HomeMy WebLinkAboutCouncil Actions 11-01-05 SpMtgROANOKE CITY COUNCIL
SPECIAL SESSION
NOVEMBER 1, 2005
4:00 P.M.
CITY COUNCIL CHAMBER
AGENDA
1. Call to Order.
2. Roll Call.
Invocation/Pledge of Allegiance to the Flag of the United States of America.
Mayor Harris.
Statement of Purpose: The purpose of the special meeting is to receive the
stadium study report prepared by HEERY International, Inc., and the
marketing study prepared by CSL International, Inc.
5. Presentation of Victory Stadium Consultant's Report.
6. Questions and Comments by the Mayor and Members of Council.
7. Recess/Adjourn.
(Dinner will be served at 5:30 p.m., in the Council's Conference Room.)
Misc. 10/28/2005
C. NELSON HARRIS
Mayor
CITY OF ROANOKE
OFFICE OF THE MAYOR
215 CHURCH AVENUE. $.W., ROOM 452
· ROANOKE, VIRGINIA 24011-1594
TELEPHONE: (5~0) 853-2444
FAX: 1540) 8~3-1145
October 27, 2005
The Honorable Beverly T. Fitzpatrick, Jr., and
Members of the Roanoke City Council
Roanoke, Virginia
Dear Vice-Mayor Fitzpatrick and Members of Council:
Pursuant to Section ]0, Meetings of Council Generally, Charter of the City of
Roanoke, this is to advise you that I am calling a special meeting of the Council
on Tuesday, November 1, 2005, at 4:00 p.m., in Room 359, Noel C. Taylor
Municipal Building, 2]5 Church Avenue, S. W., City of Roanoke.
The purpose of the special meeting is to receive the report of HEERY
International Corporation with regard to Victory Stadium.
Sincerely,
C. Nelson Harris
Mayor
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pc: Darlene L. Burcham, City Manager
William M. Hackworth, City Attorney
Jesse A. Hall, Director of Finance
Mary F. Parker, City Clerk
Troy A. Harmon, Municipal Auditor
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ROANOKE CITY COUNCIL
November 1, 2005
4:00 p.m.
A special meeting of the Council of the City of Roanoke was called to
order on Tuesday, November 1, 2005, at 4:00 p.m., in Room 159, Noel C.
Taylor Municipal Building, 215 Church Avenue, S. W., City of Roanoke, with
Mayor C. Nelson Harris presiding.
PRESENT: Council Members M. Rupert Cutler, Alfred T. Dowe, Jr.,
Beverly T. Fitzpatrick, Jr., Sherman P. Lea, Brenda L. McDaniel, Brian J. Wishneff
and Mayor C. Nelson Harris ............................................................................ 7.
ABSENT: None .................................................................................... 0.
The Mayor declared the existence of a quorum.
At 4:05 p.m., the Mayor declared the special meeting in recess to be
immediately reconvened in the City Council Chamber, Room 450, Noel C. Taylor
Municipal Building, 215 Church Avenue, S. W., City of Roanoke.
At 4:10 p.m., the special meeting reconvened in the City Council
Chamber, with all members of the Council in attendance, Mayor Harris
presiding.
The Mayor declared the existence of a quorum.
The invocation was delivered by Council Member Sherman P. Lea.
The Pledge of Allegiance to the Flag of the United States of America was
led by Mayor Harris.
The Mayor read the following letter calling the special meeting of Council:
"Pursuant to Section 10, Meetings of Council Generally, Charter of
the City of Roanoke, this is to advise you that I am calling a special
meeting of the Council on Tuesday, November 1, 2005, at
4:00 p.m., in Room 159, Noel C. Taylor Municipal Building, 215
Church Avenue, S. W., City of Roanoke.
The purpose of the special meeting is to receive the report of
HEERY International Corporation with regard to Victory Stadium."
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Mayor Harris advised that the Council would be briefed on the Stadium
Study Report prepared by Heery International, Inc., and the Victory Stadium
Market and Financial Analysis report prepared by Conventions, Sports & Leisure
International ("CSL"), copies of which would be available for review by the public
at the Main Library and all branch libraries, and personal copies could be
obtained for approximately $35.00.
Mayor Harris stated that representatives of Heery International, Inc., and
CSL International would present their report without interruption, followed by a
brief recess and Council Members would then make comments and ask
questions of the consultants. He further stated that the meeting was not
considered to be a public hearing and the Council would not entertain public
comments.
The City Manager advised that Charles Anderson, Architect, representing
the Engineering Division of the City's Department of Public Works, served as
lead staff person on the project, which included issuance of the original
Request for Proposals (RFP), review of responses to the RFP, and he served with
two City Council Members on a committee to select consultants.
Mr. Anderson introduced Michael Holleman, Vice-President, Heery
International; Brian Parker, representing Conventions, Sports & Leisure
Internation.al ("CSL International"); and John Garland, representing Spectrum
Design, and specializing in Historic Tax Credits.
Mr. Holleman stated that the purpose of the Victory Stadium Study was
to:
· Evaluate existing conditions of Victory Stadium
· Develop five options requested by Council
· Review the project on the Victory Stadium site
· Prepare a comparative analysis.
He further stated that the consultant would not make a recommendation, but
would provide Council with the facts on which to make a decision.
He stated that the agenda would cover the following main issues:
· The floodplain
· An assessment of the existing stadium
· Historic Tax Credits
· Five specific options
· Discussion with regard to revenue potential and market analysis
· Financial discussion
333
Mr. Holleman advised that the floodplain is a major and costly issue and
called attention to pictures of the floodwater up to the vomitory height of the
stadium; and floodplain issues have been discussed with URS, a consulting firm
from Norfolk, Virginia, and with the U. S. Army Corps of Engineers. He stated
that a levy system is being constructed, but there is no guarantee that the
system will be completed, and funding has been allocated for the first section.
Levels and elevation of Stadium
80 40 20 10 O!
I I II I
He advised that:
The above diagram contains lines which show the floodplain
areas that go from the two year, three year, 30-year, all the way
up to the 100-year floodplain.
The good news about the levy is that the area of the site will be
protected through the ten year floodplain, and beyond that the
site will continue to flood.
Some of the wall is built for the 30-year floodplain, but water
comes in from the back side and will flood the site when it
reaches above the ten year floodplain.
There is a crown when looking at midfield and back through the
stadium, the elevation at 924 is below the floodplain and at 927
there is a lower level underneath the stadium where locker
rooms are currently located which is in the flood zone.
The stadium was constructed to accommodate the addition of
other floors in the future, reinforcing bars protrude from the
beams and the stadium is capable of handling another floor in
the future, which would be on two levels: the lower level and a
smaller upper level.
334
Looking at floodplain numbers, the lO0-year floodplain is about
three feet below the level of the future floor, which would
provide an opportunity to move things up to that level in the
event of flooding.
The ten year floodplain is at the lower concourse, so if facilities
were provided under the stadium, which may flood on occasion
after the 10, 50, 100 year floods, they could be floodproofed
through a kind of "hose down" construction, which would have
both negative and positive aspects.
Flood Plan Elevations and Existinq Stadium Elevations
This section shows the second level, which would be above the
100 year floodplain, with enough space that floodproofing could
be done for a level below.
The section also shows the front row of the stadium removed;
the first bay of the stadium, or about nine rows, would be
removed and replaced with a wheelchair seating area for the
handicapped.
Flood Plan Elevations - Proposed Second Level Renovations and
Field Elevations:
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Previous reports and analysis include the following issues
concerning the existing stadium: loose brick on the stadium,
rusted ties that hold the brick to the structure which can be a
potential long-term problem, an extremely small seating area,
lack of restroom and concession amenities, and track and field
condition.
· Numerous code issues exist.
Victory Stadium was constructed and complied with the Life
Safety Code; any renovations must comply with current codes,
which include ADA, Life Safety Code, plumbing code, etc.
Positive considerations are:
The existing stadium is structurally sound and is constructed on
deep foundations, but the soil contains a considerable amount
of silt because it is located in a floodplain, and it would be
necessary to dig down some distance in order to hit good
bedrock;
· The structure is not sinking, but slab on grade areas in the
lower level have sunk causing some cracking;
· Sufficient capacity seating exists for anything that the City
wishes to do;
· The stadium has a good history and memories of great events;
· The stadium is located on an existing site that is currently
owned by the City.
Mr. Holleman advised that in order to be eligible for the Historic Tax
Credits, the stadium would have to be registered as a historic landmark;
preliminary meetings have been held with representatives of the State Office of
Historic Preservation who have indicated that Victory Stadium is a facility that
could be placed on the historic landmarks list; and everything within the
footprint of the stadium itself which includes the east stands to the west
stands, as well as the playing field, could be eligible for up to 20% Federal and
25% State funds, and the savings would come back to the City, or to the
organization representing the City that would take the tax credits that may be
in the neighborhood of 35%. For example, he stated that if the eligible cost is
$10 million, proceeds to the City would be $3.5 million.
336
Mr. Holleman explained that the five options that Heery was instructed to
consider are:
Option 1 - Existing stadium from a tax credit point of view;
Option 2 - Existing stadium from a non-tax credit point of view;
Option 3 - New stadium on the same site with 5,000 seats;
Option 4 - New stadium on the same site with 10,000 seats; and
Option 5 - New stadium on the same site with 15,000 seats.
He advised that:
The basic program included bench seats, restrooms and
concessions for 8,000 people; however, the feasibility of the
number of events and the number of persons in attendance
most likely would not be 15,000 or 20,000, therefore, a
considerable amount of money would be spent for restrooms
that are not needed, which would be negotiable; it would be
possible to renovate existing lower restrooms to make up the
difference or temporary facilities could be used; an expanded or
improved press box, support space of 11,000 square feet net,
locker rooms, dressing rooms, rooms for coaches and officials,
and improvements to field lighting.
Optional program areas include a new field; if the field is used
with a great deal of frequency, it may be advisable to level out
the playing field and install artificial turf with a full drainage
system.
The architectural fac;ade must remain the same whether it is
replaced or repaired in place in order to qualify for the Historic
Tax Credit, which would impact other options regarding the
type of architectural presence at the site; i.e.: it could be a
"plain Jane" kind of facility or a facility of comparable nature to
the current Victory Stadium.
Site aesthetics is another optional issue; i.e.: leave the site as is
or improve the site with better landscaping, gateways, arches,
ticketing facilities, etc.
Another option would be to construct locker rooms above the
floodplain at a higher level in lieu of floodproofing and building
locker rooms underneath the stadium.
Mr. Holleman reviewed the following options:
Option 1 - Existinq Stadium - Historic
Historic Tax Credit
Historic Rehabilitation - Site Plan
Rehabilitation with
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One of the main issues with the current stadium is that the
stairs do not meet current Life Saving Code standards in the
aisles, however, that could be corrected in the stands when the
seats are redone; redoing the front row of seats can improve the
situation for disabled persons using wheelchairs; if restrooms
and concessions are moved to the second floor, stairs will be
needed, within the facility and outbound on the stair tower,
however, anything built outside of the stadium footprint will not
be eligible for historic tax credits, therefore, consideration can
be given to an alternate scheme that gives up some of the
restroom facilities and places the stair tower within the structure
to save money, and leave the handicapped ramp outbound
leading up to the wheelchair positions.
Everything within the stadium footprint, including the field, will
be eligible for Historic Tax Credit; and site costs that are beyond
the footprint of the building; i.e.: parking, fencing and
gateways on the outside are not eligible for Historic Tax Credits.
Historic Rehabilitation - Concourse Level
338
Historic Rehabilitation - Exterior Elevation~
West Elevation
Historic Rehabilitation - Stadium Section
This section shows space underneath that would be raised up
about six inches above the existing concourse outside which
would place the space just above the ten-year floodplain; and
patrons would go up the stairs to the concourse and walk
straight out into the grandstand.
The press box is currently bricked to a certain height an
addition was ater constructed for a camera deck which does not
fit within the original architecture; an elevator will need to be
installed to the press box to meet ADA requirements, which will
be located inside the building and would come up in the middle
of the press box; and expansion of the press box toward the
field side would uplift the elevator and stair access and provide
the right facilities for the press box.
339
Option 2 - Existinq Stadium - General Renovation Without Tax
Credit
General Renovation - Site Plan
General Renovation - Concourse Level
General Renovation - Exterior Elevations
West Eleva~0~
340
This option does not qualify for Historic Tax Credit; all of the
brick would not have to be put back on the building; there
would be an optional choice to either remove all of the brick and
leave the structure exposed, or remove all of the brick and
replace brick in certain areas.
In addition, support facilities could be left underneath the
stands or, if they are taken out of the floodplain, a building
could be constructed in the end zone, possibly the fountain end
at the river, or a 14,000 square foot facility could be
constructed for locker rooms above the floodplain; players
would have to come out of the facility and go down the stairs to
reach the playing field which is rarely done because players
would be wearing cleats that would pose a trip hazard; or
construct a ramp which would be more costly due to the need
for a connector that would extend between the concourses from
one side of the stadium to the other.
· Site costs include areas from the perimeter fence around the
facility up to the building.
· New landscaping and a wrought iron fence with brick piers to
upgrade the appearance of the stadium from the outside.
Option 3 - New 5,O00 Seat Stadium
New 5,000 Seat Stadium - Site Plan
New 5,000 Seat Stadium - Stadium Sections
341
A new 5,000 seat stadium reflects an equal number of seats on
each side of the stadium; however, there could be consideration
for 3,000 seats on one side and 2,000 on the other, depending
on whether there is a home field side and a visiting side.
This option is straight forward with a football field and a soccer
field; seats are concentrated between the 20-yard lines, with
access to a concourse in the back, and restrooms and
concessions located above the floodplain.
This scenario would incur an added cost compared to building
on a site that has great soil and no floods. Construction of the
concourse, restrooms and concessions in the air is favorable
from a fan's perspective, because they can still see out into the
field; stands and ADA compliant wheelchair seating would be at
the top and support facilities could either be at grade level as
shown above or there is sufficient height to raise them
underneath the level; and it would be less expensive than
constructing the building in the end zone.
Option 4 - New 10,000 Seat Stadium
New 10,000 Seat Stadium - Site Plan
342
New 10,000 Seat Stadium - Concourse Level
New 10,000 Seat Stadium - Stadium Sections
The 10,000-seat option is similar to the 5,000 seat concept, but
extends farther down the sidelines and goes to the end of the
end zones.
