New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive
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S PECI A L R E P O RT Trade Show Executive's New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To RENEE DIIULIO, senior editor THERE IS NO DENYING convention Executive’s Monthly Dashboard of Trade center web sites, online news stations construction has been slow. A look at the Show Metrics] and even YouTube; a search for clips on last two editions of Trade Show Execu- Not surprisingly, with such convention center expansion yields just tive’s Semi-Annual Pardon Our Dust shows philosophical differences among sides, over 300 hits. that commitment to new space has been the discussions about such projects take Of course, even during a space race difficult to secure. Few new projects were longer. To try to avoid this and help (and we are not in such a situation at undertaken, and construction figures build early support, the process behind present), construction of such magnitude dropped to new lows. convention center growth is changing. does not occur overnight. This edition of But some space supporters are starting Announcements are becoming Pardon Our Dust has not seen a significant to push harder, using the economy as a grander — consider New York Gover- difference in numbers of projects, though reason to build rather than an excuse not nor Andrew Cuomo’s vision to build they are up slightly. The report details to. It’s an old argument but one that has the nation’s largest convention center in information on projects underway at grown more appealing with a stagnating Queens, NY — and arguments are taken 10 North American convention centers economy. At the same time, trade shows directly to the public. Videos extolling (the same as in October) and lists 23 are back in a growth mode, with some the virtues of venues and the advantages additional venues considering new space reaching record highs [See Trade Show of new space can be found on convention (22 in October), either through expansion 44 April 2012 | Trade Show Executive
Construction Calendar Of the 13 convention centers with construction tructition on ojects the calendar, five will complete their projects ts this this an year, four in the first half. Five centers plann to finish or fresh builds. On the construction in 2013, two will wrap up construction in n 2015 calendar, three centers — the Baton wever, and one will open its doors in 2018. However, Rouge River Center (LA); Kalahari with 23 venues in the proposal stages for or Convention Center in Sandusky, OH; new projects, the calendar may fill out by and St. Cloud River’s Edge Convention our next report in October. Center (MN) — have already opened doors on new space this year. 1ST QUARTER 2012 Breaking Ground Baton Rouge River Center, Baton Rouge, LA† The years 2012 and 2013 are the busiest on the calendar, with five centers plan- Kalahari Convention Center, Sandusky, OH† ning to complete construction in each of St. Cloud River’s Edge Convention Center, St. Cloud, MN† these years. Then things slow down con- siderably. Proposed projects will likely fi ll it out once again, but if approved, they 2ND QUARTER 2012 can be expected to open at later dates, past Detroit’s 2015 planned completion Roland E. Powell Convention Center, Ocean City, MD of the expansion/renovation to Cobo Center. Few can be expected to get 4TH QUARTER 2012 shovels in the ground quickly. Anaheim Convention Center, Anaheim, CA The years 2012 and 2013 1ST QUARTER 2013 are the busiest on the New Orleans Ernest N. Morial Convention Center, New Orleans, LA calendar, with five centers Nashville Medical Trade Center, Nashville, TN* planning to complete construction. Then things 2ND QUARTER 2013 slow down considerably. Music City Center, Nashville, TN* Proposed projects will likely 3RD QUARTER 2013 fill it out once again, but Cleveland Medical Mart & Convention Center, Cleveland, OH* they can be expected to open at later dates. 