Loading...
HomeMy WebLinkAbout070924 Visit Tri-Valley Destination Strategic PlanTown of Danville Presentation on Economic Impact & 5-Yr. Destination Strategic Plan Tracy Farhad, Pres. & CEO Visit Tri -Valley July 9 th, 2024 DSP image here DSP image here DSP image here events.vibetrivalley.com/pleasanton events.vibetrivalley.com /livermore events.vibetrivalley.com /dublin events.vibetrivalley.com /danville events.vibetrivalley.com/pleasanton events.vibetrivalley.com /livermore events.vibetrivalley.com /dublin events.vibetrivalley.com /danville 5-Year Destination Strategic Plan 5-Year DSP DSP image here 5-Year Destination Strategic Plan Demand driver Demand driver Demand driver Downtown Activations Supporting Activation of Downtowns Vibrant Marketplace Event & Asset Support Connectivity Research -based Strategic Direction ➢Wine Trolley Expansion ➢Hotel Shuttles ➢Transp. to/from major events ➢Public-Private Shuttles ➢Advocate for micro- mobility options Econ. Dev. + Business Friendliness Engage in Econ. Dev. Initiatives Tourism Business Hub Hotel Strategy Regional Collaboration Org. GrowthFunding Hotel Dev. Strategy Regional Collaboration Funding Strategies Organizational Growth •2024 Tri-Valley Multiuse Venue Development Market Analysis •Research highlights •Competitive highlights Research Highlights Sacramento San Jose San Francisco Salinas Fresno Santa Rosa Radius Markets 0-50 miles San Francisco, Berkeley/Oakland, San Jose, Concord, Napa, Stockton 50-100 miles Modesto, Santa Rosa, Petaluma, Gilroy, Salinas 100 -150 miles Chico, Fresno, Tahoe 150+ miles San Luis Obispo, Santa Barbara, Bakersfield, Los Angeles •Average Tri-Valley household income expected to increase from $161,579 - $200,001 through 2027; US average projected to reach $122,155. Tri-Valley households averaged $7,460 spending annually on entertainment/recreation 2022; significantly higher than the national average. •A population of 14.5 million within 150 miles of Tri-Valley indicates significant potential drive market attendees.Napa 23 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. •Primary meeting / event markets include Santa Clara, Temecula, and Roseville. •Understanding the surrounding meeting / convention facilities will begin to determine optimal square footage, target markets, and group size for a new facility. Market Gross Square Feet ( Largest Venue) Santa Clara 302,000 Temecula 274,500 Roseville 160,000 Oakland 100,566 Napa 80,000 San Ramon 50,000 San Mateo 32,265 Berkeley 30,659 Concord/Walnut Creek 20,935 San Luis Obispo 20,000 Fremont 14,435 Stockton 14,052 Santa Rosa 13,906 Tri-Valley 9,438 Meeting Space Competitors 24 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. 12%1% 15% 20% 6% 46% Economy Luxury Midscale Upper Midscale Upper Upscale Upscale Tri-Valley Hotel Landscape Hotel Insights: •Assessing current hotel room inventory and performance is important to determine optimal group size and room block package. •4,181 rooms across 40 properties; 1% luxury and 6% upper upscale, 46% economy •Average ADR of $137.36 and occupancy of 65.5% in 2022 •November – February are highest need months Source: CoStar 1% Luxury Room Inventory by Class 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 0.00 20.00 40.00 60.00 80.00 100.00 120.00 140.00 160.00 Tri-Valley Hotel Performance Occupancy ADR RevPAR 74.4% $150.13$115.9 51.0% 25 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. Venue Considerations •Key venue considerations •Entertainment and event trends Key Venue Considerations 27 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. •Annual subsidy or incentive considerations •Management & operating structure •Potential public/private partnerships •Driving tourism & overnight visitation •Adding capacity for regional and national tournaments •Creating new meeting and entertainment opportunity •Local community benefit considerations •Frequency of use •Multiuse capabilities •Need times and seasonality •Walkability •Access to amenities and transportation infrastructure •Access to the corporate and business clusters •Future development considerations surrounding site •Downtown room block •Potential RFI process to evaluate developer appetite •Facility floorplan and seating capacity •Matching space needs with destination •Gross vs net square footage Intention of adding asset Financial performance / feasibility Demand & type of activity Size / order of magnitude Hotel inventory Location / site identification Demand Analysis •Key venue considerations •Entertainment and event trends Amateur and Youth Sports Current S tate: •82,000 