It is a comfortable plan, with stairs, restrooms and concessions
on upper level and the ability to look down onto the field.
A plus with regard to a 10,000 seat facility is that it begins to
enclose the stadium.
Option 5 - New 15,000 Seat Stadium:
New 15,000 Seat Stadium - Site Plan
343
New 15,000 Seat Stadium - Concourse Level
New 15,000 Seat Stadium - Stadium Sections
The 15,000-seat option provides for a concourse, stands that go
up and patrons would go through vomitories similar to the
current Victory Stadium.
344
Another concept allows for a concourse allowing patrons to look
down onto the field, and the remainder of the seats could be
placed in one of the end zones.
The concept also allows for a U-shaped stadium that would
contain 15,000 seats, which is about two rows deeper than the
previous concept, with restrooms and concessions on the side
of the concourse, and a connecting walkway at the rear.
This scenario provides a more intimate type of stadium. If the
National Guard Armory building were removed from the present
site, the area could become a full court or grassy area that
would lead to the stadium and could accommodate both football
and soccer.
Schedule
The schedule is similar for completing all five concepts, which
could be completed for the football season of 2007, with
construction commencing in May 2006.
The schedule provides for: notice to proceed, design phase,
schematics, design development, construction documents,
procurement, and construction.
The renovated concepts require some renovation before the
football season, and work would continue through the football
season.
The new stadium concept requires demolition of the existing
stadium; i.e.: demolishing one side and leaving the other side
for one season for use by fans; immediately following that
season, demolition would occur on the other side, followed by
construction; the end date would be the same; one side of the
stands would be missing for one year, however, there is
sufficient capacity and unless there is an issue with regard to
separating fans from one side of the stadium from the other, it
would be a workable solution.
Operatinq and Maintenance Costs
Operating and maintenance costs of Victory Stadium are
presently shown to be $232,000.00; depending on whether the
stadium has 5,000 seats or 18,000 seats, projected costs range
between $250,000.00 and $217,000.00; and certain basic costs
will be incurred regardless.
345
At this point, Mr. Holleman turned the presentation over to Brian Parker,
representing Conventions, Sports & Leisure International ("CSL International").
Mr. Parker advised that CSL International was requested to join the team
with Heery International when the initial RFP was issued; Heery International
reviewed physical capabilities and CSL International identified market demand
and support in terms of facilities and types of events, the types of uses that a
stadium in Roanoke could accommodate, needed capacities, and financials
based on the abovereferenced scenarios.
Mr. Parker reviewed the following Victory Stadium Market and Financial
Analysis report:
Victory Stadium has provided the Roanoke region with a major
outdoor venue for football games, soccer matches, concerts,
festivals and various other events since 1941. The 25,000-seat
Stadium has hosted a number of collegiate football games in its
history, including the annual game between Virginia Tech and the
Virginia Military Institute, which was held at the Stadium until 1971,
and the Western Virginia Education Classic, which will play its sixth
annual game at the Stadium in 2005. The facility has also hosted a
variety of regular season and postseason high school football,
soccer and lacrosse games over the years, and currently serves as
the home field for the William Fleming High School and Patrick
Henry High School football programs. In addition to sports events,
the Stadium has served as the primary outdoor venue in Roanoke
for concerts and various community and other events.
While Victory Stadium has a storied history, the 64-year old
structure has several deficiencies in comparison with more modern
stadiums, including:
· General deterioration of the structure, including exterior walls
and seating areas;
· Lack of modem amenities for fans;
· Inadequate disabled access;
· Susceptibility to flooding; and,
· Other such deficiencies.
The disrepair of the Stadium's bleachers has resulted in unsafe
conditions for fans in much of the seating areas, resulting in a
current capacity of approximately 4,000 usable seats. This limited
effective capacity, along with the aforementioned Stadium
deficiencies, have hindered the ability of the Stadium to attract
strong event and attendance levels.
346
In order to address the poor state of the existing Stadium, the City
of Roanoke ("the City") has been considering various renovation
and replacement options for the Stadium for a number of years.
However, none of these plans have been enacted to date due to
disagreements on the part of several constituencies concerning the
appropriate course of action. Currently, the City is considering
several potential development options, as follows:
· Renovate Victory Stadium, reducing the capacity to
approximately 18,000 seats;
· Build a new stadium on the same site, with a capacity of 15,000;
· Build a new stadium on the same site, with a capacity of 10,000;
or,
· Build a new stadium on the same site, with a capacity of 5,000.
In order to evaluate the feasibility of each potential development
option, the City retained the team of Heery International ("Heery")
and Conventions, Sports and Leisure International ("CSL") to
evaluate various issues related to each development option,
including:
· Potential event demand;
· Potential annual financial performance, including operating
revenues and operating and maintenance expenses; and,
· Other such issues.
CSL's primary role in the study was to assess the market and
financial feasibility of each potential development option. Key tasks
completed by CSL included:
· Assembled and analyzed key operating issues related to the
development of a new or renovated stadium;
· Reviewed historical event and attendance levels of Victory
Stadium;
Assembled and analyzed the physical characteristics, event
levels and financial performance of several comparable stadiums
throughout the country;
Analyzed the potential event mix of each potential development
option utilizing a number of research methods including
interviews with event organizers, the results of the
aforementioned analyses, and various other techniques; and,
347
Developed a financial model based on the estimated levels of
utilization and patron spending derived from the market
analysis, comparable facility analysis, and other information
pertaining to the Roanoke market.
The following report focuses on the study methods and results of
the aforementioned research and analyses, and is presented to the
Task Force in order to assist in making informed decisions with
regard to the future of its sports and entertainment facilities. The
report is divided into the following sections:
1.0 Introduction
2.0 Comparable Facility Analysis
3.0 Market Demand Analysis
4.0 Preliminary Financial Analysis
2.0 Comparable Facility Analysis
Victory Stadium lacks many of the amenities and characteristics
typically associated with more modem stadium venues. In order to
identify specific areas of potential improvement for Victory Stadium
it is helpful to gain an understanding of the physical and
operational characteristics of modem stadiums. The purpose of
this section is to present an analysis of the physical and operational
characteristics of existing stadiums that can be considered
comparable to a new or renovated Stadium in Roanoke. The
stadiums included in the analysis consist of stadiums that have
been built or renovated in recent years, have similar capacities to
the various Victory Stadium development options, and share
operational characteristics and an event focus that is similar to the
proposed new or renovated Stadium.
Through research of existing facility databases, information
received from various publications, and discussions with facility
management, information was gathered on each stadium, including
physical characteristics, event levels and other operational issues.
Stocker Memorial Stadium - Grand Junction, Colorado
The 5,100-seat Stocker Memorial Stadium is owned by the City of
Grand Junction and operated by the City's Parks and Recreation
Department. The Stadium opened in 1949, but has undergone
several renovations in recent years to bring it up to the standards
of more modem facilities. The Stadium features a natural grass
football field and a ¼ -mile track, but is not able to accommodate a
full-size soccer field.
348
Four area high schools play their home football games at the
Stadium, accounting for approximately 22 events per year. Mesa
State College, an NCAA Division I1 program, also plays five to six
football games at the Stadium each year. The Stadium also hosts
the graduation ceremonies for Mesa State College and each of the
four high schools, as well as special events such as marching band
festivals, Special Olympic events, the Shrine Circus, a cancer walk
and various other events. The Stadium's track hosts high school
track meets, and recently hosted the Hershey Track and Field
Games. In total, the Stadium hosts approximately 50 events in a
typical year.
Legion Stadium - Wilmington, North Carolina
The 6,000-seat Legion Stadium originally opened in the 1930's, but
recently underwent a major two-phased renovation. Phase I
renovations were completed in 2001 and included installation of a
new drainage system and turf, new facade, seating, restrooms, and
concessions, press box improvements, a new parking lot and
general landscaping and site improvements. Phase II was
completed in 2003 and included new locker rooms and a new
concession stand. The Stadium is owned and operated by the City
of Wilmington.
Legion Stadium is currently the home of New Hanover High School
athletics. The school plays all of its football, soccer and lacrosse
games at the Stadium. The facility is also home to two semi-pro
football teams and the Wilmington Hammerheads of the PSL, a
professional soccer league. The Stadium also hosts four to six
special events a year such as concerts and art shows. Excluding
athletic team practices, approximately 65 events or games are held
annually at Legion Stadium. The current rental rate for the stadium
is $750.00, but the City is considering increasing the rate to
$1,000.00 per event in the future.
Civic Field - Bellingham, Washington
Civic Field is owned by the City of Bellingham and operated by the
City's Parks and Recreation Department. The 6,000-seat stadium
opened in 1960, and is currently undergoing a $10 million
renovation which will include a new scoreboard, remodeled locker
rooms and improved ADA access.
Civic Field's artificial Field Turf playing surface allows it to host a
high number of events on an annual basis with relatively Iow field
maintenance costs. The field serves as the home of the Division II
Western Washington University's football and soccer programs.
349
In addition, three local high schools utilize the field for varsity and
junior varsity home games. The field also hosts a few community
events each year and is available for public rentals for recreational
soccer practices and other such uses. The Stadium also features a
track, which hosts a number of collegiate and high school track
meets, as well as occasional meets organized by the City. All told,
the stadium averages approximately 300 uses per year. The rental
fee for the stadium ranges from $800.00 to $1,600.00.
Hugh Mills Stadium - Albany, Georgia
The 10,000-seat Hugh Mills Stadium is owned by the City of
Albany/Dougherty Count combined government and is operated by
the Dougherty County School District. The Stadium features a
natural grass playing surface and originally opened in 1932. A
series of renovations over several years have allowed the Stadium
to remain viable for various types of events.
The Stadium was formerly the home of the Albany State University
football program until the University constructed its own on-
campus stadium in 2005. The Stadium's current tenants include
four local high schools, each of which play all of their home
football games at the stadium. In addition to high school football
games, the Stadium hosts several high school track meets each
year, including the three-day State girl's public school meet and the
three-day State boys and girls private school meet. Other stadium
utilization includes a variety of youth league football games.
Stadium management estimates that approximately 60 events are
held at the stadium on an annual basis. The Stadium's base rental
rate is $300.00 per event. For high school football games and
other events with significant ticket sales, an additional rental fee of
$1.00 per ticket is assessed in addition to the $300.00 base fee.
Municipal Stadium - Daytona Beach, Florida
The City of Daytona Beach owns and operates Municipal Stadium,
which opened in 1988. The stadium has a capacity of 10,000
seats, including 6,000 seats on the home side and 4,000 seats on
the visitors' side of the Stadium.
The Stadium serves as the home of Bethune Cookman University's
football program, as well as three local high school football teams.
The Stadium also hosts several state high school postseason
games and occasional high school and other soccer games.
Stadium management indicated that, while the Stadium is capable
of hosting concerts, very few have historically been held there.
350
Along with the football field, the Stadium features a ¼-mile
motorsports track, which hosts a variety of go-kart and motorcycle
races. The field and track combine to host approximately 80
events in a typical year.
Howard Wood Field - Sioux Falls, South Dakota
Howard Wood Field is a l O,O00-seat stadium capable of hosting
football, soccer and track and field events. The stadium is owned
by the City of Sioux Falls and operated by the Sioux Falls School
District. The facility originally opened in 1958. In 2003, a new
artificial surface was installed, allowing the Field to increase its
annual event levels. Additional renovations completed in 2005
included the addition of new concessions and restroom facilities.
Four local high schools use the Field for a portion of their varsity
and junior varsity football and soccer schedules. In addition,
Augustana College and the University of Sioux Falls both use the
field for all of their home football games and occasional practices.
Other events held at the stadium include Pee Wee and middle
school football games, postseason high school football games, an
annual band festival and occasional track meets. In total, school
district representatives estimate that the field is used
approximately 100 times per year, compared to 30 uses per year
prior to the installation of artificial turf. The Field's rental rate
ranges from approximately $60.00 for practices to $500~00 for
events utilizing only the playing field, to $3,300.00 for collegiate
football games.
Lion Stadium - Ennis, Texas
The Ennis School District opened the lO,OOO-seat Lion Stadium in
2001. The $13.6 million stadium features a Field Turf playing
surface capable of hosting football and soccer games, as well as a
%-mile track. Additional stadium amenities include a two-story,
7,5OO-square foot press box that incorporates a VIP room, radio
broadcast booths and scout seating, as well as a 20 by 36-foot
scoreboard and state of the art sound system.
The Stadium hosts the District's varsity and junior varsity football
home games, as well as a portion of the varsity and junior varsity
soccer schedule. Additional District utilization includes home track
meets and graduation ceremonies. The Stadium is rented out to
neighboring districts for postseason playoff football games
approximately three to four times per year. In total, District official
estimate that the Stadium is used approximately 25 times per
season.
351
Braly Municipal Stadium - Florence, Alabama
The 14,21S-seat Braly Municipal Stadium originally opened in the
1950's and underwent a major renovation in 1998. The Year
Opened 1950 renovation included the addition of 1,200 seats,
improvements to the press box and coach's booths, additional
restrooms, new stands on the east side of the stadium and cleaning
and repainting throughout the stadium. The Stadium features a
three-level press box capable of accommodating up to 50
sportswriters as well as coaching staffs, public address announcer,
clock operator and radio crews and television crews.
The Stadium is used exclusively for football games and practices,
including the home games of the University of North Alabama and
Florence High School, along with various regional postseason high
school football games. In addition, the Stadium has hosted the
NCAA Division II football championship game each year since 1986
and is under contract to continue hosting the game through 2009.
In total, the facility hosts approximately 60 events in a typical year.
Summary
Within this section, physical and operational characteristics of a
number of recently built or renovated municipal stadiums have
been presented. The following table summarizes this information.
