City Council Approves Next Steps on Arena/Event Centre
For immediate release
For immediate release
Tuesday, March 7, 2017
Greater Sudbury City Council tonight directed staff to move forward with the next steps for a new arena/event centre. The decision was made following a comprehensive market analysis and business case assessment outlined this evening by PricewaterhouseCoopers and HDR/CEI Architecture Associates, and the presentation by City staff of a process involving site evaluation and request for proposals.
“This is an exciting step forward in a project identified by Council as a strategic priority, and I want to thank staff for their work in bringing this forward,” said Mayor Brian Bigger. “With tonight’s decision, Council has continued to prioritize growth, innovation, and community investment, while keeping a focus on fiscal sustainability and sound business acumen. I look forward to the results of a competitive bid process that will ensure the best value for money for our community.”
Subject matter experts Pricewaterhouse Coopers (PwC) were hired by the City to complete a market assessment for such a new arena/event centre, including identification of user needs, economic and social impacts of a new complex, partnership opportunities, possible financing models, and site location criteria. The study concluded that the Greater Sudbury market could support a centre of approximately 5,800 seats, and that such a facility would cost in the area of $80 million, excluding land and site servicing. A new facility of this size and cost would be constructed to include amenities of a modern-day facility.
Given the pre-existing market for sporting and entertainment events in Greater Sudbury, it is expected that a new complex will allow for expansion of the market and grow the City’s regional, national and international presence. The PwC report delineated anticipated economic benefits for a new arena/event centre, including $131 million in direct and indirect spending during construction, along with $48 million in employment income growth, and $6.9 million per year in direct and indirect spending during the facility’s operation.
Council also endorsed the recommended evaluation criteria for determining the most appropriate location for a new arena/event centre. The criteria include vision, complementary benefits, ease of development, access, parking, cost impact, economic impact and “city-building” (ie, would development on this site enhance the profile and/or quality of life of the community?).
Based on Council’s direction, PricewaterhouseCoopers and City staff will evaluate potential sites for a new arena/event centre, and bring recommendations forward for decision by Council. PwC and staff will also undertake to negotiate lease terms with the Sudbury Wolves, develop a financing strategy, and draft Request for Proposals documents for the selection of an operator for a new centre. Each of these elements is expected to be brought forward for Council decision in June 2017.
Background
The Sudbury Community Arena has been serving the residents of Greater Sudbury for over 60 years. The Arena’s fixed seating capacity of 4,470 no longer reflects the needs of Greater Sudbury and the surrounding region. As well, the building can no longer adequately accommodate the needs of the concert, trade show and the entertainment industry.
Despite major renovations in the last 16 years, a 2015 report estimated the costs to bring the Arena up to the current standards of a sports and entertainment complex at approximately $50 million. In 2016, City Council endorsed a new multi-purpose sports and entertainment facility as one its four priority projects. The other three projects include the Place des arts, a new combined Art Gallery and Library, and the Synergy Convention Centre. Read more atwww.greatersudbury.ca/largeprojects
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Tuesday, March 7, 2017
Greater Sudbury City Council tonight directed staff to move forward with the next steps for a new arena/event centre. The decision was made following a comprehensive market analysis and business case assessment outlined this evening by PricewaterhouseCoopers and HDR/CEI Architecture Associates, and the presentation by City staff of a process involving site evaluation and request for proposals.
“This is an exciting step forward in a project identified by Council as a strategic priority, and I want to thank staff for their work in bringing this forward,” said Mayor Brian Bigger. “With tonight’s decision, Council has continued to prioritize growth, innovation, and community investment, while keeping a focus on fiscal sustainability and sound business acumen. I look forward to the results of a competitive bid process that will ensure the best value for money for our community.”
Subject matter experts Pricewaterhouse Coopers (PwC) were hired by the City to complete a market assessment for such a new arena/event centre, including identification of user needs, economic and social impacts of a new complex, partnership opportunities, possible financing models, and site location criteria. The study concluded that the Greater Sudbury market could support a centre of approximately 5,800 seats, and that such a facility would cost in the area of $80 million, excluding land and site servicing. A new facility of this size and cost would be constructed to include amenities of a modern-day facility.
Given the pre-existing market for sporting and entertainment events in Greater Sudbury, it is expected that a new complex will allow for expansion of the market and grow the City’s regional, national and international presence. The PwC report delineated anticipated economic benefits for a new arena/event centre, including $131 million in direct and indirect spending during construction, along with $48 million in employment income growth, and $6.9 million per year in direct and indirect spending during the facility’s operation.
Council also endorsed the recommended evaluation criteria for determining the most appropriate location for a new arena/event centre. The criteria include vision, complementary benefits, ease of development, access, parking, cost impact, economic impact and “city-building” (ie, would development on this site enhance the profile and/or quality of life of the community?).
Based on Council’s direction, PricewaterhouseCoopers and City staff will evaluate potential sites for a new arena/event centre, and bring recommendations forward for decision by Council. PwC and staff will also undertake to negotiate lease terms with the Sudbury Wolves, develop a financing strategy, and draft Request for Proposals documents for the selection of an operator for a new centre. Each of these elements is expected to be brought forward for Council decision in June 2017.
Background
The Sudbury Community Arena has been serving the residents of Greater Sudbury for over 60 years. The Arena’s fixed seating capacity of 4,470 no longer reflects the needs of Greater Sudbury and the surrounding region. As well, the building can no longer adequately accommodate the needs of the concert, trade show and the entertainment industry.
Despite major renovations in the last 16 years, a 2015 report estimated the costs to bring the Arena up to the current standards of a sports and entertainment complex at approximately $50 million. In 2016, City Council endorsed a new multi-purpose sports and entertainment facility as one its four priority projects. The other three projects include the Place des arts, a new combined Art Gallery and Library, and the Synergy Convention Centre. Read more atwww.greatersudbury.ca/largeprojects
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