4TH QUARTER 2013 San Jose Convention Center, San Jose, CA Obstacles vary, but each has its unique challenges that require time to overcome. Despite the hype, the discussion regard- 1ST QUARTER 2015 ing Governor Cuomo’s proposal is just starting, and though a new center may be Renaissance Colorado Springs North, Colorado Springs, CO* financed by private money, there will be some government commitment neces- 2ND QUARTER 2015 sary, requiring approvals. The proposed expansion of the Los Angeles Convention Cobo Convention Center, Detroit, MI Center is currently linked to a stadium proposal tied to the city’s acquisition of an NFL team (with varying predictions 3RD QUARTER 2018 for success). And other centers, such as Oklahoma City Convention Center, Oklahoma City, OK* the San Diego Convention Center, con- tinue to finesse designs and financing. † Project completed * New builds Continued on next page www.TradeShowExecutive.com | April 2012 45
Considering Construction Building new convention space today — whether brand new or an expansion of existing space — is no easy task. Even when findings from a feasibility study favor new space, and tenant growth warrants it, the economics may be difficult. And then there are politics Continued from page 45 which can create obstacles that become insurmountable. Yet sometimes, that forces The Northern Kentucky Convention proponents to sharpen their pencils to build a more convincing case. The net effect is Center, which currently offers 46,200 sometimes a better showcase. The 23 venues listed here have begun the process with square feet of exhibit space and 13,288 high hopes for a bigger and better center. Which will make it through the growing pains? square feet of meeting space, would like Trade Show Executive will continue to monitor the market, with our next report in October. to add about 20,000 square feet of ball- room/flex space adjacent to the exhibit hall and 14 to 20 meeting rooms measur- DISCUSSION ing roughly 1,300 square feet each. The Allen County War Memorial Coliseum & Exposition Center, Fort Wayne, IN goal is to complete the as-yet-unapproved project by 2017, 2019 at the latest to be Alliant Energy Center, Madison, WI able to secure shows. Anaheim Convention Center, Anaheim, CA The venue currently averages approxi- mately 160 events annually but loses shows Frontier Airlines Center, Milwaukee, WI that outgrow the available space, according Mayo Civic Center, Rochester, MN to Gretchen Landrum, executive director of the center. In a podcast aired by Strategic Queens Convention Center, Queens, NY* Advisors, LLC, she discussed the positive economic impact that comes with increased Tucson Convention Center, Tucson, AZ convention business, an argument echoed by many supporters of proposed builds. FEASIBILITY STUDY Reasons to Build Baltimore Convention Center, Baltimore, MD In a video looking ahead to what industry Henry B. Gonzalez Convention Center, San Antonio, TX watchers expect to be a successful bid for expansion of the Winnipeg Convention Centre, a former president of the center FINANCING recalls how the original development of the venue helped to clean up and revital- Bismarck Civic Center, Bismarck, ND ize the city. Gaylord Colorado Resort & Conference Center, Aurora, CO* When announcing his intent to make New York the number one convention Gaylord Mesa, Mesa, AZ (project on hold)* site in the nation during his 2012 State of Northern Kentucky Convention Center, Covington, KY the State address, Governor Cuomo said, “This will bring to New York the largest Miami Beach Convention Center, Miami Beach, CA events, driving demand for hotel rooms San Diego Convention Center, San Diego, CA and restaurant meals and creating tax revenues and jobs, jobs, jobs.” Noting