Comparable Stadium Summary
Stocker Memorial Legion Civic Field Hugh Mills
Stadium Stadium Stadium
Location GrandJunction, CO Wilmington, NC Bellingham, WA Albany, GA
Market Population 126,700 301,800 180,100 162,400
Year Opened 1949 1930 1960 1932
Year Renovated 2000-05 2001-03 2005 2002-05
Capacity 5~ 100 6,000 6~000 10~000
Sports Uses Football, T&F Football, Football, Soccer, Football, T&F
Soccer, T&F
Lacrosse
Annual Events 50 65 300 60
Municipal Howard Wood Lion Braly Average
Stadium Field Stadium Municipal
Stadium
Location Daytona Beach, FL Sioux Falls, SD Ennis, TX Florence, AL
Market 481,400 203,400 130,200 141,100 215,900
Population
Year Opened 1988 1958 2001 1950
Year Renovated n/a 2003-05 n/a 1998
Capacity 10~000 10~000 10,000 14,215 8,900
Sports Uses Football, Soccer, Football, Football, Football
Motorsports Soccer, T&F Soccer, T&F
Annual Events 80 100 25 60 100
352
As shown in the exhibit, the average comparable facility has a
capacity of approximately 8,900 and hosts approximately 100
events per year. Excluding Civic Field, which hosts a number of
sports practices on an annual basis, the remaining stadiums
included in the analysis host an average of 63 events per year.
Each comparable stadium hosts football games, with other sports
utilization consisting of sports such as soccer, track and field,
lacrosse and motor sports.
While comparisons with the facilities described within this section
may be useful, the actual physical characteristics and ultimate
operational philosophy adopted by the proposed new or renovated
stadium will depend on the specific needs and preferences of the
City and other relevant constituencies. For example, factors such
as the desire to emphasize community events to benefit the
region's population as a whole will need to be weighed against the
need to generate acceptable revenue levels. In developing a
building program and utilization plan for the stadium project, the
City may look to these comparable stadiums as general
benchmarks, but ultimately, must make its own decisions on how
to best utilize the stadium.
3.0 Market Demand Analysis
The purpose of this section is to estimate potential event levels and
attendance at a renovated Victory Stadium or a new stadium in
Roanoke. For purposes of this analysis, it is assumed that a
renovated Victory Stadium would have a seating capacity of
approximately 18,000 seats, while a new stadium could have a
capacity of 5,000, 10,000 or 15,000 seats. A variety of factors
have been analyzed in order to gauge the ability of a new or
renovated stadium to attract various events including, but not
limited to:
· Historical Victory Stadium event and attendance levels;
· Event levels of comparable stadiums discussed in Section 2.0;
and,
· Interviews with various potential stadium users.
The interviews with potential users were conducted to obtain
opinions on the stadium development options being considered
and to gauge interest in utilizing the stadium. These conversations
provided an understanding of the Roanoke market's current ability
to attract various types of events, and how the market's
attractiveness could be impacted by the presence of a renovated or
new stadium.
353
The remainder of this section summarizes the analyses conducted
to develop event and attendance assumptions for each potential
stadium scenario, presented by event type.
High School Football
Victory Stadium currently serves as the home field of the William
Fleming High School and Patrick Henry High School football
programs. Each school typically plays five regular season home
games at the Stadium each fall, with attendance typically averaging
approximately 1,000 to 1,500 spectators per game.
Because neither school has an on-campus stadium capable of
hosting football games, it is assumed that both schools would
continue to utilize a renovated Victory Stadium or a new stadium
for their home games, regardless of the capacity of the stadium.
However, due to the relatively modest attendance levels, a smaller
stadium may be best suited to hosting these events, as such a
stadium would provide a more intimate atmosphere and result in
fewer empty seats for football games. A smaller stadium could
also help reduce the costs associated with operating the stadium
for high school football games.
Based on conversations with representatives of schools within the
City of Roanoke and Roanoke County, there does not appear to be
substantial demand to hold events at a new or renovated Victory
Stadium beyond the games currently played at the Stadium by
William Fleming and Patrick Henry High Schools. Schools generally
stated a preference to play home games at on-campus stadiums
when possible. Therefore, it is possible that William Fleming
and/or Patrick Henry High School could elect to remove their
games from Victory Stadium if appropriate facilities are built on
their respective campuses.
For purposes of this analysis, it is assumed that a new or renovated
stadium in Roanoke could host approximately 10 regular season
high school football games per season, with average attendance of
approximately 2,000 per game, regardless of stadium capacity.
These estimates do not include postseason games, which will be
discussed later in this section.
Summary of His h School Football Assum =tions
Victory Stadium 18,000 15,000 10,000 5,000
2004 Events Seats Seats Seats Seats
Annual Events 11 10 10 10 10
Attendance:
Average 1,000 2,000 2~000 2~000 2~000
Annual 11,000 20,000 20~000 20~000 20~000
354
High School Soccer
In addition to football games, Victory Stadium has also hosted high
school soccer games in past years, including seven games in 2004.
However, the Stadium did not host any high school soccer games in
2005. Attendance for high school soccer events at the stadium has
averaged approximately 200 per game. As with regular season
high school football, a smaller stadium may be best suited to
hosting high school soccer events due to the relatively Iow
attendance levels typically associated with soccer games.
For purposes of this analysis, it is assumed that the improved
amenities associated with a new or renovated stadium could cause
William Fleming and Patrick Henry High Schools could hold the
majority of their varsity boys and girls soccer games at the
stadium. Specifically, it is assumed that the stadium could host
approximately 30 regular season high school soccer games per
season, excluding potential postseason games. Attendance at
these games is estimated to average approximately 300 per game.
Summary of High School Soccer Assumptions
Victory Stadium 18,000 15,000 10,000 5,000
2004 Events Seats Seats Seats Seats
Annual Events 7 30 30 30 30
Attendance:
Average 200 300 300 300 300
Annual 1,400 9,000 9,000 9,000 9,000
High School Lacrosse
Patrick Henry High School is the only school within the City of
Roanoke that fields lacrosse teams. Two high school lacrosse
games were held at Victory Stadium in 2004, but none were held at
the stadium in 2005. For purposes of this analysis, it is assumed
that Patrick Henry High School would continue to play its lacrosse
games at locations other than a new or renovated Victory Stadium.
Therefore, no regular season high school lacrosse games are
included in the event estimates developed for this analysis.
However, postseason lacrosse could potentially be held at the
stadium, as discussed below.
355
Postseason High School Sports
Along with the regular season high school sports discussed
previously, Victory Stadium has historically hosted a number of
postseason high school events. According to representatives of the
Virginia High School League (VHSL), the early rounds of postseason
tournaments are typically held at the home stadiums of
participating schools. Therefore, the extent to which a new or
renovated stadium in Roanoke would host early round postseason
football, soccer or lacrosse postseason events would likely depend
on William Fleming, Patrick Henry or another local school playing
host to the game, and choosing to hold the game at the stadium.
As a result, playoff utilization could fluctuate from year to year,
depending on the ability of local teams to qualify to host
postseason play.
The final rounds of postseason tournaments are typically
predetermined by the VHSL. All of the spring sports
championships, including soccer, lacrosse, baseball and softball,
are held in the same city over the same time period, resulting in a
spring sports "festival". Currently, Radford University in Radford
hosts the Class A and AA spring sports festival, while Christopher
Newport University in Newport News hosts the Class AAA event.
The ability of a new or renovated stadium to host soccer or lacrosse
championships would depend on Roanoke's ability to prepare a bid
to host all of the aforementioned spring sports. The soccer
championship, which consists of the semifinal and final rounds,
requires a stadium capacity of 1,000 to 1,500, with a field
measuring at least 110 yards by 65 yards. There is no minimum
capacity requirement for the lacrosse championship.
Football championship games could represent an additional source
of postseason utilization for the proposed new or renovated
stadium. The VHSL currently conducts championships in six
classes. The following table presents the current locations of the
final for each division, as well as the minimum required seating
capacity to host the event as determined by the VHSL.
VHSL Football Cham)ionship Game Overview
Division Current Host Location Minimum Stadium Capacity
Division 1 James Madison University Harrisonbur9 6,000
Division 2 James Madison University Harrisonburg 5,000
Division 3 Liberty University Lynchburg 4,000
Division 4 Liberty University Lynchburg 3~500
Division 5 University of Richmond Richmond 2,000
Division 6 University of Richmond Richmond 1,500
356
As shown, the six football championship games are currently
divided between three host Universities, each of which hosts two
championships on the same day. VHSL representatives indicated
that they have been pleased with each of the current hosts, but
Roanoke could make a proposal to the VHSL Executive Committee
to host a football championship event if it had an appropriate
stadium.
The current locations are based primarily on the proximity of each
University to the greatest concentration of schools within each
division. Based on conversations with VHSL representatives, the
Division 3 and 4 championships would represent the best
geographic fit for Roanoke. While the official capacity
requirements to host these events are 3,500 and 4,000,
respectively, VHSL representatives indicated that attendance has
often reached 8,000 to 9,000 in recent years. Therefore, a stadium
with a capacity of 10,000 would likely be adequate in order for
Roanoke to attract these events.
In addition to stadium capacity, other factors considered by the
VHSL when considering sites for football championship events
include:
· Safety of the facility and playing surface;
· Locker room access and space;
· Financial potential;
· Motel and restaurant accommodations;
· Parking availability;
· Traffic ingress/egress; and,
· Facilities for television filming.
While specific guidelines for these factors have not been developed,
the stadium and market must be adequate in each area in order to
attract consideration for football championship games.
For purposes of this analysis, it is estimated that a new or
renovated stadium in Roanoke could host approximately two
postseason events in a typical year. These games are assumed to
represent games hosted by local high schools who earn the right to
host postseason events. While a stadium with a capacity of at least
10,000 seats could potentially attract two divisions of State football
championship games, there is no guarantee that the presence of a
new or renovated stadium would attract these events. Therefore,
they have not been included in the estimates developed herein.
357
Summary of High School Postseason Assumptions
Victory Stadium 18,000 15,000 10,000 5,000
2004 Events Seats Seats Seats Seats
Annual Events 3 2 2 2 2
Attendance:
Average 2,500 2,500 2,500 2,500 2,500
Annual 6,000 5,000 5,000 5,000 5,000
Note: Estimates exclude potential State tournament ~]ames.
College Sports
Victory Stadium has hosted a variety of collegiate sports events in
past years, most notably the annual football game between Virginia
Tech and the Virginia Military Institute, which was held at the
stadium for several decades until 1971. Currently, the Stadium
hosts the annual Western Virginia Education Classic, which features
two regional collegiate teams and raises funds to help address
school dropout problems among area youth. The Classic typically
draws approximately 6,000 fans per year.
In order to assess interest in bringing additional collegiate sports
events to a new or renovated stadium in Roanoke, interviews were
conducted with representatives of the NCAA, as well as several
regional colleges, universities and collegiate athletic conferences.
Representatives of area colleges and universities generally
indicated limited interest in utilizing a stadium in Roanoke, as they
typically prefer to host events at on-campus facilities, allowing
them to limit travel costs and enjoy a home field advantage. In
order to induce these programs to relocate a home game to a
stadium in Roanoke, the City would likely need to provide financial
guarantees to the school to offset the costs associated with a
neutral field game. Such financial incentives would negatively
impact the Stadium's financial bottom line, and would need to be
weighed against the revenue generating potential of the events.
In the case of major NCAA Division I programs such as Virginia
Tech and the University of Virginia, the financial incentives required
to lure them to Roanoke would likely be prohibitive, as these
universities generate substantial game day revenues from their on-
campus stadiums. Division II and III programs would likely require
more modest guarantees to cover travel costs. However, these
games would lack the prestige, attendance levels and economic
impact that could be generated by a Division I game.
358
In terms of postseason collegiate games, many of the collegiate
athletic conferences with member institutions in the Roanoke
region play at the NCAA Division I1 or Division III levels.
Conferences at these levels typically do not play a football
championship game, relying solely on regular season results to
determine a conference champion. Lower division conference
championship events in sports such as soccer and lacrosse are
typically held at on-campus locations and are hosted by the top
seeded university or are determined on an annual rotation among
schools within the conference. Utilizing on-campus facilities
decreases the travel costs associated with the championship events
and helps draw fans to events that would otherwise have limited
regional interest. Therefore, it is unlikely that that the majority of
regional conferences would utilize a stadium in Roanoke for
postseason events.
While minor conferences indicated little interest in utilizing the
proposed new or renovated stadium, representatives of the Atlantic
Coast Conference (ACC), a major NCAA Division I conference whose
members include Virginia Tech and the University of Virginia,
indicated that a new or renovated stadium in Roanoke could
potentially host the conference's postseason soccer and/or
lacrosse championships.
The ACC men's and women's soccer championships will be held at
the SAS Soccer Park in Cary, North Carolina for the third
consecutive year in 2006. M&T Bank Stadium in Baltimore hosted
the men's and women's lacrosse championships in 2005 and will
host them again in 2006. ACC representatives indicated that both
championships will be up for bid for future years. While a stadium
capacity of 10,000 may be adequate to host these events, ACC
officials prefer a facility with a capacity of at least 12,000. In
addition to capacity, the Conference considers several additional
factors when considering bids to host championship events,
including:
· Spectator parking;
· Quality of playing surface;
· Ticket booths, concessions areas, restrooms and other such fan
accommodations;
· Areas for press, coaches, officials, medical personnel and other
staff;
· Two to four quality locker rooms;
· Videoboard, scoreboard and public address system;
· Hospitality areas;
· Adequate lighting for televised events; and,
· Other such amenities.
359
In addition to conference tournaments, NCAA championships could
represent opportunities to draw major events to a new or renovated
stadium in Roanoke. It is assumed that the stadium would be
capable of hosting football, soccer and lacrosse events. The
following is a summary of the current circumstances surrounding
NCAA championships in these events.
Football
The NCAA currently does not conduct a championship tournament
or game at the Division I-A level. Postseason games consist of bowl
games held at a number of markets throughout the country. Based
on the current markets and facilities hosting bowl games, it is
unlikely that a stadium with a capacity of 18,000 or less in Roanoke
would be capable of hosting a Division I-A bowl game.
Football championship games are played at the NCAA Division I-AA,
Division II and Division III levels. The Division I~AA championship
game is currently held at the 20,000-seat Carter Stadium in
Chattanooga, Tennessee, where it has been played since 1997 and
is contracted to remain through 2007. The Division II
championship has been held at the 14,21S-seat Braly Municipal
Stadium in Florence, Alabama each year since 1986 and is
contracted to continue to be held in Florence through 2009. The
Division III game is played at the 7,136-seat Salem Stadium in
Salem, Virginia. The 2005 championship will be the 13th straight
played in Salem.
