Central Coast Tourism Opportunity Plan
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Transcript of Central Coast Tourism Opportunity Plan
CENTRAL COAST TOURISM OPPORTUNITY PLAN
Prepared for Central Coast Tourism Released April 2013
CENTRAL COAST TOURISM52 The Avenue, Mt Penang Parklands (PO Box 7177) Kariong NSW 2250 AustraliaT: +61 2 4343 4400F: +61 2 4343 4433W: www.visitcentralcoast.com.auhttp://www.facebook.com/CentralCoastTourismhttp//www.twitter.com/ourcentralcoast
Copyright © A. Stafford & Associates Pty Ltd
ABN 34 565 120 454
All Rights Reserved. No material may be reproduced without prior permission.
While we have tried to ensure the accuracy of the information in this publication, the Publisher accepts no responsibility or liability for any errors, omissions or resultant consequences including any loss or damage arising from reliance in information in this publication.
THE STAFFORD GROUP
www.thestaffordgroup.com.au
The Stafford Group finalised this report in February 2013.
2 l Page
SYDNEY OFFICEA. Stafford & Associates Pty LtdSuite 3.02, 46a Macleay StreetPotts Point NSW 2011, AustraliaT +61 2 9331 6222F +61 2 9331 6166E [email protected]
TABLE OF CONTENTS
1. EXECUTIVE SUMMARY 5 - 6
1.1. PURPOSE 5
1.2. CATALYST INVESTMENT PROJECTS 5
1.3. OTHER OPPORTUNITIES 5
1.4. THE INVESTMENT REQUIRED 6
1.5. NEXT STEPS 6
2. CONTEXT 7 - 13
2.1. THE CENTRAL COAST REGION 7
2.2. METHODOLOGY 9
2.3. A VISION FOR THE CENTRAL COAST REGION 9
2.4. REGIONAL UNIQUENESS 9 - 10
2.5. RELEVANT DOCUMENTS 10
2.6. LEVERAGING THE STRATEGIC CONTEXT 11 - 12
2.7. SWOT ANALYSIS 13
3. THE VISITOR MARKET 14 - 18
3.1. HISTORIC VISITATION 14
3.2. FORECASTED VISITATION 16
3.3. CURRENT TARGET MARKETS 17
3.4. KEY TRENDS FOR VISITOR MARKETS 18
4. INVESTMENT OPPORTUNITIES 19 - 27
4.1. TYPES OF PROJECTS 19
4.2. ASSESSMENT OF CATALYST PROJECTS BASED ON GROWTH OPPORTUNITIES 19
4.3. THE POTENTIAL CATALYST PROJECTS 20 - 25
4.4. ADDITIONAL INFRASTRUCTURE AND INVESTMENT PROJECTS 26
5. KEY CONSIDERATIONS 28 - 35
5.1. INFRASTRUCTURE AND OTHER LIMITATIONS 28
5.2. REGULATIONS AND LEGISLATION - TOURISM IMPEDIMENTS AND IMPLICATIONS 29 - 32
5.3. LOCAL ENVIRONMENTAL PLANNING POLICIES 32
5.4. RECOMMENDATIONS REGARDING LEPS AND DCPS 33
5.5. INVESTOR EXPECTATIONS AND CRITERIA 34
6. ASSESSMENT OF PROJECTS 36 - 37
6.1. OVERVIEW 36
6.2. CATALYST PROJECTS 37
7. ANALYSIS OF CATALYST PROJECTS 38 - 43
7.1. MARKET DEMAND FORECASTS 38 - 42
7.2. FINANCIAL ANALYSIS OF CHOSEN CATALYST PROJECTS 43
8. NEXT STEPS 44
8.1. TOP INDUSTRY ACTION GROUP 44
8.2. AN IMPLEMENTATION STRATEGY 44
9. APPENDIX 45
Page l 3
4 l Page
LIST OF FIGURES
FIGURE 1: CENTRAL COAST TOURISM NODES 7
FIGURE 2: MAP OF THE REGION 8
FIGURE 3: STRATEGIC PRIORITIES 9
FIGURE 4: CENTRAL COAST LIFESTYLE 9
FIGURE 5: TOURISM PLANNING FRAMEWORK 12
FIGURE 6: SWOT ANALYSIS 13
FIGURE 7: TOTAL VISITATION TO CENTRAL COAST 14
FIGURE 8: DOMESTIC OVERNIGHT AND DOMESTIC DAY TRAVEL TO CENTRAL COAST 15
FIGURE 9: INTERNATIONAL OVERNIGHT TRAVEL TO CENTRAL COAST 16
FIGURE 10: HISTORIC AND FORECASTED TRAVEL TO THE CENTRAL COAST 17
FIGURE 11: VISITATION TO THE CENTRAL COAST 18
FIGURE 12: ASSESSMENT OF POTENTIAL CATALYST PROJECTS 20
FIGURE 13: THE WATERFRONT DEVELOPMENT SITE BOUNDARY 23
FIGURE 14: PROJECT TYPES 26
FIGURE 15: LITTORAL RAINFOREST DISTRIBUTION ACROSS THE CENTRAL COAST 30
FIGURE 16: POTENTIAL SPORTING VISITOR NUMBERS DUE TO MOTORSPORT PRECINCT DEVELOPMENT 38
FIGURE 17: NUMBER OF PEOPLE PARTICIPATING PER SPORT AUSTRALIA % CHANGE FROM 2006 - 2011 39
FIGURE 18: POTENTIAL GROWTH IN SPORTING VISITORS RESULTING FROM PIONEER DAIRY DEVELOPMENT 40
FIGURE 19: POTENTIAL GROWTH IN CULTURAL TOURISM VISITORS DUE TO DEVELOPMENT OF MT PENANG 41
LIST OF TABLES
TABLE 1: VISITOR MARKETS AND KEY TRENDS 18
TABLE 2: ACCOMMODATION SUPPLY 25
TABLE 3: POTENTIAL INVESTMENT PROJECTS FOR CENTRAL COAST 26 - 27
TABLE 4: TOURISM INDUSTRY SUB-SECTORS - INVESTMENT PROJECTS 36
TABLE 5: DETERMINATION OF TOP 3 CATALYST PROJECTS 37
TABLE 6: TRENDS AND IMPLICATIONS 41
TABLE 7: MT PENANG LEGISLATIVE REQUIREMENTS 42
TABLE 8: SUMMARY OF COST BENEFIT RESULTS 43
TABLE 9: TOURISM INVESTMENT OPPORTUNITIES – THE ACCOMMODATION SECTOR 46
TABLE 10: TOURISM INVESTMENT OPPORTUNITIES – ATTRACTIONS, ACTIVITIES AND SPORTS 46 - 49
TABLE 11: TOURISM INVESTMENT OPPORTUNITIES – COMMUNITY AND SUPPORT INFRASTRUCTURE 49 - 50
TABLE 12: TOURISM INVESTMENT OPPORTUNITIES – HUMAN RESOURCES 50
TABLE 13: MOTOR SPORTS PRECINCT TOP LINE COST BENEFIT 54 - 55
TABLE 14: PIONEER DAIRY SPORTING HUB TOP LINE COST BENEFIT 56 - 57
Page l 5
1. EXECUTIVE SUMMARY
1.1. PURPOSEThe purpose of this Regional Tourism Opportunity Plan (TOP) is to identify and align viable catalyst tourism projects with both local town planning schemes, state government strategies and plans and to determine their way forward.
Among other things, the TOP aims to:
Identify infrastructure upgrades to support tourism growth; Identify the need for new investment that supports the ongoing development of tourism to meet future visitor expectations and demands; Provide relevant research based information on tourism supply and demand; Provide a mechanism for engagement with infrastructure providers and potential investors about the needs of the industry and investment opportunities; Provide an agreed focus for infrastructure providers, private investors and the tourism industry.
The audience for the TOP includes the local councils, state government agencies, the regional economic development agency, the regional tourism organisation, investors and developers as well as tourism industry operators.
The TOP does not purport to canvass all possible projects for the Central Coast region. Recommendations will be based on three major foundations which act as cornerstones to a successful tourism opportunity plan. These include:
Market demand characteristics (the needs of target consumer markets); Distinctiveness and the competitive strengths of the destination; and The values and aspirations of the local community.
A key outcome of this TOP is to help reverse declining visitor numbers over the past 5 years and to facilitate the development of sustainable tourism within the Central Coast region. In order to achieve this, the following strategic priorities have been developed:
Strategic priority 1: Activate the waterfront; Strategic priority 3: Attract and grow major sporting, cultural and lifestyle Strategic priority 2: Enhance and promote the events; sporting and recreational benefits of the Central Coast; Strategic priority 4: Make the region more accessible.
1.2. CATALYST INVESTMENT PROJECTSThere are 44 investment and infrastructure opportunities suggested within this TOP. Of these opportunities, 5 are classified as catalyst projects. These are projects that will be a catalyst to a range of other investment, community support infrastructure and product development opportunities. They have a significant impact towards supporting sustainable tourism growth in the region and are seen to be able to create significant market demand.
The 5 identified catalyst projects are:
1. Mt Penang Tourism Precinct; 4. Pioneer Dairy Sporting Hub; 2. The Waterfront Development at Gosford; 5. Tourism Hub at the Entrance. 3. Motorsport Precinct;
Each of these catalyst projects are canvassed in more detail in section 3 of this TOP.
1.3. OTHER OPPORTUNITIESThe TOP has focused on projects which fulfil the destination objectives, have strong stakeholder support and are likely to assist in realising the region’s long term vision for sustainable tourism. Within the TOP, these additional projects have been classified as either:
Accommodation: Projects to grow the size of the accommodation sector and/or the type of accommodation on offer within the region; Attractions: Projects which look to provide new and/or update existing attractions within the region; Community: Projects which aim to improve the communities understanding of tourism and its importance to the Central Coast economy. Additionally, this covers projects that provide essential community services and infrastructure to improve the ability of the region to service the needs of current and future visitors; and Human Resources: Projects that aim to up-skill tourism sector players to provide visitors with high quality service and to offer more employment opportunities.
6 l Page
1.4. THE INVESTMENT REQUIREDThe opportunities developed within this TOP involve projects which:
Are able to be funded by the private sector and therefore need to generate a commercial return; Can be funded by public/private partnerships which could potentially utilise public assets with private sector investment; and Could potentially be publicly funded projects to provide supporting infrastructure where a commercial return is unlikely to be generated.
Estimates of the investment required for each projects have not been able to be quantified because the scope of works for many projects is still to be determined.
1.5. NEXT STEPSTo grow tourism in the Central Coast region and increase visitor expenditure and average length of stay, the region needs to work more closely together. The viability of a number of suggested investment opportunities will require greater visitor dispersal throughout the Central Coast region but this will generate better outcomes throughout the region.
It is recommended that an Industry Action Group be formed to oversee the direction and implementation of opportunities recommended in this TOP. Members of the Group could include representatives from:
Gosford and Wyong Councils; Department of Premier and Cabinet; Central Coast Tourism; Destination NSW; NSW Department of Planning and A selection of industry investment and development Infrastructure; representatives.
It is suggested that the Industry Action Group develop an implementation plan which focuses on recommendations provided in this TOP. This will provide a tool for progressing, monitoring and reporting upon each of the recommended projects. Additionally the plan will provide a range of KPIs to be achieved.
It is recommended that Gosford City Council and Wyong Shire Council collaborate to deliver a Regional Planning Strategy for the Visitor Economy to be incorporated into the next Destination Management Plan 2013 – 2016. Greater alignment between local councils along with detailed planning and zoning for tourism land use, is required to provide a consistent planning framework and encourage investment for the Central Coast region.
Page l 7
2. CONTEXT
2.1. THE CENTRAL COAST REGIONThe Central Coast region lies approximately 55km, or a 1 hours’ drive from Sydney. The region has an estimated population of approximately 316k and is anticipated to experience one of the fastest population growth rates in NSW1. For the purpose of this TOP, the region includes the urban centres of Gosford, Wyong, Terrigal and The Entrance.
The Central Coast is supported by its own Regional Tourism Organisation (RTO), Central Coast Tourism, and by its Destination Management Plan for Tourism (CCDMP)2. The plan is focused on an agreed vision for the direction of the tourism industry in the Central Coast over 2010-2013 to combat declining visitor numbers and nights3.
Tourism plays an important role in the Central Coast economy, with visitors injecting over $700m into local businesses across the region4. The figure below indicates the four major tourism nodes in the region whilst a number of other nodes exist, with nearly all being on the eastern side of the F3 freeway.
1 Central Coast Destination Management Plan for Tourism, 2010-2013, Central Coast Tourism 2 Central Coast Destination Management Plan for Tourism, 2010-2013, Central Coast Tourism 3 Central Coast Destination Management Plan for Tourism, 2010-2013, Central Coast Tourism 4 Central Coast Tourism Annual Report, 2011, Central Coast Tourism
FIGURE 1: CENTRAL COAST TOURISM NODES
8 l Page
The following figure reflects the Central Coast tourism region. The region is bounded by Hornsby and Pittwater LGAs in the South, Lake Macquarie LGA in the North and Cessnock and Hawkesbury LGAs in the West. A major strength is its close proximity to Sydney, with an easily accessible significant market.
