Wolfe and I have met with the Grand River Center staff to discuss event types that they wish to have. I am comfortable that we all have a good understanding of what events will transfer to the new center and how to resolve any issues that may arise. Attachment B shows the building improvements that are associated with each recommendation of the study. It should be noted that many of these improvements impact more than one recommendation but they are shown with a specific recommen- dation because the study listed them there. An example would be under #2, ice covering and dasher boards will impact all non-ice events held over ice, not just consumer/festival shows. continued Five Flags renovation study page two Attachment C is another listing of the improvement recommendations. You will recall, when the FY 2004 - FY 2008 capital improvement budget was submitted to you I had reduced the overall budget by $1 million. This was possible because several previously budgeted projects were included in the building renovation project. Number 1 on this attachment lists those projects that were eliminated and included in the renovation project. Number 2 is a listing of projects that would have been requested the last few years had they not been included in the renovation project. Number 3 lists projects that would enhance the building, making it more attractive and user friendly. With the Five Flags Center being twenty-four years old, some renovation is needed to the public areas to update the appearance. The entrances, promenades, and ticket office all need to be updated and the "look" changed to indicate we are entering a new era of operation. look forward to an expanded discussion with you and the City Council on this study. GDS:et attachments ATTACHMENT A, p. 1 of 3 FIVE FLAGS CENTER STUDY RECOMMENDATIONS CAPABILITY TO EXTEND THE ICE SEASON · ISSUES ~/ Adding dates for ice events may impact the ability to attract added flat floor events ~/ Operation budget impact, cost vs. revenue NOTE ~/ Listed improvements will greatly assist in the ice making process and improve the day-to-day condition of the ice sheet. This alone makes the improvements worthwhile. EXPAND AS A CONSUMER / FESTIVAL FACILITY BY: A. Center staff assisting in the marketing of consumer and festival events. B. Sharing the risk with the promoter. Reduce rent in cases where other revenue sources would offset costs. C. Co-promote events and share costs and revenue. · A number of these events are currently held and many would prefer to remain. Concerns expressed by users of Five Flags include: ~/ parking ice and ice floor insulation limited exhibit space offering ingress/egress difficulties need for restoration of the facility · ISSUES ~/ A discussion was held with the Grand River Center and they have an interest in these types of events. ~/ Traffic patterns around the Center make ingress/egress improvements difficult, but a meeting with the Engineering Division needs to be held to discuss if any improvements are possible. ~/ Staff time to assist in marketing of consumer and festival events. ~/ Staff time to co-promote, or promote, events and the risk involved with doing this. ATTACHMENT A, p. 2 of 3 The technical and maintenance staffs would need to be increased if the number of events is expanded. This type of event requires a lot of hands-on technical assistance Would need to increase the inventory of black curtains to further enhance the facility for these types of events. = EVENT FOCUS FOR USE AS A MUSIC/ENTERTAINMENT FACILITY SHOULD FOCUS ON: A. secondary market shows B. agent booked events C. musical productions D. theater productions E. specialty events (illusion art, comedy, et cetera) F. motor sports (ventilation is a problem) · To make the Center more attractive to these types of events, facility improvements are recommended: quality of bleacher seating sufficient flexibility in staging at various points Jn the Center bleacher seating that allows for flexible configurations for various capacity and staging arrangements ~/ improvements to the overall ambiance of the Center and the pre-function space USE OF FIVE FLAGS AS AN ARTS FACILITY WOULD BE DONE IN THE FOLLOWING WAYS: A. second level space (meeting rooms) used for classes, music lessons, office space, dance, et cetera B. Bijou Room could provide a more conducive environment for performance events. C. Installation of an information kiosk D. Art exhibits E. Partnering with local arts groups for program development. · ISSUES ATTACHMENT A, p. 3 of 3 Having a consistent schedule for programs because other events would impact the schedule. ~/ Moving equipment around to accommodate other events. ~/ Fountain Park helps to meet this need. OTHER EVENT POTENTIAL: A. Science fairs, educational competitions, et cetera. B. Reunion events sponsored by SMERF (social, military, educational, religious and fraternal) organizations. C. Ethnic dances and parties D. Development of weight training and other exercise space, marketed to downtown workers and residents. · ISSUES Having a consistent schedule for programs because other events would impact the schedule. ~/ Moving equipment around to accommodate other events, unless space is dedicated to exercise. ~/ Reunion event usage will be of interest to the Grand River Center. ATTACHMENT B FIVE FLAGS CENTER STUDY RECOMMENDATIONS AND ASSOCIA TED IMPROVEMENTS INCREASE IN DALLY USE COULD COME FROM THE DEVELOPMENT OF YEAR-ROUND ICE. · dehumidification · 70-ton chiller $ 190,000 315,000 $ 505,000 ADDRESS THE CONCERNS EXPRESSED BY CONSUMER / FESTIVAL SHOWS: PARKING, ICE / INSULATION, LIMITED EXHIBIT SPACE, INGRESS / EGRESS, AND LEVEL OF FINISH / NEED FOR RESTORATION. · ice covering $ 110,000 · dasher boards 275,000 · crowd control barrier 20,000 $ 405,000 ADDRESS NEEDS TO COMPETE AS A MUSIC / ENTERTAINMENT FACILITY. · improved seating $ 570,000 USE AS AN ARTS FACILITY · improvements to Bijou Room · add second level storage · Bijou Room entrance OTHER POTENTIAL EVENTS · portable floor covering and wall treatments $ 41,500 80,000 100,000 $ 221,500 $ 50,000 ITEMS THAT EFFECT ALL EVENTS · improve ambiance of Center · fall protection · information kiosk · second level meeting rooms · second level lobby TOTAL $ 506,000 312,500 42,500 20,000 50,000 $ 931,000 $ 2,682,500 FIVE FLAGS CENTER ASSOCIATED IMPROVEMENTS ATTACHMENT C ITEMS THAT HAD BEEN INCLUDED IN THE 5-YEAR CAPITAL IMPROVMEMENT BUDGET PRIOR TO FY 2004 - FY 2008: · BLEACHERS $ ITEMS INCLUDED IN IMPROVED AMBIANCE: promenade lighting upgrade/replacement replace carpet on duct soffit and balcony replace promenade carpet promenade window replacement 570,000 25,000 23,600 80,000 40,000 738,600 2. ITEMS THAT WOULD HAVE BEEN REQUESTED IF THEY HAD NOT BEEN A PART OF THE RENOVATION PLAN: · dehumidification $ 190,000 · 70-ton chiller 315,000 · ice covering 110,000 .. dasher boards 275,000 · fall protection 312,500 · Bijou Room improvements 41,500 · second level meeting rooms 20,000 $1,264,000 ITEMS THAT WOULD ENHANCE THE BUILDING · second level lobby $ 50,000 · remaining ambiance improvements 337,400 · second level storage 80,000 · information kiosk 42,500 · Bijou Room entrance 100,000 $ 609,900 ITEMS NOT RECOMMENDED: · crowd control barrier · portable floor covering and wall treatment $ 20,000 50,000 $ 70,000 TOTAL $ 2,682,500 October 30, 2002 Mr. Gil D. Spence Leisure Services Department City of Dubuque 2200 Bunker Hill Road Dubuque, Iowa 52001-3010 Dear Mr. Spence: We have completed the analysis of potential future uses for the Five Flags Center (Center). The attached report presents our research, analysis and findings and is intended to assist the City of Dubuque (City) in evaluating short and long-term Center capital expenditures. In addition, the firm of DdY Architects has prepared an overview of potential physical improvements to the Center, and general costs for such improvements. All findings and recommendations presented as a part of this study reflect the analysis of primary and secondary information, including information provided by the Center, City, Chamber of Commerce and Convention and Visitors Bureau. Information provided by third parties has not been audited or verified, unless otherwise noted, and is assumed to be correct. As any projected information provided as a part of this study is based on various trends and assumptions, there will be differences between the information presented and actual results, because events and circumstances frequently do not occur as expected and those differences . may be material. Findings and recommendations made by CSL are based on the scope of services agreed to under contract with the City. CSL cannot be held responsible for any future marketing efforts and/or other management actions on which the future performance of the facility will depend. We sincerely appreciate the assistance and cooperation we have been provided in the completion of this report and would be pleased to be of further assistance in the interpretation and application of our findings. Very truly yours, CSL InternaZional Table of Contents L Ii. Iii. IV. Introduction ........................................................................................................ I-tistorical Facility Operations and Local Market Analyses ....................... 2 Re§ional and Comparable Facility Analysis ............................................... 20 Potential Five FIRs Event Analysis ............................................................. 40 Appendix - DdY Architectural Assessment EXECUTIVE This summary highlights the key findings of the analysis of potential future uses for the Five Flags Center. The full report should be reviewed in its entirety to gain an understanding of the study methods, limitations and implications. Current Center and Market Characteristics · The Five Flags Center has hosted a variety of events, including ice events, public shows, sporting events, conventions, meetings, banquets, plays, symphony performances, tradeshows, concerts, weddings, private functions, sporting events, spectator and family shows and other such events · Over the past two fiscal years, the Center has generated an average of 224 total events per annum. Meetings have historically comprised the majority of total events, accounting for approximately 40 percent of all event days for each of the years reviewed. · Banquets, meetings and parties comprise the greatest number of events hosted at the Five Flags Center, averaging nearly 60 such events per annum. Other event types generating significant business for the Center include sporting events, concerts/stage shows, public skating and other events. · Based on a review of past Center use data, it is estimated that approximately 33 percent of overall utilization comprises conventions, tradeshows, public shows, banquets, meetings and parties. A portion of this business will likely transfer to the new America's River facility due to the availability of newer facilities. Events that are price sensitive, sponsored by the City or other such events will likely remain at the Five Flags Center. · Population in the Dubuque MSA ranks at the mid to Iow range of the comparable market range. This is an initial indication that events that rely on area population (concerts, entertainment and related events) will view Dubuque as a mid-tier market Review of Event Potential for a Re-Configured Five Flags Center The universe of potential events for the flexible Center is large. As such, in effort to better understand this vast market, a sampling of events hosted by regional and comparable facilities was prepared. Event lists for these facilities were reviewed in detail to assess whether or not the Five Flags Center could benefit from new or expanded event sources. Analysis of Potential Future Uses for the Five Flags Center Executive Summary Page ES-I Based on a review of this data, there are several event categories that the Five Flags Center has not historically participated in to a significant degree. These include: ~ Spectator/promoted ice shows; Festivals, flea markets and fairs; Music, comedy and entertainment events; Arts-related events and exhibits; Reunions; Academic exhibitions; and Major sporting exhibitions. As part of this analysis, the ability of the Dubuque market to attract events in these markets was evaluated based on: ~ Surveys of event promoters throughout the region; > Interviews of local individuals and organizations that impact the Five Flags Center; i A focus group session with primary users of the Center; ~ Local demographic information that impacts the ability of the market to attract events; and Other such data. Within the remainder of this section, data from the comparable facility analysis summarized above, in addition to information generated from event planner surveys, surveys of local organizations and a review of local demographic characteristics and other such data, was used to prepare a detailed overview of the market potential for the Five Flags Center in each of these event categories. Data regarding potential project costs and related architectural issues prepared by DdY Architects is incorporated into the overview. The DdY Architects report is included as an appendix to this report. Analysis of Potential Future Uses for the Five Flags Center Executive Summary Page ES-2 Five Flags as an Ice Facility What are the market characteristics of this event segment? The Dubuque market is unique in that the Five Flags Center provides the city's sole ice sheet. The potential event utilization of the Five Flags Center could be reduced by future development of one or more unrelated ice sheets in the community. Potential increase in daily use of the Center could come from the development of year-round ice 'at the Five Flags Center. Discussions with local ice event representatives and management of other state-wide facilities indicates potential demand in specific areas: · Clinics · Open Skating · Lessons · Freestyle Skating · High School Hockey · Competitions · Youth Hockey League · Skating Clubs · Adult Hockey Leagues · Camps · Amateur Hockey Leagues · Roller Hockey What are the building modifications that will be needed to accommodate this event segment? There are several improvements, that will be required to allow :he Five Flags Center to · increase its ice-related event programming. These include: · New ice rink system · Upgraded HVAC system installation · New dasher boards · Added chiller capacity The costs for the above improvements are estimated at between $1,160,000 and $ 1,500,000. For these costs, a new ice system