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Sportsplex CIP Analysis <br />Major Capital Investment Project Assumptions <br />(i) Programmable Lobby Space <br />110,000 <br />In addition to cosmetic upgrade in alreadyFY12 /13 CIP <br />(II� Fitness Mezzanine <br />950,000 <br />Conservative estimate, including all equipment <br />(III Turf Addition <br />1,900,000 <br />Based on updated costs of construction and site work <br />(iv) Court Addition <br />900,000 <br />Based on updated costs of construction and site work <br />Combined Cost <br />$ 3,860,000 <br />Incremental Revenues <br />A. Lobby <br />Impact of Lobby Renovations on Memberships <br />220,000 <br />10% growth on current membership of 4,000 <br />Incremental Impact on Kidsplex <br />50,000 <br />Flexibility from new Group X room expansion <br />Incremental Impact on Other revenue based programs <br />42,000 <br />Birthday Parties and Inflatables <br />Total Year One Revenue <br />312,000 <br />FY 13/14 to FY 18/19 (5 years of CIP) <br />1,962,000 <br />Over five years with program growth <br />B. Fitness Mezzanine <br />FY14/15 <br />220,000 <br />400 new members @ $550 per member <br />FY15/16 <br />368,500 <br />plus 270 for 670 members @ $550 <br />FY16/17 <br />368,500 <br />670 members @ $550 <br />FY18/19 <br />368,500 <br />670 members @ $550 <br />FY14/15 to FY18/19 ( 4 years of CIP) <br />1,325,500 <br />C. Turf Addition <br />Membership Growth <br />FY15/16 <br />184,250 <br />335 members @550 /member <br />FY16/17 <br />184,250 <br />335 members @ $550 <br />FY17/18 <br />184,250 <br />335members @ $550 <br />League /Academies /Prog. /Rental Revenues over 3 years <br />1,567,000 <br />FY15/16 to FY17/18 ( 3 years of CIP) <br />2,119,750 <br />D. Court Addition <br />Membership Growth <br />FY16/17 <br />184,250 <br />FY17/18 <br />184,250 <br />League /Academies /Prog. /Rental Revenues over 2 years <br />314,000 <br />FY16/17 to FY17/18 <br />682,500 <br />Five Year Total Incremental Revenue Generation <br />$ 6,089,750.00 <br />Five Year Total Incremental Operating Expenses <br />$ 2,959,580.00 <br />Net Operating Return <br />$ 3,130,170.00 <br />Summary Comments: <br />a. Total CIP costs of three renovations is approximately $3.86mil spread over four years. <br />b .Net Contribution to operating fund over five year period CIP timeframe is approximately $3.1mil. <br />c. Each phase of this expansion generates revenue flow greater than capital investment within Five Year CIP <br />d. Through the considerable leverage on RFP resources and extrapolating net contribution in FY18/19, approximately five years <br />the total contribution to the Fund Balance is $4.1million ($3,130,00 +$980,000 = $4,110,000) which pays back for all phases of the CIP <br />125 <br />[.3Q <br />