While the Division t-AA, II and III football championships are
currently held at the same sites each year, the NCAA periodically
allows other markets to present bids to host the event in future
years. In order to attract an NCAA football championship event to a
new or renovated stadium in Roanoke, a bid would need to be
prepared in order to induce the NCAA to relocate one of the games
from its existing market. The NCAA allows only schools and
conferences to submit bids for championship events. Therefore,
the City would need to partner with an area school or conference to
prepare a bid to submit to the site selection committee for a
particular event.
According to NCAA guidelines, a 15,000-seat stadium would be
sufficient to host the Division I-AA football championship game,
while a stadium with a capacity of at least 8,000 seats would likely
be required to attract the Division II or III championship game.
360
In addition to stadium capacity, other key characteristics
considered by the championship site selection committee include
geographic location, attendance potential, historical support for
college football in the region, adequate hotel rooms, convenient
practice facilities and the support of the local community.
Soccer
The NCAA selects separate sites for its Division I men's and
women's soccer championships, while the men's and women's
championship events are held at shared sites at the Division II and
Iii levels. Each championship event consists of the semi-final and
final rounds at a predetermined site. In recent years, soccer
championship events have been held only at soccer-exclusive
stadiums. The NCAA avoids playing events at shared
football/soccer facilities, as field conditions are often less than
optimal at shared facilities. In order to attract a soccer
championship event, the stadium would likely need to feature an
artificial playing surface, or the City would likely need to guarantee
that no football games would be held on the field for a specified
period of time prior to the championship, potentially three weeks
or longer.
The Division I men's and women's championships require minimum
seating capacities of 8,000 to 10,000. NCAA representatives
indicated that a 5,000-seat stadium would be adequate to host
Division II or III championships. Additional stadium requirements
include four locker rooms, adequate accommodations for television
broadcasting and other media, enclosed rooms for media
interviews and press conferences and adequate lighting.
Lacrosse
The NCAA has historically combined its Division I, II and III men's
lacrosse championships into a single weekend-long event, and
plans to continue to do so in future years. These events are
currently held exclusively at large NFL stadiums in major markets,
and are unlikely to be held at a smaller stadium in a market such as
Roanoke.
The three divisions of women's lacrosse championships are each
held at separate locations, and are rotated to difference locations
each year. In 2006, the Division I championship will be held at the
10,400-seat Nickerson Stadium in Boston, the Division II
championship will be played at the 3,000-seat stadium at the
Benedictine University Sports Complex in Lisle, Illinois, and the
Division III championship will be held at the 1,000-seat DeBaun
Field in Hoboken, New Jersey.
361
It is likely that a 5,000-seat stadium would be adequate to host
Division II or III championship games, while a 10,000-seat facility
may be required to attract the Division I game. As with the other
sports discussed herein, the ability of a new or renovated stadium
in Roanoke to host a women's lacrosse championship would
depend on the City's ability to partner with a regional university or
conference to prepare a bid to hold the event in Roanoke.
For purposes of this analysis, it is assumed that the Western
Virginia Education Classic would continue to be held at a new or
renovated Victory Stadium. It is assumed that additional collegiate
sports utilization would be limited. If the City is aggressive in
providing guarantees to regional universities to play home games
at the stadium, or in developing additional special events similar to
the Western Virginia Education Classic, the number of collegiate
athletic events held at the stadium could increase. In addition,
while the stadium could potentially host ACC and/or NCAA
championship events in various sports, Roanoke would need to
develop a competitive bid package to attract such events. For
purposes of this analysis, it is assumed that a new or renovated
stadium could attract one additional collegiate sporting event per
year on an ongoing basis. While the City may be able to attract a
conference or NCAA championship event, due to the uncertainty of
the bid process and lack of recurrence, such events have not been
included in the event estimates presented herein.
Summary of Collegiate Sports Assumptions
Victory Stadium 18,000 15,000 10,000 5,000
2004 Events Seats Seats Seats Seats
Annual Events 1 2 2 2 2
Attendance;
Average 8,000 15,000 12,000 8,000 5,000
Annual 8,000 30,000 24,000 16,000 10,000
Note: Estimates exclude potential NCAA and regional conference postseason/charnpionship
cjarnes.
Other Sports
In addition to the high school and collegiate sporting events
discussed above, a new or renovated stadium could potentially
attract other amateur, semi-professional or even professional
sports events. Such events could include amateur youth soccer or
lacrosse tournaments as well as semi-professional or Professional
soccer, football or lacrosse leagues and teams.
362
Based on discussions with amateur athletic event organizers, the
primary deciding factor for selecting a particular market for
tournaments is the availability of an adequate number of fields to
accommodate a potentially large tournament field. Ideally, these
fields will be centrally located with easy access to hotels and other
support services. While a stadium located amongst a large number
of fields may offer an attractive venue for tournament finals, most
potential amateur sports event organizers indicated that a stadium
is not needed. Therefore, no usage from such evens has been
assumed for the new or renovated stadium at this point.
In addition to amateur sports events, there are several semi-
professional or professional football, lacrosse and soccer
organizations that could potentially utilize the stadium for a tenant
franchise. While such usage may be beneficial to the facility in
terms of utilization as a community asset, the financial impact on
the stadium's operations from such events may actually result in
additional operating losses. For purposes of this analysis, no semi-
professional or professional sports tenant has been assumed for
the new or renovated stadium.
Concerts
Concerts could represent an additional source of utilization for a
renovated Victory Stadium or a new stadium in Roanoke. Because
football stadiums are not typically designed with a focus on
concerts, they often offer relatively poor configurations and
acoustics for concerts. In addition, the costs associated with
stadium concerts are typically high due to the need to construct a
stage from the ground up. However, design features such as a
permanent concert stage or other such amenities could facilitate
the production of concerts in the facility and make it a more
attractive venue for concert promoters.
Victory Stadium last hosted a concert in 2004, when two concerts
were held at the venue. Based on conversations with local concert
promoters, concert industry trends and other such information, it is
estimated that a new or renovated stadium in Roanoke could
potentially host approximately three concerts annually. For
purposes of this analysis, average concert attendance is estimated
to range from approximately 3,500 to 10,000 per performance
depending on the capacity of the stadium.
363
Summary of Concert Assumptions
Victory Stadium ! 8,000 15,000 1 O,OOO 5,000
2004 Events Seats Seats Seats Seats
Annual Events 2 3 3 3 3
Attendance:
Average 5,000 10,000 7,500 5,000 3.500
Annual 10,000 30,000 22,500 15,000 10,500
Other Events
In addition to athletic events and concerts, Victory Stadium has
occasionally hosted other events such as festivals and community
events. Based on historical Stadium event levels, it is assumed that
a new or renovated stadium in Roanoke could host approximately
15 miscellaneous events on an annual basis, with attendance
approximating 500 per event. These could include a variety of
festivals, flea markets, auto shows or other similar events.
Summary of Other Event Assumptions
Victory Stadium 18,000 15,000 ! O,OOO 5,OOO
2004 Events Seats Seats Seats Seats
Annual Events 11 15 15 15 15
Attendance:
Average 500 500 500 500 500
Annual 5,500 7,500 7,500 7,500 7,500
Summary
Based on the market analysis performed in this section, estimates
of event activity for a new or renovated stadium in Roanoke have
been developed. The following exhibit presents estimated event
levels at the proposed stadium for each potential development
option.
Estimated Ticketed Events and Attendance
New or Renovated Victory Stadium
Event Type [ 18,OOO Seats I 15,OOO Seats [ 10,OOO Seats I 5,000 Seats
Annual Events
High School Football 10 10 10 10
High School Soccer 30 30 30 30
High School 2 2 2 2
Postseason
College Sports 2 2 2 2
Concerts 3 3 3 3
Other Events 15 15 15 15
Total Annual Events 62 62 62 62
364
Averac e Attendance
High School Football 2~000 2,000 2,000 2,000
High School Soccer 300 300 300 300
High School 2,500 2,500 2,500 2,500
Postseason
College Sports 15,000 15,000 15,000 15,000
Concerts 10~000 7,500 5,000 3,500
Other Events 500 500 500 500
Annual Attendance
High School Football 20~000 20~000 20,000 20,000
High School Soccer 9,000 9,000 9,000 9,000
High School 5,000 5,000 5,000 5,000
Postseason
College Sports 30,000 22,500 15,000 10,000
Concerts 30,000 22,500 15,000 10,500
Other Events 7,500 7,500 7,500 7,500
Total Annual Events 1 O1,500 88,000 72,500 62,000
As shown, it is estimated that event levels are not likely to vary
significantly based on variations in stadium capacity due to the
relatively Iow number of events that would require a larger
stadium. Specifically, it is estimated that the stadium could host
approximately 62 events per year regardless of stadium capacity.
Attendance at these events is estimated to range from 62,000 per
year at a 5,000 seat stadium to 101,500 per year for a stadium
with 18,000 seats.
Based on this analysis, it appears that a stadium with a capacity of
5,000 seats would be sufficient to capture the majority of events
that would potentially be held at the stadium. However, building a
stadium with only 5,000 seats would likely preclude the facility
from consideration for larger events such as VHSL football
championships, ACC or NCAA tournament or championships events
and other major events. Based on this analysis, it appears that a
stadium with a capacity of approximately 10,000 seats would likely
be sufficient to enable the City to offer an appropriate facility for
these events. A larger stadium may not necessarily place the City
in a significantly better position to be able to compete for these
events. Assuming a 10,000-seat stadium would have the ability to
add temporary seating as demand dictated, this capacity appears to
be adequate to accommodate the vast majority of the potential
users of the facility.
In order to determine the most appropriate capacity, the City
should undertake a detailed cost-benefit analysis that will address
not only the incremental revenues that could be generated by the
stadium with these additional events, but also the added revenues
365
that could be generated throughout the community due to visitor
spending related to these events. These impacts should be
compared to the incremental cost to construct and operate a larger
new or renovated stadium to determine the most cost effective
stadium size.
4.0 Preliminary Financial Analysis
The intent of this section is to provide a preliminary estimate of the
potential operating results of a new or renovated stadium in.
Because facility design, configuration and cost estimates for the
proposed stadium renovation or development have not yet been
completed, the assumptions used in this analysis are based on the
results of the market analysis, industry trends, knowledge of the
marketplace and financial results from comparable stadiums.
Using this information, an evaluation of the potential operating
results has been developed under the range of event and
attendance levels as discussed in the previous section.
This presentation is designed to assis~ in estimating the financial
operations of the proposed stadium development options being
considered. Therefore, this analysis may not be useful for any
other purpose. The assumptions disclosed herein are not all
inclusive, but are those deemed significant to the operations of the
facility. However, there will be differences between estimated and
actual results, due to the fact that events and circumstances
frequently do not occur as expected, and these differences may be
material. As is the case in all studies of this type, the estimated
results are based on competent and efficient facility management
and assume that no significant changes in the various event
markets will occur beyond those set forth in this report. The
remainder of this section presents the financial and economic
impact analyses under the following components:
· Operating Revenues,
· Operating Expenses, and
· Estimated Financial Results.
Operating Revenues
A new or renovated stadium will likely derive revenues through
rental revenue, concessions sales, merchandise sales, parking fees,
advertising and other such revenue streams. This section
summarizes the estimates for each potential revenue source,
identifying revenues that could be derived from stadium events.
The estimates presented herein relate to the event and attendance
assumptions developed in the previous section.
366
Rental Revenue
Rental revenues often make up a significant portion of a facility's
operating cash flows. Typically, stadium rental rates consist of a
flat rental fee. For certain ticketed events such as concerts, a
percentage of gate receipts generated by the event may be
collected rather than applying a flat fee. For purposes of this
analysis, it is assumed that organizers of all events other than
concerts would pay a flat rental fee, and would retain all ticket
revenue from their respective events. It is assumed that concert
promoters would be assessed a rental fee equal to the greater of a
flat rate, depending on stadium capacity, or 10 per cent of gross
gate receipts. The rental rates assumed in the estimates are based
largely on rates charged at comparable stadiums. The following
exhibit summarizes the assumptions used to estimate the annual
rental revenue from all events held at the stadium under each
development scenario.
Estimated Stadium Rental Revenue
18,000 Seats
Event Type Annual Average Average Rental Rate Rental Rate Annual Rental
Events Attendance Ticket Price Flat Fee % of Gate Revenue
HS Football ~0 2,000 $ 5.00 $ 500.00 n/a $ 5,000.00
HSSoccer 30 300 $ 5.00 $ 250.00 n/a $ 7,S00.00
Postseason HS 2 2,500 $ 8.00 $1,000.00 n/a $ 2,000.00
College Sports 2 15,000 $20.00 $2,000.00 n/a $ 4,000.00
Concerts 3 10,000 $30.00 $5,000.00 10% $90,000.00
Other Events 15 500 $ 8.00 $1,000.00 n/a $15,000.00
Annual Totals $123,500.00
1S,O00 Seats
Event Type Annual Average Average Rental Rate Rental Rate Annual Rental
Events Attendance Ticket Price Flat Fee % of Gate Revenue
HS Football 10 2,000 $ 5.00 $ 500.00 n/a $ 5,000.00
HS Soccer 30 300 $ 5.00 $ 250.00: n/a $ 7,500.00
Postseason HS 2 2,500 $ 8.00 $1,000.00 n/a $ 2,000.00
College Sports 2 12,000 $15.00 $1,900.00 n/a $ 3,800.00
Concerts 3 7,500 $30.00 $4,500.00 10% $67,500.00
Other Events 15 500 $ 7.00 $1,000.00 n/a $15,000.00
Annual Totals $100,800.00
367
10,000 Seats
Event Type Annual Average Average Rental Rate Rental Rate Annual Rental
Events Attendance Ticket Price Flat Fee % of Gate Revenue
HS Football 10 2,000 $ 5.00 $ 500.00 n/a $ 5,000.00
HSSoccer 30 300 $ 5.00 $ 250.00 n/a $ 7,500.00
Postseason HS 2 2,500 $ 8.00 $1,000.00 n/a $ 2,000.00
College Sports 2 8,000 $10.00 $1,700.00 n/a $ 3,400.00
Concerts 3 5,000 $30.00 $4,000.00 10% $45,000.00
Other Events 15 500 $ 6.00 $1,000.00 n/a $15,000.00
An n ual Totals $ 77,900.00
5,000 Seats
Event Type ! Annual Average Average Rental Rate Rental Rate Annual Rental
Events Attendance Ticket Price Flat Fee % of Gate Revenue
HS Football 10 2,000 $ 5.00 $ 500.00 n/a $ 5,000.00
HSSoccer 30 300 $ 5.00 $ 250.00 n/a $ 7,500.00
Postseason HS 2 2,500 $ 8.00 $1,000.00 n/a $ 2,000.00
College Sports 2 5,000 $10.00 $1,500.00 n/a $ 3,000.00
Concerts 3 3,500 $30.00 $3,500.00 10% $31,500.00
Other Events 15 500 $ 5.00 $1,000.00 n/a $15,000.00
Annual Totals $64,000.00
As shown, rental revenue is estimated to range from .approximately
$1 24,000.00 per year at an 18,000-seat renovated Victory Stadium
to approximately $64,000.00 per year assuming a new 5,000-seat
stadium.