could be installed with a larger ice sheet. For a cost of up to $780,000, the ice season could be expanded using the existing ice system. These costs do not include new ice insulation. This improvement is discussed later in this summary. Analysis of Potential Future Uses for the Five Flags Center Execut~e Summary Page ES-3 What other issues should be considered when evaluating added ice capacity at the Five Flags Center? · Center management should work with the local ice organizations to develop and promote the various ice activities noted above. · Adding dates for ice events may impact the ability to attract added fiat floor events (concerts, tradeshows, public shows, etc.). Scheduling for the Center should not result in a loss of popular music and entertainment events due to activities such as open skating, practices and other Iow attendee events. · The operation of the Center with a longer ice season could result in higher operating costs (utilities, maintenance, labor). For example, utility costs may run $300 per day, with added costs for labor at $8.50 to $10.00 per hour for several hours per day. Costs for change-over from and back to ice run $1,800 although this cost could drop with a new ice covering. · The added dates for ice events may allow for added operating revenue as occupancy at the Center has historically been very Iow during periods that have not historically operated with ice. Five Flags as a Consumer/Festival Facility What are the market characteristics of this event segment? Community-wide festivals represent an important component of overall use at comparable centers. These events draw large numbers of attendees to the area of the Center and can serve to create a day-long or weekend experience that is beneficial to the local populace. These events include: · Food festivals; · Ethnic events; · Octoberfest; · Product sales; · Flea markets; · Downtown merchant sales; · Swap meets; and · Other such events. Ana]ysis of Potential Future Uses for t~e Five Flags Center Executive Summary Page ES-4 The Five Flags Center can serve as a base facility for these types of festivals. The entire downtown can benefit from the additional pedestrian traffic generated and the community can benefit from the addition of viable entertainment opportunities. In terms of consumer shows, Five Flags Center has historically hosted a variety of events including, but not limited to: craft shows, career fairs, home shows, boat shows, wedding/bridal shows, dog shows, etc. Based on discussions with event promoters, several would prefer to remain at the Five Flags Center, rather than shifting to the new conference center for a variety of reasons including: · Affordable rental rates · Quality of service · Established booking practices Concerns regarding the Five Flags Center include: · Parking · Ice/insulation · Limited exhibit space offerings · Ingress/egress difficulties · The level of finish/need for restoration of the current facility These concerns will need to be addressed to accommodate both festival and consumer- oriented events. What are the building modifications that will be needed to accommodate this event segment? To successfully accommodate new festival events and existing consumer shows, there are several physical issues that should be addressed, including: · Parking attendant to direct attendees to ramps · Improved ice insulation · Improved load-in/load-out capabilities Costs for ice insulation is estimated at $75,000 to $100,000. Costs for crowd control barriers are estimated at $20,000. In terms of improving Ioad-in/Ioad-our~ physical improvements are not likely viable. Consideration should be given to temporarily Analysis of Potential Future Uses for the Five Flags Center Executive Summar~ Page ES-S closing two lanes of traffic adjacent to the Center during heavy move-in/move-out days. If this is not successful in improving the access to the Center, physical remedies could be considered; however, these would likely involve expanding the envelope of the Center and be very expensive. What other issues should be considered when evalua~ng consumer/festJval events at the Five Flogs Center? Beyond physical changes, there are other issues that need to be addressed to increase the ability of the Five Flags Center to participate in this market. These include: · Improved ice insulation could reduce change-over time and costs. · The current Five Flags rental structure is lower than most comparable venues, and with facility improvements, modest increases appear warranted. The new conference center will likely have a rent structure higher than that of the Five Flags Center, thus enhancing the desirability of Five Flags in this market. · Providing added marketing assistance. Consideration should be given to using Five Flags Center staff to assist in the marketing of consumer and festival events. · Sharing risk between the Center and promoter. To the extent a promoter is involved, the Center should consider offering negligible rent in cases where other revenue sources (food and beverage, electrical, etc.) would offset costs. · Similarly, consideration should also be given to a co-promote arrangement where the Center would work with a local TV or radio station to produce a festival event, sharing in the costs and benefits. Five Flags as a Music/Entertainment Facility What are the market characteristics of this event segment? Promoted spectator events represent a lucrative market, consisting of concerts, family shows, stand-up comedy, circuses, magic shows, professional wrestling, rodeos, motor cross racing and other entertainment acts. The Five Flags Center currently hosts a modest level of these events. Based on interviews with event promoters, Dubuque is considered a viable market for a number of concerts and family shows. However, there has been some concern raised as to the limited size of the market population (89,300 metropolitan statistical area) and the resulting inability to draw significant crowds/attendance levels necessary to turn a Analysis of Potential Future Uses for the Five Flags Center Executive Summary Page ES-6 profit or warrant a return. Competition from markets including Cedar Rapids, Waterloo, Des Moines, Ames, La Crosse, Madison, Quad Cities, Rockford, Peoria and Chicago will impact major touring events. Headliner concerts and entertainment acts, major family shows and other promoted events generally stop in Dubuque once every couple of years. Given the current area demographic profile, primary event focuses for the Five Flags Center in future years should include: · Secondary market shows · Agent booked events · Musical productions · Theater productions · Specialty events (illusion aR comedy, etc.) · Motor sports (ventilation issues may need to be addressed) It is expected that the addition of permanent ice would not detract from the venue's potential event base. What are the building modifications that will be needed to accommodate this event segment? · Improvements to the quality of the seating · Sufficient flexibility in staging at various points in the Center · Installation of seating that allows for flexible configurations for various capacity and staging arrangements · Improvements to the overall ambiance of the Center and the pre-function space, particularly for theater and related productions The potential costs for improvements to seating and public areas are estimated to range from $1,075,000 to $1,300,000. Analysis of Potential Future Uses for the Five Flags Center Executive Summary Page ES-7 What other issues should be considered when evaluating added/ce capacity at the Five Flags Center? Management of the Five Flags Center should consider partnering with area promoters and radio stations to co-promote concert and other music events, This may involve a sliding scale for rent with limited or no rent for Iow attended events and a premium rental payment for successful events with high attendance levels. Management of the Center should have authority to negotiate arrangements with promoters and other organizations for use of the Center within certain parameters. Five Flags as an Arts Facility What are the market characteristics of this event segment? Based on discussions with local arts group representatives, there is an opportunity to capitalize on the existing arts components at the Five Flags Center. Second level space, as well as the "black box" space could be used for: · aerobics art studios and workshops · dance · rehearsal space · music lessons · smaller music and theater productions · poetry readings · off.ice space Improvements to the Bijou room could also provide for a more conducive environment for performance events, Analysis of Potential Future Uses for the Five Flags Center Executive Summary Page ES-8 What are the building modifications that will be needed to accommodate this event segment? To accommodate such events, consideration should be given to maximizing the flexibility of the second floor meeting space. Primary investment should include: · Portable floor coverings - Wood floors for dance, cushioned mats for aerobics and a standard carpeted floor for other events. · Wall treatment to allow for specific event ~ypes - Mirrored walls to accommodate dance and similar performance events, with a simple curtain system to cover such wall treatment to accommodate other events. · Added concession space - Current space does not fully accommodate the needs of highly attended events. · Consolidate second floor space - Fill in openings between first and second floor. · Consider adding second level storage - This would involve decking a portion of the existing first floor storage space. · Improved wall treatment, lighting, flooring and related upgrades to the Bijou Room. Beyond the multiple use of the meeting space, considerations should be given to the installation of a visual arts component throughout the facility that could create a kind of "walking museum,'. This would require an element of security in the facility to allow for the display of original art work. What other issues should be considered when evaluating a higher arts industry profile at the Five Flags Center? · The installation of an information kiosk in the lobby could serve to highlight artists on display, and refer patrons to local museum facilities, restaurants and related establishments. Center management should consider partnering with local arts groups for development of arts and educational programming for the center, including musical, theater and related events. · A public art initiative should be considered to acquire temporary exhibits for the public spaces of the Center. The artwork could be based on a process of juried selection. Security of the pieces will need to be considered and can be accomplished by individual electronic security devices that are not a significant COSI~ · The ingress/egress in~ the Bijou room, ~s well as the overall connection between the Theater and the Five Flags Center, should be evaluated with a focus on potential reconfigura~on of the spaces. This would allow for better coordinated lobby areas and improved functionality of the Bijou room. AnaJysis of Potential Future Uses for the Five Flags Center Executive Summary Page ES-9 · The development of wei§ht trainin§ and other exercise equipment space in the Center, potentially marketed to downtown workers and residents. To accommodate these and many of the other events summarized herein, the Center should offer the current level of technology in terms of high speed data transfer. This will likely require the installation of T- I lines within the center, or some other form of high speed data access. As noted above, an informational kiosk could provide patrons with information as to the event calendar, other downtown events, museum exhibits, restaurants, shopping and related items. The high speed data access can support the kiosk in terms of allowing patrons to access information electronically, and potentially reserve tickets for future events, make dinner reservatJons, and access other information re~arding the downtown area and the overall community. Costs for these initiatives have not been 'included in this analysis, and should be studied further as planning for the project continues. Summary Based on the analysis summarized above, there is a potential for the re-configuration of the Five Flags Center to significantly enhance future Center event levels, and to broaden the focus of the facility to include festivals, public markets, entertainment and added ice events. The physical and operational changes summarized above will be required to attract and maintain added Center event activity. Total costs for physical improvements range from $2.5 million to $3.1 million. These costs are exclusive of architectural, engineering, contingencies and related fees. Analysis of Potential Future Uses for the Five Flags Center Executive Summary Page ES- I 0 I. INTRODUCTION The Five Flags Center is the largest venue in the Dubuque area catering to public assembly events and has served the community since 1979. With an anticipated completion in late 2003, the $188 million mixed-use America's River Project will include the new Mississippi River National Education and Conference Center and other visitor related amenities. The Conference Center will consist of more than 50,000 square feet of rentable space and will function as the community's primary convention center. With the opening of the Conference Center, a significant portion of current users of the Five Flags Center will likely relocate. Conventions, Sports and Leisure International (CSL) was engaged by the City of Dubuque (City) to analyze potential future uses for the Five Flags Center (Center) to take advantage of the availability of newly open dates by identifying and pursuing new event markets. The study process began with an assessment of the market demand from various event segments for potential use of the Five Flags Center, and the types of facility improvements that should be considered to enhance the ability to attract these events. The firm of DdY Architects was retained to assess the general physicat viability and potential costs for specific facility improvements. This report consists of the following sections: Historical Facility Operations and Local Market Analyses - provides an analysis of historical Center utilization in terms of market focus, event levels and occupancy of various space components. Additionally, the section provides information regarding the socioeconomic and visitor amenity attributes of the Dubuque area, which