attendees in the region since 2018 •Generating 26,000 room nights •Lack of central venue led to 40% of events being dispersed across multiple small facilities •Sports organizers demonstrated overwhelming support for a multiuse facility •No other competitive facility in the region •Except for Robelen Complex in Placer County (currently in the residential area which is not preferred by organizers) Gaps: •Industry trends and thresholds needed to attract national and regional basketball and volleyball tournaments. •Range (min-max) of courts needed to be competitive with tournament organizers: •Volleyball: 18-24 courts •Basketball: 12-16 courts •Fencing: 100,000sqft- 32-36 strips (55x5ft) •Gymnastics: 60,000 sqft for 3 floor events 29 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. Corporate Community Demand •Interviewed 9 corporate planners in the Tri -Valley Area •General view is positive but less bullish than sports •Currently meetings are held at Roundhouse or Bishop Ranch •Demand areas fall within employee meetings, VIP meetings, training workshops, and company parties and events •Location near the BART line is an important feature for the corporate Venue Features Needed for Meetings and Conventions : •Audiovisual Technology •Divisibility in Meeting Rooms •Food and Catering •Hybrid and Virtual Meeting Features •Indoor and Outdoor Components •Training Facilities •Various Transportation Options •Walkable Access to BART •Walkable Proximity to Hotels 30 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. Entertainment Demand •Interviewed entertainment promoters in the Tri -Valley Area •Gap seen for the venues capable of seating 3,000 -5,000 Venue Features Needed for Entertainment Events : •Artist Experience •Backstage and Artist Facilities •Ease of Production including Loading and Production Support •Equipment Upgrade Considerations Over Time •Exceptional Acoustic Design •High Quality Audiovisual and Screening Systems •Immersive Multimedia Experience Capabilities •Parking Options •Patron Experience including Food and Beverage and Social Areas •Proximity To Hotels •Proximity To Pre- and Post-Event Food and Beverage Experiences •Sound And Lighting Equipment •Various Transportation Options Connectivity including Ridesharing Support •Well-Designed Stage and Performance Area 31 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. Visit Tri-Valley Multi-use Impact Highlights 185.5 Annual Events Days (78% occupancy) 130,950 Annual Attendees 24,160 Annual Room Nights 121 total events 286.5 days in use Events, attendees, and room nights JLL’s proposed facility recommendations have focused on maximizing space utilization and creating significant growth and impact to the Tri-Valley. Forecasted program can only be achieved with multiuse space. 32 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. Proposed Facility Impact 286.5 total days (78% occupancy) JLL’s proposed facility recommendations have focused on maximizing space utilization and creating significant growth and impact to the Tri -Valley. Forecasted program can only be achieved with multi-use space and accessible location. Proposed facility attendance impact significantly outperform traditional event and entertainment venues due to increased flexibility. 117.5 new sports related event days 30 new convention/ conference days 30 new entertainment days 33 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. Phase Overview- Site Finalization and Validation Ongoing Meetings Task Force Development Site Finalization and Validation Next Steps •Conduct interviews and engagement with elected officials, cities’ leadership, public and private entities •Entitlements •Zoning regulations •Public sector interest •Engagement •Current site ownership •Valuation •Create a committee of experts dedicated to the design and implementation of a multiuse venue •Convene 5-6 times throughout 2024 •Fulfill an advocacy and strategic advisory role •Deliver deck and presentation to Visit Tri - Valley and the Task Force •Finalize sites and discuss Phase 2, including financing and design Goal: The Multiuse Venue project aims to deliver a state-of-the-art facility spanning 100,000+ square feet. This development will be a versatile space capable of hosting a wide range of events and sporting activities, thereby catering to the diverse needs of t he local community and visitors. 34 | © 2023 Jones Lang LaSalle IP, Inc. All rights reserved. events.vibetrivalley.com/pleasanton events.vibetrivalley.com /livermore events.vibetrivalley.com /dublin events.vibetrivalley.com /danville THANK YOU!