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<br />Orange County Sportsplex Maior Capital Investment Opportunities
<br />FY 12/13 Lobby Protect: The Sportsplex CIP proposes an expanded Lobby Renovation project in FY12/13 starting near
<br />the end of the fiscal year, which will provide significantly increased capacity for Group Exercise based programming such
<br />as Zumba; cardio, strength, martial arts and other dedicated training room based programs. The trend in the industry is
<br />to "small group" training and we currently have little space to accommodate that need. The additional space would also
<br />be utilized for Kidsplex after school, pre - school and camp programs. Currently there is a waiting list of at least five
<br />children at each age level.
<br />Last year, $125,000 was approved in the FY12/13 CIP for purely cosmetic upgrades to Lobby flooring, walls and lighting.
<br />This is proposed to increase to $165,000 by transferring $40,000 of funds from the significantly under budget server
<br />upgrade to cover the escalated cost of the specialty rubberized flooring. It is now proposed that during the same time
<br />as this disruption that physical renovations are made to expand the major Group X room and add second specialty
<br />strength and cross fit space. By piggybacking the already approved cosmetic work, incremental costs will be only
<br />$110,000 while adding 1,834 sq. ft. of revenue generating space. The unique design of the proposed expanded Group X
<br />room facilitates dividing it into up to five fully autonomous rooms. This in turn facilitates significant programming
<br />flexibility, as well after school and camp expansion. The anticipated first year revenue impact is $220,000 from 400 new
<br />members (10% growth). Kidsplex and other program growth is an additional $92,000 annually, which more than
<br />recovers the cost of the project within 12months.
<br />FY 14/15 Pool Mezzanine: Consulting engineers determined that the pool mezzanine addition proposed in last year's CIP
<br />was structurally practical and efficient. The pool mezzanine is therefore proposed to proceed as planned and budgeted
<br />($ 950,000) providing 5,400 additional sq. ft. This additional space will be used for member change areas (2,700 sq. ft.)
<br />that are essential for a fitness club projected to grow to 6,700 members from its current base of 4,000. Additionally, it
<br />will provide a dedicated Spin, Row, Krank and Massage room (900 sq. ft.) plus 1,800 sq. ft. dedicated to adult and senior
<br />cardio equipment. The total cost of $950,000 is inclusive of all equipment. Incremental revenue over the planning
<br />horizon from the Pool Mezzanine is projected to be $1,325,500
<br />FY 15/16 Turf Addition: The consulting engineers further determined that the previously contemplated expansion of
<br />the Ice rink mezzanine was not structural practical. We had proposed $1,000,000 for that project in the prior year CIP.
<br />However there is a more compelling option from both use and revenue generating perspectives. Indoor turf can be
<br />used for a broad range of member programs plus year round walking, running, indoor soccer, lacrosse, flag football
<br />leagues for youth and adults. Programs proprietary to RFP at its other locations that could be brought to Orange County,
<br />including the full range of early childhood based Lil Kickers, Lil Sluggers and Lil Cheer programs. Kidsplex after school,
<br />pre - school and summer camps would see significant benefit from the turf addition. The cost of this addition is higher at
<br />$1,900,000 but results in $2,119,750 additional revenue in just the FY15/16 to FY17/18 three year planning horizon
<br />alone.
<br />FY 16/17 Court Addition: Completing the major expansion vision would be the addition of a regulation high
<br />school /college basketball court along with retractable bleachers. Additional programming would include youth and adult
<br />basketball leagues; Lil Dunkers; court based fitness programs; volleyball, and Kidsplex activities. The incremental
<br />revenue from additional members and programs would be $682,500 for just FY16/17 and FY 17/18.
<br />Financial Impact: The net result of all four phases of this expansion would add $6,089,750 in additional revenues over
<br />the five year CIP planning horizon. The net contribution to the Fund Balance would be $3,130,170 over the same period.
<br />These strong financial returns are made possible by the significant leverage opportunities from utilizing Recreation
<br />Factory Partners and its existing Sportsplex management, staff and resources.
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