serves as an indication as to the ability of the community to attract and accommodate additional future event markets. Regional and Comparable Facility Analysis - provides a comparison of various physical characteristics and resources of regional and comparable facilities, as well as their host markets. Additionally, the chapter outlines the various types of events hosted at comparable facilities. This data is useful in identifying opportunities for the Five Flags Center to increase overall utilization. Potential Rye Flags Event Analysis - summarizes the market potential for added events at the Five Flags Center. Several categories of events are addressed including sports, entertainment, music, community and other such areas. The types of space necessary to accommodate this demand is also summarized. Analysis of Poter, t~al Future Uses for the Five Flags Center Introduction Page I HISTORICAL FACILITY OPERATIONS AND LOCAL MARKET ANALYSES The Five Flags Center is owned and operated by the City of Dubuque. Since its completion, the Five Flags Center has hosted a variety of events, including ice events, public shows, sporting events, conventions, meetings, banquets, plays, symphony performances, tradeshows, concerts, weddings, private functions, spectator and family shows and other such events. As the largest venue in the Dubuque area, the Center has attracted events of all sizes, both local and non-local in nature and has served the community since 1979. While providing local residents with an important community resource, the Center has also been instrumental in contributing to the economic growth of Dubuque through generating new visitors and spending in the community. Sellable space components of the Center include: · 25,000 square feet of multipurpose fiat floor space (divisible into 20,000 and 5,000-square foot components) · 1,230 fixed arena seats (with an additional 100 seats with the chair platform) · 4,600 square feet of breakout meeting space · 71 I-seat performance theater · Other service, support and pre-function areas The Center is connected by an underground walkway to the 203-room Holiday Inn Dubuque Five Flags, which serves as its headquarters hotel. In terms of sellable event space, the five-story hotel provides nine break out meeting rooms of various sizes and a 3,075-square foot ballroom. As With many multipurpose event facilities, certain physical characteristics have impacted the Five Flags Center in the past. The availability of ice broadens the base of potential events for the Center, while impacting the ability to accommodate other fiat floor events. The quality of the space for conventions and meetings is limited, while the size and configuration of seating also limits the potential event base. The purpose of this chapter is to summarize the types and quantity of event activity historically held at the Center. This analysis is useful in understanding the types of events that may be lost to the new conference center, and the ~pes of events that the current Center is not actively attracting. Analysis of Potential Future Uses for the Five Fla~s Center Historical Facility Operations and Local Harket Analyses Page 2 Historical Event Day and Event Utilization Exhibit 11-1 presents a summary of the total number of event days hosted at the Five Flags Center (by space component) for fiscal years 2000 and 200 I. Exhibit II- I Total Number of Event Days by Space Component FY 2000 & FY 2001 FY 2000 FY 200 I Arena (seated/ice events) 64 66 Arena (fiat floor events) 26 35 Theater 41 36 Conference Rooms 9_~8 8_L Total 229 218 Norm Some of the conference room events will likely transfer to the new conference center. 5ource: Fadli~/Management, 2002 Over the past two fiscal years, the Center has generated an average of 224 total event days per annum. Meetings have historically comprised the majority of total event days, accounting for more than approximately 40 percent of all event days for each of the years reviewed. The greatest deviation over the two-year period (in percentage terms) was in the amount of fiat floor arena event days hosted, which rose from 26 to 35 - an approximate 35 percent increase. The number of conference room event days hosted decreased from 98 to 81, representing a 17 percent decline. In sum, event day levels have remained fairly constant by event type over said period and tend to be consistent with or greater than other comparable facilities in similar markets. .m Analysis of Potential Future Uses for the Five Flags Center Historic-ti Facility Operations and Local MaJ'ket Analyses Page 3 Exhibit 11-2 below outlines the total number of events hosted a: the Five Flags Center (by event type) for fiscal years 2000 and 200 I. Exhibit 11-2 Total Number of Events by Event Type FY 2000 & FY 2001 FY 2000 FY 200 I Conventions / Tradeshows 7 2 Public Shows 7 6 Banquets / Meetings / Parties 63 55 Concerts / Stage Shows 21 22 Sporting Events 28 3 I Public Skating 19 23 Other 26 40 Total 171 179 Note: A portion of conventions, tradeshows, public shows, banquets, meetings and parties (up to 33 percent of event use) will likely transfer to the new conference center, The making and taking down of the ice sheet takes 12 days which are not included in the totals presented herein, Source: Facility Management, 2002 As shown, banquets, meetings and parties comprise the greatest number of events hosted at the Center, averaging nearly 60 such events per annum. Other event types generating significant business for the Center include sporting events, concerts/stage shgws, public skating and other events. An estimated 33 percent of overall utilization comprises conventions, tradeshows, public shows, banquets, meetings and parties. A portion of this business will likely transfer to the new America's River facility due to the availability of newer facilities. Events that are price sensitive, sponsored by the City or other such events will likely remain at the Five Flags Center. Analysis of Potential Future Uses for the F~ve Flags Center Historical Facility Operations and Local Market Analyses Page 4 Exhibit 11-3 presents a detailed summary of historical utilization days at the Five Flags Center, broken down by event type. In cases where an event uses multiple spaces in the Center, it may be counted more than once. Exhibit 11-3 Historical Five Flags Center Utilization Days By Event Type FY 2000 & FY 2001 100 ~ ; 80 60. As shown, in recent years, the facility has been utilized approximately 320 days each year. In terms of event type, "other events" (including symphony rehearsals, graduations, health classes, etc.) accounted for nearly one third of total utilization days in fiscal year 2001. Banquets, meetings, parties, concerts and stage shows comprised nearly 60 percent of total utilization days in fiscal year 2000. Historically, conventions, as well as public and tradeshows have made the least use of the Center (in terms of utilization days). Exhibit 11-4 on the following page displays the two-year average (FY 2000 and FY 2001) of the percentage of Five Flags Center total utilization days by event type. AnaJysis of Potential Fut:ure Uses for the Five Flags Center Historical Facility Opera~ions and Local Market Analyses Page 5 Exhibit 11-4 Percentage of Total Utilization Days by Event Type - Two-Year Average 9% 3% 4% 24% 26% I1% Sporting 23% Concerts / Stage Shows As presented above, in terms of the two-year average of total utilization days, banquets, meetings and parties comprised 26 percent of total utilization days, the most of any identified event type. "Other events" accounted for 24 percent of total utilization days, followed closely by concerts and stage shows, which comprised 23 percent of total days. On the Iow end, conventions and tradeshows comprised an average of just three percent of total utilization days over the two-year period. Again, it is understood that a large portion of conventions, tradeshows, public shows, banquets, meetings and parties will likely transfer to the new America's River conference facility. To further assess historical use patterns, an analysis of seasonality usage by month for the primary functional areas of the Five Flags Center has been undertaken. This type of analysis can identify the potential that a significant level of "clustering" in one or two months may have on event levels. A high percentage of use centered in one or two months may indicate that the hall is unable to fully accommodate its total demand~ Analysis of Potential Future Uses for the Five Flags Center Historical Facility Operations and Local blarket Analyses Page 6 Exhibit 11-5 presents a summary of the facility's historical monthly usage for fiscal years 2000 and 200 I. Exhibit 11-5 Overall Seasonality by Month FY 2000 & FY 2001 100% 90% ~ --e---Fy 2000 it · \\ 30% 20% As presented in the exhibit~ Cen:er utilization during the winter months often reaches 100~ due to ice use. The drop in 2000 was due to closures resulting from the replacement of seating. The large number of sporting events hosted, (particularly ice events), coupled with the Dubuque Symphony Orchestra performances and rehearsals, support such use levels. The Iow utilization during summer months provides opportunities for added business that will be addressed later in this report. Analysis of Potential Future Uses for the Five Flags Center Historical Facility Operations and Local Market Analyses Page 7 Exhibit 11-6 displays a blended average of the seasonality of the arena/ballroom space at the Center for fiscal years 2000 and 200 I. Exhibit 11-6 Arena /Ballroorn Seasonality by Month FY 2000 & FY 2001 Blended Average 100% 90% 70% 80% 50% 40% 20% 0% As presented, arena/ballroom seasonality is split into three categories: all users, all usehs less fiat floor events (except public shows) and all users less fiat floor events. Again, event levels historically peak in the winter months, and tend to taper off much of the summer. Not surprisingly, seasonality of all users is the highest, reaching a maximum of 70 percent during the month of February. Though following a similar pattern, figures for all users excluding fiat floor events (though inclusive of public shows) are somewhat lower, reaching a high of approximately 65 percent in January. When all events utilizing fiat floor space are excluded, seasonality statistics are again lower, consistently less than ten percent in the spring and summer months. Analysis of Potential Future Uses for the Five Flags Center Historical Facility Operations and Local Market Analyses Page 8 Exhibit 11-7 presents a blended average of the seasonality of the Five Flags Theater for fiscal years 2000 and 2001. Exhibit 11-7 Theater Seasonality by Month FY 2O00 & FY 2001 Before conclusions can be made regarding the above exhibit, it is necessary to note that the,theater was closed from August through mid October of fiscal year 2000, as well as from late May through August I of both fiscal years 2000 and 2001. Nonetheless, seasonality patterns indicate the majority of theater-hosted events take place in the fall and winter months. Such activity is primarily attributed to Dubuque Symphony Orchestra rehearsals and performances, as well as play and other stage productions. Over the two-year period, theater usage peaked in February of fiscal year 2000, during which approximately 90 percent of available days were occupied. Analysis of Potential Future Uses for the Five Flags Center Historical Facili~/Operations and Local IVlarket Analyses Page 9 The strength of the local market, in terms of its socioeconomic attributes, can provide an indication as to the ability of a community to accommodate large numbers of convention, conference, public show and meeting attendees. A community's hospitality infrastructure in terms of hotels, restaurants, entertainment and other such factors contributes heavily to the potential success of a public assembly facility. CSL conducted an analysis of these attributes as they relate to the Dubuque market area. The analysis of existing Dubuque market conditions addresses the following areas: · Local market attractions and resources; · Existing event fadlities and hotels; · Regional demographics; and · Conclusion Local Market Attractions and Resources To understand how Dubuque might appeal to various types of events not currently accommodated at the Five Flags Center a review of the area's attractions, visitor amenities, infrastructure and existing event facilities was performed. Dubuque is located in east-central Iowa, on the western bank of the Mississippi River. The Metro Statistical Area (MSA) population of Dubuque is approximately 89,300. This compares to the city population of approximately 62,000. The market lies within relatively close driving distance to a number of major markets including: The Quad Cities (70 miles), Madison (90 miles), Chicago (180 miles) and Minneapolis (260 miles). Dubuque Regional Airport offers direct flights to/from both Minneapolis and Chicago. Although no U.S. Interstates lead to Dubuque, the city is accessible by a number of U.S. Highways. Major companies residing in Dubuque include John Deere, Flexsteel Industries, Eagle Window and Door, CIGNA and Advanced Data-Corem, Inc. In addition, Dubuque is home to three large medical centers, each of which employ more than 1,000 employees. The University of Dubuque is a private, liberal arts college with approximately 1,000 total students. Other institutions of higher learning include Clarke and Loras Colleges. Relative to its size, the area offers a typical set of entertainment, recreation and leisure amenities. Examples include, but are not timited to golf, shopping, parks and a variety of other outdoor activities. In addition, a variety of amenities that tend to appeal to out- of-town event attendees, including restaurants, nightclubs and other entertainment options are also offered throughout the community and downtown area near the Center. As Iowa's oldest city, Dubuque has many historic buildings and churches. The Analysis of Potential Future Uses for the Five Flags Center HistoricaJ FacjljLT Operations and Local Plarket Analyses Page 10 Mississippi River provides numerous family-oriented entertainment options. Popular activities include fishing, boating, water sports, hiking, picnicking, and other associated activities. An additional trademark of Dubuque is Riverboats. These large vessels offer cruises along the Mississippi River, often providing such things as 24-hour gaming, live entertainment, meals and other activities. Dubuque is located approximately 20 miles east