Regional Map
Wisemans Ferry
Dharug National Park
Wisemans Ferry Rd
Broken Bay
Pittwater
Hawkesbury R
ive
r
Mooney Mooney Creek
Sandbrook Inlet
Mul
let C
reek
PeatsBight
Coba Bay
Berowa Creek
Marramarra Creek
Pato
nga
Cree
k
Hawkesbury River
Dinner C reek
Kellys Cre ek
Mangrove Creek
Popran Creek
Popran Creek
MonneyMooney
Dam
Little Mooney Mooney Creek
Ourimbah Creek
Wyong RiverWyong C r eek
MardiDam
Cedar Brush Creek
Wollombi Brook
Wyong River
Watagan Creek
Dora Creek
Wyee Creek
Manne
ring
Cree
k
WallarahCreek
Brisbane Water
Tuggerah Lake
Chittaway Bay
Eal H
aul B
ay
Budgewoi Lake
LakeMunmorah
Colongra Lake
Mannering Lake
LakeMacquarie
Chain ValleyBay
WyeeBay
Crangan Bay
Catherine HillBay
Deep CaveBay
BonnellsBay
Lake Eraring
Fires
Cre ek
Erina Cre ek
Bateau Bay
Crackneck Bay
Bulbararing Bay
Winney Bay
The Broadwater
AvocaLake
Terrigal Lagoon
Cockrone Lagoon
Allagai Bay
Caves Bay
Mait
land
Bay
Hardys Bay
The Rip
Woy Woy Bay
Woy
W
oy Inl
et
Barrenjoey Head
Box Head
WestHead
Juno Point
Paci�c Head
MiddleHead
Ocea
n Beac
h
Green Point
Green Point
Palm Beach
Tallo
w Be
ach
Putty
Beach
Mac
Maste
rs
Bea
ch
Avoc
a
B
each
B
each
Te
rrigal
B
each
W
ambe
ral
Be
ach
Fo
rreste
rs
Be
ach
She
lly
Tugg
erah B
each
Be
ach
Sold
iers
Lake
s Be
ach
Bird
ie Be
ach
Bongon Beach
Wes
t H
ead Rd
Pato
ng
a Dr
Ocean Beach Rd
Scen
ic Hwy
Avoca Dr
Terrigal Dr
The Ridgeway
Manns
Rd
Paci�
c Hwy
Wisemans Ferry Rd
Wis
eman
s Fe
rry R
d
Mangrove Mountain Rd
Tumbi Rd
Wyong Rd
Yarramalong Rd
George Downes D
r
Hue
Hue
Rd
Sparks Rd Wallarah Rd
Exit forMt White
Exit forCalga &
Peats Ridge
Exit forCentral Coast Hwy, Gosford, Woy Woy
& Terrigal
Exit forPeats Ridge,
Central Mangrove & Wisemans Ferry
Dog Trap Rd
Exit forGosford & Ourimbah
Exit forWyong, The Entrance &
Yarramalong
Exit forWyee, Toukley,Wyong Hospital
Exit forMorriset, Cooranbong
& West Lake Macquaire
NATIONAL
1
Paci�c Hwy
Central Coast Hwy
Centr
al Co
ast H
wy
Central Coast Hwy
Central Coast Hwy
36
83
NATIONAL
1
NATIONAL
1
83
NATIONAL
1
NATIONAL
1
111
82
111
36
Palm Beach
Patonga
Pearl Beach
Umina
Brooklyn
Mt White
SpencerGunderman
Berowa Point
FishermansPoint
Bar Point
PricklyPoint
Milson Island
PeatIsland
Long Island
Dangar Island
Wagstaffe
Pretty Beach
Hardys BayKillcare
ETTALONG
Daleys Point
Empire Bay
Bensville
Davistown
WOY WOYRileys Island
Pelican Island
Saratoga
Woy Woy Bay
Phegans Bay
Koolewong
GerrinPoint
Bouddi Point
Maitland Bombora
Mombi Point
Mourawaring HeadMacMasters Beach
Copacabana
Avoca Beach
KincumberGreen Point
TascottPoint Frederick
Point ClareKARIONG
CalgaLower Mangrove
Greengrove
Triangle Island
West Gosford GOSFORD
Wyoming
Narara
Niagara Park
Lisarow
North Avoca
TERRIGAL
Wamberal
Erina
Wamberal Point
Forresters Beach
Yumbool Point
Bateau Bay
Shelly Beach
Tumbi Umbi
Killarney Vale
Ourimbah
Mingara
Berkeley Vale
Long Jetty
Toowoon Bay
Toowoon Point
Blue Bay
Karagi PointTHE ENTRANCE
Picnic PointChittaway
Point
Pelican Island
Terilbah Island
Chittaway Bay
Chittaway Point
Tacoma South
Rocky Point
KarraganbahPoint
Pipeclay Point
Pelican Point
Soldiers Point
Norah Head
Noraville
Canton Beach
Toukley
Magenta
Wyongah
Tacoma
Mardi
JillibyWarnervale
WYONG
Kanwal
Lake Haven
CharmhavenBuff Point
Buff Point
Goobarabah Point
OrooalooPoint
Taylor Point
Budgewoi
HalekulaniSan RemoBlue
Haven
Doyalson
Elizabeth BayLakeMunmorah
Wyee
Wybung Head
Snapper Point
Flat Rocks Island
Snapper Point
The Basin
CatherineHill Bay
GwandalanSummerlandPoint
Baldy Cliff
Quarries Head
Spoon Rocks
NordsWharf
CamsWharfBrightwaters
MirrabookaSunshine
Point Walstonecraft
Point Morrisett
Shingle Splitters Point
SilverwaterBalcolyn
Bonnells Bay
StingareePoint
Mannering Park
Buff Point
Bird CagePoint
Frying PanPoint
Morisset
Mandalong
Cooranbong
Martinsville
Cedar Brush Creek
Ravensdale
Dooralong
Yarramalong
Kulnura
Central Mangrove
Mangrove Mountain
Peats Ridge
Palmdale
CouranraPoint
TO SYDNEY 42 kms
TO NEWCASTLE 30kms
MOONEYMOONEY
Somersby
North Entrance
Wyong Creek
Ku-ring-gai Chase
MuogamarraNational Reserve
Marramarra
National
Park
Popran National
Park
Brisbane
Water
National Park
Lion Island National Reserve
BouddiNational Park
BrisbaneWater
National Park
Strickland StateForest
BouddiNational Park
WyrrabalongNational Park
WyrrabalongNational Park
Munmorah StateConservation Area
Bird IslandNational Reserve
Katandra Reserve
McPhersonState Forest
Jiliby State Conservation Area
Ourimbah State Forest
Jiliby State Conservation Area
Onley State Forest
Watagan State Forest
Watagan National Park
Onley State Forest
WallarahNational Park
aa
F3 Freeway
Major Roads & Central Coast Hwy Tourist Drive
Train Service
NATIONAL
1
Gateway Cities Hinterland The Peninsula Beach Villages The Entrance Northern Lakes
We’ll take you there...
Regions
Central Coast Visitor Centres
KARIONG, 52 The Avenue Take Gosford exit off the F3 Freeway
Ph: 02 4343 4444
GOSFORD, 200 Mann St, Gosford Ph: 02 4343 4444
THE ENTRANCE, Marine Parade, The Entrance Ph: 02 4334 4213
FIGURE 2: MAP OF THE REGION
Page l 9
2.2. METHODOLOGYThe Project Team adopted the following approach in completing this TOP: Reviewed relevant documents, including the 2010 Central Coast Destination Management Plan (CCDMP), NSW 2021 plan and a number of other state and local significant plans and strategies; Structured and unstructured interviews with various stakeholders ranging from Central Coast tourism personnel to industry operators. The Project Team takes this opportunity to acknowledge and recognise the free and frank discussion which occurred during the consultation process; A number of visits were made to the Central Coast region in order to discuss assumptions, collect data, assess local product and to go over draft findings; Focus group sessions were conducted within the region with a range of stakeholders; Interviews have been conducted to test options, issues and opportunities with key stakeholders.
2.3. A VISION FOR THE CENTRAL COAST REGIONThe vision for the Central Coast region was outlined in the CCDMP5. That plan is the strategic plan for tourism in the region and outlines the vision, goals and strategies for the region.
The following are the strategic priorities listed in the CCDMP.
2.4. REGIONAL UNIQUENESSAs a coastal destination, the Central Coast region shares many similarities with other Australian and international coastal destinations such as Caloundra (QLD), Batemans Bay (NSW), Tauranga (New Zealand) and Penang (West Malaysia). Each has a strong relationship to the coast and water based leisure and commercial experiences.
FIGURE 3: STRATEGIC PRIORITIES
FIGURE 4: CENTRAL COAST LIFESTYLE
1.
Enhance
and promote
the sporting and
recreational benefit of the region
2.
Activate
the waterfront3.
Attract and
grow major sporting
and cultural events
4.
Make
the region
more accessible
5 The Plan is a central reference point for marketing strategies for the Central Coast
10 l Page
2.4. REGIONAL UNIQUENESS (cont...)The aim of the TOP is to identify tourism investment and infrastructure opportunities which can build on the region’s unique point of difference in order to improve visitor awareness, intention, visitation and preference.The attributes and values of the Central Coast region which provide a potential point of difference include: Variety and quality of beaches; Warm and sunny weather; Good range of accommodation; Reputation of style; Availability of hinterland experiences; With regard to competitors for domestic markets, the destination has the advantage of proximity, cost and relative safety.
2.5. RELEVANT DOCUMENTSA comprehensive literature review was undertaken by the Project Team with over 100 strategic plans, policies, reports and studies reviewed. The key points are included under the following subheadings:
2.5.1. ECONOMIC CONTEXT AND PRIORITIES The Central Coast constitutes a significant regional economy, with a population of 312,184 in 2011 and with an estimated 95,000 local jobs. The population is projected to grow by a further 73,386 in the period to 2031, with approximately 33,000 additional local jobs required.6 The region supports a thriving local economy servicing the immediate communities and the broader region as a services hub. The size of the population and its distribution underpins a significant number of local businesses. Demographic trends have been one of the major drivers of economic development and employment growth on the Central Coast. The increase in population has driven regional growth with impacts on activity and employment in a range of sectors including: housing construction, retail, education, health services and community services. The key economic priorities for the region are to:
- Create employment to support population growth - Environmental sustainability and open space management - Reduce congestion through upgrading major road infrastructure - Deliver quality of life for residents - Encourage more public transport to ease congestion - Improve infrastructure supporting employment zones: The Wyong Employment Zone (WEZ) Gosford, Warnervale A number of catalyst projects are consistently identified from integrated transport solutions, creation of employment zones, CBD and community asset reinvestment, expansion of health, education and sporting infrastructure, and projects to diversify the economic base (e.g. attracting government and commercial tenants), growing the skills base of the region and tackling the need for affordable housing.
2.5.2. TOURISM CONTEXT AND PRIORITIES The National and State Long Term Strategic Plans for Tourism target a doubling of visitor expenditure by 2020 through targeting international market growth, investment in new tourism experiences, and growth of identified niche markets domestically including events, cruise, adventure, active and outdoors and cultural tourism. The Central Coast Destination Management Plan identified the need for investment in the waterfront, events, accessibility and industry skills to support stronger partnership marketing. A variety of national, state, regional and project specific reports consistently identified a raft of tourism priorities including:
- Transport infrastructure including high speed train and road upgrades - Re-development of The Waterfront Development - Entertainment / performance centres in Wyong and Gosford - The Five Lands Walk (underway); - Development of the Mt Penang Gardens precinct - The Entrance Revitalisation Project - A world-class dive attraction and facilities around the HMAS Adelaide (now completed) The tourism focus for the State and the region has embraced the broader visitor economy (not just tourists) to recognise the important role of business tourism, conferences and events, and visiting friends and relatives.
6 ABS, 2011
Page l 11
2.5.3. SOCIAL CONTEXT AND PRIORITIES Job creation and social services (health, education and integrated transport) are clear common themes across the depth and breadth of literature reviewed. Dispersal of economic value to the hinterland and across the region is a recognised priority along with better connection of the villages both by road and no vehicular transport (walking, riding, etc.) Healthy lifestyles and sustainability are aspirations for the community which have strong connections to the tourism aspiration along with the desire to embrace the place making concepts. Sports, events and town revitalisation are priorities in most strategic planning documents for the region.