that convention space LEGISLATIVE APPROVAL expansion, particularly at the Jacob K. Javits Center, has been talked about for Boston Convention & Exhibition Center, Boston, MA years in New York, he said, “But today is Fox Cities Convention Center, Appleton, WI* different, because today I propose we do something about it.” KI Convention Center, Green Bay, WI As the economy brightens, many more may take up the similar but well-worn Legends Bay Casino-Resort-Spa, Sparks, NV* argument: build it and visitors will come. New York State Convention Center, Albany, NY* Trade Show Executive will continue to watch and report on the happenings in this market. Read the next edition of DESIGN/SITE SELECTION Pardon Our Dust in October. Boise Centre, Boise, ID Reach Gretchen Landrum at (859) 261-1500 Los Angeles Convention Center, Los Angeles, CA A or glandrum@nkycc.com; Klaus Lahr, president and CEO, Winnipeg Convention Centre, at Winnipeg Convention Centre, Winnipeg, MB, Canada nada (204) 957-4501, klausl@wcc.mb.ca * New builds
Trade Show Executive Pardon Our Dust – CONVENTION CENTERS Pre-Construction Post-Construction Phase / Expected Exhibition Facility by Location Key Features Management Exhibit & Meeting Space Exhibit & Meeting Space Completion Date CALIFORNIA Anaheim Anaheim Convention Center Prime Exhibit Space: Prime Exhibit Space: Phase: Expansion will add Tom Morton, Executive Director, 800 W. Katella Ave. 813,000 sf 813,000 sf Start May 2012 100,000 sf of outdoor and (714) 765-8920, tmorton@anaheim.net; Anaheim, CA 92802 Meeting Space: 125,000 sf Meeting Space: 125,000 sf Completion Date: special event space. Part of David Meek, Convention Center Mgr., www.anaheim.net/conventioncenter Breakout Rooms: 52 Breakout Rooms: 52 December 2012 Anaheim Resort Complex (714) 765-8951, dmeek@anaheim.net including Disneyland and numerous hotels. San Jose San Jose Convention Center Prime Exhibit Space: Prime Exhibit Space: Phase: Construction Expansion to add 35,000 sf Managed by Team San Jose. 150 W. San Carlos St. 223,000 sf 223,000 sf Completion Date: ballroom space and 25,000 Mark McMinn, Director of Sales, San Jose, CA 95110 Meeting Space: 49,495 sf Meeting Space: 74,495 sf Fall 2013 sf of flexible meeting space; (408) 792-4521, mmcminn@sanjose.org www.sanjose.org Breakout Rooms: 31 Breakout Rooms: TBD includes renovation and integration of the existing convention center. COLORADO Colorado Springs Renaissance Colorado New Facility Prime Exhibit Space/ Phase: Construction, 300 guest rooms. Managed by John Q. Hammons Springs North Meeting Space: 50,000 sf 80% complete Hotels & Resorts, (719) 265-8500 9494 Federal Dr. Breakout Rooms: 18 Completion Date: Colorado Springs, CO 80921 January 2015 www.marriott.com LOUISIANA New Orleans New Orleans Ernest N. Morial Prime Exhibit Space: Prime Exhibit Space: Phase: Construction $50 MIL ballroom/exterior Tim Hemphill, VP, Sales & Marketing, Convention Center 1,100,000 sf 1,100,000 sf Completion Date: renovation through 2013; (504) 582-3023, themphill@mccno.com; 900 Convention Center Blvd. Meeting Space: 200,000 sf Meeting Space: 200,000 sf January 2013 10 GIG Internet backbone, Keith Levey, Director of Sales, New Orleans, LA 70130 Breakout Rooms: 140 Flex Space: 60,300 sf executive lounge, newly (504) 582-3023, klevey@mccno.com www.mccno.com Breakout Rooms: 140 renovated ballrooms. Walk to 20,000 hotel rooms, restaurants and Arts District. MARYLAND Ocean City Roland E. Powell Prime Exhibit Space: Prime Exhibit Space: Phase: Design/site Located along the Isle Fred Wise, CHAE, Convention Center 67,000 sf 93,190 sf preparation of Wight Bay. 25,000 sf Director of Sales & Marketing, 4001 Coastal Hwy. Meeting Space: 45,000 sf Meeting Space: 45,000 sf Completion Date: ballroom can be used for (410) 289-8181, fwise@ococean.com Ocean City, MD 21842 Flex Space: 25,000 sf Flex Space: 25,000 sf Phase