of Dyersville, IA, home of the Field of Dreams, popularized by the motion picture. The America's River Project, set for completion in late 2003, will combine business and infrastructure development with a Mississippi River Museum, a large conference center, a combination hotel/water park and the Mississippi Riverwalk. In sum, more than one million tourists visit Dubuque annually. Exis~ng Event Facilities and Hotels The number of existing event facilities in the local market is an important consideration with respect to the overall viability of any public assembly facility development. Presently, there are relatively few event facilities in the Dubuque area that have the ability to accommodate large sports, entertainment and other assembly events. Specifically, the Five Flags Center currently represents the largest fiat floor facility in Dubuque. The Dubuque County Fairgrounds, the Holiday Inn Dubuque Five Flags, the Best Western Midway Hotel, the Best Western Dubuque Inn and the Julien Inn represent the area's other primary meeting and banquet facilities. These facilities tend to host a variety of smaller events such as meetings, receptions, banquets, seminars and other private functions. Background information concerning primary existing Dubuque event facilities is provided below. Five Flags Center The arena provides seating for up to 5,200, 25,000 square feet of exhibit space, 4,600 square feet of meeting space and an adjacent 717-seat theater. Mississippi River National Education and Conference Center Scheduled to open in November 2003, the center will incorporate approximately 30,000 square feet of exhibit space, a 12,000-square foot ballroom and numerous meeting and classrooms. AnaJysls of Potential Future Uses for the Five Flags Center Histotical F~clgty Operations and Local Market Analyses Page I ! Grand Opera House This 640-seat downtown theater originally opened in 1890. The theater features a variety of well-known musicals, plays, and special events, attracting more than 70,000 visitors annually. The theater is currently undergoing extensive renovation and restoration. Dubuque County Fairgrounds The grounds provide 32,000 square feet of indoor event space through three stand-alone event facilities, in addition to a grandstand providing bleacher- style seating for approximately 1,500. The Ballroom is capable of accommodating up to 1,000 guests, while the 4H Center, seats 500. Both host a number of meetings, banquets, weddings, dances and other social functions. The Creative Arts Center is primarily utilized during the fair for displays and expositions. Holiday Inn Dubuque Five Flags Connected to the Five Flags Center, the hotel offers 193 guestrooms. Additionally, the property incorporates nearly 9,300 square feet of sellable space, including the 3,100-square foot Grand Ballroom. Best Western Midway Hotel The hotel offers a total of 151 rooms, as well as nearly 6,500 square feet of assembly space. The largest contiguous space offered is approximately 3,300 square feet~ Best Western Dubuque Inn This 155-room hotel includes approximately 6,500 squar;e feet of meeting space incorporated into nine rooms. Julien Inn Located downtown, this vintage hotel offers a total of approximately I 1,400 square feet of sellable space and 145 guestrooms. The largest contiguous space, the Forum Ballroom, measures more than 3,500 square feet. AnaJysis of Potential Future Uses for the Five Flags Center Historical Facility Operations and Local Plarket Analyses Page [ 2 Regional Demographics The socioeconomic and general demographic profile of the Dubuque market will likely have an impact on the overall success of the Center, as a portion of facility users will likely originate from Dubuque and the surrounding area. Concerts, entertainment events, public shows, corporate meetings, service club functions, private banquets and other miscellaneous private meetings typically derive the majority of attendees from the local area. For purposes of this analysis, information was collected from industry periodicals, our existing database, the City of Dubuque, the Convention and Visitors Bureau, Chamber of Commerce and other sources. Regional and comparable markets with convention/civic/arena facilities selected for comparison include: Ames, Cedar Rapids, Council Bluffs, Davenport, Mason City/Clear Lake, Ottumwa and Waterloo/Cedar Falls (IA) Green Bay, Madison and La Crosse (VVI), Mankato and Rochester (MN) and Rapid City and Sioux Falls (SD). As will be discussed in a subsequent chapter, each of these regional and comparable markets possess a convention or civic center facility that could either pose some level of competition to Dubuque facilities or are comparable to them. A variety of socioeconomic characteristics have been reviewed. The Metropolitan Statistical Area (MSA) used in this analysis is defined as a geographical area with a significant population nucleus, along with any adjacent communities that have a high degree of economic and social integration with that nucleus meeting certain quantitative population thresholds. This information was obtained from various industry sources and is based on the most recent revisions announced by the federal government's Office of Management and Budget. These characteristics can be important to consider when evaluating the potential for Center events possessing a large percentage of local attendees, such as corporate meetings, public shows and miscellaneous community events. The selected socioeconomic statistics were compiled based on data provided by Sales and Marketing Management, who regularly publishes demographic estimates utilizing U.S. Census data. Exhibit 11-8 on the following page presents a summary of the MSA populations of the regional and comparable markets reviewed. In the case that an MSA population was not defined, the population of the county in which the city lies was used as an alternative. Ana~ysls of Potential Future Uses for the F~ve Flags Center Historical Facility Opera~ions and Local Market Analyses Page [ 3 Exhibit 11-8 Comparison of MSA and County Population ~00,000 400,000 500,000 As shown on the previous page, in terms of population, Madison, Wisconsin ranks first of the 16 markets analyzed, with an MSA population of more than 431,000. The average population of the markets reviewed is approximately 145,000. Occumwa, Iowa ranks last, with a county population of just 36, 100. Dubuque MSA population ranks at the mid to Iow range of the regional/comparable market range. This is an initial indication that events that rely on area population (concerts, entertainment and related events) will view Dubuque as a mid-tier market. It is also important to consider the surrounding population bases when evaluating potential local demand. Exhibit 11-9 on the following page presents a map of the Dubuque area with rings depicting 25, 50 and 100-mile radiuses of the city center for population proximity identification purposes. Historical Facility Operations and LocaJ Market Analyses Analysis of Potential Future Uses for the Five Flags Center Page [ 4 Exhibit 11-9 Population Proximity to Dubuque The population within a 50-mile radius ranks at the Iow to mid range of the comparable market set_ Within 100 miles, :here is a significant increase in population base, however markets in Wisconsin and near Chicago are within this radius, representing a significant base of competition. This is detailed further below. Exhibits II- I 0 through I1-12 present comparisons of the proximity of population to the selected competitive/regional facilities reviewed on a 25, 50 and 10&mile radii, respectively. AnAlysis of Potential Future Uses for the Five Flags Center Historical Facility Operations and Local JVlarket Analyses Page I 5 Exhibit I1-10 Comparison of Population within 25 miles of Primary Event Facility 200,000 400,000 &0O,000 800,000 As detailed above, in terms of population within 25 miles of the market's primary convention facility, Council Bluffs ranks first, with more than 700,000. Ranking last, is Mason City/Clear Lake, Iowa, with approximately 82,600. Dubuque ranks toward the lower end of the markets analyzed, with nearly 149,000 people living within 25 miles of the Five Flags Center. The median population for the markets reviewed approximates 243,000 people. Analysis of Potential Future Uses for t~e Five Fla~s Center Historical Facility Operations and Local Market Analyses Page 16 Exhibit II-I I Comparison of Population within 50 miles of Primary Event Facility 250,000 S00,000 750,000 1,000,0OO 1,250,000 As shown above, in terms of population within 50 miles of the market's primary convention facility, Madison ranks first, with more than one million people residing within 50 miles of the Alliant Energy Center. However, when the radius is expanded to 50 miles, Rapid City, South Dakota now ranks last, with approximately 156,000. As presented, Dubuque's ranking among the regional and comparable markets has remained virtually unchanged, with slightly more than 334,000 people living within 50 miles of the Five Flags Center. However, this total is equivalent to greater than two- thirds of the median population level of 465,000. Analysis of Potential Future Uses for the Five Flags Center Historical Facility Operations and Local ~larket Analyses Page 17 Exhibit II- 12 Comparison of Population within 100 miles of Primary Event Facility ~,000,000 4,000,000 S,O00,O00 6,000,000 As shown above, Dubuque's position among the competitive and regional markets reviewed changes significantly when the radius is expanded to 100 miles. More specifically, with nearly three million people residing within 100 miles of the Five Flags Center, the market ranks near the midpoint of selected markets. South Dakota is home to the two lowest ranking markets, with Sioux Falls at approximately 858,000 and Rapid City at just 204,000. On average, of the regional and comparable communities reviewed, approximately 2.5 million people live within 100 miles of the primary event facility in the market, a figure comparable with that of Dubuque. As noted above, the level of competition for this population base is significant. Effective buying income (EBI), also known as disposable or after-tax income, is defined as personal income less personal tax and non-tax payments. Since EBI measures the actual amount of money available in a given area, it~ along with measurements of spending such as retail sales, serves as a gauge for the economic health of the population for an area and an indicator of market quality and the ability to buy in an area. These characteristics can be important to consider when evaluating the potential for events possessing a large percentage of local attendees such as concerts, sporting events, festivals, arts events and other community events. Analysis of Potential Future Uses for the Five Flags Center Historical Facility Operations and Local Market Analyses Page 18 Exhibit ILl 3 Comparison of Effective Buying Income - Regional and Comparable Markets Madison, WI Davenpo~ IA Green Bay, WI Cedar Rapids, IA Sioux Falls, SD Rochester, MN ' Sioux City, IA ' Waterloo/Cedar Falls, IA ' LaCrosse, WI i Council Bluffs, IA - M~nkato, MN (I) Mason Qty/aear Lake, IA (I) Ames, IA Ottumwa, IA (I) $0 As shown, in terms of total effective buying income, Dubuque ranks in the bottom half of selected communities, at approximately $1.5 billion. Madison's EBI, at approximately $9.2 billion, is atop the list of regional and comparable markets, while the effective buying income in Ottumwa is just over $500 million, the lowest of those reviewed. This compares to an overall average of approximately $2.7 billion. Analysis of PoL~J,~aJ Future Uses for the Five Flags Cer~cer Historical Facillq Operations and Local M~rket Analyses Page 19 REGIONAL AND COMPARABLE FACILITY ANALYSIS This chapter provides a review of the various physical characteristics and resources of regional and comparable facilities and communities. The information detailed will assist in the identification and analysis of the types of events that are accommodated a~ comparable facilities and insight into the event possibilities for the Five Flags Center. Prior to presenting case studies, we have summarized the various characteristics of public assembly facilities focusing on the types of space used and economic impacts, as outlined in Exhibit II1-1. In general, the first two types of facilities, convention and conference centers, provide a community with the greatest ability to generate an economic impact. Events hosted at these two types of facilities generally draw non-local attendees who utilize area hotels and restaurants. Events hosted at the three other types of public assembly facilities (i.e., expo events, civic events and spectator or arena events represent) potential sources of continuing or increased demand for the Five Flags Center. Exhibit II1-1 Typical Public Assembly Facility Characteristics Convention Conference Expo Community/Civic Spectator Center Center Center Center Arena Exhibit, Limited Type of Space Exhibit, Meeting, Meeting, BaJlroom Multipurpose Space Spectator Seating, Ballroom Meetin~ Fiat Floor Space Conventions, Conferences, Public Shows, Loca~ Meetings & Typical Events Trade Shows, Banquets, Spectator and Meetings, Banquet, Meetings, Trade Shows, Recreation, Other Other Events Public Shows Banquets Miscellaneous Events Typical Adjacent Adiacent Parking, Parldng, Parking, Ancillary Headquarters Headquarters Accessibility, Accessibility, Accessibility, Characteristics Hotel Hotel Visibility Visibility Visibility Economic Impact Limited to Limited to Limited to Generating High Moderate Moderate Moderate Moderate Abilit7 Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Analysis Page 20 The characteristics of these three facility types are summarized below. ~, or exposition/exhibition centers, traditionally consist of large exhibit-focused structures possessing little or no breakout meeting and banquet space. Expo facilities tend to be lower cost facilities per gross square foot than convention and conference centers. Most of the events accommodated by traditional expo centers are local in nature and include events such as public/consumer shows, festivals and other large fiat floor space using events. Community/civic centers tend to vary widely in terms of their physical and operational characteristics. Many centers offer multipurpose space that can accommodate a wide variety of event types including festivals, exams, graduations, science fairs, charitable functions and other such events. The