2016 08 09 - S&O Agenda - Item 8, Att 2 - AEC Noosa Convention & Performing Arts Centre Pre-feasibility Review

PRE-FEASIBILITY OF CONVENTION AND PERFORMING ARTS CENTRES


5.1.2         Performing Arts Centre
Visitation to the Proposed Performing Arts Centre (or augmented version of The J) will depend on a range of
factors, including (but not limited to):

      Desire to attend performances (will differ based on age profile).

      Quality and cost of performances.

      Frequency of performances.

      Competing performances and other events in local and regional venues.

      Prior experiences at the venue and customer service.

Almost 1 in 4 residents across the Sunshine Coast attended at least one performing arts venue or event in 2014
according to ABS (2015), which accounts for in excess of 12,500 Noosa residents. However, this figure includes
attendance at any performing arts venue or event, not just local venues and events.

Advice from Council suggests The J attracted around 12,500 attendances at ticketed performances and events in
2015/16. Other visitation to The J during the year from community use and venue/room hire totalled an estimated
additional 53,500 attendances.

In order to estimate potential attendance at the proposed Performing Arts Centre, a review was undertaken of the
level of usage of comparable facilities. Applying the attendance to population ratios in Townsville and Cairns to
Noosa, total attendance at a larger Performing Arts Centre venue could total 32,000 ticketed performances.
However, given the proximity of alternative venues in the Sunshine Coast region to Noosa, there is likely to be a
reasonable degree of net leakage outside of the Noosa Council area of such performance demand.


5.2           CAPITAL COST
CCIQ Noosa identifies the preferred site for the proposed facilities as being The J. While no purchase of land is
required for the proposed redevelopment and expansion, the utilisation of land within The J’s site for this purpose
versus alternate purposes still represents an opportunity cost. It is noted that The J’s overall land value is $5.6
million as at 30 June 2015.

The capital investment for construction of the proposed Convention Centre, redevelopment of The J into the
proposed Performing Arts Centre and associated fit-outs is estimated at $30 million by CCIQ Noosa (p.16). AEC
suggests that the average useful life of the facility and associated fit-outs and equipment will be 35 years, which is
consistent with industry benchmarks for comparable facilities.

Table 5.3: Estimated Capital Cost
    Capital Item                                                         Value
    Construction and Fit-out Convention and Exhibition Centre   $15-$20 million
    Upgrading “the J” to a Modern Performing Arts Centre         $7-$10-million
    Estimated Total                                             $22-$30 million
Source: CCIQ Noosa.

It would be expected that additional parking spaces and/or remodelling of carpark facilities will be required within
and adjacent to the site. CCIQ Noosa identifies other carpark facilities as the Coles carpark, the old Club carpark
and behind the ANZ Bank and Noosa Five Cinema complex, suggesting that these existing carparks be
redeveloped to increase capacity following further transport analysis and an assessment of the centre transport
demand model. AEC suggests that a ratio of 1 carpark to 25sqm could be applied to determine an estimate of the
total minimum requirement for the Convention Centre component, with the Performance Arts Centre component
requiring a much higher ratio given that it will be more heavily reliant on local visitation. As a point of reference, the
proposed Sunshine Coast Exhibition, Convention and Exhibition Centre was initially considering a ratio of 1 carpark
per 10sqm.

Additional infrastructure constraints and implications of increased visitation and traffic to the site are unknown at
this early stage. At the very least, entry/exit, connector road and lighting infrastructure upgrades would be required




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