West Carrollton Soccer Park Complex Business Plan Overview

West Carrollton Soccer Park Complex Business Plan Overview 1.) Executive Summary 2.) Facility Needs Overview 3.) Phase 1 Indoor Facility 4.) Phase 2 Initial Outdoor Fields and Infrastructure 5.) Phase 3 Outdoor Fields Installation 6.) Design and Operating Partner, CUSA Crew SC Executive Summary US Youth Soccer has grown from 100,000 players in 1974 to over 4,200,000 today. It is still the fastest growing youth sport in the United States and the 2nd most popular sport in the U.S. among 12-24 year olds. Travel youth sports is an $8.5 billion a year industry. Out of town visitors coming to participate in youth sports tournaments spend on average $143 per person per day. According to the Montgomery County Convention and Visitors Bureau five of the top ten events in terms of economic impact for Montgomery County are soccer tournaments, despite the fact that Montgomery County has no large scale facilities to host soccer tournaments. Inadequate facilities to host these youth sports tournaments and events in the Dayton Region are driving tournaments, teams, players, and youth sports tourism dollars to other venues in the Midwest, like Grand Park in Westfield, Indiana on the North side of Indianapolis. Grand Park is a 350 acre youth sports facility which has been developed over the last four years at a cost of over $60 million. According to a report prepared by Phoenix, Ariz.-based Applied Economics, Grand Park is expected to have an economic impact of over $1 Billion in it s first ten years of operation. This report provided to city officials said that in it s first initial year of operation Grand Park has spurred $43,932,143 in visitor spending, and also contributed $5.2 million in state and local tax revenues for 2014. The report, also cites the creation of 930 jobs because of the development of Grand Park. An estimated 906,796 visits were made to the park in 2014. In the first year we generated for the taxing entities in this area over $5 million in terms of sales tax, gas tax, food and beverage tax, and inn keepers tax over $5 million, Westfield Mayor Andy Cook said. Given the fact that there was some

tournament-type of play before, it s estimated that about 90 percent of those dollars ($43.9 million in visitor spending) are new dollars to this area. In Montgomery County, Ohio one of the oldest and largest youth soccer tournaments in the county is the CUSA Mead Cup, held annually over Labor Day weekend for the past 36 years. This tournament alone has an estimated $8 million annual community economic impact over a single weekend. In 2014, with host soccer field facilities completely maxed out, nearly 30% of the teams that applied to play in the CUSA Mead Cup were turned away. Some of these teams went to a new tournament at Grand Park instead. The following year over two dozen teams from Michigan, who had previously played in the CUSA Mead CUP, switched to the tournament at Grand Park, citing the more up-to-date format of the Westfield, Indiana facilities. To prevent further erosion in both Dayton area tournaments and youth sports tourism dollars, the City of West Carrollton, Montgomery County, and CUSA Crew SC (a 40 year old local non-profit soccer club affiliated with the Columbus Crew) have joined together to develop a 158 acre site into the largest indoor/outdoor soccer complex in Ohio outside of the Cleveland area. This facility, to be built in three phases over a three to five year period, is expected to cost just under $10 million dollars. Timely construction of this facility will both prevent further erosion of youth sports tourism dollars to other states and allow Montgomery County to attract and retain additional soccer and lacrosse tournaments. From a soccer and lacrosse perspective the proposed facilities are expected to be at least equal to, and in some ways superior to, those at Grand Park at a fraction of the development expense. Over a ten year period the West Carrollton Soccer Complex is expected to both help Montgomery County retain soccer tournaments with a combined economic impact of over $200 million dollars and attract an additional $200 million in youth sports tourism dollars as additional events are added and the existing tournaments have space to grow. Facility Needs Overview The primary challenge and growth impediment facing many soccer clubs in the Dayton Area, including our program partner, CUSA Crew SC, is the limitation on available field space, particularly for large tournament events. Demand growth has vastly outpaced the available space and many clubs had to begin limiting space in programs and events to live within the constraints of available first class facilities. In addition, newer developments in other states have begun siphoning off tournaments, teams, players and youth sports tourism dollars we would like to have stay in Ohio and in the Dayton region in particular. In addition there are no available indoor soccer facilities of any size, or multi-field turf facilities, in the Dayton region, limiting both the development and growth of Dayton region players and clubs and restricting the months in which the Dayton area can