large majority of event activity represents events and attendees from the local area and, as such, adiacent/nearby hotel inventory does not tend to be a primary concern for most events. Communities tend to develop these types of facilities for the good and benefit of the local community rather than for economic impact generating purposes. S ectator arenas are plenary seating venues that primarily accommodate spectator events such as sporting events, concerts, family shows and circuses. Some spectator venues have the capability to configure the arena floor and/or retract some or all of its seating areas to accommodate certain types of fiat floor events such as graduations, public shows, and recreation activities. In a number of smaller communities across the country, successful assembly facilities have been developed that are multipurpose in nature, integrating a number of the characteristics of one or more of the facilities described above. As a result, these facil.ities are able to accommodate the widest variety of events thereby maximizing their event utilization. Based on industry data and discussions with facility and CVB representatives, Exhibit IlL 2 presents the 18 facilities throughout the region that were identified as comparable in some way to the Dubuque's Five Flags Center. Exhibit 111-2 Regional and Comparable Facilities Facility Market Alliant Energ~' Center Brown County Expo Center/Arena Hilton Coliseum La Crosse Center Midwest Wireless Civic Center National Cattle Congress North Iowa Arena Ottumwa Coliseum/Bridge View Center RiverCenter/Adler Theater Rochester Mayo Civic Center Rushrnore Plaza Civic Center Sioux City Auditorium Sioux Falls Arena Southwest Iowa Ar~cs Center U.S. Cellular Center/Paramount Theater UNI-Dome Waterloo Center for the Arts Young Arena Madison, WI Green Bay, WI Ames, IA La Crosse, WI Mankato, MN Waterloo, IA Mason City, IA Ottumwa, IA Davenport, IA Rochester, MN Rapid City, SD Sioux City, IA Sioux Falls, SD Council Bluffs, IA Cedar Rapids, IA Cedar Falls, IA Waterloo, IA Waterloo, IA Facility Case Studies In order to illustrate the various assembly facility concepts described in the previous section, case studies have been prepared for each of the facilities listed above and are presented on the pages that follow. Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Analysis Page 22 Young Arena - Waterloo, Iowa Located in Waterloo, Young Arena is a special event and family entertainment center offering ice 9 72 months each year. It features an Olympic-sized ice rink, fixed seating for 3,040, five locker rooms, media accommodations and ticket booths. If the arena floor is utilized for event accommodation, an additional 2,000 seats are made possible on the 20,000-square foot arena floor. When non-ice events are hosted ~ inch, 4' x 8' plywood sheets are used to cover the ice, saving more than $20,000 when compared to the price of modern insulation systems. Completed in 1994, the energy-efficient facility also provides for community activities, by offering a walking/running track, in addition to public skating, weight lifting and training, volleyball and various aerobic exercises. Since opening, the arena has successfully accommodated a variety of special events, including collegiate, amateur and youth sporting events, commencement ceremonies, concerts, athletic camps and tournaments, dances, public skating and festivals. The semi-professional Waterloo Black Hawks are the venue's anchor tenant, playing approximately 30 games at the facility each year. Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Analysis Page 23 Cedar Rapids/ce Arena - Cedar Rapids, Iowa The Cedar Rapids Ice Arena is privately managed by Compass Facility Management and opened in 2000. The 3,841-fixed seat arena also provides an additional 280 seats in the elevated, luxury suite level for a total seat capacity of 4,121. The arena offers a regulation NHL ice sheet year round, in addition to an adiacent Olympic-sized sheet (surrounded by 400 seats) ten months of the year. Focusing primarily on ice events, the arena hosts a variety of hockey games, figure skating, open skating, in-line skating, tennis, volleyball and other sporting and entertainment events. The arena's anchor tenant is the USHL's Cedar Rapids Rough Riders hockey team, playing an approximate 30 games at the facility each year, in addition to practices, training, etc. Arena management is considering the purchase of an insulated cover to enable the hosting of concerts, public and trade shows and other fiat floor assembly events. The arena also incorporates three party/hospitality rooms, state-of-the-art workout/weight facilities, locker rooms and a pro shop. There are 200 parking spots available at the center, with an additional 1,200 located adjacent to the venue. Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Analysis Page 24 North Iowa Arena - Mason City, Iowa Located on the North Iowa Fairgrounds, on the west edge of Mason City, the North Iowa Arena is located off of Interstate 35, between Des Moines and Minneapolis. Primarily used for hockey and ice events, the facility also plays host to rodeos, horse shows, livestock events and more. The arena offers ice and is leased to Mason City Youth Hockey from mid September until April of each year. During the winter months, while the ice is set up, no non-ice events are held at the arena. However, during the summer, the arena is rented ou~ often hosting public shows and expositions and other community activities. Also a part of the fairgrounds complex, the larger Ali-Seasons Building provides approximately 26,000 square feet of sellable exhibit space. The facility often accommodates tradeshows, auctions, public shows, expositions and even tennis. The heated building offers high ceilings, electrical drops and food service. The venue is able to seat up to 2,500 people, through the combination of 1,200 permanent and 1,300 portable seats. Other facilities on the grounds include the 3,000-seat grandstand, the 14,000-square foot Olson Building, the 6,400-square foot 4-H Building, a loafing shed, as well as various stalls and barns. Analysis of Potential Future Uses for the Five Flags Center Regional anti Comparable Facility An~l~sis Page 25 U.S. Cellular Center / Paramount Theater ~ Cedar Rapids, Iowa The U.S. Cellular Center and the adjacent Paramount Theater are owned by the City of Cedar Rapids and managed by Compass Facility Management. Constructed in 1979 and originally known as the Five Seasons Center, the U.S. Cellular Center was funded through a then new downtown TIF (Tax Incremental Finance) district and a bond issue. The center is utilized by events 170 to 190 days a year. Events hosted consist of concerts, family shows, conventions, tradeshows, corporate meetings, public shows, sporting events, ice shows, rodeos, circuses and high school events. The U.S. Cellular Center is joined (via skywalk) to the Five Seasons Crowne Plaza Hotel, an 800-car parking garage, the downtown shopping district, and many restaurants in downtown Cedar Rapids. In 2000, the City of Cedar Rapids entered into an advertising partnership with U.S. Cellular to rename the facility. As such, the Center receives an annual payment of $125,000 (over five years), plus marketing support through U.S. Cellular monthly bills and retail centers. Originally constructed in 1928, the 1,900-seat Paramount Theater hosts approximately 170 events per annum. Examples of typical events include fundraisers, meetings, live stage shows, Broadway performances, community theatre, movies, concerts and penCorming arts. Currently, the air-conditioned theater is home to the Cedar Rapids Symphony Orchestra, the Cedar Rapids Area Theater Organ Society and community concerts. In 200 I, a $6.0 million renovation campaign was announced, $2.0 million of which came from the City of Cedar Rapids. Proposed plans call for a wing space addition, a new HVAC system, new restrooms, existing restrooms renovation, new carpet, new seat coverings, plaster work repair, electrical and sprinkler system updates and the addition of a rehearsal hall. It is estimated that the work will be completed by 2003. National Cattle Congress- Waterloo, Iowa Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Analysis Page 26 Located five minutes from downtown Waterloo, the versatile National Cattle Congress consists of ten stand-alone buildings: Adeline Hayes Hall, Estel Hall, Electric Park Ballroom, Flower and Garden Building, McEtroy Auditorium, North Anniversary Hall, Paul Barger Building, Pepsi Pavilion, Pullin-Simonsen Livestock Arena and South Anniversary Hall. Since 1910, the private, nonprofit complex has served the community's needs for rodeos, fairs, concerts, sporting events, public shows, tradeshows, conventions, meetings, banquets, dances, SMERF (Social, Military, Educational, Religious, Fraternal) events and other community functions. Two of the most often used public assembly facilities on the complex include the McElroy Auditorium and the Electric Park Ballroom. Constructed in 1936, McElroy Auditorium is a heated facility offering 20,000 square feet of fiat floor exhibit space (with 26ifoot ceilings), in addition to 4,000 square feet of lobby space. The auditorium is capable of hosting up to 7,000 people, by offering 5,155 fixed seats and an additional 1,845 seats if floor space is utilized. Also built in 1936, the Electric Park Ballroom provides 5,100 square feet of ballroom space, as well as 1,800 square feet of meeting space on its upper level. This heated and air conditioned ballroom provides two concession stands and full-service bars, two dressing rooms, a ticket booth, and a 24' x 17' permanent stage. It is able to accommodate groups of up to 1,200 through 400 round tables and booths. Analysis of Potential Future Uses for the Fiye Flags Center Regional and Comparable Fadlity Analysis Page 27 Sioux City Auditorium - Sioux City, Iowa The 4,645-seat Sioux City Auditorium is located in downtown Sioux City, Iowa. The multipurpose facility hosts a variety of event types, including, sporting events, ice shows, wrestling matches, circuses, stage shows, concerts, swap meets, graduations and festivals. The arena's 15,000 square feet of fiat floor space is often utilized for public and trade shows. Currently, three semi-professional sports franchises serve as the arena's anchor tenants: the Sioux City Musketeers (hockey), the Sioux City Attack (indoor football) and the Siouxland Bombers (basketball). The venue contains an ice sheet seven months of the year; and therefore often utilizes an insulated covering to accommodate its many year-round fiat floor events. Few problems or complaints have been cited as a result of doing so. Nearly 120 events were held at the Auditorium in 2001. The community will soon be constructing a new event center/arena, which will seek to replace the existing facility. The adjacent Sioux City Convention Center offers 28,600 square feet of exhibit space, as well as approximately 9,000 square feet of meeting space. The exhibit space is sub- divisible into three equal sections. The venue's ten meeting rooms are spread over two levels. The attached Hilton Hotel offers a total of ~93 guestrooms and serves as the centerts headquarters hotel. The arena offers 660 on-site parking spaces; however, an additional 1,500 are considered to be within walking distance. Further, three hotels are considered to be within walking distance of the area. Analysis of Potential Future Uses for the Five Flags Center Ottumwa Coliseum / Bridge View Center - Ottumwa, Iowa Originally built as an armory, the historic Ottumwa Coliseum has been serving the community's needs for nearly 70 years. In recent years, the facility has hosted approximately 100 events annually, ranging from auctions, public and tradeshows and meetings to concerts, banquets and dances. However, given the facility's age, lack of modern conveniences and structural problems, the Ottumwa Coliseum will soon be partially torn down making way for the planned Bridge View Center. A project that began as a grass roots initiative in 1997, the Bridge View Center is an events center that will serve the entire southeast Iowa region. Parts of the Ottumwa Coliseum will be renovated and expanded to create a multi-purpose exhibition hall. Adjacent to this facility will be a new performing arts center. Meeting rooms, a visual arts gallery, public spaces and a reception hall are also planned. Upon completion, the new center will include 30,000 square feet of exhibit and meeting space as welt as a 750-seat auditorium. The proposed facility will provide a home to tradeshows, conventions, sporting events, meetings, banquets, public shows, community activities, youth events, concerts and other performing arts events. Estimated costs of the project, including land acquisition, site preparation and street and sewer improvements, is approximately $2t million. A $7.5 million grant from the State's Vision Iowa program in addition to city and private sector contributions wilt fund the project. The City is currently exploring its funding options, which include the potential renewal of the City's one-cent sales tax and the use of tax increment financing (TIF) funds. Hilton Coliseum - Ames~ Iowa Built in 1969, the facility does not incorporate luxury suites or club seats. The Coliseum is privately managed by SMG. Located on the campus of Iowa State University in Ames, the HiJton Coliseum provides 14,500 flexible seats. The arena floor offers 20,000 square feet of column-free, prime exhibit space. The facility offers easy ingress/egress ~hrough a loading ramp large enough to allow a semi trailer to be driven direcdy onto the main ~rena floor. In addition to numerous university-related events, the versatile coliseum often hosts tradeshows, meetings, lectures, major concerts, ice shows, symphonies, rodeos, circuses° exhibitions, sporting events, public shows and more. Approximately 130 events are held at the facility each year. The center sponsors and hosts a varied and comprehensive array of quality performing and visual arts, educational programs, athletics and entertainment for both the university community and the entire central Iowa region. Hilton Coliseum is part of the larger Iowa State Center, consisting of four stand-aione facilities: Stephens Auditorium, Fisher Theater and the Scheman Buildin§. Abundant free parking is available for all buildings. Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Analysis Page 30 UNI-Dame - Cedar Falls, Iowa Constructed in 1976 at an original cost of $7.5 million, the University of Northern Iowa's UNI-Dome is a 16,000-seat multipurpose domed arena. Approximately 78,000 square feet of fiat floor exhibit space is provided on the arena floor. The dome's transparent roof permits light during the day. Lighting is installed and used for night events, Although primarily utilized for university-related athletic events (football, basketball, wrestling, indoor track, etc.), the dome is also home to major concerts, graduations, tradeshows, public shows, other family entertainment and even selected university courses. The facility is able to accommodate attendance in excess of 25,000 for concerr_s. Thanks in part to a recent gift from McLeodUSA, the university plans on constructing a new $15 million to $18 million-arena facility. The proposed arena will seat between 5,000 and 6,000, and will host numerous events currently being held at the overused and somewhat outdated UNI-Dome. Construction on the planned facility will not commence until the fundraising goal of $15 million is reached. Once financing is secured, it is expected that construction could be completed 24 to 36 months thereafter. AnaJysis of Poten~ciat Future Uses for the Five Flags Center Regional and Comparable Facilit7 Analysis Page 31 Waterloo Center for the Arts ~ Waterloo, Iowa The Waterloo Center for the Arts is a unique facility focusing on offering educational and cultural enrichment to the metro area. Originally completed in 1965, the municipal nonprofit center has twice expanded, adding a workshop wing, exhibition gallery and lecture hall The facility is home to many of the major arts organizations in the community, including the Waterloo Museum of Art, the Waterloo/Cedar Fall Symphony, Junior Art Gallery, Waterloo Community Playhouse, Black Hawk Children's Theater and the Metropolitan Chorale. In addition, an assortment of music, dance and theater groups make use of the center's art studios workshops and rehearsal spaces, Further, a variety of groups utilize meeting space offered by the facility for receptions, meetings and other special events. Currendy, more than 60 community, leisure and special interest groups regularly frequent the center for such purposes. In addition to the wide range of programs, courses, exhibits and activities offered at the center, it is home to a multi-media library, artist's resource materials, photography, ceramics, painting and jewelry studios, a gift store and more. The center is currently involved in a capital campaign to a fund planned third expansion. The center will soon add a three-level 30,000-square foot Youth Pavilion that would doubie the size of the current Junior Art Gallery. This new addition will also include an interactive youth gallery, a multi-purpose classroom, a ceramics studio, a multi-cultural learning center, a permanent collection gallery and collection storage and preparation space. Anatysis of Potential Future Uses for the Five Flags Center Reglonal and Comparable Facility Analysis I~age 32 RiverCenter / Adler Theater - Davenport, Iowa Located in Davenport, Iowa, the 2,353-seat Adler Theater is a part of the city's RiverCenter complex, which provides both exhibition and meeting space in separate facilities. Constructed in 193 I, the theater was originally utilized as a movie theater, known as the "RKO Orpheum". In 1984, the theater was renovated to resemble its original Art Deco state, although modern conveniences and state-of-the-art technology were incorporated. In 1986, the theater reopened as the Adler Theater, thanks in part to a large donation from the Adler family, owners of a local newspaper. The theater typically hosts Broadway shows, general sessions, symphony concerts, rock concerts, comedians, dance shows and other professional entertainment. Known today as one of the Midwest's leading performing arts venues, unique offerings of the theater include original glass and crystal chandeliers, rebuilt and reupholstered tremendous acoustics and one-of-a-kind carpeting. Also a part of the RiverCenter, are the Great River Hall, Mississippi River Hall and a total of ten meeting rooms. Great River Hall provides approximately 32,400 square feet of fiat floor, column-free exhibit space, complete with utility floor grids. The contiguous space can be divided into two equal halves, with each half containing a manager's office, independent restrooms, concession stands, pay phones and climate, sound and lighting control. Features of the 13,200-square foot Mississippi River Hall include phone, water and sewer service, carpeted, concrete floor, centrally located utility boxes in the floor and perimeter wails and numerous lighting options. The room is adjacent to a full-service kitchen and may be divided with a portable velour drapery system. Meeting space at the RiverCenter consists of ten individual, well-appointed, expandable rooms. Southwest Iowa Arts Center - Council Bluffs, Iowa Located on the campus of Iowa Western Community College, this $9.5 million, state-of- the-art facility contains two theaters: the Main Theater and the Black Box. The Main Theater offers a total of 666 seats, including stage level and two balconies. A separate flexible theater, the Black Box, provides an additional 135 seats and can accommodate up to 290 people for dinners, luncheons and other small performances. Since opening in March 2001, the center has hosted a wide variety of events including dance shows, plays, concerts, festivals, banquets, meetings, general sessions and various other entertainment events. Due to the center's location on the Iowa Western Community College campus, the center hosts a number of small to medium sized school-related events such as graduations, performing arts events, faculty conferences and exams. Future plans for the facility include the possible addition of an outdoor amphitheater. Regional and Comparable Facility Analysis Page 34 Sioux Falls Arena / Convention Center - Sioux Falls, South Dakota Located in Sioux Falls, South Dakota, the Convention Center opened in 1997, while the adjoining Arena dates back to 1961 (though it has since been renovated). The multipurpose Arena is home to local professional basketball and indoor football franchises and also schedules many concerts, family shows and other entertainment even~. Approximately 70 such events were held at the Arena in a recent year. The Arena is able to accommodate up to 8,000 people (through two levels of seating). Temporary ice is a fixture of the facility for seven months each year, though the Arena is able to successfully accommodate other events through the use of "Pro Deck" covering. The attached convention center is the largest in the state and hosts a combination of public shows, banquets, conventions, meetings, and tradeshows. Space offerings at the center include approximately 61,800 square feet of column-free exhibit space, I 1,400 square feet of break-out meeting space (divisible into 14 rooms), as well as two ballrooms, totaling 16,800 square feet. Amenities offered by the complex include 3,800 free parking spaces, state-of-the~art technology, four loading docks and an attached 184-room Sheraton headquarters hotel property. Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable FacJJJf:y Analysis Page 35 La Crosse Center- La Crosse, Wisconsin Located on the banks of Mississippi River in La Crosse, Wisconsin, the La Crosse Center recently underwent a $14 million renovation and expansion, adding state-of-the- industry exhibit, meeting and ballroom space, nearly doubling the center's original size. The center now offers approximately 68,000 total sellable square feet, nearly 54,000 of which is exhibit space. The center includes an 8,000-seat arena, which provides an additional 21,000 square feet of fiat floor event space. Since opening in 1980, the center has hosted numerous banquets, concerts, exhibits, meetings, public and trade shows, seminars, sporting events, theatrical productions and other entertainment events. The venue hosts approximately 250 events per annum, comprising 450,000 total guests and attendees. It has been estimated that the center has provided an economic impact of nearly $30 million each year. AnaJysls of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Anaiysls Page 36 Midwest Wireless Civic Center - Mankato. Minnesota Mankato's Midwest Wireless Civic Center is publicly-owned by the City of Mankato and privately managed by Compass Facility Management, Inc. The center offers approximately 28,500 of exhibit space (on the arena floor), in addition to approximately 4,000 square feet of meeting space and a 13,400-square foot ballroom. Accommodating approximately 300 events per annum, the venue often hosts a variety of conventions, meetings, concerts, banquets, sporting events and other entertainment events. As the home of the WCHA's Mankato Mavericks, the 7,300-seat arena offers permanent ice seven months of the year, during which time other events may be held on the arena floor with the use of insulated covering sheets. It has been estimated that the center has ~rovided an economic impact of approximately $18 million to the community each year. Mankato is the smallest venue in the nat~on to acquire a naming rights contract, a $2.2 million deal. Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Analysis Page 37 Rochester Mayo Civic Center - Rochester, Minnesota Located in Rochester, Minnesota, approximately 90 miles southeast of Minneapolis, the facility dates back to 1938. Following a number of expansions and renovations, today the center provides approximately 38,000 total seltable square feet, a 5,200-seat arena and two theaters, making it the largest, most versatile event center in southern Minnesota. Other sellable space offered includes 8,700 square feet of divisible meeting space and a 4, I O0-square foot grand ballroom. The recently renovated and expanded facility now offers a new lobby, a 25,200-square foot exhibit hall and other facility improvements. The facility plays host to numerous conventions, tradeshows, public shows, sporting events, entertainment events, banquets and parties. The Civic Center offers no ice making capabilities, though tank ice has been used in the past to accommodate ice shows/events. Approximately 1,700 hotel rooms are within walking distance of the facility. Analysis of Potential Future Uses for the Five Flags Center Regional and Comparable Facility Analysis Page 38 Rushmore Plaza Civic Center - Rapid City, South Dakota Located in Rapid City, South Dakota, the civic center complex offers a 10,000-seat arena, a 1,779-seat theater and assembly space comprising approximately 80,000 square feet of exhibit space (with ceilings as high as 20 feet) and 33,000 square feet of meeting space. Since opening in 1977, the center has hosted concerts, sporting events, spectator events, public shows, meetings and state and regional conventions. Large convention activities, such as general meetings, large exhibits and special entertainment events, often utilize the arena's 34,500 square feet of uninterrupted function/display space. Though the center is not capable of making ice, family ice shows often utilize tank ice to make their event possible for the Rapid City market~ The Rushmore Plaza Civic Center's Fine Arts Theatre hosts a variety of performing arts and other spectator events, including orchestral concerts, theatrical productions, ballets, dance shows, lectures, graduations and more. The theater provides state-of-the-art, versatile acoustics, sound, lighting and technical capabilities. IV. POTENTIAL F~VE FLAGS EVENT ANALYSIS Based on the results of the analysis of local market conditions and regional and comparable facilities, an evaluation of the potential for added events at a re-focused Five Flags Center is presented in this section of the report. Within this chapter, we summarize the various building program renovation options, focusing on ability to attract added event levels, primary building modifications that would be necessary along with project costs and other key characteristics related to each renovation concept. As part of this analysis, the event types and levels held at comparable facilities has been summarized. When compared with current Five Flags Center event utilization, this data is useful in understanding opportunities to increase overall Center event utilization. Based on this review, the exhibit on the following page summarizes the various event types by category currently held at the Five Flags Center. Analysis of Potentia~ Future Uses for the Five Flags Center Potential Five Flags Event Analysis Page 40 Analysis of Potenclai Future Uses for the Five Fla[s Center Pa~e 4 [ As outlined in the exhibit, the Center hosts a wide variety of events including consumer, concert, educational, sporting and other such events. As previously noted, it is expected that approximately 30 percent of these events (particularly conferences, banquets, receptions, parties, conventions, tradeshows, meetings, seminars and training) will shift to the new Conference Center. Although likely to a lesser extent, many public and consumer shows, as well as various other events will potentially utilize the new facility, as opposed to continuing to host their event in the Five Flags Center. The universe of potential events for the flexible Center is large, As such, in effort to better understand this vast market, a sampling of events hosted by regional and comparable facilities is presented on the following page. Analysis of Potential Future Uses for the Five Flags Center An~lysls of Potential Future Uses for the Five Fla~s Center Potential Five Fl~s Event Analysis P~§e 43 As presented in the previous exhibit, there are several event categories that the Five Flags Center has not historically participated in to a significant degree. These include: Ice shows; Festivals, flea markets and fairs; o Music, comedy and entertainment events; o Arts related events and exhibits; o Reunions; o Academic exhibitions; and Major sporting exhibitions. Within the remainder of this section, data from the comparable facility analysis summarized above, in addition to information generated from event planner surveys, surveys of local organizations, review of local demographic characteristics and other such data, is used to prepare a detailed overview of the market potential for the Five Flags Center in each of these event categories. Data regarding potential project costs and related architectural issues prepared by DdY Architects is incorporated into the overviews. The DdY Architects report