HURL Field Acquisition Strategy

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HURL Field Acquisition Strategy
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Field Acquisition Goals

• H.U.R.L Turf Sports Field (no rainouts all
  games guaranteed)
• Preferred scheduling (leagues, tournaments etc)
• Space for league and sport expansion
• Full field 340 x 240 2 full size ultimate
  fields (each field 340 x 120)
• H.U.R.L does not want to become a property
  management company (Field to be managed by HRM)

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Costs to Build a Field in HRM

• 0.75 M land value
• 1.25 M site work
• Need land to be given/donated
• Land from city
• Already existing field
• Or need other Cost sharing Partners
• HRM
• Other Sport Organizations
• Province (Sports and Recreation)

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Redevelop Existing Field
Would cost 800,000 to turn an existing grass
field into an all weather field

• Proposal to HRM
• HRM Maintains Field (they were going to anyway)
• HRM responsible for bookings of other 24 hours
• HRM Revenue Potential
• 30 weeks x 24 hrs/week x 52/hour
• 37,440 per year

50/50 on time at the Facility 48 Total
Prime Time Hours per week M-F 6-10 4hrs x 5
days 20hrs S-S 8-10 14hrs x 2 days
28hrs Each Party receives 24 hrs per
week HURL books own 24hrs 24 hours _at_ 1.5 hours
blocks 16 blocks x 4 teams per block 64
teams 64 teams x 15 players per team 960
potential HURL players _at_ 1 game/week
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Grass Versus Turf

• Why would HRM want to do this?

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Base   160,000 additional fill, drainage etc. 250,000
Excavation, Engineering, Plan        
       
Materials Sod - 2.75 per sq. ft. 220,000 FieldTurf - 4.50 per sq. ft. 360,000
    Field Turf Base - 1.00/ sq. ft. 80,000
       
Total Initial Capital Cost 380,000   690,000  
       
Maintenance 52,500/year x 10 years 525,000 5,000 x 10 years 50,000
(mowing, water, herbicides,        
pesticides, re-sodding)     HURL Contribution (400,000)
Total Costs 905,000 Total Costs 340,000
       
Annual Revenues From Field 16 weeks x 48 hours x 9 6,912 30 weeks x 24 hours x 52 37,440.00
       
10 Year revenues 6912 x 10 years 69,120 37,440 x 10 years 374,400
       
       
Total after 10 years   (835,880)   34,400
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Annual Cost Comparison
Current annual costs per player Annual Dues 25 Summer (500/15 Players per team) 35 per player 12 games 2.90 per game Fall (350/15 Players per team) 25 per player 8 games 3.15 per game 85 total for 20 games 4.25 per game Maximum Revenue Generating Scenario Annual Dues 10 Summer (750/15 Players per team) 50 per player 20 games 3.00 per game Fall (500/15 Players per team) 35.00 per player 10 games 3.50 per game 95 total for 30 games 3.15 per game Assuming 750 players pay dues and play in Summer, and 450 players play in fall this scenario would generate 53,000 per year in revenue.
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Loan Scenario

• 53,000 maximum annual revenues
• 100,000 in Field Fund

total down loan monthly annual
350,000 100,000 250,000 3,033.19 36,398.28

400,000 100,000 300,000 3,639.83 43,677.96

450,000 100,000 350,000 4,246.47 50,957.64
10 year term loan at 8 Interest
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Cost Sharing Proposal
total down loan monthly annual
400,000 100,000 300,000 3,639.83 43,677.96

• 43,677.96 / 750 HURL players 58.23 per player
• 58.23 / 30 games 1.94 per game
• Total per HURL player per 30 game season 58.23
  (field) 10 (dues) 68.23
• Currently paying 85 per season - 68.23 16.77
  Savings
• More games, less cost per game on the best
  quality field available
• Bottom Line Less cost per player for a much
  better product!

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New Field Development Costs
1 Land 1 Land 1 Land 1 Land 1 Land
approx 5 acres approx 5 acres 500,000 to 1,000,000 500,000 to 1,000,000  
750,000 750,000
2 Site Work 2 Site Work 2 Site Work 2 Site Work 2 Site Work
Permits and Licenses     5,000 5,000
Electricity gas lines hook up lines hook up 5,000 5,000
Water Sewer hook up hook up 5,000 5,000
Site Work Cut, Fill, Drainage Cut, Fill, Drainage 250,000 250,000
Fencing 1160ft x 17per ft 19,720 1160ft x 17per ft 19,720 20,000 20,000
Turf 340x240 81,600x4.50 340x240 81,600x4.50 367,200 367,200
Base Carpet Rubber 340x240 81,600x1.00 340x240 81,600x1.00 81,600 81,600
Parking Lot Paving grading, gravel, paving _at_2.00 per sq ft (80,000 sq ft) grading, gravel, paving _at_2.00 per sq ft (80,000 sq ft) 160,000 160,000
Lights - outside Parking Lot Field Parking Lot Field 200,000 200,000
1,093,800 1,093,800

Subtotal 1,843,800.00
Tax 258,132.00
Total 2,101,932.00
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Field Redevelopment Budget
Fill, Drainage, level 100,000
Turf (81,600 x 4.50) 367,200
Base Carpet Rubber (81,600 x 1.00) 81,600
Fence 20,000
Lights (wood poles) 100,000
Overun 32,000
SUBTOTAL 700,800
TAXES 98,112
TOTAL 798,912
TAXES (98,112)
FENCE (20,000)
SOD (220,000)
Lights (wood poles) (100,000)
TOTAL 360,800