2.5.4. PLANNING & REGULATORY CONTEXT A number of transport related projects and initiatives are either underway or have already been identified as priorities waiting funding. The Performing Arts and Cultural Centre projects have strong community and council support. The Waterfront Development has received significant local support and is ready to go into Stage 1 (subject to state funding) Coastal Management Plans and State Environment Policy (Coastal Protection) recognise the sensitive coastal dunes (and the impacts of climate change) and place significant restrictions on waterfront and coastal development requiring a rethink of waterfront and a shift to a focus on water views. State Environment Planning Policy on the Littoral Rainforests, koala habitat protection and infrastructure requires buffer zones and has a number of planning controls over the footprint which may be a deterrent to nature-based tourism investment including walking trail accommodation, zip lines, and event space development.
2.6. LEVERAGING THE STRATEGIC CONTEXTThe TOP’s primary role is to identify priority catalyst projects that will lift the destination to achieve its vision. The planning frameworks, both in tourism and in land use, are a key ‘enabler’ of these projects succeeding. A comprehensive review of the current strategic planning documents and environmental legislation that impact on the Central Coast has been undertaken. The key areas of leverage from the broader planning context are an existing recognition of the need of some projects, enabling the Tourism Opportunity to be more specific. Existing infrastructure priorities include: Cultural and community recreation facilities Road and rail access improvements Broadband and telecommunications infrastructure
12 l Page
The Project Team notes that the Tourism Opportunity Plan for the Central Coast is closely aligned to the NSW 2021 State Strategy through: The economic benefits and employment which the TOP can generate for rebuilding the economy; The ability of the TOP to help facilitate improved transport outcomes and infrastructure generally; The link to Community Strategic Plans for each LGA and creating recreational opportunities for firstly communities and then visitors.
NATI
ONAL
STAT
ERE
GION
ALLO
CAL
NATIONAL LONG
TERM TOURISM
STRATEGY
COMMUNITY STRATEGIC PLANS FROM LOCAL GOVERNMENT AREAS
DEPT. OF TRADE AND
INVESTMENT NSW
STRATEGIC PLAN
GOSFORD CITY
LOCAL ENVIRONMENTAL PLAN
VISITOR ECONOMY
ATTRACTION PLAN
FOR NSW
WYONG SHIRE COUNCIL
LOCAL ENVIRONMENTAL PLAN
FIGURE 5: TOURISM PLANNING FRAMEWORK
CENTRAL COAST
DESTINATION
MANAGEMENT PLAN
FOR
TOURISM
CENTRAL COAST
REGIONAL
TOURISM
OPPORTUNITY
PLAN
DEPT OF
PLANNING THE
CENTRAL COAST
REGIONAL
STRATEGY
CENTRAL COAST
REGIONAL ACTION
PLAN
(UNDER
NSW 2021)
CENTRAL COAST
REGIONAL
ECONOMIC
DEVELOPMENT
& EMPLOYMENT
STRATEGY
(REDES)
Page l 13
2.7. SWOT ANALYSISAn analysis of the strengths, weaknesses, opportunities and threats for the Central Coast region follows.
FIGURE 6: SWOT ANALYSIS
STRENGTHS
OPPORTUNITIES
WEAKNESSES
THREATS
4 times the waterfront of Sydney Harbour including beaches
and waterways
Natural beauty – national parks, lakes, waterways, headlands,
beaches and hinterland
Quality and affordable accommodation
Attractions & facilities (e.g. Top ten golf course, wildlife,
adventure)
Proximity to Sydney & Newcastle (closest beach destination
90mins)
Education and training facilities
Current Festivals & Events and potential for future events
‘Best of both worlds’ – sea change and tree change
Cultural assets (incl. marine heritage)
Available land for development
Strong community spirit
Areas designated for tourism already
Live, work, invest.....+ ‘visit’
Managing growth to your natural advantage
Promotion (lifestyle, education, niche)
New experiences in nature-based tourism
Education and business tourism
Positive parochialism - do business locally
Events – sports, youth and music (in nature)
Emerging ‘adventure’ brand and cultural tourism market
Potential for waterfront accommodation development
Packaging and trail development
Climate for an active lifestyle – walking, riding, sports
Some catalyst projects (motorsport precinct etc.) can
generate solutions to assist youth unemployment
Significantly less accommodation than Hunter and South Coast
Poor rating for safety / security (NSW crime stats)
Accessible by rail but not air (90% drive)
Lack of awareness or poor perceptions of ‘Central Coast’
International growth but 41% VFR
Community infrastructure and activities
Lack of critical mass – mostly small operators
Seasonality (Peak in January, Fall in June)
Perceived lack of work and activities to retain young people
in the area
Lack of all-weather built attractions
Investor concern at the level of red tape limiting timely
development
Community concerns over lack of tourism benefits and
negative impacts
Lack of a clear identity – stuck in the middle
Infrastructure – meeting the growth
Population growth below 1%
Losing Sydney visitors to Blue Mountains, South Coast
and Hunter
Car dependent travellers (limited internal transport)
Environmental degradation
Planning constraints
Community attitude blocking key tourism and related
development
Lack of Government support to help fund major projects
3. THE VISITOR MARKET
The following subsections provide an overview of historic visitation to the Central Coast, including a breakdown of domestic day, domestic overnight and international overnight visitation to the region. An indicative visitor forecast has also been provided, including a stretch target which indicates potential visitation that may be able to be achieved as a result of following the recommendations included in the TOP.
3.1. HISTORIC VISITATIONTotal visitation to the Central Coast region has declined by just under 12% (582k) visitors, falling from 4.9m visitors in 2002 to 4.3m visitors in 2012. The graph below illustrates total visitation to the region from 2002-2012.
Every effort is required to arrest this decline in order to support investor interest and ensure the sector is able to show it is profitable and able to be expanded.
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7 Travel to Central Coast Tourism Region, Year ended March 2012
FIGURE 7: TOTAL VISITATION TO CENTRAL COAST 7
20020 m
1 m
2 m
3 m
4 m
5 m
6 m
20052003
Total Visitation to the Central Coast
2006 2008 2010 2011 20122004 2007 2009
4.9m5.3m
4.8m 4.8m4.2m
4.7m 4.6m4.0m
4.7m4.4m 4.3m
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The decline in visitation noted has been driven by a decline in both domestic overnight and domestic day visitation, falling by 20% (288k) and 9% (304k) respectively. 8
In regards to this decline in domestic visitation, several macro factors have driven this trend including (but not limited to):
The 2008-2012 Global Recession; A lack of new product to stimulate demand and repeat visitation; Low cost carriers encouraging Australians to travel internationally.
8 Please note international overnight visitation has not been included in this figure because the percentage share of international visitors to the region is so small in comparison to domestic overnight and domestic day visitation. In order to achieve an accurate trend line for international visitation, it has been included in a separate graph on the following page. 9 Travel to Central Coast Tourism Region, Year ended March 2012
FIGURE 8: DOMESTIC OVERNIGHT AND DOMESTIC DAY TRAVEL TO CENTRAL COAST9
20020 m
1 m
1.5 m
2 m
2.5 m
4 m
3 m
4.5 m
3.5 m
5 m
20052003
Domestic Overnight Domestic Day
2006 2008 2010 2011 20122004 2007 2009
1.5m
3.4m
3.9m
1.5m 1.6m
3.2m
1.3m 1.4m1.4m1.4m
3.3m
2.9m
3.3m 3.2m2.9m
3.5m
3.2m 3.1m
1.1m 1.2m 1.2m 1.2m
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International visitation on the other hand has increased, growing from 26k in 2002, to 37k by 2012. The figure below illustrates this growth.
10 Travel to Central Coast Tourism Region, Year ended March 2012
FIGURE 9: INTERNATIONAL OVERNIGHT TRAVEL TO CENTRAL COAST 10
20020 k
5 k
10 k
15 k
20 k
35 k
25 k
40 k
30 k
20052003
International Overnight
2006 2008 2010 2011 20122004 2007 2009
26k
20k
30k
34k 33k31k
35k33k 33k
35k37k
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3.2. FORECASTED VISITATIONThe figure on the following page provides an overview of historic and forecasted visitation (green line) as well as a 3% annual growth scenario (blue line) which highlights the potential incremental growth which could be achieved if the recommendations of the CCDMP and TOP are followed.
Assuming visitation to the Central Coast grows at the same level predicted by the Tourism Forecasting Committee (green line), the Central Coast region will see an additional 265k visitors by 2020. If however the recommendations of the CCDMP and TOP are followed, the Central Coast could see roughly 1.3m additional visitors by 2020.
The recommendations in this TOP have been provided based on a number of criteria, including the project’s ability to stimulate visitation from the domestic overnight and domestic day trip markets which have been in decline.
FIGURE 10: HISTORIC AND FORECASTED TRAVEL TO CENTRAL COAST
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 20200 m
1 m
2 m
3 m
4 m
5 m
6 m
Historic Forecasted
4.92m 4.81m 4.81m
4.21m4.66m 4.55m
4.05m
4.69m4.43m
4.34m
4.47m
4.61m4.75m 4.89m 5.04m 5.19m
5.34m 5.50m 5.67m
4.51m 4.54m 4.55m 4.57m 4.59m 4.60m4.61m
5.35m
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3.4. KEY TRENDS FOR VISITOR MARKETSThe following table provides an outline of key visitor markets and the trends being noticed within these markets in the context of the Central Coast.
FIGURE 11: VISITATION TO CENTRAL COAST 15
31%
19%
3%
24%
13%
10%
Pampadours
Compatriots
True Travellers
Peer Group Travellers
Wanderers
Other
TABLE 1: VISITOR MARKETS AND KEY TRENDS 16
MARKET
SHORT BREAK MARKET
SPORTS TOURISM
SOFT ADVENTURE TOURISM
EVENTS TOURISM
THE INTERNATIONAL MARKET
TRENDS WITHIN MARKET
The Central Coast is increasingly being seen as an attractive short break destination, particularly
for the Sydney market. In total, 64% of domestic overnight visitors to the Central Coast come for
a short break getaway.
The Central Coast’s credentials as a sport events destination is growing. Over 84,000
domestic visitors travelled to the Central Coast to watch a sporting event in 2011. This is an
87% increase since 2005.
With a cluster of soft adventure products now available on the Central Coast, the number of
overnight visitors to the region participating in soft adventure activities has grown by 7% in the
last 12 months (to close to 320,000 overnight visitors).
The Central Coast continues to strengthen its reputation as an events destination with 163,000
visitors attending leisure events whilst in the destination in 2011. This represents a 9% increase
since 2005.
Packaging for the international market with like destinations, such as Port Stephens to grow the
international market is clearly needed. Collectively the regions welcomed 64,000 international
visitors FY11, totalling over 700,000 visitor nights.
3.3. CURRENT TARGET MARKETS11
Visitation to the Central Coast region has been segmented according to Destination NSW Traveller Types (see the figure below). Based on this breakdown, the following primary and secondary target markets exist for the region:
Primary Target Market: Compatriots12 , making up 31% of total visitation to the Central Coast region; and Secondary Target Markets: Wanderers13 and Pampadours14 , comprising 24% and 19% of visitation to the region respectively.
11 Please note a detailed visitor breakdown has been completed in the Central Coast Destination Management Plan – please refer to this for further detail as it has not been duplicated here. 12 Compatriots: Quintessentially middle market, female skew, want do-it-for-you but forced to compromise, family-focused, good shoulder market, activities focused, budget conscious, like resorts and dislike camping, favour 3-star aspire to 5-star, self-contained an advantage. 13 Wanderers: Adult couples, empty nesters, frequent tourists, DIY, great off-peak market, keen observers, wide range of preferences in transport, favour difference, like to potter. 14 Pampadours: Up-market, DFY (do-it-for-you), indulgent, female skew, white collar/professional skew, overseas travel frame of reference, fashion-conscious, travel in couples, 5-star preference, avoid young children/family destinations. 15 Travel to Central Coast, Year ended June 2012, Destination NSW 16 Sourced from Destination NSW
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4. INVESTMENT OPPORTUNITIES
4.1. TYPES OF PROJECTSFrom the extensive consultation undertaken, site visitation as well as the detailed literature review completed, a range of opportunities for the Central Coast have been identified. These tourism opportunities have been categorised according to the following:
Catalyst Projects - projects that will be a catalyst to stimulating a range of other/secondary investment and product development opportunities. They have a significant impact towards supporting sustainable tourism growth in the region. These projects range from small scale investments at key sites through to larger scale integrated planning projects:
- A distinctive or world famous feature or attraction; - Additional quality accommodation, retail and conferences; - Delivers a waterfront experience; - Is attractive to the outdoor and active visitor (e.g. sporting - Leverages the areas natural appeal (water views, forests, proximity); facilities); - Supports the growth of events; - Infrastructure to support new tours and activities.
Future Investment Opportunities - projects which offer some immediate return to the destination. This includes existing projects or proposals that can be taken forward in the next one to two years.