is included as an appendix to this repor~ Potential Five Flags Center Added E~vent Activity Based on the review of comparable facilities, discussions with event promoters, review of local demographic conditions and other such analysis components, we have developed a summary of the event types that a re-focused Five Flags Center could compete for. Analysis of Potential Future Uses for the Five Flags Center Potential Five Flags Event Analysis Page 44 The individuals and organizations contacted during this study process include, but are not limited to the following: Alliant Energy Center Margie Spensley - Bridal Boutique Brown County Expo Center/Arena Clint johnson - C.R. Boats Tom Callahan - Callahan Promotions Linda Faust - Christmas Craft Show Gil Spence - City of Dubuque Steve White - Clear ChanneI Entertainment Mike Belken - Clear Channel Entertainment Doug Fisher - Diamond Jo Casino Norm Wangberg - DKC Dog Show Stever Horman - Dubuque Chamber of Commerce Dubuque School System Sue Czeshinski - Dubuque CVB Penny Roeder - Dubuque Symphony Dale Adams ~ Feld Entertainment Five Flags Center Lenore Howard - Fly By Night Productions Hilton Coliseum Bill Jackson - Jackson Expo Group La Crosse Center John Woodin - Dubuque Community School District Paula Jo Wolfe - Civic Center Manager Midwest Wireless Civic Center Scott Thomas - Music N More National Catde Congress North Iowa Arena Ottumwa Coliseum / Bddge View Center RiverCenter / Adler Theater Rochester Mayo Civic Center Rushmore Plaza Civic Center Ruth Nash Sioux City Auditorium Sioux Fails Arena Ruth Ann Hoffman - Sold Out Shows Southwest Iowa Arts Center Ken Gaber - Thunderbirds Ted Sherr - Thunderbirds Shelly Gessner - Thunderbirds U.S. Cellular Center / Paramount Theater UNI-Dome Waterloo Center for the Arts Young Arena Jack McCollough - Youth Hockey Jeff Lipstock - Youth Hockey The potential event types cross a spectrum of ice, entertainment, sporting, community and related events, and if successfully pursued, could significantly add to the event levels at the Five Flags Center as well as the ability of the Center to contribute to the variety of entertainment options within the City of Dubuque. Five Flags as an Ice Facility What are the market characteristics of this event segment? · The Dubuque market is unique in that the Five Fiags Center provides the city's sole ice sheet~ · The potential event utilization levels of the Five Flags Center could be reduced by future development of one or more unrelated ice sheets in the community. · Potential increase in daily use of the Center could come from the development of year-round ice at the Five Flags Center,Discussions with local ice event representatives and management of other state-wide facilities indicates potential demand in specific areas: Clinics · Open Skating Lessons · Freestyle Skating High School Hockey ° Competitions Youth Hockey League o Skating Clubs Adult Hockey Leagues o Camps Amateur Hockey Leagues · Roller Hockey What are the building modifications that wifl be needed to accommodate this event segment? There are several improvements that will be required to allow the Five Flags Center to increase its ice-related event programming. These include: New ice rink system · Upgraded HVAC system installation New dasher boards · Added chiller capacity The costs for the above improvements are estimated at between $1,160,000 and $1,500,000. For these costs, a new ice system could be installed with a larger ice sheet. For a cost of up to $780,000, the ice season could be expanded using the existing ice · system. These costs do not include new ice insulation. This improvement is discussed later in this summary. What other issues should be considered when evaluating added ice capadty at the Five Flags Center? Center management should work with the local ice organizations to develop and promote the various ice activities noted above. Adding dates for ice events may impact the ability to attract added fiat floor events (concerts, tradeshows, public shows, etc.). Scheduling for the Center should not result in a loss of popular music and entertainment events due to activities such as open skating, practices and other Iow attendee events. Potential Five Ft~,~s Event Analysis Page 46 The operation of the Center with a longer ice season could result in higher operating costs (utilities, maintenance, labor). For example, utility costs may run $300 per day, with added costs for labor at $8.50 to $I0.00 per hour for several hours per day. Costs for change-over from and back to ice run $1,800 although this cost could drop with a new ice covering. The added dates for ice events may allow for added operating revenue as occupancy at the Center has historically been very Iow during periods that have not historically operated with ice. Five Flags as a Consumer/Festival Facility What are the market characteristics of this event segment? Community-wide festivals represent an important component of overall use at comparable centers. These events draw large numbers of attendees to the area of the Center and can serve to create a day-long or weekend experience that is beneficial to the local populace. These events include: Food festivals; · Ethnic events; · Octoberfest; · Product sales; Flea markets; · Downtown merchant sales; Swap meets; and · Other such events. The. Five Flags Center can serve as a base facility for these types of festivals. The entire downtown can benefit from the additional pedestrian traffic generated and the community can benefit from the addition of viable entertainment opportunities. In terms of consumer shows, Five Flags Center has historically hosted a variety of events including, but not limited to: craft shows, career fairs, home shows, boat shows, wedding/bridal shows, dog shows, etc. Analysis of Poten~ial Future Uses for the Five Ftags Center Based on discussions with event promoters, several would prefer to remain at the Five Flags Center rather than shifting to the new conference center for a variety of reasons including: Affordable rental rates Quality of service Established booking practices Concerns regarding the Five Flags Center include: · Parking Ice/insulation · Limited exhibit space offerings · Ingress/egress difficulties The level of finish/need for restoration of the current facility These concerns will need to be addressed to accommodate both festival and consumer- oriented events. What. are the building modifications that will be needed to accommodate this event segment? To successfully accommodate new festival events and existing consumer shows, there are several physical issues that should be addressed, including: Parking attendant to direct attendees to ramps Improved ice insulation Improved load-in/load-out capabilities Costs for ice insulation is estimated at $75,000 to $100,000. Costs for crowd control barriers are estimated at $20,000. tn terms of improving load-in/toad-out, physical improvements are not likely viable. Consideration should be given to temporarily closing two lanes of traffic adjacent to the Center during heavy move-in/move-out days. If this is not successful in improving the access to the Center, physical remedies could be considered; however, these would likeiy involve expanding the envelope of the Center and be very expensive. Analysis of Potential Future Uses for the Five Flags Center Potential Five Flags Event Analysis Page 48 What other issues should be considered when evaluating consumer/festival events at the Five Flags Center? Beyond physical changes, there are other issues that need to be addressed to increase the ability of the Five Flags Center to participate in this market. These include: Improved ice insulation coutd reduce change-over time and costs. · The current Five Flags rental structure is lower than most comparable venues, and with facility improvements, modest increases appear warranted. The new conference center will likely have a rent structure higher than that of the Five Flags Center, thus enhancing the desirability of Five Flags in this market. · Providing added marketing assistance. Consideration should be given to using Five Flags Center staff to assist in the marketing of consumer and festival events. · Sharing risk between the Center and promoter. To the extent a promoter is involved, the Center should consider offering negligible rent in cases where other revenue sources (food and beverage, electrical, etc.) would offset costs. · Similarly, consideration should also be given to a co-promote arrangement where the Center would work with a local TV or radio station to produce a festival event, sharing in the costs and benefits. Five Flags as a Music/Entertainment Facility What are the market characteristics of this event segment? Promoted spectator events represent a lucrative market, consisting of concerts, family shows, stand-up comedy, circuses, magic shows, professional wrestling, rodeos, motor cross racing and other entertainment acts. The Five Flags Center currently hosts a modest level of these events. Based on interviews with event promoters, Dubuque is considered a viable market for a number of concerts and family shows. However, there has been some concern raised as to the limited size of the market population (89,300 metropolitan statistical area) and the resulting inability to draw significant crowds/attendance levels necessary to turn a profit or warrant a return. Competition from markets including Cedar Rapids, Waterloo, Des Moines, Ames, La Crosse, Madison, Quad Cities, Rockford, Peoria and Chicago will impact major touring events. Analysis of Potential Future Uses for the Five Flags Center Headliner concerts and entertainment acts, major family shows and other promoted events generally stop in Dubuque once every couple of years. Given the current area demographic profile, primary event focuses for the Five Flags Center in future years should include: · Secondary market shows Agent booked events Musical productions Theater productions Specialty events (illusion art, comedy, etc.) · Motor sports (ventilation issues may need to be addressed) It is expected that the addition of permanent ice would not detract from the venue's potential event base. What are the building modifications that will be needed to accommodate this event segment2 · Improvements to the quality of the seating Sufficient flexibility in staging at various points in the Center Installation of seating that allows for flexible configurations for various capacity and staging arrangements Improvements to the overall ambiance of the Center and the pre-function space, particularly for theater and related productions The potential costs for improvements to seating and public areas are estimated to range from $1,075,000 to $1,300,000. What other issues should be considered when evaluating added ice capacity at the Five Flags Center? Management of the Five Flags Center should consider partnering with area promoters and radio stations to co-promote concert and other music events. This may involve a sliding scale for rent with limited or no rent for low attended events and a premium rental payment for successful events with high attendance levels. Analysis of Potential Future Uses for the Five FJags Center Potential Five Flags Event Analysis Pa~e 50 Management of the Center should have authority to negotiate arrangements with promoters and other organizations for use of the Center within certain parameters. Five Flags as an Arts Facility What are the market characteristics of this event segment? Based on discussions with local arts group representatives, there is an opportunity to capitalize on the existing arts components at the Five Flags Center. Second level space, as well as the "black box" space could be used for: · aerobics · art studios and workshops · dance · rehearsal space · music lessons · smaller music and theater productions · poetry readings · office space improvements to the Bijou room could also provide for a more conducive environment for performance events. What are the building modifications that will be needed to accommodate this event segment? To accommodate such events, consideration should be given to maximizing the flexibility of the second floor meeting space. Primary investment should include: · Portable floor coverings - Wood floors for dance, cushioned mats for aerobics and a standard carpeted floor for other events. · Wall treatment to allow for specific event types - Mirrored walls to accommodate dance and similar performance events, with a simple curtain system to cover such wall treatment to accommodate other events. · Added concession space - Current space does not fully accommodate the needs of highly attended events. · Consolidate second floor space - Fill in openings between first and second floor. · Consider adding second level storage - This would involve decking a portion of the existing first floor storage space. Beyond the multiple use of the meeting space, considerations should be given to the installation of a visual arts component throughout the facility that could create a kind of "walking museum". This would require an element of security in the facility to allow for the display of original art work. What other issues should be considered when evaluating a higher arts industry profile at the Five Flags Center? The installation of an information kiosk in the lobby could serve to highlight artists on display, and refer patrons to local museum facilities, restaurants and related establishments. · Center management should consider partnering with local arts groups for development of arts and educational programming for the center, including musical, theater and related events. A public art initiative should be considered to acquire temporary exhibits for the public spaces of the Center. The artwork could be based on a process of juried selection. Security of the pieces will need to be considered and can be accomplished by individual electronic security devices that are not a significant COSt, · The ingress/egress into the Bijou room, as well as the overall connection between the Theater and the Five Ftags Center, should be evaluated with a focus on potential reconfiguration of the spaces. This would atlow for better coordinated lobby areas and improved functionality of the Bijou room. · The development of weight training and other exercise equipment space in the Center, potentially marketed to downtown workers and residents. To accommodate these and many of the other events summarized herein, the Center should offer the current level of technology in terms of high speed data