compete for travel soccer tournaments, college showcases, and other high economic benefit tourism events. In addition to limitations on travel soccer tourism, Dayton area clubs, teams and players regularly travel significant distances to find adequate off-season training facilities simply because there are no local facilities to support what they need. Large area soccer tournaments, like the CUSA Mead Cup, have turned away as many as 150 teams in recent years because quality playing space is maxed out. With inadequate first class facilities with available space to reschedule games in response to weather events, some tournament s have been forced to become significantly smaller so they have the flexibility they need to move games around when necessary. This, in turn, is forcing travel teams and players who would otherwise come to Dayton, to seek out other tournaments in other states. Some of those tournaments have been created, at least in part, because we have unfortunately have had inadequate facilities to accommodate the growth in demand as soccer has grown in popularity. All of these issues both restrict our ability to grow the travel soccer events that have become a staple to of youth sports tourism in the Dayton region and are beginning to compromise our ability to maintain the base of soccer events and related economic benefits we currently enjoy. Construction of a large complex of hig quality outdoor fields and an indoor soccer facility would address both growth constraints and retention concerns. We propose to develop a first class advanced sports complex comprised of both indoor fields and facilities and an array of outdoor soccer fields large enough to accommodate both existing and new tournament events for decades to come. Based on research we have completed over the past three years we feel the location proposed by combining the former Appvion property now owned by the City of West Carrollton and the flood plain fields owned by Montgomery County immediately West of the water treatment plant in West Carrollton provides one of the best options to build a facilities complex that could meet these needs. Development Timeline The overall project is sufficiently large in scope, and scale, that detailed, careful, and appropriate planning, development and implementation is expected to take three to five years. Once initial funding hurdles have been achieved we will engage an outside engineering firm to finalize the master development plan and make certain we have identified all of the relevant development issues, from utilities, roadways, parking, and environmental impact to community infrastructure issues from traffic accommodation to EMS services. Our initial priority will be the development and construction of an indoor facility for training and indoor league play. Based on our work with outside private firms operating such facilities elsewhere we have estimated the timeline and revenue associated with the paid leagues, camps, and clinics we will be offering in the first five years of operation. Combined with detail estimates of operating expenses we believe that the indoor facility will begin to throw off positive cash flow after a few years,

helping to support the long term maintenance and improvements of the outdoor facilities. After we break ground on the indoor facility we will begin building outdoor fields and construction of the infrastructure required to support the build out of the outdoor field complex. Once the required infrastructure is in place we can move toward completion of the remaining outdoor fields. Phase 1 Indoor Facility The indoor facility we currently envision is modeled after similar private facilities in the Midwest region. Our proposed facility is 72,000 square feet, with the majority of the space allocated to a large high vertical clearance area the size of a full size soccer field which can also be subdivided into smaller fields for training and small sided games. The balance of the facility will include a spectator area and offices, conference and training rooms, restroom facilities, snack bar, etc. The building will be designed and built to accommodate both planned indoor soccer needs, plus the ability to accommodate additional alternative uses such as lacrosse or volleyball leagues or even Winter Guard activities. The plan will likely include provision for expansion to add an additional high vertical clearance field area should we decide to expand in the future. It will also be built to standards and in such a manner that it would be suitable for potential future alternative uses such as an industrial distribution warehouse. Based on detailed discussions with operators of similar facilities, as well as builders and real estate developers we believe the facility will cost in the neighborhood of $3,548,000 to complete, and the revenue, expenses and cash flow in the first five years will look something like the following; CUSA Indoor Facility Year 1 Year 2 Year 3 Year 4 Year 5 Revenues Winter Leagues $134,400 $196,000 $220,500 $231,000 $257,600 Summer Leagues $11,200 $28,000 $50,400 $58,800 $78,400 Camps, Clinics $17,500 $39,600 $61,800 $74,900 $86,100 Advertising $3,000 $5,000 $7,000 $8,000 $8,000 Meetings $2,000 $4,000 $5,000 $6,000 $6,000 Special Events $5,000 $10,000 $20,000 $25,000 $25,000 Club Training Use $50,000 $80,000 $90,000 $90,000 $90,000 Adult Leagues $26,880 $39,200 $44,100 $46,200 $51,520 Total Revenues $249,980 $401,800 $498,800 $539,900 $602,620 Expenses Oh Sales Tax $17,499 $28,126 $34,916 $37,793 $42,183 Property Taxes $0 $0 $0 $0 $0 Property & Contents Insurance $5,000 $6,000 $8,000 $10,000 $10,000 Electric $25,107 $26,112 $27,156 $28,242 $29,372 Gas $31,610 $32,874 $34,189 $35,557 $36,979