Concessions
Concessions revenue consists of sales of various food and
beverage items at concession stands throughout the stadium.
Revenue assumptions are based on estimated event and attendance
levels, concession spending at comparable facilities and industry
trends.
368
Based on industry trends, the profit margin on concessions
generally approximates 40 per cent of gross sales, with remaining
percentage being allocated to the vendor to cover the cost of labor
and merchandise. The profit generated by concessions and
catering is often shared between stadium management and event
organizers. The percentage of concession profits allocated to
event organizers can often be a key negotiating point when
developing rental agreements suitable for both the stadium and the
tenant or organizer.
For purposes of this analysis, it is assumed that the stadium would
retain an average of 50 per cent of profits from the sales of
concessions, with the remaining 50 per cent allocated to the event
organizer. The following table summarizes the assumptions used
to estimate annual concessions revenues resulting from each
stadium development option.
Estimated Food & Beveraqe Revenue
18,000 Seats
Event Type Annual Per Capita Gross Revenue Stadium Share Net Revenue
Attendance Spending of Gross
High School Football 20,000 $ 3.00 $ 60,500.00 20% $ 12,000.00
High School Soccer 9,000 $ 3.00 $ 27,250.00 20% $ 5,400.00
Postseason HS 5,000 $ 3.00 $ 15,000.00 20% $ 3,000.00
College Sports 30,000 $ 3.00 $ 90,000.00 20% $ 18,000.00
Concerts 30,000 $ 6.00 5180,000.00 20% $ 36,000.00
Other Events 7,500 $ 2.00 $ 15,000.00 20% $ 3,000.00
Totals 101,500 $387,000.00 $ 77,400.00
15,000 Seats
Event Type Annual Per Capita Gross Revenue Stadium Share Net Revenue
Attendance Spending of Gross
High School Football 20,000 $ 3.00 $ 60,000.00 20% $ 12,000.00
High School Soccer 9,000 $ 3.00 $ 27,000.00 20% $ 5,400.00
Postseason HS 5,000 $ 3.00 $ 15,000.00 20% $ 3,000.00
College Sports 24,000 $ 3.00 $ 72,000.00 20% $14,400.00
Concerts 22,500 $ 6.00 $! 35,000.00 20% $ 27,000.00
Other Events 7,500 $ 2.00 $ 15,000.00 20% $ 3,000.00
Totals 88,000 $ 324,000.00 $64,800.OO
369
10,000 Seats
Event Type Annual Per Capita Gross Revenue Stadium Share Net Revenue
Attendance Spending of Gross
High School Football 20,000 $ 3.00 $ 60,000.00 20% $ 12,000.00
High School Soccer 9,000 $ 3.00 $ 27,000.00 20% $ 5,400.00
Postseason HS 5,000 $ 3.00 $ 1S,000.00 20% $ 3,000.00
College Sports 16,000 $ 3.00 $ 48,000.00 20% $ 9,600.00
Concerts 15,000 $ 6.00 $ 90,000.00 20% $ 18,000.00
Other Events 7,500 $ 2.00 $ 15,000.00 20% $ 3,000.00
Totals 72,500 $255,000.00 $ 51,000.00
5,000 Seats
Event Type Annual Per Capita Gross Revenue Stadium Share Net Revenue
Attendance Spending of Gross
High School Football 20,000 $ 3.00 $ 60,000.00 , 20% $ 12,000.00
High School Soccer 9,000 $ 3.00 $ 27,000.00 20% $ 5,400.00
Postseason HS 5,000 ' $ 3.00 $ 15,000.00 20% $ 3,000.00
College Sports 10,000 $ 3.00 $ 30,000.00 20% $ 6,000.00
Concerts 10,500 $ 6.00 $ 63,000.00 20% $ ] 2,600.00
Other Events 7,500 $ 2.00 $ 15,000.00 20% $ 3,000.00
Totals 62,000 $210,000.OO $42,000.00
Concessions revenue is estimated to range from a high of
approximately $77,000.00 at an 18,000-seat stadium to a Iow of
$42,000.00 assuming a 5,000-seat facility.
Merchandise Sales
Merchandise sales consist of clothing, souvenirs, programs and
other miscellaneous items sold during events at the stadium. It is
assumed that the facility users would be responsible for
merchandise sales and would retain the majority of revenues
generated. However, for concerts and other potential outside
events, it is assumed that a new or renovated stadium may be able
to negotiate a revenue sharing agreement. For purposes of this
analysis, it is estimated that net revenues from merchandise sales
could range from $5,000.00 in an 18,000-seat stadium to
$2,000.00 in a 5,000-seat facility.
370
Parking Revenue
There are currently approximately 700 parking spaces on the
Victory Stadium grounds. Because each development scenario
assumes that a new or renovated stadium would exist on the site of
the current Stadium it is assumed that the same number of spaces
would continue to be available. Based on an estimated 90 per cent
of event attendees driving to attend the event with an average of
3.5 persons per car and an 80 per cent profit margin, the following
table summarizes the parking revenue that could be generated by
events at a new or renovated stadium. It is important to note that
these revenues reflect the utilization of only the 700 spaces located
on the Victory Stadium grounds. For events requiring additional
parking, it is assumed that patrons would park off-site and that any
revenues generated there from would be allocated to other entities.
Estimated Parkinq Revenue
18,000 Seats
Event Type Annual Per Capita Gross Revenue Stadium Share Net Revenue
Attendance Spending of Gross
High School Football S14 $ 2.00 $10,286.00 80% $ 8,229.00
High School Soccer 77 $ 2.00 $ 4,629.00 80% $ 3,703.00
Postseason HS 643 $ 2.00 $ 2,571.00 80% $ 2,0S7.00
College Sports 3,857 $ 2.00 $ 2,800.00 80% $ 2,240.00
Concerts 2,571 $ 2.00 $ 4,200.00 80% $ 3,360.00
Other Events 129 $ 2.00 $ 3,857.00 80% $ 3,086.00
Totals $28,343.00 $ 22,674.00
1 S,000 Seats
Event Type Annual Per Capita Gross Revenue Stadium Share Net Revenue
Attendance Spending of Gross
High School Football 514 $ 2.00 $ 10,000.00 80% $ 8,229.00
High School Soccer 77 $ 2.00 $ 4,629.00 80% $ 3,703.00
Postseason HS 643 $ 2.00 $ 2,571.00 80% $ 2,057.00
College Sports 2,057 $ 2.00 $ 2,800.00 80% $ 2,240.00
Concerts 1,286 $ 2.00 $ 4,200.00 80% $ 3,360.00
Other Events 129 $2.00 $ 3,857.00 80% $3,086.00
Totals $28,343.00 $22,674.OO
371
! 0,000 Seats
Event Type Annual Per Capita Gross Revenue Stadium Share Net Revenue
Attendance Spending of Gross
High School Football 514 $ 2.00 $ 10,286.00 80% $ 12,000.00
High School Soccer 77 $ 2.00 $ 4,629.00 80% $ 5,400.00
Postseason HS 643 $ 2.00 $ 2,571.00 80% $ 3,000.00
College Sports 1,286 $ 2.00 $ 2,800.00 80% $ 9,600.00
Concerts 900 $ 2.00 $ 4,200.00 80% $ 18,000.00
Other Events 129 $ 2.00 $ 3,857.00 80% $ 3,000.00
Totals $28,343.OO $ 22,674.00
5,000 Seats
Event Type Annual Per Capita Gross Revenue Stadium Share Net Revenue
Attendance Spending of Gross
High School Football 514 $ 2.00 $ 10,286.00 80% $ 8,229.00
High School Soccer 77 $ 2.00 $ 4,629.00 80% $ 3,703.00
Postseason HS 643 $ 2.00 $ 2,571.00 80% $ 2,057.00
College Sports 1,286 $ 2.00 $ 2,800.00 80% $ 2,240.00
Concerts 900 $2.00 $ 4,200.00 80% $ 3,360.00
Other Events 129 $ 2.00 $ 3,857.00 80% $ 3,086..00
Totals $28,343.O0 $22,674.00
As shown in the table, parking revenue is estimated to total
approximately $23,000.00 per year regardless of stadium capacity.
Because parking revenue is limited by the number of parking
spaces available at the stadium, it is not estimated to fluctuate
based on stadium capacity.
Advertising
Advertising at stadiums is typically generated from two sources:
electronic displays and panel displays. Electronic displays are often
located on scoreboards, outdoor marquees and interior fascia, and
typically flash advertisements for a specified period of time. Panel
displays can be found attached to scoreboards, outdoor marquees,
concourses, interior fascia or a number of other locations within a
stadium. Victory Stadium does not currently generate any
advertising revenue. However, the physical design of a new or
renovated stadium could provide additional opportunities for
advertising signage and displays. Further, a new or refurbished
facility could attract new advertisers who want to be associated
with the improved stadium.
372
Ultimately, the revenue the stadium is able to generate for
advertising will rely on factors such as the total estimated number
of events and total attendance at the stadium, the number of
televised events at the stadium, and the extent to which the City
chooses to maximize advertising opportunities. The following
table summarizes estimated annual advertising revenues for each
stadium development scenario, based on factors such as
advertising at comparable stadiums and the size and corporate
inventory of the Roanoke market.
Estimated Advertising Revenue
18,000 Seats 15,000 Seats 10,000 Seats 5,000 Seats
$ 50,000 $ 45,500 $35,000 $25,000
Operating Expenses
The following estimates represent the potential operating expenses
at a new or renovated stadium in Roanoke, and are based on an
analysis of operating expenses at comparable facilities. The
assumptions made in this section are based on industry averages
and results at comparable facilities.
Estimated Stadium Operating Expenses
Expense Type Historical Renovated New Stadium New Stadium New Stadium
Victory Stadium 15,000 Seats 10,000 Seats 5,000 Seats
Stadium (1) 18,000 Seats
Salaries, Wages& $116,000.00 $ 130,000.00 $122,000.00 $110,000 $ 99,000.00
Benefits
Utilities $ 39,000.00 $ 50,000.00 $ 47,000.00 $ 42,000 $ 38,000.00
Repairs & $ 6,000.00 $ 35,000.00 $ 33,000.00 $ 30,000 $ 27,000.00
Maintenance
Materials and $ 8,000.00 $ 20,000.00 $ 19,000.00 $ 17,000 $ 15,000.00
Supplies
Professional Services $ 33,000.00 $ 20,000.00 $ 19,000.00 $ 17,000 $ 15,000.00
Other $ 30,000.00 $ 35,000.00 $ 32,000.00 $ 27,000 $ 23,000.00
Totals $232,000.00 $290,000.00 $272,000.00 $243,000 $217,000.00
(1 ) Represents average annual operating expenses over the past four fiscal years, inflated to 2005 dollars.
Note: Expenses in the table exclude any annual capital reserve fund contributions, the amount of which may vary
depending on total renovation/construction project costs.
373
As shown in the table, stadium operating expenses are estimated
to range from approximately $217,000.00 for a 5,000-seat stadium
to $290,000.00 per year assuming a stadium with a capacity of
18,000 seats. Salaries, wages and benefits are assumed to
comprise the largest share of operating expenses, as is currently
the case at Victory Stadium.
It should be noted that the expense estimates presented herein do
not include debt service associated with the cost of the potential
construction or renovation project. Further, no contribution to a
capital reserve fund has been included in the expense estimates.
Typically, facility owners and/or managers make annual
contributions to a capital reserve fund, often in an amount equal to
0.5 per cent to 1.0 per cent of total project development costs.
The amount of annual capital fund contributions made for a new or
renovated stadium will likely depend on the cost of renovating or
constructing the stadium.
Estimated Financial Results
The total revenues and expenses estimated in this section are
summarized in the following exhibit.
New/Renovated Victory Stadium
Estimated Revenues and Expenses
Current 18,000 Seats 15,000 Seats 10,000 Seats 5,000 Seats
Stadium (1)
Rent $ 124,000.00 $ 101,000.00 $ 78,000.00 5 64,000.00
Food and Beverage $ 77,000.00 $ 65,000.00 $ 51,000.00 5 42,000.00
Parking $ 23,000.00 $ 23,000.00 $ 23,000.00 $ 23,000.00
Novelties $ S,000.00 $ 4,000.00 5 3,000.00 $ 2,000.00
Advertising/Sponsorships $ 50,000.00 $ 45,000.00 $ 35,000.00 $ 25,000.00
Total Revenues 5 28,000.00 $279,000.00 $238,000.00 $190,0OO.00 $156,000.00
Salaries, Wages & $116,000.00 $130,000.00 $122,000.00 $110,000.00 $ 99,000.00
Benefits
Utilities $ 39,000.00 $ S0,000.00 $ 47,000.00 $ 42,000.00 $38,000.00
Repairs and Maintenance $ 6,000.00 $ 35,000.00 $ 33,000.00 $ 30,000.00 $ 27,000.00
Materials and Supplies $ 8,000.00 $ 20,000.00 $ 19,000.00 $ 17,000.00 $ 15,000.00
Professional Services $ 33,000.00 $ 20,000.00 $ 19,000.00 $ 17,000.00 $ 15,000.00
Other $ 30,000.00 $ 35,000.00 $ 32,000.00 $ 27,000.00 $23,000.00
Total Expenses $232,000.O0 5290,000.00 5272,000.00 $243,000.O0 $217,0OO.00
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Net Operating ($204,000.00) ($11,000.00) ($34,000.00) ($53,000.00) ($61,000.00)
Income/(Loss)
Capital Reserve n/a (2) (2) (2) (2)
Net Operating ($204,000.00) ($11,OO0.OO) ($34,OO0.00) ($53,OO0.00) ($61,OOO.OO)
Income/(Loss) After
Capital Reserve
(1) Represents the average annual financial performance of Victory Stadium over the past four fiscal years, stated in
2005 dollars.
