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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New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive
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
New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - 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
New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive
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
New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive
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
New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive
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
New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive New Convention Space Supporters View the Economy as a Reason to Build, Rather Than an Excuse Not To - Trade Show Executive 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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