Water $4,363 $4,538 $4,719 $4,908 $5,104 Telephone $2,400 $2,496 $2,596 $2,700 $2,808 Postage $655 $681 $708 $737 $766 Janitorial Supplies & Services $5,000 $7,000 $8,000 $8,000 $8,000 Bldg. Repair & Maint. $2,000 $4,000 $5,000 $5,000 $5,000 Depr-Building $100,000 $100,000 $100,000 $100,000 $100,000 Depr-Equipment $8,700 $8,700 $8,700 $8,700 $8,700 Depr-Computer Equipment $2,000 $2,000 $2,000 $2,000 $2,000 FICA & Unemp Contributions $9,540 $13,608 $14,016 $14,437 $14,870 Workmen s Compensation Ins $530 $756 $779 $802 $826 Office Supplies $2,000 $2,000 $2,000 $2,000 $2,000 Salaries & Wages - Management $40,000 $41,200 $42,436 $43,709 $45,020 Salaries & Wages - Hourly $66,000 $110,000 $113,300 $116,699 $120,200 Advertising/Promo $2,000 $2,000 $2,000 $2,000 $2,000 Misc Sales Expense $500 $500 $500 $500 $500 Miscellaneous Expense $1,000 $2,000 $2,000 $2,000 $2,000 Bank and CC Fees $2,500 $4,018 $4,988 $5,399 $6,026 Computer Software/Licenses $2,000 $2,000 $2,000 $2,000 $2,000 Legal & Professional Services $10,000 $10,000 $10,000 $10,000 $10,000 Interest Exp-Long Term Note $77,425 $77,425 $77,425 $77,425 $77,425 Total Expenses $417,829 $488,034 $507,429 $520,607 $533,780 Net Income -$167,849 -$86,234 -$8,629 $19,293 $68,840 Phase 2 Initial Outdoor Facilities and Infrastructure Coincident with planning and construction of the Indoor facility we will begin planning for and (funding dependant) implementing Phase 2 of the project. Phase 2 will encompass construction of four full size lighted turf fields adjacent to the indoor facility as well as several projects needed to complete the infrastructure required to begin building the complete complex of outdoor fields. The total cost of Phase 2 is $3,172,000, with major elements as follows; Turf Fields $2,200,000 Lighting $360,000 Bleachers, Goals etc $72,000 Master Site Plan $10,000 Roads $400,000 Power $50,000 Water $80,000 Total $3,172,000 During Phase 2, in addition to the four full size outdoor fields adjacent to the indoor facility, we also plan to install one or two test grass fields on a portion of the acreage West of the wastewater treatment plant to evaluate soil conditions, drainage, and the best grass seed selection. With 4 or 5 new full size fields as

well as the six pre-existing full size soccer fields at the West Carrollton park we will have enough soccer fields at the conclusion of Phase 2 to begin to move a reasonable portion of the CUSA Mead CUP games to this complex, allowing CUSA to begin to expand this tournament again, and also begin to seek to host additional outside tournaments and league games. During Phase 2 we also expect to deeply engage with both the City of West Carrollton and Montgomery County agencies to evaluate the best options for the outdoor facilities portion of the project to address a wider range of community needs. We would like to potentially accommodate other sports and evaluate options for programs for inner city children and developmentally disabled youth. Phase 3 - Outdoor Field Complex Phase 3 of the project will commence after Phases 1 and 2 are complete. During Phase 3 we will construct the remaining proposed soccer fields and facilities in on the 130 acre site West of the waste water treatment plan. These expenses are estimated as follows; Field Buildout Expenses Prep Land $30,000 Maintenance Equipment $294,000 Seed/Fertilize $202,000 Irrigation System $1,800,000 Shelters/Equipment Storage $520,000 Goals $200,000 Miscellaneous Nets/poles/equipment $100,000 $3,246,000 The cost of all three Phases of the Project is summarized as follows; Phase 1 $3,546,000 Phase 2 $3,172,000 Phase 3 $3,246,000 Total $9,966,000 Economic Impact As we move through Phases 2 and 3 we will begin to solicit hosting additional tournaments, games, and events on these facilities, both soccer and otherwise. A partial list of potential events we would be in a position to host follows; Potential Events at the West Carrollton Site CUSA Mead Cup Ohio South State Cup