(2) The amount of annual capital reserve contributions will likely depend on the total project cost, which has yet to be
determined.
As shown in the exhibit, it is estimated that operations of a new or
renovated stadium could result in net operating losses ranging
from $11,000.00 for an 18,000-seat stadium to $61,000.00 for a
5,000-seat stadium. In comparison, Victory Stadium has sustained
an average operating loss of approximately $204,000.00 annually
over the past four fiscal years. It should be noted that the
estimates presented above do not include annual debt service
payments to cover the cost of a renovation or construction project.
The construction of a larger stadium is likely to result in higher
annual debt service payments in comparison to the development of
a smaller facility.
In summary, Mr. Parker stated that CSL International began with an
analysis of comparable facilities, which were municipal stadiums that host a
variety of high school football, soccer, and college football around the country
to understand the dynamics of the financials, the types of events, and how
events were marketed, etc. He further stated that their analysis involved a
broad range of event utilizations ranging from about 25 event days similar to
Lyons Stadium in Texas, up to 300 event days in Bellingham, Washington. He
added that the bulk of the analysis was geared toward market demand in
Roanoke, the historic utilization of Victory Stadium, and comparable facilities at
those levels; a considerable amount of time was spent interviewing potential
users, high schools, colleges, football conferences, the NCAA, as well as
concert promoters and other event promoters to understand the type of facility
where there is a demand. He made the following points:
Currently, high school football is the primary user of Victory
Stadium averaging approximately 1,000 - 1,500 seats per game.
Roanoke's two high schools indicated a preference to have facilities
constructed on their campuses and discontinue the use of Victory
Stadium. For the CSL International analysis, it was assumed that
the high schools would continue to play regular season games at
Victory Stadium; averaging about five games a year per team, or
about ten total regular season games per year.
375
With a new stadium and a better experience for fans, it is hoped
that attendance will increase from approximately 1,000 - 1,500 up
to about 2,000 persons per game.
Victory Stadium currently hosts a few soccer games per year and
one or two lacrosse games a year, with Iow attendance levels, but
with a new facility and the installation of artificial turf, Victory
Stadium could be a prime facility for soccer and lacrosse.
Championship games for high school football, soccer and lacrosse
require various stadium scenarios, post~season high school
opportunities exist, currently the majority of post-season games
are held at the higher seed's home, opportunities may exist at the
final rounds for Roanoke Valley localities to submit a joint
competitive bid, although there is no guarantee, even with a new
stadium, that Roanoke would be successful in booking the events.
College sports may also be an opportunity, inasmuch as Roanoke
currently hosts the Western Virginia Education Classic; there is
limited interest in bringing neutral site games to Roanoke; the
decision is usually based on travel expenses and gate receipts,
certain guarantees will be required in addition to covering event
and travel expenses, and such opportunities are limited at this
point.
Championship games also involve dollars, minimizing travel
expenses, bringing all the teams to one market, and having three
teams travel instead of four creates an impact on the programs.
The ACC is a strong conference in this region at the Division I
athletics level, the ACC requires large stadiums, factors considered
by the ACC in bringing events to markets include quality parking, a
top notch playing surface, adequate ticket booths, concessions,
restrooms, fan amenities, adequate press space, locker room
space, quality locker rooms and officials space, a video board and
scoreboard, hospitality areas, meeting space for pre-game and
post-game functions for team boosters, and adequate lighting as
events are televised.
NCAA football championship events at Division IAA, Division II and
Division III may also be an opportunity; Division IAA has been
played at Carter Stadium in Chattanooga, Tennessee, for several
years periodically, and comes up for competitive bid and Division II
would be a prime opportunity for the Roanoke area. Braly
Municipal Stadium in Florence, Alabama, has expended funds to
upgrade its stadium; the Stagg Bowl, Division III, is currently played
376
at the ball field in Salem, and in order to attract any of the above
referenced collegiate events, the City would have to partner with
the local college, university or an athletic conference to qualify for
bringing the events to Roanoke. Division IAA football
championships require at least 15,000 seats, for Division II and
Division III, 8,000 seats are preferred; other factors that are
considered relate to geographic location of the market, where
Division II teams are currently playing, how far the teams will have
to travel, the attendance potential of the market, the availability of
adequate lodging within the immediate area and outside of the
area, as well as the availability of practice facilities for both teams.
There are limited opportunities in terms of the NCAA soccer
championships; the NCAA has played in soccer specific stadiums,
and more soccer specific stadiums are under construction,
however, the main issue concerns the quality of turf. When games
are played in a football stadium, soccer players prefer a quality turf
facility, and providing artificial turf may mitigate the situation;
Division I championships request at least 8,000 - 10,000 seats ad
Divisions II and III require at least 5,000 seats.
The lacrosse championship is somewhat different at the Divisions I,
II and III levels and are currently played in major NFL facilities, such
as Lincoln Field in Philadelphia, Pennsylvania. Women's
championships rotate and there may be an opportunity for the
Roanoke Valley to submit a competitive bid.
It is assumed that the Western Virginia Education Classic will
continue to be held at Victory Stadium, one additional neutral site
game could be brought to Roanoke; i.e.: an early or late season
classic, or some other event that would guarantee revenue to the
team and cover expenses. No championship events have been
assumed because of the competitive bid situation; therefore,
depending on capacities, Roanoke could bring two events to sell
out with about 5,000 seats up to approximately 15,000 seats at the
largest stadium capacity.
Other sports opportunities exist, some of the venues that were
studied host semi-professional football, and professional league
soccer may be available; there may be opportunities to attract
professional sports team, however, league economics require that
all revenues generated go to the teams, so, in effect, revenue will
not benefit the facility other than through added utilization. It
would be necessary for the City to solicit a local ownership group
to sponsor a team.
377
Youth sports were considered such as regional tournaments, or
AAU-type tournaments that generate visitors to the market.
Initially, one might think that a new stadium would provide a prime
opportunity to attract these types of events; however, the reality is
that promoters do not care about new stadiums, or about having
5,000 seats or 10,000 seats, but instead they look for 20 or 30
fields in order to accommodate all events.
CSL International interviewed concert promoters both locally and
regionally. Victory Stadium has hosted some concerts in the past,
such as the Dave Matthews Band which was successful, but
required certain significant guarantees. In order to attract
concerts, promoters require money and guarantees that they will
be able to cover costs and generate as much revenue as possible.
There is very little interest in stadium configuration. Football
stadiums are somewhat unique and stadium seating is better
situated for football games. The curved seating arrangement
allows patrons to focus on the center field. With a new facility and
new amenities, it was assumed that Roanoke would continue to
host those events that have been held at Victory Stadium for the
past several years, such as "Music for Americans" and other festival-
related events. The City of Roanoke would do well if it hosts three
of those types events per year, depending on the capacity and type
of concert, ranging from 3,500 to 10,000 persons per event.
In addition to festivals, Victory Stadium has acted as a home base
for road races and other community events. The new stadium
would afford an opportunity for other activities such as flea
markets and car shows, using the stadium grounds to host the
events
It is estimated about 62 events per year could be held at Victory
Stadium, ranging from 62,000 to 100,000 persons total. The
Stadium could be operated as a business and as a part of an
enterprise fund that would be actively marketed to attract new
events.
The financial analysis relies on the fact that Victory Stadium will be
operated as a business and that the facility will control
concessions; total revenues, historically, have been about
$28,000.00, however, it may be possible to generate between
$156,000.00 to $279,000.00 in total revenues. Total expenses
could be about $217,000.00 on the Iow end, up to about
$290,000.00. There is no estimate for a capital reserve account at
this time since costs are not known; generally, an estimate of about
378
one-half to one per cent of project costs on an annual basis would
be set aside in order to have available funds for operations. Overall,
Victory Stadium has operated on about a $200,000.00 loss, but
with active marketing and an active business approach, the City
could reduce the deficit anywhere from $11,000.00 to $61,000.00.
If concession revenues were given to local community groups
and/or high schools, revenue would decrease significantly.
Mr. Parker advised that after all is said and done, the question in the
minds of most people is, what size facility should be built. He stated that
based on all of the information that was received, a 5,000-seat stadium will be
the capacity that will accommodate approximately 90 per cent of the events
that will utilize Victory Stadium; a 5,000-seat stadium may not allow the City of
Roanoke to compete for certain other events; and temporary seats could be
used to get the facility up to 7,000 or 8,000 seats, thus enabling the City to bid
on certain championship events. He further stated that a 10,000-seat facility
would position the market and provide the City with the ability to compete for
other larger events; however, there is no guarantee that any of the events will
come to Roanoke. He advised that whether or not the City of Roanoke should
build a facility with added capacity and added cost, with no guarantee of
attracting any of the above referenced events, is a decision that City Council will
have to make. He noted that some events may not be recurring events; i.e.:
they may occur one year and not again until five years later. He stated that the
ability to add temporary capacity to either a 5,000 or a 10,000-seat facility
would be a plus in attracting certain other events to the stadium.
In closing, Mr. Parker stated that the City of Roanoke has a unique
situation with an existing stadium that has considerable capacity for other
events.
Mr. Holleman reviewed a cost benefit analysis of incremental costs for
other events that Victory Stadium may be able to attract, the amount of revenue
that could be generated to the facility and to the community in terms of hotel
rooms, tax revenue and other spending in the community.
Mr. Holleman advised that:
Construction cost - Area square footage of space was multiplied
by unit costs which provides the subcontractor's price for the
sub-area of a particular unit; general conditions, overhead and
profit for the contractor is added to that figure, and because
there are numerous unanswered questions, a 15 per cent
estimated contingency was included, providing a new subtotal,
or bid price, that would be used in the marketplace for the bid.
The figure does not represent the total project cost since other
project costs, known as soft costs, will be added in
379
and will be different depending on whether the facility is a new
or a renovated facility. There would be a construction
contingency due to the potential of finding more things wrong
in a renovation project than in a new construction project of five
per cent for a renovation project and three per cent for a new
project. Also involved are fees for architects and others, as well
as direct costs for printing and travel expenses, in the range of
ten per cent for a renovation project, and about eight per cent
for a new project; and one per cent for the owner contingency.
He called attention to the need to include a three per cent
project contingency in the event of necessary additions and soft
costs range between 19 and 23 per cent of the total bid price
figure.
Mr. Holleman reviewed the following:
Purpose of the Victory Stadium Study Report prepared by Heery
International, Inc.:
· Evaluate Existing Conditions
· Develop Five Options
· On Existing Site
· Comparative Analysis
Agenda:
Flood Plain
Existing Stadium Assessment
Loose Brick
Spalled Concrete Seats
Lacking Amenities
Poor Field and Track
Sound Structure on Deep Foundations
Historic Tax Credit
Registered Historic Landmark
Preliminary indication from DHR is positive
20% Federal and 25% State eligible
Everything within stadium footprint eligible
Soft cost associated with eligible cost are eligible
Net savings back to City estimated at 35%
Example:
If the eligible cost is $10,000,000.00, the proceeds to
the City are $3,500,000.00
380
Five Options 1. Existing Stadium - Historic Rehabilitation (with Historic
Tax Credit)
2. Existing Stadium - General Renovation (without Tax
Credit)
3. New 5,000 Seat Stadium
4. New 10,000 Seat Stadium
5. New 15,000 Seat Stadium
· Program
Basic Program
Bench Seating
Toilets and Concessions for 8,000
Press Box
Support Space - Locker Rooms (11/15k)
Option Program
New Field
Architectural Fac;ade
Site Aesthetics
Raised Support Space
· Budget Methodology
Area x Unit Costs $
Subtotal
GC OHP 18%
Estimating Contingency 15%
Bid Price Subtotal
Soft Costs Renovated New
Construction Contingency 5% 3%
FF&E 3% 3%
Testing, Surveys, GEO
Owner Contingency 1% 1%
Project Contingency 3% 3%
Subtotal Soft Cost 23% 19%
Total Project Costs Total $$ Total $$
*Escalation Mid-Construction December 2006
381
Budget Comparison
Option I Option 2 Option 3 Option 4 Option 5
Renovate Renovate
18,000 Tax 18,000 No Tax New 15,000
Items Credit Credit New 5,000 Seats New 10,000 Seats Seats
Basic Stadium
Costs $171010~349.OO $13~443~983.OO $121812~995.00 $18~6201749.00 $20~6141083.00
Fa~:ade Upgrade $0.OO $2~454~013.00 $1~737~804.00 $2~404,912.OO $3~221~585.00
Field
Improvements $1~073~975.00 $1~073~975.00 $1~073~975.00 $1~073~975.00 $ !~073~975.00
Site Upgrades $999~600.OO $999~6OO.00 $ 999~600.OO $999~600.00 $999~600.00
Raised Support
Facilities n/a $1,612,997.00 709,049 709,049 709,049
Sound System $175~000.00 $175~000.00 $175~000.00 $175~000.00 $175~000.OO
Patron
Connection n/a $500,000.00 n/a n/a n/a
Scoreboard NIC NIC NIC NIC NIC
Total 19~258~924 18,146~571 16~799~374 23~274,281 26~084~243
Eligible Base Tax
Credit $16,360,432.OO n/a n/a
At 35% $5,726~151.00
· Operation and Maintenance Costs
Estimated Stadium Operating Expenses
Expense Type Historical Victory Renovated New Stadium New Stadium New Stadium
Stadium (1) Stadium 15,000 Seats 10,000 Seats 5,000 Seats
18,000 Seats
Salaries, Wages & Benefits $ 116,000.00 $ 130,000.00 $ 122,000.00 $ 110,000.00 $ 99,000.00
Utilities $ 39,000.00 $ 50,000.00 $ 47,000.00' $ 42,000.00 $ 38,000.00
Repairs & Maintenance $ 6,000.00 $ 35,000.00 , $ 33,000.00 $ 30,000.00 $ 27,000.00
Materials and Supplies $ 8,000.00 $ 20,000.00 $ 19,000.00 $ 17,000.00 $ 15,000.00
Professional Services $ 33,000.00 $ 20,000.00 $ 19,000.00 $ 17,000.00 $ 1S,000.00
Other $ 30,000.00 $ 35,000.00 $ 32,000.00 $ 27,000.00 $ 23,000.00
Totals $232,000.00 $290,0OO.00 $272,000.00 $243,000.00 $217,000.00
(1) Represents average annual operating expenses over the past four fiscal years, inflated to 2005 dollars.