- Creates a positive destination image; - Facilities to cater for an ageing population / visitor market; - Increases off-peak visitation (including mid-week); - Indigenous tourism projects. - Demonstrates quality to attract more Pampadours; - Increases dispersal both along the coast and into the hinterland;
4.2. ASSESSMENT OF CATALYST PROJECTS BASED ON GROWTH OPPORTUNITIESDuring the process of consultation with industry and local stakeholders over 100 potential projects were identified. Many of those overlap with existing plans and strategies or were not considered viable through further stakeholder consultation. The list outlined overleaf includes the projects considered viable, a strong fit with the guiding principles for tourism set out in the Destination Management Plan and would provide the Central Coast with a competitive tourism advantage. These have been ranked against the guiding principles set out in the Destination Management Plan with a simple high, medium and low fit based on feedback from key stakeholders and the input of The Stafford Group and EC3 Global project team advice. While not an exact science, it does provide a guide to the true catalyst projects as opposed to strategically important tourism projects.
The Waterfront Development - Stage 1
Motorsports Precinct
Adventure Racing Centre (Magenta Oval)
Brisbane Water Adventure Cluster
China Cultural Village
Pioneer Dairy Sporting Hub
Tourism Hub at the Entrance
Overnight Accommodated Walking Trail
Wave pool / Aquatic Park at Woy Woy
Mount Penang Tourism Precinct
Ultimate Wave Surfing Attraction
Bluetongue Brewery Outlet
Old Sydney Town
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4.3. THE POTENTIAL CATALYST PROJECTS There are 5 recommended catalyst projects17 for the Central Coast region. These projects are likely to trigger the development and implementation of a number of other projects. The 5 catalyst projects include:
1. Mt Penang Tourism Precinct: Mount Penang has the potential to be a catalyst project through the creation of a number of tourism development components which could include an interactive visitor attraction experience, event space, an outdoor movie theatre, commercial accommodation and an agritourism experience (microbrewery, cider house, chocolate factory etc.);
2. The Waterfront Development at Gosford: The Waterfront Development is particularly significant because stage 1 is expected to include a performing arts centre and integrated hotel which is anticipated to be a major draw card for performing arts related events and as a resource particularly for the local community;
FIGURE 12: ASSESSMENT OF POTENTIAL CATALYST PROJECTS
TOURISM OPPORTUNITIES HIGH = 3, MED = 2, LOW = 1 DI
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17 Catalyst projects are defined as tourism investment projects of regional significant which will be the catalyst for a number of other investment opportunities occurring in a planned and sustainable manner.
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3. Motorsport Precinct: The Central Coast is in an ideal position to facilitate a motorsport precinct to help service the Greater Sydney region in particular. There are very few motorsport precinct facilities in NSW (2 facilities) compared to Victoria (5 facilities). Furthermore, the closure of facilities such as Oran Park in Sydney18 has significantly limited the supply of motorsport facilities, yet it is noted that demand for learner training, driver training generally, car club days, corporate events, festivals and other forms of events is high;
4. Pioneer Dairy Sporting Hub: The opportunity exists to develop a major sports precinct on the Pioneer Dairy site at Tuggerah. This could offer sporting related facilities which would enable the region to host a variety of regional, state wide and national sporting events and which could potentially be the home for many regional sporting bodies; and
5. Tourism Hub at the Entrance: A variety of development projects are currently planned at The Entrance as well as the North Entrance and have the potential to significantly increase visitation to the Central Coast. Such projects currently include the development of a 800-1,000 seat conference centre with a 400+ room integrated hotel.
Each of these catalyst projects are canvassed in greater detail in the following subsections.
4.3.1. MOUNT PENANG TOURISM PRECINCT Mt Penang Parklands are located just over 7kms west of Gosford and covers over 152 hectares. The Parklands currently support retail, commerce, education, entertainment, active and passive recreation, Aboriginal and European heritage and residential activities.19
Mount Penang has the potential to be a catalyst project through the creation of a number of tourism development components. Potential exists to develop the precinct to offer some of the following precincts: an event precinct, a sporting precinct, a retail shopping centre, a hotel, a heritage precinct as well as a possible visitor attraction.
The following provides a summary of possible development components:
Floating stage - The redevelopment of the Mount Penang Gardens to include a floating stage for arts and musical based performances at the upper dam.
Hotel facility - A potential leisure style hotel facility which supports overnight stays for those attending events and other activities at Mount Penang and which could act as a gateway hotel to the Central Coast20.
Interactive visitor attraction - Potential exists to allocate approximately 4,000sqm of land for an interactive visitor attraction. This could involve a scare house such as the Spookers interactive attraction in Auckland which generates 1,000 -1,500 visitors onsite a day and provides employment for over 100 staff (fulltime and part-time). It is one example of the type of interactive experience which potentially could be developed at Mt Penang.
Indoor/outdoor event venue - A major indoor/outdoor event venue for cultural events, concerts, sporting events etc. This could also include an outdoor movie theatre experience.
Shopping complex - The development of a major shopping complex which could support a wider catchment area and which could help fund ongoing site development at Mount Penang.
Microbrewery or similar attraction - The development of a microbrewery or similar styled agritourism attraction as an added attraction to the site.
18 We understand that Oran Park in Sydney was closed as the land which the racetrack was situated on was sold to the NSW Government for a new housing development. 19 Mt Penang Parklands, Central Coast Regional Development Corporation http://www.ccrdc.nsw.gov.au/MtPenangParklands.aspx 20 We have assumed that providing a hotel development proponent is prepared to pay for the land required (rather than having this gifted as an enticement) a hotel can be considered for the site.
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4.3.2. MOTOR SPORTS PRECINCTThe Central Coast is in an ideal position to facilitate a motorsport precinct to help service the Greater Sydney region in particular. There are very few motorsport precinct facilities in NSW (2 facilities) compared to Victoria (5 facilities). Furthermore, the closure of facilities such as Oran Park in Sydney has significantly limited the supply of venues, yet demand is noted as high.
As a result of the noise generated within a motorsport precinct, a site of approximately >100ha is preferred and in a location far from residential areas. Whilst such a facility could be located in a variety of sites on the Central Coast, it is noted that Wyong LGA has a greater number of large parcels of potential available land for the possible development of the precinct.
A motorsport precinct for the Central Coast should include the following:
A track of 3 - 3.5km; A driver training school; A separate go-karting circuit; Facilities for on the job apprenticeship training in all related areas of Depending on the venue, a possible hill climb or motor vehicle and mechanical requirements; rally circuit for off road training and events; A food and beverage precinct to support events such as club days, Employment facilities for vehicle restoration corporate events, major competition days etc; and servicing; Potential commercial accommodation. Areas for car storage;
The Central Coast is challenged by a high level of youth unemployment and associated social disadvantage. A motorsport precinct has the potential to create a number of full time and part-time employment opportunities as well as providing a highly attractive recreational facility for the local community as well as encouraging a broad visitor market.
The potential also exists to approach major motor vehicle manufacturers to sponsor local activities and events and to look at creating their own testing facilities as part of the overall motorsport precinct.
With respect to visitor markets, the potential exists to package the motorsport precinct up with other passive recreational activities in the region to encourage longer length of stay on the Central Coast and to strengthen the visitor market from the Greater Sydney region in particular.
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4.3.3. THE WATERFRONT DEVELOPMENT AT GOSFORD21
The Central Coast Regional Economic Development Corporation has responsibility for the development planning for The Waterfront Development. The Waterfront Development is seen as an integral component to assist the ongoing development and revitalisation of the Gosford CBD and to start to maximise opportunities for waterfront development.
The Waterfront Development site is adjacent to the Central Coast Stadium and is an extension of the Gosford CBD. The site is Crown land which contains a primary school site which we understand is being relocated at the start of 2014.
The Waterfront Development is significant because stage 1 is expected to include a Regional Performing Arts and Conference Centre which will be a significant draw card for business events and performing arts events and as a resource particularly for the local community.
The components of stage 1 of The Waterfront Development currently include the following: Three commercial office buildings up to 30m in height and offering 40,000sqm of office space; Three smaller residential apartment complexes; Ground floor level cafés and supporting retail in the three commercial office buildings; A business hotel; An 800 - 1,000 seat performing arts venue; Attractive open space areas, and internal road and parking along with a small park and playground facility.
FIGURE 13: THE WATERFRONT DEVELOPMENT SITE BOUNDARY
21 The Waterfront Development stage 1 is predicated on securing agreement from NSW State Government to take up 10,000k sqm of office space along with funding support for an $80m performing arts centre. As at the date of completion of this Tourism Opportunity Plan for the Central Coast we understand that a decision had not been received (either way) from State Government. It is therefore assumed, based on advice from Central Coast Regional Development Corporation and Gosford City Council that stage 1 of The Waterfront Development as planned will proceed subject to State Government support.
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22 http://profile.id.com.au/gosford/population-estimate and http://profile.id.com.au/wyong/population-estimate
In supporting stage 1 of The Waterfront Development as a catalyst project for the Central Coast it is recommended that: The hotel and performing arts venue be a fully integrated facility rather than stand alone; Consideration be given to possibly reducing the quantum of office space unless state government is prepared to take up the 10,000sqm required to kick start the commercial development; The residential apartment development proposed be carefully scaled in apartment size and volume, taking into account the challenge which surrounding apartment complexes have had in relation to marketability; and As an added catalyst for the project, consideration be given to other forms of commercial visitor attractions such as a boutique cider house as part of a retail bar outlet, organic chocolate centre or some other form of smaller scale processing and retail facility with high visitor appeal and to stimulate strong visitor and local demand to visit.
Within the current global economic climate and the recognised fiscal constraints particularly of state and local government, consideration could also be given to creating the performing arts centre as a multipurpose function centre which primarily can act as a performing arts auditorium but which has flexibility for other major uses as well in order to maximise its usage.
As a fully integrated hotel and major function centre, consideration could be given to reassessing the scale and cost of the proposed performing arts centre from its estimated $80m cost (performing arts centre alone) to strengthen its ability to be funded in the short-medium term as the funding for this is earmarked to come from government. The quantum of this is noted as a significant challenge in the current climate, in spite of the broad benefits the project is said to deliver.
4.3.4. PIONEER DAIRY SPORTING HUBSport and active recreation are an important part of the Central Coast region. The provision and utilisation of sporting facilities in the Central Coast region are a key component to stimulating a vibrant and healthy lifestyle. With the Central Coast population continuing to grow22, the region’s sporting facilities are already being strained.
The opportunity exists to develop a major sports and recreational precinct on the Pioneer Dairy site at Tuggerah. The site proposed is close to the Tuggerah Railway Station and would be close to both the proposed Mariners Sports Centre of Excellence and the proposed Travelodge Hotel which has recently been announced.
The components of the Pioneer Dairy Sports Precinct could include the following:
8 -10 high quality sports fields allowing for a variety of outdoor sport activity; 3 amenities blocks; A main arena (small stadium seating up to 3,000); An indoor facility to cater for 3 - 4 basketball courts; Dormitory style accommodation particularly for inter-school and youth competitions; and An integrated sports administrative centre (Sports House) which provides a range of office facilities for all the various sporting organisations and associations operating on the Central Coast.
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Though no detailed cost benefit exercise has yet been undertaken on the sports precinct it is estimated that the total development could cost within the range of $20m - $30m. Initial top line economic benefit determination indicates a per annum return to the local economy of $22m through direct and indirect participant expenditure alone.
The potential exists to hold a number of smaller scale and larger sporting events which would make the venue not only regionally significant but also state and potentially nationally significant. Preliminary research indicates the facility, if developed as planned could cater for up to 30 smaller events per annum, 12 larger events and 20 mid-week school events on a per annum basis.
The opportunity also exists to work in partnership with the Mariners Sporting Centre of Excellence and to leverage sporting and recreational events and activities where this is mutually beneficial.
4.3.5. TOURISM HUB AT THE ENTRANCEA variety of development projects are currently planned at The Entrance as well as the North Entrance and have the potential to significantly increase visitation to the Central Coast.
In particular, the following development components are under consideration:
The redevelopment of the Lakeside Plaza into a new high quality shopping centre coupled with an 800 seat conference centre and adjoining 4 star 250 room hotel; The redevelopment of the caravan park at the North Entrance including new walkways/cycle ways as part of a coastal cycle way strategy; The upgrade of Memorial Park including the introduction of a number of water features; The potential development of a pre university training facility for international students; The introduction of a number of major events (endurance focused) catering for up to 10,000 people over a 2 day period; A major revitalisation action plan for The Entrance overall including the development of splash pools to cater for those with limited swimming experience.
The Entrance is a key waterfront hub in the Wyong LGA and the extensive development proposed23 has the potential to transform the area and significantly strengthen its position as a major tourism hub for the Central Coast. Furthermore, an 800 seat conference centre and integrated hotel would help stimulate demand from a number of wider visitor markets who could be motivated to visit the Central Coast for business and leisure purposes.
Whilst virtually all of the development sites at The Entrance are privately owned and the investment is therefore coming mostly from private sources (rather than government), development is still subject to upgrades to access roads and Council approval for increased height limits on major development sites.
The revitalisation of The Entrance and the introduction of a major 4 star hotel and conference centre, along with the other developments proposed, will act as a catalyst for encouraging further development in retail and food and beverage facilities, other tourism experiences/attractions as well as the development of more commercial accommodation and holiday letting. The introduction of higher level tourism amenities will also support the growth potential in events which is already being planned.