State President s Cup Regional State Championships Buckeye Premier League Games MVYSA League Games CUSL League Games MRL Games US Olympic Development Program Region II Camps and events Soliciting all the soccer clubs in the region to host new or existing tournaments Adding a Spring CUSA tournament including HS teams Hosting games for one of more of the regional professional teams which are being considered in SW Ohio Summer Training Camps Lacrosse tournaments Backup/Overflow Site for Warrior Classic, Haunted Classic, and Creek Classic tournaments Fees for Private training/third party training College ID/Showcase tournaments Tops Soccer events Special needs soccer events The known economic impact of the existing CUSA Mead Cup is in excess of $8 Million dollars to the local community over Labor Day Weekend. Together with other soccer tournaments held in the Dayton area the known combined economic impact is in excess of $20 Million per year. This facility will allow those tournaments, several of which are space constrained, to begin growing again. Together with new tournaments that can be added once these facilities are fully completed, the overall incremental new economic impact of this proposed complex should be well in excess of $20 million dollars per year. CUSA CREW SC Our facilities design and operating partner who will oversee the construction of all elements of this project and lease and run the indoor facility and cover maintenance and operation of the outdoor fields is one of the oldest soccer clubs in the Dayton area. Founded in the early 1970 s CUSA Crew SC (originally Centerville United Soccer Association) is a 501c3 non-profit organization established to provide area children with the opportunity to learn and enjoy playing the game of soccer. Today CUSA offers one of the most comprehensive youth soccer programs in Ohio, with a range of opportunities for girls and boys of all ages and abilities within three distinct programs; CUSA Recreational Soccer, the CUSA Crew Select soccer program and the Mead CUP Tournament. CUSA has also recently launched a program to help connect players both inside their club and in other

clubs throughout Southwest Ohio connect with collegiate recruiters and explore the possibility of play beyond Club and High School. CUSA Recreational Soccer CUSA Recreational Soccer offers opportunities for almost 2,000 players annually ages 3 to 19. Run by volunteers, the program is designed to provide a safe, healthy and enjoyable environment for children. This program is not intended for any child who is participating in an organized competitive (Select) club or high school soccer program. CUSA Crew Select Soccer CUSA Crew Select is a program designed by CUSA to train kids interested in playing higher level competitive soccer. This program begins with entry level teams in the 6 to 8 year old bracket all the way up to high school age teams. The Select program is committed to player growth through developing technical proficiency, tactical awareness, and problem solving skills, while giving proper attention to the physical and psychological aspects of the sport. The goal is to maximize potential through programming that appropriately challenges each player with direction from a coaching staff that adheres to the highest standards of conduct. CUSA strives to instill a passion for soccer, respect for our communities, and all elements of sportsmanship including integrity, high moral character and leadership to drive progressive growth in the sport of soccer and student athletes. Through their relationship with the Columbus Crew, the very best players have the opportunity to advance and play on MLS Academy teams which directly feed both the US National Team and the MLS. CUSA Mead CUP Since 1979, CUSA has operated a Labor Day weekend tournament called the CUSA Mead Cup, one of the largest and most competitive youth soccer tournaments in the country. In recent years the CUSA Mead has hosted over 500 teams with over 8,000 players from over a dozen states and internationally, playing at three sites in Montgomery County. The economic impact of this event is estimated to be in excess of $8 million over just one weekend. CUSA College/ID Showcase This fall CUSA is launched a College Showcase/ID program. This program is designed to bring together the best high school age competitive soccer players in Southern Ohio to play together and showcase their talents in front of college soccer coaches from Division I through Division III NCAA schools plus NAIA programs in the region. They also provide education sessions covering the collegiate soccer recruiting process, expectations, environment, and calendar.

Funding/Resources CUSA is responsible for exploring all options related to the completion of financing for the entire project. Through their deep connections to the local community developed over decades of sponsorship of the CUSA Mead Cup and their relationships with the Columbus Crew and it s corporate sponsorship base they are committed to evaluate all potential resources to fund portions of this project and it s future operating expenses including accessing existing revenue streams within their organization to funding initial operating losses of the indoor facility. They are exploring private charitable funding options from both corporate and individual sources. Attachments Following is a drawing of our initial proposed master plan for the entire complex as well as some architectural renderings of what the indoor facility might look like.

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