Note: Expenses in the table exclude any annual capital reserve fund contributions, the amount of which may vary
depending on total renovation/construction project costs.
382
The City Manager advised that Mr. Garland was present to answer specific
questions with regard to Historic Tax Credits.
Following a brief recess, Mayor Harris recognized the Members of Council
for questions and comments.
Council Member Cutler asked the followinq questions:
Question: The Branch Highways contract with the U. S. Army
Corps of Engineers to dig bench cuts along the Roanoke River just
down stream is creating a considerable amount of fill material.
Using available fill material for both the demolition of Victory
Stadium and the construction of bench cuts as recommended by
the U. S. Army Corps of Engineers along the Roanoke River, would
it be practical or advantageous to elevate the new stadium site by
the river with fill material before beginning construction.
Response: Mr. Holleman stated that he would address the question
in general terms. It is possible to use fill material to raise the site
in areas that are not critical to the structure of the stadium; the site
currently has a lot of silt and the more weight that is placed on it,
the more the structure tends to settle. In areas such as under the
playing field, fill material could be used, as well as underneath
sidewalk areas, landscaping, e~c.
Question: Explain the premium that the City would pay to build a
5,000 seat stadium on or near the Victory Stadium site near the
river, compared to an identical seating capacity stadium on an
upland site, such as the campus at William Fleming High School.
Response: Mr. Holleman stated that without knowledge about the
William Fleming site, his response would be based on assumptions
and conditions. Based on a previous comparison, a high school
stadium of 5,000 seats, with lighting and a comparable amount of
support space for locker rooms, would cost approximately $7.8 -
$7.9 million, including all soft costs. If locker rooms are not
needed, $2.2 million could be deducted from the estimate.
Question: For years, the City has stored motorized equipment
under the stands at Victory Stadium, and on several occasions the
equipment has been damaged by flooding. Would that area be
permanently closed, or how would the accumulation of flood water
be avoided?
383
Response: Mr. Holleman stated that presently there is no plan to
prevent flood water from coming in inasmuch as the water comes
up through the drain pipes, etc.; new support facilities would be
built above the ten-year floodplain level; lower space where
equipment was previously stored would not be changed and would
flood during heavy rainfall; and one solution would be to install a
sump pump to pump out water as it comes in. If the site totally
floods, it would be difficult to keep water out of the area.
Question: How do you account for the discrepancy between your
vehicle parking capacity number for Victory Stadium compared to
that used by Richard Rife, Architect, which was based on an
estimate provided by the City's Parks and Recreation Department.
Response: Mr. Holleman stated that the consultant did not go into
an analysis on the number of parking spaces, typically about 3.5 -
3.75 people are calculated per car for football games, so the
number of parking spaces needed would be determined on
caPacity; patrons typically walk about ten minutes to a ball park
and all the spaces in the area could also be calculated. An efficient
parking lot in the space was allowed for which provided for about
525 cars, and the figure was derived by taking the capacity number
and dividing it by 3.5. In addition, there are other lots around the
area on which patrons could park and walk to the stadium.
Question: Based on your experience as a stadium consultant, what
are your thoughts with regard to the traffic situation, street
capacity and parking capacity around the site of Victory Stadium?
Response: Mr. Holleman responded that it was average at best;
there are large stadiums situated in the middle of campuses with
no surrounding parking, and patrons walk from 10-60 minutes to
reach the stadium; and it depends on the level of convenience and
how the City would want patrons to come to the stadium. If the
desire is to encourage patrons to use the facility, it should be as
convenient as possible. The area is somewhat congested, but
considering the types of events that have been held at Victory
Stadium, traffic would not be that unreasonable and shuttle buses
could be used, if necessary.
Council Member Dowe asked the followinq questions:
Question: Would sound system upgrades be primarily for sporting
events, would the same sound system have the capacity to be used
for concerts, or would the City have to address other
improvements?
384
Response: Mr. Holleman stated that other improvements would be
necessary because the sound system basically works for specific
seat locations, for PA announcements, for playing the National
Anthem, and would not support a rock band concert which was not
included in the numbers inasmuch as the consultant was not
instructed to look at concerts. The consultant's report did not
include how to provide power for large events that may come to the
stadium, however, additional costs would be incurred to provide
electric power, or it could be accomplished thrOugh a temporary
generator.
Question: It was mentioned that very seldom are there events at
Victory Stadium where attendance of 15,000 - 20,000 people was
achieved. Is that based on the historical propensity of the markets
to support attendance, or on some historical information of the
sites and the types of markets?
Response: Mr. Parker stated that it was based on the estimated
types of events that could be held at the stadium, estimates for
attendance were based on similar events held elsewhere and the
historical usage of Victory Stadium.
Question: How many of those sites had similar facilities within a
ten-mile radius?
Response: Mr. Parker stated that he did not know specifically, but
did not think there were many, other than another municipal high
school football stadium; and the comparables that the consultant
reviewed did not host those types of outside events.
Question: If the schools decide to build stadia, how would that
affect the potential of 62 events per year at Victory Stadium?
Response: Mr. Parker stated that 30 soccer and lacrosse and ten
football games were included in the study, therefore, the stadium
would loose 40 events out of the 62.
Question: In essence, the City would have to hold 18 such events
to make up for lost operating expenses. How many missed
opportunities could the City allow before the facility starts to look
like it does now?
Response: Mr. Parker stated that he could not answer how many
activities could be missed, the consulting team tried to show that
there is no guarantee that any of the events would come to
Roanoke, the City would have to go through the competitive bid
process, and he did not know how long the City would choose to
sustain that type of loss with that type of facility.
385
Question: Has research shown that aesthetics of a facility does not
matter as much as the market's propensity to support the facility?
Response: Mr. Parker advised that both aesthetics and market
support are important and the propensity of support is based upon
events, which is based on providing a quality facility; therefore, it is
a kind of circular equation. Providing a top quality facility and top
quality events are key to encouraging patrons to visit the facility.
Vice- Mayor Fitzpatrick asked the followinq questions:
Question: What is entailed in the Historic Tax Credit process in
terms of benefits to the City and monetary value?
Response: Mr. Garland stated that his group considers itself to be
experts in historic preservation and in identifying those properties
that have the potential to qualify for tax credits; however, they are
not attorneys and do not form corporations and entities that are
necessary to carry this type of project forward. The Historic Tax
Credit project is both a State and Federal program; State tax credits
are 25% of eligible expenses and the Federal program is 20% of
eligible expenses. A structure must qualify for the program,
meaning that the building is over 50 years old, and if the structure
is not in a historic district, it would have to be included on the
Register for Historic Places. In the case of Victory Stadium, the City
would have to apply for the stadium to be included on both the
State and Federal Register for Historic Places. Consultants met in
early October with State representatives that are responsible for
determining whether a structure can be included on the registry,
and State representatives agreed to take the Victory Stadium issue
to the appropriate committee to obtain a preliminary ruling as to
whether Victory Stadium could be placed on the Registry. They
have since advised that it is thought that Victory Stadium could be
included on the listing which is the first step to qualify for Historic
Tax Credits. Once the stadium is placed on the Register of Historic
Places, any architectural and/or engineering projects would have to
be done in such a way that they would not take away from the
historic architecture of the building. The City would have to
maintain the existing fac;ade, and there could be no construction of
additions on the outside of the existing fac;ade. The City should try
to limit building outside the extremities of the stadium since tax
credits only apply to the existing structure, which would include
anything from outside wall to outside wall, including the field, but
would not apply to site work costs outside extremities of the
building. A "not-for-profit" group could take advantage of the tax
386
credit by forming a "for-profit" corporation, the "not-for-profit"
corporation would become a general partner in the syndication,
and after the tax credit portion of the project is taken advantage of,
ownership would revert back to the "not-for-profit" group. Most of
the expenses on the project would be eligible; the total of 45 per
cent that could be obtained through Historic Tax Credits on a
normal for-profit project is diminished somewhat on a municipal
project, because associated administrative costs carry a not-for~
profit forward to take advantage of the tax credits, which
historically have been about 35 per cent instead of 45 per cent of
eligible expenses. The $5 million figure comes from what can be
recouped after construction, which can be subtracted from the total
cost of the project.
Council Member Lea asked the followinq questions:
Question: If the City leans toward the larger stadium venue, would
marketing be a critical piece?
Response: Mr. Parker responded in the affirmation and advised
that the larger the facility, the more expenses will be incurred and
more events will need to come through the facility. If the City
looses the high school events, marketing will be critical.
Question: Are there certain persons or groups whose sole purpose
is to market such facilities?
Response: Mr. Parker stated that he did not think it was all that
common for a stadium with fields of this type, although there is a
market primarily for baseball and football stadiums. There is a
large community effort in the City of Salem to promote their facility
and host between 20 - 30 events per year.
Question: When a locality talks about partnering with various
conferences and/or college conferences, such as the National
Collegiate Athletic Association (NCAA), the first question is, how
many people will a venue accommodate; therefore, is marketing an
important element?
Response: Mr. Parker stated that marketing is critical, and starts
with a demonstration of support by the facility and the community.
His firm has been involved with the NCAA on a variety of levels
looking at second-tier championships, and because of the push to
make the second-tier championships more major events,
communities are becoming more and more aggressive in their
marketing efforts.
387
Council Member McDaniel asked the followinq question~:
Question/Comment: The Roanoke River Flood Reduction Project
when completed would only protect the City from the 30-year flood
range.
Response: Mr. Holleman stated that the levy goes only to the 30-
year flood level, but the consultant's scenario goes to the railroad
tracks and areas where the water backflows onto the site; there is
no full protection even on the 30-year level, flood water is still
projected to come in up to the ten-year level; and regardless of
what the City does at Victory Stadium, there will be flooding.
Question: Review briefly the different scenarios at a 30-year flood
level if the stadium is left as is versus the new options?
Response: Mr. Holleman referred to a previous slide and stated
that currently, patrons enter on the lower grade and go up the
ramp into the stands, the level where a visitor walks up is about the
ten-year floodplain level, and theoretically floods to the level every
ten years; and the area below, where equipment was previously
stored, floods more often because it is in the two-year flood area.
The line denoted below the first level is the 100-year floodplain and
is about where the vomitories are located in the front of the facility;
the 30-year floodplain is about half way in between, so practically
speaking, the 30-year floodplain level cannot be worked with
because space cannot be fitted between the 30-year floodplain and
the level above. The consulting team also looked at the upper
level, and there is structure to build a third level, but there is a
question with regard to seating and what would be included on the
third level. It is too far from the field to place the locker rooms,
and it would not be practical for concessions. The third level would
be the practical level to build on because it would be above the
100~year floodplain.
Question: Talk about the new scenarios?
Response: Mr. Holleman stated that the main concourse would be
built above the 100-year floodplain, removal of a few rows of
seating resulted in the concourse being higher; and placement of
the concourse would allow people to look down onto the field and
give vertical space which could support facilities above the 100-
year floodplain, with about 14 feet of space underneath. The goal
was to try and keep the artificial turf out of the ten-year floodplain
by raising the field level; the lifespan of artificial turf is about ten
years; and there would be a problem with artificial turf as particles
would tend to float in the event of a lot of water and the turf would
have to be hosed off to remove accumulated silt.
388
Question: Would it be economical in the long run to add on to the
facility piecemeal?
Response: Mr. Holleman stated that in the long term, costs would
increase just as the cost of construction increases every year; ten
years from now, it would cost about 25 per cent more, so it will
never be cheaper than it is currently. It is practical to add on, just
as larger stadiums started out small, and added on approximately
every five years. This concept works from the 5,000-seat
configuration, which is the way that many stadiums have
expanded.
Question: What would be the approximate cost of additions?
Response: Mr. Holleman responded that he could work up costs
using today's dollars, but it would not be an accurate projection of
costs in ten years.
Council Member Wishneff made the followinq observation and
asked the followinq question~:
Question: Two examples locally of projects that were
accomplished using Historic Tax Credits are the Jefferson Center
and Warehouse Row. They continue to be owned by the City
pursuant to 40-year leases with entities operating the facilities
separately from the City. The Higher Education Center, O. Winston
Link Museum, Grandin Theater, Shenandoah Hotel, and Burrell
Hospital were also accomplished through Historic Tax Credits. The
Culinary School will also be constructed through Historic Tax
Credits, therefore, it is a well tested process.
Question: Can you provide more details regarding structural
issues, since there has been a considerable amount of discussion in
the community regarding the safety and condition of Victory
Stadium.
Response: Mr. Holleman stated that the structural frame of the
stadium is in good condition, with no cracks or spalling in the
frame; the underside of the grandstands look better than most
grandstands of its age, grandstands are fairly thick in order to
withstand abuse' where the concrete is spalling which is a good
basis for which to work, it appears that the building is not settling
and only those things that are not attached to the frame are
settling, such as the sidewalk on grade, restrooms that were built
on grade, block walls that were built on spread footings and/or
389
those things attached to the brick where one thing has moved and
the other has not, which is an expansion situation between two
different types of frames. Rusting of brick ties is an issue which
can be addressed by taking out all of the brick and reinstalling with
new stainless steel ties, or a method to remove the brick in place
which would be almost as expensive as tearing the brick off and re-
bricking. Either way, funds to cover the cost would need to be
included in the budget.
Question: Should building plans be oriented to fit general
instructions by representatives of the State Historic Tax Credits
program?
Response: Mr. Holleman advised that he met with State
representatives to present preliminary alternatives, and
suggestions were made on what should and should not be done
which were conveyed to Heery International to incorporate in the
report.
Question: If the levy were in place, would flood water flow over the
levy?
Response: Mr. Holleman stated that it appears that flood water
comes through the back side of Victory Stadium and would come in
before the water goes over the levy side.
Council Member Wishneff stated that to assist the biomedical
research park in the area, the City may want to address the levy
issue outside of the Victory Stadium project. He advised that if the
levy were never constructed, or if the flood reduction project was
not completed, Victory Stadium would have a field that could be
washed off, with only locker rooms that would be left in the
floodplain that could be hosed off.