The following table provides an overview of accommodation in the region, highlighting the need for additional accommodation to cater for a variety of visitor markets in the future.
23 The Lakeside Plaza development alone is estimated at $400m 24 Data supplied by EC3 Global
TABLE 2: ACCOMMODATION SUPPLY 24
Current Room Supply
Spare Capacity
Average Occupancy
Future visitor growth (average to 2020)
CENTRAL COAST ACCOMMODATION SUPPLY OVERALL
1,947 rooms
1,018 Rooms (2012) 900 Rooms (2020)
48% average annual occupancy
0.4% (Domestic), 3.6% (international)
It is important to note however that the current estimated room supply includes all available room stock rather than room stock of a particular quality or marketability.
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4.4. ADDITIONAL INFRASTRUCTURE AND INVESTMENT PROJECTSIn order to generate increased visitation to the Central Coast as well as longer lengths of stay and greater expenditure, a range of new attractions, strategies, programs and activities have been recommended in Tables 9 - 15 of the appendix. These projects have been clustered according to investment type.
The figure highlights the categories which these additional infrastructure and investment projects fall under.
FIGURE 14: PROJECT TYPES
COMMUNITY AND SUPPORT
INFRASTRUCTURE
HUMAN RESOURCE INITIATIVES
ACCOMMODATION SECTOR
ATTRACTIONS, ACTIVITIES,
SPORTS
25 Those projects listed in bold are catalyst projects
The following table highlights the investment and infrastructure projects according to the themes noted above.
Accommodation sector
POTENTIAL PROJECTSTHEME
Tourism Hub at The Entrance
Accommodation on edge of National Parks to cater for overnight trekking experiences
Holiday Park Demand Study
Warnervale business hotel and conference facilities
TABLE 3: POTENTIAL INVESTMENT PROJECTS FOR CENTRAL COAST 25
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Attractions, activities and sports
Pioneer Diary Sporting Hub
Creation of a Motorsport Precinct
The Waterfront Development at Gosford – Stage 1
Mount Penang Tourism Precinct
Floating water play park
Darkinjung Cultural Centre
Improve access for activities on the water
Development of a wharf and marina at Terrigal Haven
Aboriginal culture sites linked to the 5 Lands Walk
Develop lookouts for whale watching and photo opportunities
Development of Golf Experience
Ngaruki Gulgul - Aboriginal training facility and arts space
Network of natural trails
Iconic Walks – Family Adventure Precinct on edge of National Park Land and along Coast
Surfing Tourism Attraction
A Bluetongue Brewery Outlet/ Café/ Restaurant at Warnervale
A Food and Wine Trail and appropriate zoning
Brisbane Water Adventure Cluster
Aquatic Centre (Woy Woy)
Adventure Races Precinct
Old Sydney Town Theme Park
Shelly Beach Golf Club
Terrigal Haven Tourism Precinct
Major obstacle course – extreme training venue at Mt Penang
Feasibility for the development of a Marine Education Centre and Oceanarium (including a
specific shark breeding centre)
China Cultural Village
Waterfront River Cruise
Regional iconic event development
Central Coast Adventure Pass
Community and Support Infrastructure
Human resource initiatives
POTENTIAL PROJECTSTHEME
Develop a community awareness program
Aussie Host program and Business Awards program
Central Coast Arts and Conference Centre
Directional signage
Improve access for activities on the water
Develop 4 key seasonal events
Attract youth events
Kariong Event Park
Prepare a Regional Signage Plan
Up-Skilling Project
Employment and skills audit
5. KEY CONSIDERATIONS
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5.1. INFRASTRUCTURE AND OTHER LIMITATIONSThe following subsections indicate a range of limitations which could potentially stifle tourism investment growth in the region. In order to facilitate tourism investment these limitations to need be addressed and resolved.
5.1.1. LACK OF NEW DEVELOPMENTThe Central Coast has long leveraged off its natural assets in the form of beaches to stimulate demand from the domestic and international visitor markets. Increasingly however, visitor’s needs and expectations are changing. In order to grow the region’s visitor market, consideration needs to be given to attracting investors to develop new higher quality hotels and destination parks as well as attractions and interactive experiences.
In particular (aside from the beach) the Central Coast lacks family product experiences. Given that the compatriot market makes up the largest percentage of visitation to the region (33%)26 consideration needs to be given to developing products which will stimulate this market and encourage increased visitation, a longer length of stay as well as higher expenditure. The region cannot rely on the beaches alone as offering sufficient drawcard.
5.1.2. PLANNING PROCESSFeedback received from a number of stakeholders indicates that there are, at times, lengthy delays in getting development applications approved throughout the Central Coast region. To encourage developers to invest in the region and to provide them with a level of certainty regarding their investment, it is important that any blockages are dealt with as quickly as possible. This is especially important when international investors are involved (but should apply to all types of tourism related investment, whether it be domestic or international).
To generate significant economic return and revitalise its town centres, Wyong Shire Council is facilitating the Iconic Development Sites Program. Land owners and developers will receive a number of benefits and incentives for developing these iconic sites.
In response to feedback, Gosford City Council have indicated changes to the recommendations around DA’s and planning.
5.1.3. CONNECTIVITY BETWEEN TRAIN STATIONS AND INNER CITY, WATERFRONT LOCATIONSThe Central Coast is fortuitous in that it has a good highway and rail link. However, the connectivity between the rail stations and city centres and the waterfront is often confusing and inadequate. This lack of connectivity has necessitated that travellers bring their own cars or hire a rental car rather than using public transport.
Connectivity between major visitor attractions and the rail and bus stations need to be assessed, specifically focusing on directional signage and walkways. Directional signage particularly within a CBD is crucial to encourage visitation to places of interest and to outline walks and/or cycle ways that can be completed through the CBD to attractions.
5.1.4. COMMUNITY ACCEPTANCEThe Central Coast, whilst it has a number of individuals who are seeking to drive tourism, also have a number of community groups who are less supportive.
The economic benefits of tourism need to be marketed to the local community, providing insight as to why tourism is a vital industry that needs to be invested in. This includes altering the perception that government at all levels should fund events and other tourism initiatives if commercial benefits can be generated by the private sector.
A broad community awareness campaign is warranted on who benefits from tourism to illustrate: How the tourism dollar filters through the local economy; Who the actual beneficiaries are including pubs, newsagents, retailers, petrol stations, etc.; What the value is via direct, indirect and induced spending impacts; To support why Council/rate payer funding is required to maximise the returns to the local community as seen via economic benefits, social and infrastructure improvements and higher quality environmental outcomes.
26 Travel to Central Coast, Year ended March 2012, Destination NSW
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Councils also need to be prepared to advocate for the broader social and economic benefits which tourism is able to generate and balance this against those pockets of the community who may be resistant to change in general, new employment for locals and new investment. There are perceptions that residents are often not supportive of tourism and are quick to inform local political leaders of their concerns. This has tended to make some investors-developers reluctant to consider the region for projects.
5.1.5. INVESTMENT VIEWED AS HIGHER RISK As mentioned previously, the Central Coast region suffers from a lack of new development (hotels, attractions etc.). Feedback received from a number of stakeholders indicates that the reputation for investment in the region is perceived as being higher risk. This is due partly to vocal community concern, perceived lengthy delays in getting planning approvals and lack of flexibility by government when assessing the merits of tourism projects.
5.1.6. SMALLER LAND HOLDINGSAs part of the TOP process, we were made aware of a number of development opportunities which have been proposed for the region. A number of these opportunities have not moved from the concept proposal stage due to lack of available land.
This is particularly the case in Gosford, where commercial land holdings are relatively small and various land owners have been apparently unwilling to sell land at prices which will allow developers to consolidate land parcels to create a workable and optimum size. As a result concern has been expressed that land prices being asked are too high and it is too difficult to purchase and consolidate neighbouring land parcels. There is also an expectation that government will intervene to purchase land for development so land owners hold out for what they perceive as premium prices.
This problem is not unique to the Central Coast, and with other issues has created a perception of the Central Coast being particularly challenging for development.
5.2. REGULATIONS AND LEGISLATION - TOURISM IMPEDIMENTS AND IMPLICATIONSA number of state and local regulations and legislative requirements impact on developing tourism infrastructure on the Central Coast of New South Wales. These planning provisions have implications for a number of the catalyst projects identified.
5.2.1. STATE ENVIRONMENTAL PLANNING POLICIES
5.2.1.1. State Environmental Planning Policy: 14: Coastal Wetlands 27 The Coastal Wetlands Policy seeks to ensure that coastal wetlands are preserved and protected for environmental and economic reasons. The policy applies to local government areas outside the Sydney metropolitan area that front the Pacific Ocean. The policy identifies over 1300 wetlands of high natural value from Tweed Heads to Broken Bay.
Land clearing, levee construction, drainage work or filling may only be carried out within these wetlands with the consent of the local council and the agreement of the Director General of the Department of Planning. Such development also requires an environmental impact statement to be lodged with a development application. The policy is continually reviewed.
Implications: This legislation is only likely to impact on the development of The Waterfront Development Catalyst Projects and this has been considered in the pre-planning.
5.2.1.2. State Environmental Planning Policy 71: Coastal Protection 28
The Coastal Protection Policy has been made under the Environmental Planning and Assessment Act 1979 to ensure that development in the NSW coastal zone is appropriate and suitably located. The policy also seeks to ensure that there is a consistent and strategic approach to coastal planning and management and to ensure there is a clear development assessment framework for the coastal zone.
Amongst others, the policy sets out to ensure that the visual amenity of the coast is protected, to protect and preserve beach environments and beach amenity, to protect and preserve native coastal vegetation and to protect and preserve the marine environment of New South Wales.
The policy requires applications to be obtained prior to carrying out development in sensitive coastal locations. These applications will require the development of a master plan which illustrates and demonstrates design principles drawn from an analysis of the site and its context, desired future locality character, the location and scale of development, heritage conservation, remediation of the site etc. These master plans are referred to the Director-General for comment.
Implications: As both The Waterfront Development at Gosford and the Tourism Hub at the Entrance are proposed coastal developments, further development of these projects will need to take this legislation into consideration, however both could be accommodated in its current provisions.
27 http://www.legislation.nsw.gov.au/viewtop/inforce/epi%2B532%2B1985%2BFIRST%2B0%2BN/?fullquery=%28%28%28 28 http://www.legislation.nsw.gov.au/fullhtml/inforce/epi%2B816%2B2002%2BFIRST%2B0%2BN
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5.2.1.3. State Environmental Planning Policy: No. 26 – Littoral Rainforests29 Protects littoral rainforests, a distinct type of rainforest well suited to harsh salt-laden and drying coastal winds. The policy requires that the likely effects of proposed development be thoroughly considered in an environmental impact statement. The policy applies to ‘core’ areas of littoral rainforest as well as a 100 metre wide ‘buffer’ area surrounding these core areas, except for residential land and areas to which State Environmental Planning Policy No. 14 - Coastal Wetlands applies. Eighteen local government areas with direct frontage to the Pacific Ocean are affected, from Tweed in the north to Eurobodalla in the south.
The policy states that a person shall not, without the consent of the Council, on land described in clause 4 (1) (a) (land enclosed by the outer edge of the heavy black line on the series of maps held in the Department and marked “State Environmental Planning Policy No 26—Littoral Rainforests Amendment No 2) erect a building, carry out work, use land for any purpose, or subdivide it, disturb, change or alter any landform or disturb, remove, damage or destroy any native flora or other element of the landscape or dispose of or dump any liquid, gaseous or solid matter.
State environmental legislation exists around developing tourism infrastructure in coastal areas and waterways on the Central Coast of New South Wales. While these planning provisions do not necessarily inhibit the development of tourism product and infrastructure they do restrict development depending on the size and locations of the product being developed.
Implications: Because of the wide distribution of both known and predicted Littoral forest areas in the Central Coast (see Figure 15) many greenfield sites will be subject to this legislation. This may mean that smaller projects trigger the Commonwealth Environment Protection and Biodiversity Conservation legislation making such developments more costly and risky for investment. While most of the potential catalyst projects on the Central Coast are in built-up or previously built-up areas it is only some of the strategic projects (such as iconic walks with overnight accommodation, golf course development, any expansion of the Old Sydney Town site, or new holiday parks) may be questionable.
5.2.1.4. State Environmental Planning Policy (Infrastructure) 200730
The infrastructure planning policy provides a consistent planning regime for infrastructure and the provision of services across NSW, along with providing for consultation with relevant public authorities during the assessment process. The State Environmental Planning Policy (SEPP) supports greater flexibility in the location of infrastructure and service facilities along with improved regulatory certainty and efficiency.
The infrastructure planning policy states that a public authority, or a person acting on behalf of a public authority, must not carry out development without consultation with council if the development will have a substantial impact on stormwater management services provided by a council, or is likely to generate traffic to an extent that will strain the capacity of the road system in a local government area.