transfer. This will likely require the installation of T- I lines within the center, or some other form of high speed data access. As noted above, an informational kiosk could provide patrons with information as to the event calendar, other downtown events, museum exhibits, restaurants, shopping and related items. The high speed data access can support the kiosk in terms of altowing patrons to access information electronically, and potentially reserve tickets for future events, make dinner reservations, and access other information regarding the downtown area and the overall community. Costs for these initiatives have not been included in this analysis, and should be studied further as planning for the project continues. APPENDIX: DDYARCHITECTURAL ASSESSMENT Ice Rink The current ice rink (85' x 185') is smaller than the current regulation size NHL/North American hockey rink which is 85' x 200'. The ice rink was constructed with the original building in 1978-79. The rink was originally designed to operate approximately four to five months of the year in the winter season. The ice rink concrete floor is in excellent condition, with a very smooth and dense surface. The Five Flags ice rink refrigeration piping material is plastic and, according to information supplied to our firm, is carrying its maximum heat transfer capabilities. Therefore, you cannot just add chiller capacity to increase the cooling capacitates, since capacity, equipment, and building envelope construction limit the ice rink system. The original design specified 100 tons of chiller capacity; this has since been upgraded to 110~120 tons. One solution is to replace the current ice rink system with one with increased capacity. Another option to extend the use of the ice rink season for summer leagues, camps, lessons, etc. would be to install a dehumidification system and add chiller capacity. It is possible that adding one desiccant dehumidification unit, and one additional 70-ton chiller to the facility will extend the useful season for ten months including some of the summer months. It is possible that a much more detailed study could be conducted to determine if and what upgrades would have to be made to accomplish ice rink usage for ten to eleven months of the year. Other operational issues that could be addressed include Iow emissivity coating for the ceiling, metal halide lamps for the arena fixtures, electric (Zamboni) ice resurfacers, and screw compressors to replace the reciprocating compressors. The cost of adding a new 12 month 85' x 200' ice rink system is estimated at $650,000 to $850,000. The cost of adding new Fiberglass and aluminum dasher boards is estimated at $200,000 to $250,000. The cost of adding a desiccant dehumidification system is estimated at $ I I 0,000 to $150,000. The cost of adding a 70-ton chiller unit is estimated at $200,000 to $250,000. Analysis of Potential Future Uses for the Five Flags Center Appendix Page A- I Ice Rink Coy rin Currently I" thick 4' x 8' sheets of "Homasote" insulation board is placed over the ice sheet to provide a base for using the ice surface area for other events. This material provides a minimum level of insulation. A layer of rubber-backed carpet can also be placed over the Flomasote board to upgrade the appearance and provide a flooring layer. There are significant drawbacks to the current system for covering the ice surface. Homasote breaks off in small pieces, is not strong enough to carry heavy loads, provides only a minimal level of insulation (and comfort), is not horizontally stable (i.e., edges will curl) does not interlock, and therefore has open seams between panels. There are a choice of other insulating panels that are made of plastic that are strong enough to take a forklift load, has a significant level of insulating capabilities, is stable in all directions so it will not curl and interlocks so no seams open up. The surface can be used as is, or can be covered by other materials, including carpet. All surfacing panel systems require a rink bordering system to contain panel movement. The existing dasher system can be modified to be able to remove the dasher boards and install a border system to contain the panels. The advantage of these panels is a solid, safer, ice surface covering for spectators, participants, and staff. It provides the building with a simple fast system, for "change-over" for events, allowing the building to book more events and provide an improved environment for those events. The cost of adding a new ice rink covering system is estimated at $75,000 to $100,000, Adding a crowd control barrier could also be considered as a safety and security enhancement to the existing portable staging platform. The cost of adding new crowd control barriers is estimated at $20,000. Tel sc in Bleachers Bleacher replacement will be necessary in the near future since the manufacture of the bleacher is no longer in business and replacement parts are diffcult to obtain and will be more difficult as time goes on. The bleachers are no longer in compliance with current or new codes and have exceeded their useful operational life span. It is recommended that Section 8 not be replaced since it has very poor sightlines and is remotely located and separated from the rest of the spectator seating. New bleacher seating is recommended to have a contoured seats (18" width) with backrests to provide a Analysis of Potential Future Uses for the Five Flags Center Appendix Page significant improvement in spectator comfort for watching arena events. The seating capacity of the arena will decrease with bleacher replacement in order to comply with current life safety codes. The seating budget is based on standard manufactured telescoping bleacher units, not custom units. Cost of adding new bleacher seating with backs is estimated at: · Sections 9 through 12 - $180,000 to $200,000 - I, 188 seats (existing I, 140 seats) · Sections 13 through 17 - $100,000 to $115,000 - 618 seats(existing 788 seats) · Sections 18 through 22 - $120,000 to $135,000 - 774 seats (existing 996 seats) · Seating totals - $400,000 to $450,000 - 2,580 seats (existing 2,924 seats) The current side stage location has a rigging capacity of 2,000 pounds at three locations along each long span bar joist truss (6,000-pound total load capacity). The long span bar joist trusses are engineered as an economical lightweight truss to span long (over 100') distances. Because of their inherent design, they do not accept portable point loads (rigging loads) very well. It is exceedingly difficult to add significant rigging capacit7 to an existing truss of this construction. Clear floor to ceiling height over the arena area is adequate for ice rink and related functions or events. However, the structural height for concert events, circuses, etc. would be considerable improved if the height were a minimum of 60 feet above the floor. This is only feasible with the replacement of the existing long span joist structure and increasing the column heights and capacity. Replacing the current long span truss joists with a higher caPaCity structure including a rigging grid would likely require additional column and footing capacity. It is DdY's opinion that significantly increasing the load carrying capacity for rigging loads (super imposed point loads) or replacing the current trusses with new trusses at an increased height is not economically feasible. A structural analysis, which is beyond the scope of this study, could be prepared identifying what additional loading to the long span truss joists would be feasible and practicable. The cost of adding additional rigging capacity to the existing structure is not economically feasible. The cost of replacing the structure with a new structure at a higher level is not economically feasible. Analysis of Potential Future Uses for the Five Flags Center Appendix Page A-3 Lobby/Security The current Fire Marshal is requiring the main lobby entrances on locust and main streets to be open for any event. Previously, for practices and Iow attendance events only the Locust Street entry lobby was open for use. The exit doors from the ice rink near the theater (grid lines seven and eight) to the main lobby have been locked off to prevent attendees (especially younger family members, brothers/sisters) from accessing "off limits" portions of the building. Suggestions to facilitate this change include posting a security guard, located at the exit doors to prevent unauthorized or non-emergency exiting of this area. Another suggestion included alarming the exit doors and installing security cameras to warn people this is an emergency exit only and not to be use to access the lobby. The cost of adding new electronic hardware, alarm system, and security camera is estimated at $3,000 to $10,000. There would also likely be ongoing personnel cost associated with this operational change. To increase the customer service, food service, usability and convenience of the spectators, it is proposed that the upper level be redesigned. This redesign would include enlarging the concession facility by moving the front counter out into the lobby area and in-filling two of the floor openings. This would provide more "points of sale", improve the stacking space for patrons, significantly more circulation space and leisure (standing) space for attendees. With additional space food carts might be included to add another option for food service, options for increased variety of food offerings or greater ease in obtaining food or beverage items by attendees. The cost of expanding the existing concession stand is estimated at $15,000 to $20,000. The cost of expanding and filling in the floor openings is estimated at $10,000 to $20,000. Second Level Meeting Rooms The single small meeting room on the second level could have its capacity increased from 49 persons capacity up to 171 persons capacity by the addition of another exit from the room complying with the current building exit code. Current capacity is based on a single exit location. The revised loading is based on a seven square foot per person occupancy for a seminar type event. It is also probable the small corner bar would have Analysis of ~bL~aiGal Future Uses for the Five Flags Center Appendix Page A-4 to be relocated in order to comply with interpretations of the code. It may be possible to just relocate the door to the bar. The cost of adding a new exit door is estimated at $2,000. The cost of relocating the bar is estimated at $6,000 to $10,000. The cost of relocating the bar door is estimated at $1,500. The cost of relocating exit doors at adjacent meeting room is estimated at $2,500 Bi!ou Room. Lower Level Discussions concerning the Bijou room included expanding the room to the North under the arena/office area, connecting the East area to the underground connection to the hotel, expanding the stage, additional physical ADA enhancements were all (verbally) analyzed. The conclusion was that these options were all very expensive, would require major disruption to the ongoing use of the facility, did not have a reasonable benefit for the expenditure, and did not significantly enhance the present use of the space. It was recommended that lighting be revised to provide dimmable fluorescent light in the center area for meetings use and that theatrical/night club lighting be incorporated for entertainment events with appropriate and flexible switching for lighting control. Additionally, a general painting "face lift" should be considered. The cost of adding new fluorescent lighting and dimmable switching is estimated at $4,000 to 8,000. The cost of adding new stage track lighting and dimmable switching is estimated at $5,000 to I 0,000 and up. The cost of adding new acoustical wall covering is estimated at $5,000 to 7,500. The cost of painting walls and ceiling is estimated at $3,500. Pub!lc Lobby and Circulation The building has an inviting lobby and a public circulation area that runs through the facility connecting Main Street and Locust Street. The area varies in height from one story to three stories with a series of floor openings on the second level that provide openness, visibility and connection to the spaces on the main level. In a couple of areas these openings do cause concentrated circulation of people that is not desirable especially near the concessions and toilets. To provide improvements and increase the level of ambiance in the public spaces a general replacement of finish materials is appropriate. The current finish materials and color scheme have been in place since the facility opened and replacement is warranted. Analysis of Potential Future Uses for the Five Flags Center Appendix Page A-S The cost of replacing and refinishing all surface materials (floors, walls, ceilings, stairs, railings, etc.) in the lobby space is estimated at $275,000 to $400,000. Analysis of Potent al Future Uses for the Five Flags Center Appendix Page A-6 Bud et Estimated C sts The cost estimate figures presented are concept budget figures obrmined from various vendors and sources based on information supplied and not on actual drawings. These figures ma)' vary either up or down depending on various factors, including but not limited to proposed purchase date, construction market and availability of trade contractors, special conditions of installation, selected products, quality, quantities, and accessories, and local market competitive conditions. These figures do not include architectural or engineering design or construction administration fees, sales tax, permit fees, bonding or insurance costs, owner restrictions or other building code requirements. These budget estimates have been prepared based on information from existing drawings, information supplied by staff members, and reasonable assumptions. Existing conditions encountered before or during construction may require additional costs to complete the projects. Note that accomplishing some portions of the identified tasks may lead to doing additional work not contemplated (i.e., filling in the floor openings may lead to re-carpeting a larger area or the whole second floor). Note some projects may only require a week or two of down time while other projects may require a month or two to complete. It is estimated that all projects identified could be completed in a four to five-month period, provided contracts were issued with enough lead time to procure critical equipment and materials for the proposed schedule. Analysis of Potential Future Uses for the Five Flags Center Appendix Page A-7