Mr. Holleman responded that if the levy was not built, it will take
less than a ten-year flood to flood up to that same level; water
would come in at the five-year level instead of the ten-year level,
and there would be a more frequent situation where locker rooms
would have to be hosed down, etc.
Mr. Parker stated that the City's Building Commissioner was
emphatic that any alternative, whether it be renovation or new
construction, must meet code standards relative to floodplains, and
anything that would be destroyed by a flood would have to be
elevated above the lO0-year floodplain by approximately two feet
under any of the alternatives.
390
Question: Operating costs increase as the size of the stadium goes
up and revenues go up. Under the consultant's projections, would
it be less expensive to operate current Victory Stadium, rather than
a 5,000 seat stadium, by approximately $50,000.00 a year?
Response: Mr. Parker responded in the affirmative, with the facility
being reliant upon the two-three concerts that were included in the
report which act as a revenue driver.
Council Member Wishneff stated that it is important for the public
to understand that the larger version of Victory Stadium looses less
money annually than any of the other options.
Mr. Parker replied in the affirmative, assuming that there are three
15,000-person attended concerts per year, with the revenue driver
coming from the concessions and rent that would be generated.
The ability to attract three 15,000-person attended concerts is
difficult and would require a serious marketing effort.
Question: Review the cost for each Option 1 using Historic Tax
Credits.
Response: Mr. Holleman stated that the total for each concept
includes the brick fa(;ade, field improvements, site upgrades, a
good sound system, and support facilities that are waterproofed
just above the ten-year floodplain. The total cost for Option 1 is
approximately $19.25 million, with $6.36 million available in
eligible funds through a Historic Tax Credit, equaling
approximately $13.5 million for Option 1 which includes 18,000
seats.
Question: Temporary restroom facilities were used for a recent
concert in Charlottesville, Virginia. Are temporary restroom
facilities typically provided for large events?
Response: Mr. Holleman replied that temporary restroom facilities
are typical in areas where there is a lot of temporary seating or
lawn seating, but code standards are specific and provide that the
number of fixtures must be provided based on the number of
permanent seats, no matter how many times the facilities are used.
Option 2, which is the Victory Stadium renovation at 18~000 seats,
with no tax credit, is about $18.14 million; Option 3, which is a
new stadium of 5,000 seats is $16.8 million; Option 4 is a new
10,000 seat stadium, at a cost of $23.27 million; and Option 5 is a
15,000 seat stadium at a cost of about $26.08 million.
391
Council Member Cutler asked the followinq questions:
Question: The leadership of the Virginia National Guard plans to
abandon the National Guard Armory within the next two years and
move to a site "out of the floodplain"; hypothetically, if that
building was not there, would the consultant have proposed to
locate the building or the additional 5,000 seats of a 15,000 seat
stadium on that end rather than on the river end of the stadium?
Response: Mr. Holleman stated that the issue would have to be
revisited, although most likely it would not make that much
difference relative to the floodplain. It is doubtful that the soil
would be much different if the floor elevation of the building was
high enough, it would involve flood proof construction, and would
be less expensive to place some of the support space in the
building instead of constructing a new structure.
Council Member Dowe asked the followinq questions:
Question: How many more floods would it take to deteriorate or at
least leverage the solid foundation?
Response: Mr. Holleman stated that he did not think it was
possible to say one way or another if further flooding would affect
the foundation of the stadium to the point where it would start to
settle, and the water table is very close underneath the building.
Stadiums pose a continuous maintenance item inasmuch as they
are neglected all over the country, because people build them, use
them once a week, then forget about them with little or no
maintenance. Stadiums require more maintenance than any other
type building because they are open to the elements on all sides.
Question: Given flood considerations and the proximity of Victory
Stadium to the Roanoke River, would it be feasible to consider a
kind of river-front development that would be used in conjunction
with a stadium, or a stadium site that could be used, regardless of
whether the stadium was in operation?
Response: Mr. Holleman stated that he could not speak to the
developability of the concept, other than to say that anything could
be made to look good, and whether a business would want to come
into a location that had the potential of flooding and whether that
area of the City would promote that type of development is a big
question. There would most likely be some spin-off businesses as
a result of the bio-medical institute in the area.
392
Vice-Mayor Fitzpatrick asked the following questions:
Question: If the City decided to spend $13.5 million using the
Historic Tax Credit option, would the City get another 60 years out
of Victory Stadium before major investment is needed; or if the City
elected to construct a new $16.8 million aluminum metal structure
facility, with a fa(;ade around it, what would be the life of that type
of facility?
Response: Mr. Holleman stated that projections could be made,
however, it is a matter of maintenance as to how long the stadium
will last; if existing concrete at Victory Stadium had been properly
maintained over the years, spalling would not have occurred and
the only money required to be spent would have been for
maintenance; and that type of decking requires more maintenance
and waterproofing than for an aluminum deck. The structure that
holds up the aluminum deck, which is galvanized steel, also must
be maintained, just like any structural system or it will start to rust
and cause problems with the steel, but aluminum decking requires
less maintenance than concrete decking.
Council Member Lea asked the followinq questions:
Question: Could the two high schools use Victory Stadium while
the facility is undergoing construction or renovation?
Response: Mr. Holleman stated that either concept would work,
although both would have some inconveniences. If a new stadium
is constructed, one side of Victory Stadium would have to be torn
down while constructing a new side, and all patrons would sit on
the same side. Many stadiums have been constructed through the
football season. Certain things can be done with the right amount
of timing and planning, i.e.: recoating the seats and installing new
seats, using both sides for seating while working on restrooms and
concessions underneath, and utilizing temporary restroom facilities
and concessions.
Council Member McDaniel asked the followinq question:
Question: Were other stadiums studied for marketing purposes or
for location, and were there any comparables?
Response: Mr. Parker stated that the focus was on the types of
events, how they were operated and by whom, most of which were
school districts or cities.
393
Council Member Wishneff asked the following question:
Question: Victory Stadium is a facility with commercial roads
surrounding it and the structure is visible from 1-581. As opposed
to constructing high school facilities in the neighborhoods, would it
be an attractive location?
Response: Mr. Parker stated that it would depend upon ingress
and egress and it was difficult to answer the question since he did
not know what traffic is like around Victory Stadium when the
facility is occupied by 6,000 - 7,000 people.
Council Member Dowe asked the followinq question:
Question: When the consultant looked at other stadiums across
the country that have a high volume of usage, was there a way to
determine the affect of attendance levels?
Response: Mr. Parker stated that the team did not specifically look
at attendance levels, many facilities were operated by school
districts which do not closely track attendance, and facilities are
generally constructed to accommodate the primary attendance in
terms of capacity. There is an impact if the facility has 15,000
seats and only 2,000 people in the stands, and 2,000 people in a
5,000 seat venue would still feel empty, therefore, it is important
to generate a home-field advantage and to scale the facility
accordingly.
Mayor Harris asked the followinq questions:
· Question: Will the new option at 10,000 seats and 15,000 seats, as
well as the two renovation options, price restrooms and concession
points at a permanent seating level of 8,000 people?
Response: Mr. Holleman responded in the affirmative.
Question: With regard to renovation options, how did the
consulting team get from 18,000 seats to an 8,000-seat toilet
connection?
Response: Mr. Holleman stated that the figure came about as a
result of previous stadium work, in that there were "X" amount of
seats that were permanent and the number might have been 8,000,
and everything above that for special events would be in
temporary facilities; as the consulting team started to hear that the
number would be over 2,000 - 3,000 people in the facility, to have
394
toilets for 18,000 people seemed like an extreme cost, the point
being to include less and get permission to use temporary facilities
in the event of a large festival that might require toilets for 15,000
people. The toilets downstairs would either be revamped as back-
up toilet facilities, realizing that they are located in the floodplain,
or some combination of both; and typically, by the plumbing code,
a facility must have X many fixtures for X many people, with X
number for women and X number for men; therefore, the City
would need seek a variance, or an agreement from its Building
Department.
Question: Would permanent seating be any type of seating; for
example, if some part of the stadium had aluminum benches and
some part had the concrete terracing, does the concrete terracing
still count as permanent seating, or would benches be counted as
permanent seating?
Response: Mr. Holleman stated that a determination would be
made by the Building Commissioner.
Question: Under the renovation scenario, the first nine rows would
be removed for wheelchair seating. Since most patrons will tend to
gravitate to the first 12 rows because of the view, how would that
affect the sight line from the first row to the field?
Response: Mr. Holleman stated that it would depend upon where
the wheelchairs are parked as to whether they would pose an
inconvenience, and as the structural seats are removed in the first
bay by the column and the wheelchair platform is installed,
wheelchairs would be located against the next row of seats,
therefore, spectators would be able to see over wheelchairs in the
same manner as anyone sitting in a regular seat. The only
obstruction would be when wheelchairs are moving around on the
front, which is no different than someone standing up and walking
down the row.
Question: Raising the field surface to the point where the crown is
presently located and leveled from there would place the field
above the ten-year floodplain. Under a renovation option, if
artificial turf were installed, is there the capacity to raise the field
to the 20-year floodplain level?
Response: Mr. Holleman stated that there is a little give and take,
but when watching a football game, spectators rarely sit and prefer
to be about six feet above the grade in order to see over the
shoulder of the player. The more the field surface is raised without
raising the stadium, the worse the sight line will become for
persons in the front row, therefore, a balance must be achieved.
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Question: When studying at communities that regularly host AAU
events, what are typically the number of soccer or lacrosse fields
that a community should provide?
Response: Mr. Parker stated that it would depend on the size of
the tournament. AAU officials would take as many as they could
get, or perhaps in the realm of 20 to 40.
Question: How much of the work could be done in advance of
receiving the Historic Tax Credit?
Response: Mr. Garland stated that Historic Tax Credit is a multi-
application process and whether or not the project qualifies should
be known prior to commencing the project. A preliminary
application provides certain assurances that the project will qualify
for Historic Tax Credit.
Mr. Garland advised that he felt comfortable in stating that Victory
Stadium would qualify for Historic Tax Credits based on
discussions with representatives of the Department of Historic
Resources. The longest piece in the process would involve getting
on the Register for Historic Landmarks; and a three-six month time
period would be involved, including a lengthy pictorial process of
photographing the current structure and providing proposed
renovation plans to the Department of Historic Resources.
Question: With regard to the renovation option, what would be
included on the second level out of the 100-year floodplain?
Response: Mr. Holleman stated that the second level would include
restrooms, concessions, concourse and stairs. Locker room
facilities would have to go either on ground level or in a separate
building; however, if the City pursues the Historic Tax Credits, a
separate building could not be constructed.
Mayor Harris expressed appreciation to Mr. Garland, Mr. Parker and Mr.
Holleman for their presentations. He stated that if Council Members require
additional information, they are requested to e-mail their question(s) to the City
Manager who will forward the question(s) to the consulting team, and the
question(s) and response(s) would then be e-mailed to all Members of the
Council.
The Mayor advised that the Roanoke City School Board had tentatively
been requested to meet with the Council Thursday, November 3 at 4:00 p.m.;
however, he stated that the Chair had previously indicated that the School
Board did not have a presentation that it wished to make to the Council.
396
He called attention to correspondence from the School Board Chair transmitting
a preliminary report of the Superintendent's Athletic Committee, and noted that
the School Board would be available to provide clarification to respond to
questions by Council, and/or to engage in dialogue; whereupon, he inquired as
to the pleasure of the Council.
Vice-Mayor Fitzpatrick stated that the communication from the School
Board was tantamount to not accepting responsibility for the duties of School
Trustees. He further stated that it is the responsibility of the School Board to
advise Council as to what the School Board believes is in the best interest of the
young people who attend Roanoke's schools, and whether the City of Roanol~e
can afford to do what the School Board wants, or agrees with their
recommendations, is an issue for the Council to address. He advised that it is
the responsibility of the School Board to apprise Council of the Board's position
regarding Victory Stadium versus stadia at the two high schools.
Council Member Cutler stated that Council should pursue the opportunity
to meet with the School Board on Thursday, November 3, 2005 at 4:00 p.m.
Council Member McDaniel spoke in support of meeting with the School
Board on November 3 to hear the Board's position on the issue.
Council Member Lea stated that there had been ample time for the School
Board to present its position to the Council regarding stadia at the two high
schools inasmuch as the matter has been on the table for an extended period
of time, and to bring the School Board into the discussion at this "11'" hour"
would only cloud the issue. He advised that it is incumbent upon the Council to
move forward and make a long overdue decision with regard to Victory
Stadium. He called attention to correspondence from the Chair of the School
Board advising that the Board has no recommendation to submit to the Council,
therefore, to force the School Board to make a recommendation would be
inappropriate on the part of Council.
Council Member Wishneff concurred in the remarks of Mr. Lea and
advised that an alternative would be to ask the School Board to review the
consultant's report and advise if the five options meet the needs of the school
system.
Vice-Mayor Fitzpatrick stated that the School Board is appointed to
operate Roanoke's schools and to provide the best possible education for the
City's 13,000 students. He added that to have an issue involving high school
football with no direction from the School Board, which is responsible for
school programs, is ludicrous. He advised that his purpose in calling for the
joint meeting is to offer an opportunity for the School Board to review the five
options and to advise Council of what the Board believes will be in the best
interest of Roanoke's students.
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Council Member Wishneff stated that when he served on the Roanoke City
School Board, the School Board advised Council, in writing, that it supported the
renovation of Victory Stadium.
Council Member Dowe stated that the School Board should be informed
of all ramifications associated with the five options presented by the consultant,
inasmuch as the School system will be the Stadium's largest user.
The Mayor advised that five members of the School Board were present
and heard the Council's discussion; and Council had previously received
correspondence from the Chair of the School Board, and he would contact her
on the following day to invite additional comment, either in person or in
writing, by the School Board as a result of the consultant's report. He stated
that this approach would leave the decision with the School Board in terms of
how the Board would like to interact or communicate with the Council, and he
would advise the Council prior to the close of business on Wednesday,
November 2, if the School Board wishes to meet with the Council on Thursday,
November 3, 2005, at 4:00 p.m.
There being no further business, the Mayor declared the special meeting
adjourned.
APPROVED
ATTEST:
Mary F. Parker
City Clerk
C. Nelson Harris
Mayor