I, Spring 2012 exhibits. Free parking. www.ococean.com Breakout Rooms: 22 Breakout Rooms: 22 MICHIGAN Detroit Cobo Convention Center Prime Exhibit Space: Prime Exhibit Space: Phase: Construction 5 exhibit halls; 4 on main Managed by SMG. One Washington Blvd. 700,000 sf 725,000 sf Completion Date: level have 600,000 sf Thom Connors, General Manager, Detroit, MI 48226 Meeting Space: 178,000 sf Meeting Space: 190,000 sf Spring 2015 contiguous space. (313) 877-8777, www.cobocenter.com Breakout Rooms: 80 Breakout Rooms: 80 Riverview Ballroom and tconnors@cobocenter.com; 5 banquet rooms offer Tom Albrecht, Director of Sales, riverfront views. (313) 877-8777, Adjacent arena. talbrecht@cobocenter.com Continued on next page www.TradeShowExecutive.com | April 2012 47
Trade Show Executive Pardon Our Dust – CONVENTION CENTERS Pre-Construction Post-Construction Phase / Expected Exhibition Facility by Location Key Features Management Exhibit & Meeting Space Exhibit & Meeting Space Completion Date OHIO Cleveland Cleveland Medical Mart & New Facility Prime Exhibit Space: Phase: Cleveland MMCC is the Brian Casey, General Manager, Convention Center 230,000 sf Site preparation world's first market facility bcasey@mmart.com; Cleveland, OH 44114 Meeting Space: 90,000 sf Completion Date: designed specifically for the Tony Prusak, Dir. of Convention Sales, www.clevelandmedicalmart.com Breakout Rooms: TBD Fall 2013 healthcare industry. (216) 920-1430, tprusak@mmart.com OKLAHOMA Oklahoma City Oklahoma City New Facility Prime Exhibit Space: TBD Phase: Based on the current Robin O'Connor, Director of Convention Center Meeting Space: TBD Site preparation budget, the facility will offer Sales & Services, Oklahoma City Oklahoma City, OK Breakout Rooms: TBD Completion Date: approximately 235,000 sf Convention and Visitors Bureau, www.okc.gov/maps3/projects/ Fall 2018 of exhibit, meeting and (405) 297-8906, roconnor@visitokc.com conventioncenter.html ballroom space. TENNESSEE Nashville Music City Center New Facility Prime Exhibit Space: Phase: Construction Exhibit hall is acoustically Charles Starks, Executive Director, Nashville, TN 350,000 sf Completion Date: designed to double as (615) 742-2002, www.nashvillemusiccitycenter.com Meeting Space: TBD April 2013 concert hall; 2 ballrooms; charles.starks@nashville.gov; Breakout Rooms: 50 36 loading docks; designed Kay Witt, Senior VP of Sales, to meet LEED Silver Nashville Convention & Visitors Bureau, certification. (615) 259-4739, kayw@visitmusiccity.com Nashville Medical Trade Center New Facility Prime Exhibit Space: Phase: Construction/ Project involves construc- Managed by 601 Commerce St. 140,000 sf Pre-leasing tion of multiple stories on Market Center Management Co., Ltd. Nashville, TN 37203 Meeting Space: TBD Completion Date: existing site. Will feature David Osborn, General Manager, www.nmtc.com Breakout Rooms: TBD 2013 permanent showrooms, (866) 878-8778, temporary exhibition space dosborn@mcmcmail.com and training and education facilities; connected to 673-room hotel. CONVENTION CENTER CONSTRUCTION SNAPSHOT: No. of North American Convention Centers Meeting Space to be Added 127,000 sf Undergoing Construction 10 Through Expansions 37,000 sf Considering Construction 23 New Builds 90,000 sf Prime Exhibit Space to be Added 821,190 sf Flex Space to be Added 60,300 sf Through Expansions 51,190 sf Through Expansions 60,300 sf New Builds 770,000 sf New Builds None got news? CONTACT: Darlene Gudea, PUBLISHER & EDITOR (760) 630-9111 As you near the final stages of an acquisition, dgudea@tradeshowexecutive.com change in management, expansion, launch or chang Hil Anderson, SENIOR EDITOR other important news, let us know in advance (760) 630-9107 that news ne is about to break. handerson@tradeshowexecutive.com 48 April 2012 | Trade Show Executive
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