Implications: This legislation is likely to have implications for all five of the catalyst projects identified but would not likely impact on their development.
FIGURE 15: LITTORAL RAINFOREST DISTRIBUTION ACROSS THE CENTRAL COAST
29 http://www.legislation.nsw.gov.au/viewtop/inforce/epi%2B111%2B1988%2BFIRST%2B0%2BN/?fullquery=%28%28%28 30 http://www.legislation.nsw.gov.au/maintop/view/inforce/epi%2B641%2B2007%2BFIRST%2B0%2BN/
Indicative distribution
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31 http://www.legislation.nsw.gov.au/viewtop/inforce/epi%2B199%2B2001%2BFIRST%2B0%2BN/?fullquery=%28%28%28 32 http://www.legislation.nsw.gov.au/viewtop/inforce/epi%2B5%2B1995%2BFIRST%2B0%2BN/?fullquery=%28%28%28
5.2.1.5. State Environmental Planning Policy No. 64 - Advertising and Signage31
This aims to ensure that outdoor advertising is compatible with the desired amenity and visual character of an area, provides effective communication in suitable locations and is of high quality design and finish. The SEPP was amended in August to permit and regulate outdoor advertising in transport corridors (e.g. freeways, tollways and rail corridors). The amended SEPP also aims to ensure that public benefits may be derived from advertising along and adjacent to transport corridors
Display of advertising other than business or building is prohibited under SEPP 64 around waterways, scenic protection areas and national parks. The permissibility of sponsorship advertising will be considered under separate acts.
Implications: This legislation will need to be considered in development of the five catalyst projects identified but would not likely impact on their development.
5.2.1.6. State Environmental Planning Policy: No. 44 - Koala Habitat Protection32
The policy applies to 107 local government areas and states that local councils cannot approve development in the identified areas without an investigation of core koala habitat be undertaken.
Should the area be considered a core or potential koala habitat a ‘plan of management’ must be presented. These plans of management can be prepared by any party (including council). The Koala Habitat Protection policy does not include areas identified under the National Parks and Wildlife Act 1974.
Implications: This legislation will need to be considered in development of pre-feasibility studies for the Mt Penang Tourism Precinct and the Motorsport Precinct projects.
5.2.1.7. National Parks and Wildlife Act 1974 and the National Parks and Wildlife Amendment (Visitors and Tourists) Act, 2010 No 41 (An Act to amend the National Parks and Wildlife Act 1974 in relation to the sustainable visitor and tourist use and enjoyment of lands reserved under that Act).The National Parks and Wildlife (NPW) Act has been amended to provide clearer direction on future uses and activities that may be undertaken in the national parks system. Under the amended act, individuals or companies can approach the Office of Environment and Heritage to seek concessions to operate a particular business or commercial activity.
Examples of concessions include the establishment or use of:
Accommodation facilities including historic homesteads, cabins, lighthouses and the ski fields Camping grounds and caravan parks Restaurants, kiosks/cafes and marinas
All activities in the national parks system are subject to a consideration of their consistency with the NPW Act and park management policies and strategic plans.
The Act already allowed new accommodation buildings and facilities in national parks and has in fact done so since the Act was made in 1974, including leasing and licensing provisions for such purposes.
There are already more than 450 camping grounds and 900 buildings within Parks in NSW. The amendments further restrict development by introducing new sustainability assessment criteria prior to development which puts constraints on the scale of new accommodation.
The amendments clarify the range of purposes for which a lease or licence may be granted in parks and each assessment requires the Minister to be satisfied of certain environmental and sustainability matters before granting a lease or licence.
The Act also now requires the Director-General to adopt sustainability assessment criteria that details how these matters are to be considered. These criteria adopt best-practice environmental standards that may be amended in the future to reflect developments in environmental practice.
The amendments do not allow car race tracks, fun parks or other high impact sport or recreation facilities because, not only would they be contrary to the objectives of the Act, but these sorts of facilities would not meet the new sustainability criteria established under the Act.
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The amendments also do not allow buildings in wilderness areas or nature reserves. Wilderness areas and nature reserves are some of the most pristine parts of the reserve system. It simply would not be appropriate to allow new visitor facilities such as accommodation in these special places. The only change made through these amendments is to allow people to go into these areas with an experienced and licensed guide on a paid basis.
Implications: This legislation is unlikely to impact on the development of the Catalyst Projects, however, the proposed strategic project for iconic walks and accommodation would be hard to progress under this legislation.
5.3. LOCAL ENVIRONMENTAL PLANNING POLICIES33
A review was undertaken of the Local Environmental Plans (LEPs) and the Development Control Plans (DCPs) for areas identified as potential catalyst project development sites.
5.3.1. GOSFORD LEP DCP The Gosford DCP identifies provisions for parking by stating that on-site parking is to be accommodated underground, or otherwise fully integrated into the design of the building (minimum 8m setback distance between parking areas and building facing). The legislation goes on to state that where this integration is not achieved, car-parking areas will count towards gross floor area for the purposes of calculating (Floor Space Ratios).
Implications: The Gosford LEP and DCP have implications for The Waterfront Development at Gosford (stage 1) project. Given the events potential of this site, the design of car parking provisions will have to be considered. Once defined sites are agreed for a potential motorsports precinct and other projects (such as the possible surf stadium) they should be earmarked as special use zones.
5.3.2. WOY WOY DCP The Woy Woy DCP states that building development must not exceed a maximum height 12 Australian Height Datum.
Implications: As none of the Catalyst Projects are proposed for development in this area, the Woy Woy DCP is unlikely to have implications for the Catalyst Projects, however a building height bonus could be considered in Woy Woy.
5.3.3. TERRIGAL TOWN CENTRE DCP The Terrigal Centre DCP places a maximum height of 5 stories on building development, depending on the related zoning map.
Implications: As none of the Catalyst Projects are proposed for development in this area, the Terrigal Town Centre DCP is unlikely to have implications for the Catalyst Projects.
5.3.4. MT PENANG DCP Due to land zoned as SP1 (dedicated to special activities) building height and floor space ratios have no restrictions unless otherwise stated in the DCP.
Implications: The Mount Penang DCP has provision for the Mount Penang Tourism Precinct project to proceed.
5.3.5. WYONG LEP Broadly the zoning plan outlined in the Wyong LEP makes allowances for tourism facilities with appropriate siting and height limitations for the coastal area.
The 7b zoning (Scenic Protection) provision allows for small eco-tourism accommodation and cabins but is rarely applied (e.g. Summerland Point is a good use of this zoning) in the region and it should be considered that some existing 7a (Conservation Zones) be considered to transition to 7b (for example, Norah Head). The 7c zoning provision (Scenic Protection: Small Holdings) could allow for farm stays but this is not stipulated.
Implications: The Wyong DCP has potential implications for the Tourism Hub at The Entrance project. Given the tourism and events potential of this site, the siting and height limitations will need to be taken into account. Further, making allowances for farmstays on small holdings and a special use zone for the Motorsports Precinct will be important. Greater flexibility in the LEP for tourism would be beneficial.
33 It is important to note that both Gosford and Wyong LEPs are currently being revised. Additionally, we note that Wyong Council’s Iconic Sites program is also being updated and will offer further strengthening of tourism opportunities.
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5.3.6. THE ENTRANCE DCP A provision in The Entrance DCP is that applications for buildings greater than 2 storeys in height shall be accompanied by a detailed report identifying the likely impacts in relation to the specific building design.
Residential and tourist accommodation is permitted in a Business 3(a) zone only where attached to other permitted uses (e.g. shops). There are no density provisions in relation to permanent or tourist accommodation in this zone. However, the potential yield from any site will be limited by factors such as building height, setbacks, car parking and loading facilities.
For all forms of development in The Entrance DCP, the standard requirement is that at least 75% of the required open space is to have a minimum of three (3) hours of continuous and unobstructed sunlight between 9.00am and 3.00pm on 21st June (winter solstice).
The Entrance DCP also states that any permanent accommodation component of a development is to occupy less than fifty percent of the gross floor area of the buildings on a site.
Implications: The Entrance DCP has potential implications for the Tourism Hub at The Entrance project. Given the tourism and events potential of this site, the height, setbacks, car parking and loading facilities may be investment barriers.
5.4. RECOMMENDATIONS REGARDING LEPS AND DCPS The following are recommendations that should be considered during the implementation of development projects in this TOP.
There is a need to address the perceived delay in assessing and approving Development Approvals for tourism projects within the region. This should be achieved through the recognition of tourism as a key economic driver for the region, with Central Coast Tourism engaging the respective LGAs (and vice versa) in early discussions with proponents to guide tourism development proponents through the approvals process. Further it is recommended that a joint press statement be given on the launch of the TOP by the two Mayors and the Chair of Central Coast Tourism highlighting the cross-regional partnership and that investors should be confident that the Central Coast welcomes tourism investment and will work with investors through Central Coast Tourism to find the right location to support new concepts;
Strengthening the partnership between councils and Central Coast Tourism to assist project proponents to get on the right track is vital. To enable this it is key that a staff member in CCT be up skilled in the planning and approval process and understand the LEP and DCP guidelines for tourism projects and that equally a staff member in each council be identified as a first point of call for tourism proponents;
To improve the timeliness of approvals, Tourism activities should be considered a priority sector for both LGAs on the Central Coast and there is a need in a preamble for each of the respective LEPs to this effect. Supporting this, consideration needs to be given to reviewing the zoning requirements in LEPs to add tourism activities as prescribed activities in a greater number of zones. This could be achieved with the addition of definitions or ‘major recreation facilities’ and ‘farm-stays’ (particularly around Wyong) and adding those as prescribed activities to increase certainty in development applications;
Consider applying greater flexibility in floor height and floor space ratios (FSR) to Woy Woy and The Entrance similar to the 30% FSR and height bonus applied to the Gosford CBD for the next two years;
A defined location should be sought and agreed for the motorsports precinct and consideration given to creating special use zones for a motor sport precinct as a priority to facilitate this opportunity;
To better provide for ecotourism opportunities through the Wyong LEP (including overnight accommodated walks), it is recommended that consideration be given to shifting some conservation areas to scenic reserve areas to allow for low impact accommodation to be developed;
Include a newly developed definition of ‘farm-stays’ in Wyong for 7c Scenic / Small holdings;
Allow for the allocation of a Special Use Zone’ for a future surf stadium, potentially north of The Entrance where there is a resort ‘Special Use Area’ currently. Alternatively, a site in Gosford south of Forresters Beach could be allocated (where there is currently a public recreation reserve).
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5.5. INVESTOR EXPECTATIONS AND CRITERIAWhilst there are numerous investment related opportunities identified in this Tourism Opportunity Plan for the Central Coast, there are a number of key factors which need to be satisfied to secure investment from the private sector and to generate stronger interest.
In the current tough economic climate (which is reflected in reduced state and federal government spending particularly on tourism related infrastructure projects), it is all the more important that private sector investment be actively facilitated and secured.
The following subsections provide a checklist for the major stakeholders (state government agencies, regional tourism organisations, local councils and others) to encourage private sector investment.
5.5.1. INVESTOR CERTAINTYInvestors (large and small) are looking for a higher degree of certainty to understand that if they go down a path assessing an investment opportunity and in an area where the type of investment is acceptable, that the ground rules won’t change and government will at least be supportive of the investment. To offer certainty to investors it is important that:
A clear indication is provided on what the region (the Central Coast) is actually wanting to achieve and the type of investment it is actively pursuing as tourism destination; Clarity is provided on what government will support at a local level, state level and federal level for the area and any differences are resolved so a collective position is agreed and communicated; That relevant state and local government plans and strategies proactively indicate what will be supported; In the current economic climate, unless a flexible interpretation is provided which allows adjustments with respect to setbacks from boundaries, height limits, hours of operation and road/access, etc., investor interest will be hard to stimulate.
A common criticism from major (as well as smaller) investors in all types of projects is often the rigid interpretation of what is permissible. Feedback received indicates that if given a modest degree of flexibility, much greater investor interest would occur and a desire to partner with the public sector which would stimulate projects. This should not be interpreted however as a move to reduce obligations for environmental protection and related best practice outcomes.
5.5.2. PRE-FEASIBILITY STUDIESPre-feasibility studies provide an opportunity for the regional tourism organisation to provide robust visitor statistical data to potential investors-developers which in turn identifies where specific product gaps exist. The data supports forecasting and financial modelling and helps offer top line proof of the potential viability of individual projects.
There are numerous good ideas which are offered to entice a variety of local and non-local investors for a number of projects. Prudent destinations are helping investors and developers by undertaking top line pre-feasibility assessments to indicate that a specific type of project could (rather than would) be viable. This does not obviate the need for the investor/developer to undertake their own detailed feasibility assessment, but it does signal positively to the investment community a desire by government and other agencies that an investment of a specific nature is likely to be actively supported which is a positive message they are looking for.
To support the development of pre-feasibilities, there are often a variety of federal government and at times state level grant funding programs which councils and other local stakeholders can access (TQUAL is one example).
5.5.3. SUPPORTIVE LOCAL COUNCILSMost investors and developers comment that for the vast majority of projects, the ability to get them off the ground is dependent on the level of support offered by the relevant local council. Support is looked for in a variety of ways including but not limited to:
Positive media messages from council actively encouraging new forms of investment and development; Supportive language in current LEPs and DCPs including where possible, council guidance on specific areas where tourism development of various types should be considered; A “can do” approach from councillors and council officers.
Investor and developer feedback often highlights that whilst one department of council may be actively supportive and encouraging of a development proposition, the next department may have a different view. Investors and developers are looking for a collective response from council and through this, an indication of where flexibility in interpretation may exist and what is likely to be supported.
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5.5.4. STATE GOVERNMENT SUPPORTThe current NSW State Government has a major focus of actively wanting to encourage new investment as well as expanding employment opportunities within the State. To help support this goal and specifically the NSW 2020 goal of doubling visitor expenditure (amongst others), investors and developers are looking for:
What specifically will state government do to proactively encourage tourism investment projects; Whether someone is coordinating a collective state government response rather than expecting investors and developers to run the gauntlet of numerous government agencies and related approvals; What (if anything) can be provided to tilt the playing field to make NSW more competitive; What state government might do to actively support development on a specific site.
5.5.5. AVAILABLE SITES FOR DEVELOPMENTOne of the greatest challenges for the Central Coast and one which all other regions and local government areas are often struggling with is the identification of appropriate sites which can be used for different forms of tourism development. There is therefore a need:
To identify specific parcels of land where various tourism uses can be applied and which will be supported by government; The need to reassess town planning zones and where possible to provide some flexibility within zones for appropriate tourism development; To distinguish and identify those sites which are relatively free from encumbrances from those which have significant restrictions in place which limit the viability of the land for a commercial development tourism use, such as environmentally sensitive land areas, heritage or historic sites of significance; The need to identify parcels of land of sufficient size and which reduce the challenge of having to consolidate sites from different land owners which is often time consuming and particularly expensive; Having parcels of land which are well priced (market prices rather than inflated prices) and which will support development occurring.
Investors and developers (as well as other stakeholders) have commented that in a variety of areas on the Central Coast, land parcels are relatively small and it is particularly challenging trying to consolidate sites for development as land owners have unrealistic expectations at times regarding the value of land. This has contributed to significant delay in having various areas redeveloped and/or enhanced where multiple land holders prefer to land bank.
6. ASSESSMENT OF PROJECTS
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6.1. OVERVIEWAs indicated previously, there are 44 investment opportunities which have been considered in the course of preparing the TOP. These projects have been canvassed in Table 9 - Table 12 in the Appendix.
The investment projects have been assessed against the following criteria:
A strong level of interest amongst local stakeholders; Local Council support; Infrastructure constraints manageable or resolvable in a reasonable time frame; Projects supports the RTO vision for the region; Project will address issues such as lack of attractions; Commercial investment opportunities possible in part or in whole; Capacity to align with State Government agencies priorities; and Positive economic benefits including employment generation.
The projects suggested cross into a number of sub-sectors of the tourism industry. The table below highlights these.
TABLE 4: TOURISM INDUSTRY SUB-SECTORS - INVESTMENT PROJECTS
Accommodation Sector 4 9%
The sub-sector
TOTAL
No. of projects %
Community and Support Infrastructure 9 20%
Attractions, Activities and Sports 29 66%
Human Resource Initiatives 2
44
5%
100%
TOURISM INDUSTRY SUB-SECTORS - INVESTMENT PROJECTS
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6.2. CATALYST PROJECTSTo identify the 3 catalyst projects to focus on in more detail, a workshop was held with an extended TOP Working Group and each project was ranked in order of importance. The criterion which was used to rank these projects included (but was not limited to):
Project attractiveness and ability to stimulate increased visitation, average length of stay and expenditure; Current status of projects and whether the TOP actively needs to pursue the project to support development occurring34; Ability of the project to provide community amenity; Potential financial viability and return expected to be generated from the development of the project; and Current interest from developers (public and private).
The following table outlines the catalyst projects, along with the priority ranking assigned by the extended TOP Working Group.
34 For example, feedback received indicated that as proposals for development at The Entrance are already happening, whilst the TOP should support this project as a top 5 catalyst project, it does not necessarily need to be actively pushed to get the development “over the line”.
TABLE 5: DETERMINATION OF TOP 3 CATALYST PROJECTS
Mount Penang Tourism Precinct 3
Motorsports Precinct 1
The Waterfront Development at Gosford - Stage 1 4
Pioneer Dairy Sporting Hub
Tourism Hub at The Entrance
2
5
CATALYST PROJECTS RANK (1 = MOST IMPORTANT)
7. ANALYSIS OF CATALYST PROJECTS
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The following sections provide an overview of the top-line marketing demand forecasts for each of five catalyst projects identified through the TOP process. A top-line financial analysis of the top two catalyst projects has also been undertaken to show the 10 year financial performance of developing the projects.35
7.1. MARKET DEMAND FORECASTS
7.1.1. MOTORSPORTS PRECINCT36
In developing a market forecast for this catalyst project, an assessment of sporting and recreation visitation to the Central Coast has been undertaken. This analysis has been undertaken for domestic overnight and domestic daytrip visitors, the two most major tourism cohorts likely to utilise this facility on the Central Coast. 37
It is estimated that the Central Coast currently accounts for: Just over 5.4% of all Domestic Overnight ‘sporting’ Visitors to NSW (and 4.6% of Visitor Nights from this visitor cohort). This equates to approximately 49,000 Domestic overnight ‘Sporting’ Visitors in 2012. Approximately 6.7% of all Domestic Sporting Daytrip Visitors to New South Wales. This equates to approximately 179,000 Domestic Sporting Daytrip Visitors to the Central Coast in 2012. Approximately 1% of all International Sporting Visitors to New South Wales. This amounts to approximately 4,500 International Sporting Visitors to the Central Coast in 2012.
As outlined in the figure below, it is estimated that a motorsport precinct on the Central Coast would generate at least 60,000 - 80,00038 Sporting Visitors per year. On the assumption that approximately one quarter of these visitors to the precinct will be existing visitors to the Central Coast (and therefore not result in additional visitation to the region), it is estimated that the motorsport precinct will conservatively provide an additional $26 million in visitor spend to the region per annum by 2020. These forecasts are based on the motorsport precinct development being completed by 2020.
35 The project team were requested to undertake a top-line financial analysis of the top three priority catalyst projects (as ranked by the extended Working Group). A top-line cost benefit was not performed for Mt Penang (ranked as the third) as we understand that CCRDC has undertaken appropriate assessment of this development already and information is commercial in confidence. 36 Please note a case study on Morgan Park Raceway in Warwick QLD has been included in Appendix 2. 37 Data sourced and extrapolated by EC3 from Tourism Research Australia Database, year ending March 2012 38 Feedback from other sources indicates that far stronger visitor flows could be possible if a number of motor sport events were held on a regular basis and in view of the fact that there are so few motorsport precincts in NSW to cater to market demand
FIGURE 16: POTENTIAL SPORTING VISITOR NUMBERS DUE TO MOTORSPORT PRECINCT DEVELOPMENT
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 20200 k
50 k
100 k
150 k
200 k
250 k
300 k
350 k
237 k
198 k
234 k
278 k
233 k
260 k 262 k 264 k 265 k
315 k
267 k
317 k
268 k
318 k
275 k
325 k
275 k
325 k
Natural Growth Revised Growth
Tota
l Vis
itors
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7.1.2. PIONEER DAIRY SPORTING HUB39
The top ten club-based physical activities identified in 2010, in terms of total participation rate, were golf, outdoor football, netball, Australian rules football, tennis, lawn bowls, touch football, basketball and martial arts.
According to a select group of sporting activites chosen by the Australia Bureau of Statistics, between 2006 and 2010 the sporting activity which experiened the greatest decline was volleyball (a decline of 45%). Badminton on the other hand experienced the greatest incline of 92% (see the figure below).
With obesity research indicating a global societal shift towards a more healthy and active lifestyle, there is significant opportunity to capitalise on sport tourism, especially in the adolescent markets.
In developing a market forecast for this catalyst project at Pioneer Dairy, an assessment of sporting and recreation visitation to the Central Coast (as a share of event visitation to NSW) has been undertaken. This analysis has been undertaken for international, domestic overnight and domestic daytrip visitors.40
It is estimated that the Central Coast currently accounts for:
Just over 5.4% of all Domestic Overnight ‘sporting’ Visitors to NSW (and 4.6% of Visitor Nights from this visitor cohort). This equates to approximately 49,000 Domestic overnight ‘Sporting’ Visitors in 2012. Approximately 6.7% of all Domestic Sporting Daytrip Visitors to New South Wales. This equates to approximately 179,000 Domestic Sporting Daytrip Visitors to the Central Coast in 2012. Approximately 1% of all International Sporting Visitors to New South Wales. This amounts to approximately 4,500 International Sporting Visitors to the Central Coast in 2012.
As outlined in Figure 19 on the following page, if, due to the development of the Pioneer Dairy Sports Complex, the Central Coast were to increase its share of NSW Sporting visitors by 1% (across all three segments) the region would receive an additional 40,000 visitors per year by 2020. This would amount to an addition $30 million in visitor spend per year by 2020. 44
39 Data sourced and extrapolated by EC3 from Tourism Research Australia Database, year ending March 2012 40 These forecasts are based on the assumption that the Pioneer Dairy precinct development will be completed in approximately 2016.
FIGURE 17: NUMBER OF PEOPLE PARTICIPATING PER SPORT AUSTRALIA % CHANGE FROM 2006 - 2011
-60 %
-40 %
-20 %
0 %
20 %
40 %
60 %
80 %
100 %
Aerobic
s/fitne
ss/gy
m
Badmint
on
Baske
tball
Boxing
Cricke
t (ind
oor)
Golf
Eque
strian
relat
ed ac
tivitie
s
Lawn b
owls
Martial
arts
Netball
Rugby
leag
ue
Shooti
ng sp
orts
Socce
r (ind
oor)
Squas
h/rac
quetb
all
Tenn
is
Volle
yball
21%
92%
0%
65%
-27%
-10%
26%
14%24%
3%
-8% -9%
-45%
-13%-6% -6%
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To achieve this, the Sporting Complex at Pioneer Dairy Stadium (3,000 pax) would need to hold 3 small events each month (350-550 spectators) that would equate to 16,200 pax per year. In addition, there would need to be monthly events attracting just under 2,000 pax.
7.1.3. MT PENANG TOURISM PRECINCT42
In developing a market forecast for this catalyst project, an assessment of cultural/ lifestyle event visitation to the Central Coast (as a share of event visitation to NSW) has been undertaken. This analysis has been undertaken for international, domestic overnight and domestic daytrip visitors. 43
The recently released State of Festival Market Report has shown a marked increase in the popularity of festivals over the past few years 44. Growth has been observed in both festivals and attendance, and the diversity of festivals available to the consumer is on the rise. The development of festivals has played an important role in regional communities, as festivals are providing a source of new income to regional economies and an economic boost in what are usually shoulder or low visitation periods. Research has found that a high level of community support and enthusiasm is a significant contributor to a festival’s success.
With the rapidly increasing selection of festivals available, consumers are becoming more particular as to which ones they will attend. The State of Festival Market Report found that cost is a significant consideration when choosing which music events to attend; however, cost is not as large a barrier if consumers believe the environment will benefit from the event. The report also identified that while attendances at live events have increased over the last five years, intimate venues are preferred to the larger festival environment.45
The growing festival diversity puts pressure on festivals to be unique. For the Mt Penang tourism precinct to remain viable, it should have a spectacular location, suitable supporting infrastructure, attract a great line-up, or promote environmental principles that appeal to consumers, delivering a great experience that will keep event-goers coming back each year. A combination of the above attributes will help any Mt Penang Music or Cultural Event to stand out amongst its peers and remain attractive to the festival and event market and should be considered in future planning.
41 Data sourced and extrapolated by EC3 from Tourism Research Australia Database, year ending March 2012 42 Please note that a case study on Spookers, a live entertainment/scare house experience, has been included in Appendix 4. Case studies for two music festivals held in Victoria (Apollo Music Festival) and Queensland (Caloundra Music Festival) have been included in Appendix 5... 43 Data sourced and extrapolated by EC3 from Tourism Research Australia Database, year ending March 2012 44 State of Festival Market Report (Arts Hub, September 12, 2011) 45 State of Festival Market Report (Arts Hub, September 12, 2011)
FIGURE 18: POTENTIAL GROWTH IN SPORTING VISITORS RESULTING FROM PIONEER DAIRY DEVELOPMENT41
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 20200 k
50 k
100 k
150 k
200 k
250 k
300 k
350 k
Natural Growth Revised Growth
Visi
tor N
umbe
rs
237 k
198 k
234 k
278 k
233 k
260 k 262 k 264 k 265 k
274 k 285 k 295 k 306 k 316 k
267 k 268 k 275 k 275 k
Page l 41
It is estimated that the Central Coast currently accounts for46:
Just over 5% of all Domestic Overnight ‘Cultural/Lifestyle’ Visitors to NSW (and 4.6% of Visitor Nights from this visitor cohort). This equates to approximately 81,000 Domestic Cultural/Lifestyle Visitors in 2012. Close to 7% of all Domestic Cultural/Lifestyle Daytrip Visitors to New South Wales. This equates to approximately 125,000 Domestic Cultural Lifestyle Daytrip Visitors to the Central Coast in 2012. Approximately 1% of all International Cultural/Lifestyle Visitors to New South Wales. This amounts to approximately 7,000 International Cultural Visitors to the Central Coast in 2012.
As outlined in Figure 20 below, if, due to the development of the Mt Penang Cultural Precinct, the Central Coast were to increase its share of NSW Cultural/Lifestyle visitors by 1% (across all three segments) the region would receive an additional 42,000 per year by 2020 and amount to an additional $20 million in visitor spend per year by 2020 (based on the assumption that the Mt Penang cultural precinct development will be completed in approximately 2016).
46 Data sourced and extrapolated by EC3 from Tourism Research Australia Database, year ending March 2012 47 Data sourced and extrapolated by EC3 from Tourism Research Australia Database, year ending March 2012
TABLE 6: TRENDS AND IMPLICATIONS
A summary of trends effecting Central Coast visitation and festivals/events and their implications for the Mt Penang Music or Cultural Event space is found in the table below.
Visitors to Central Coast are interested in experiences, not simply vacations
Mt Penang Music or Cultural Event space can be promoted as a local event space that provides international standard experiences
Potential to capture ‘drive market’ whilst state still in recovery from GFC and natural events
Potential to grow the Mt Penang Music or Cultural Event space as a community event space and increase regional economic impact
Opportunity for increased tourism in Gosford and its surrounding regions
Need to identify Mt Penang’s point of difference and develop and market the Mt Penang Music or Cultural Event brand story
Increase in popularity of music festivals
Festivals providing large economic growth for communities
Number of festivals/major events increasing
Visitation to the Central Coast has declined in last 3 years
TRENDS IMPLICATIONS
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 20200 k
50 k
100 k
150 k
200 k
250 k
300 k
With Natural Growth With Mt Penang Development
Visi
tor N
umbe
rs
FIGURE 19: POTENTIAL GROWTH IN CULTURAL TOURISM VISITORS DUE TO DEVELOPMENT OF MT PENANG 47
163k 160k
200k 185k214k 216k 218k 220k
220k 221k 223k 224k 224k 225k
230k 239k 249k258k
268k
42 l Page
In order to attract an additional 42,000 ‘Cultural/Lifestyle’ visitors per year by 2020, the Mt Penang events space would have to hold at least 2-3 significant events per annum. To achieve this growth the Mt Penang Events Space needs significant investment to ensure highly competitive event spaces and supporting infrastructure are provided.
48 Fact Sheet, Special Purpose Zones, Gosford LEP, Gosford City Council - http://lep.gosford.nsw.gov.au/step-2/documents/fact-sheets/rural-factsheets/glep-fact-sheet-special.pdf 49 Development Control Plan, Mt Penang, Gosford City Council - http://www.gosford.nsw.gov.au/council/policies/dcp_register/dcp_144.pdf
TABLE 7: MT PENANG LEGISLATIVE REQUIREMENTS
4,000 sqm site
Interactive visitor attraction
Indoor/outdoor event use
Movie theatre experience
Floating stage at upper dam
Hotel facility
Major shopping complex
Microbrewery or similar styled agri-tourism
attraction
ZONE: SP1 – Special Activities48
Will have to seek permitted consent for development
Must comply with relevant Development Control Plan
In accordance with the Development Control Plan for Mount Penang Festival
Development Site49:
Development of site is to maintain the integrity of the natural setting of the site
The Former Mount Penang Juvenile Justice Centre is to be managed and
conserved as a cultural landscape
Individual buildings and structures should be conserved in accordance with their
assessed cultural significance
Aboriginal sites are to be incorporated into the development of the site
Roads on the site are to be designed to respond to the site character:
- 16m setback between road and buildings for Main Drive
- 8m setback between road and buildings for Access Way
- Footpaths must be setback 3m from any road and must be paved
Usage and access of the site by pedestrians, cyclists and public transport users is
to be encouraged
Adequate car parking (up to 5,000 cars) is to be incorporated on the site without
compromising the setting and amenity of the site
New buildings must ensure they are associated with the existing heritage buildings
with respect to their scale, form and character
- New building lengths should not exceed 40m in length
- All buildings require modulation of the building façade (e.g. though verandas,
balconies, etc.) to avoid overly simple façades
Commercial signage is to be limited to identification signs
An initial evaluation of the land must be carried out prior to development to
establish whether there is a risk to health or environment caused by the proposed
use on the subject land
All development should provide on-site storage for waste and recycling facilities
All landscaping must be in accordance with the guidelines and standards set out
in the Mt Penang Landscape Management Plan
DEVELOPMENT COMPONENTS LEGISLATIVE REQUIREMENTS
MT PENANG PARKLANDS
Page l 43
50 A top line cost benefit analysis has not been prepared for Mt Penang as the project is already being implemented and the commercial negotiations already entered into and others being considered by the Central Coast Regional Development Corporation (CCRDC) are commercial in confidence. Readers should therefore assume that CCRDC has undertaken appropriate assessment as part of their development planning for the site. 51 Please note the detailed cost benefit analyses have been included in Appendix 6 and 7. 52 It should be noted that a lower level of capital investment has been indicated for Pioneer Dairy than the earlier estimate provided by stakeholders. Our analysis is based on a lower capital cost model to help make it easier to get the project operational in a shorter time period. We appreciate that this may require that some elements of the initial concept are either scale backed or are staged to allow faster implementation. 53 Earnings before Interest, Tax, Depreciation and Amortisation 54 Internal Rate of Return 55 Net Present Value
7.2. FINANCIAL ANALYSIS OF CHOSEN CATALYST PROJECTSThe three catalyst projects which were chosen as the key priority catalyst projects include the Motorsports Precinct, the development of Pioneer Dairy as a sporting hub for the wider region and the development of Mount Penang as a tourism precinct.
In order to assess the possible financial viability of each of the catalyst projects, a top-line cost benefit analysis has been undertaken on these projects.50
The cost benefit highlights the expected market demand levels, anticipated expenses as well as revenue streams which could be generated over a 10 year period.
The following table provides a summary and comparison of the top line cost benefit results achieved under each of the projects.
Points to note include:
Pioneer Dairy52 is a public good project rather than a commercial project and has the lowest expenses in both years 1 and 10 ($380k and $496k respectively) however, it also generates the least revenue at just $380k in year 1 and $499k in year 10;
The Motor Sport Precinct has capital outlay of just over $53m, however the project also has the highest 10 year average EBITDA 53 of just over $18m;
The Motorsport Precinct has an estimated IRR 54 of 31% and NPV 55 of approximately $133m demonstrating the potential financial viability of the development and its ability to be sustainable over the long term; and
It is important to note that the development of a sporting hub at Pioneer Dairy would be a public and community good project and therefore there are limited income streams to generate a more positive financial outcome. The sporting hub however would provide high social benefit and community amenity and in spite of the economic result needs to be strongly supported because of the wider and indirect benefits it should be able to generate.
TABLE 8: SUMMARY OF COST BENEFIT RESULTS 51
Expenses (Year 1)
Expenses (Year 10)
Revenue (Year 1)
Revenue (Year 10)
Required Yield
CAPEX
EBITDA (10yr AVG)
IRR
NPV
$6,799,482
$9,248,407
$19,109,635
$32,466,258
25.0%
$53,245,000
$18,063,238
31%
$133,029,149
$379,980
$495,990
$379,600
$499,334
0.5%
$18,137,500
$1,577
-28%
-$16,872,487
MOTOR SPORT PRECINCT PIONEER DAIRY
8. NEXT STEPS
44 l Page
For the vision of the Central Coast to be realised, many of the investment opportunities and projects referred to in this TOP will need to be implemented in the short-medium term. To ensure the effective and timely implementation of tourism investment opportunities, a recommended structure for driving the process is set out below.
8.1. TOP INDUSTRY ACTION GROUP
The Industry Action Group recommended will be responsible for facilitating the implementation of recommendations included in this TOP. The Group should include a representative from each of the Councils (Gosford and Wyong), an industry representative as well as a member of the Department of Planning & Infrastructure.
To avoid duplication of effort and to align with important regional plans (Regional Economic Development and Employment Strategy and the Regional Action Plan), the Industry Action Group should include representation of those agencies driving these two regional initiatives.
8.2. AN IMPLEMENTATION STRATEGYOne of the first steps for the TOP Industry Action Group should be to develop an implementation schedule for overseeing the commencement and progress of infrastructure projects canvassed in this TOP.
The schedule should detail:
The priority order in which infrastructure projects should be approached; The likely stakeholders in the projects’ completion; A preliminary list of potential investors in the projects; An indication of the timing of the projects; The steps the TOP Action Group will need to take in order to get the project off the ground; The likely make up of any supporting working group; and A determination as to whether a feasibility study is likely to be required.
9. APPENDIX
Page l 45
Appendix 1: Investment Projects Proposed
Appendix 2: Motorsports Precinct Case Study
Appendix 3: Sporting Precincts Case Studies
Appendix 4: Scare House/Live Entertainment Case Study
Appendix 5: Music Festival Case Studies
Appendix 6: Motor Sports Precinct Top Line Cost Benefit
Appendix 7: Pioneer Dairy Sporting Hub Top Line Cost Benefit
46 l Page
9.1. INVESTMENT PROJECTS PROPOSED56
The following tables provide a summary of all investment projects considered for the TOP. Investment opportunities have been categorised according to the following sectors:
The accommodation sector; Attractions, activities and sports; Community and support infrastructure; and Human resource initiatives.
TABLE 9: TOURISM INVESTMENT OPPORTUNITIES – THE ACCOMMODATION SECTOR
TABLE 10: TOURISM INVESTMENT OPPORTUNITIES – ATTRACTIONS, ACTIVITIES AND SPORTS
1
1
2
2
3
3
4
Tourism Hub at The Entrance
Pioneer Diary Sporting Hub
Accommodation on edge of National Parks to cater for overnight trekking experiences
Creation of a Motorsport Precinct
Holiday Park Demand Study
The Waterfront Development at Gosford – Stage 1
Warnervale business hotel and conference facilities
The Entrance
Wyong
Central Coast Region
Central Coast
Entire region
Gosford
Warnervale
Development of a top quality hotel and adjoining conference centre at The Entrance. The conference venue would ideally need to seat 800 guests banquet style. Development of an accompanying water theme park.
Development of a sporting hub at Pioneer Dairy to grow sports and sport tourism in the region. The hub could feature a wide range of facilities including soccer, football, tennis, netball, hockey, baseball etc. Collaboration will be required with local and regional sporting clubs to help ascertain demand and needs.
Development of guest houses/other accommodation types along the Northern Walk on the edge of National Parks to cater for overnight trekking experiences.
Development of a motor sports precinct within the Central Coast region. Could potentially cater for car racing, a go karting track, learn to drive and advance driving courses and a BMX and motor cross track.
Study demand for mixed use caravan park style accommodation (including caravan, camping and cabin options), targeting the drive and budget markets.
Development of Stage 1 of The Waterfront Development will bring a host of economic, social and community benefits. Involves the development of a combined hotel and performance arts centre, 3 buildings for commercial/business use and 3 residential buildings.
Develop a motel and conference centre on council owned land within the Warnervale Town Centre.
PROJECT
PROJECT
LOCATION
LOCATION
COMMENTS
COMMENTS
#
#
56 Note, projects shaded in grey are catalyst projects
Page l 47
4
5
6
7
8
9
10
11
12
13
Mount Penang Tourism Precinct
Floating water play park
Darkinjung Cultural Centre
Improve access for activities on the water
Development of a wharf and marina at Terrigal Haven
Aboriginal culture sites linked to the 5 Lands Walk
Develop lookouts for whale watching and photo opportunities
Development of Golf Experience
Ngaruki Gulgul - Aboriginal training facility and arts space
Network of natural trails
Gosford
Terrigal or The Entrance
Central Coast
Entire region
Terrigal
Terrigal
Ettalong Bay Woy Woy Davis Town
Magenta Shores Kooindah Waters
Mount Penang, Gosford
Throughout the region
Potential exists to develop Mount Penang as a lifestyle, sporting and events precinct. This could involve the introduction of a haunted interactive scare house as an indoor attraction, a major event (indoor and outdoor) area, a moonlight cinema experience, a leisure style hotel facility which supports overnight stays for event attendees, a major shopping complex and a microbrewery.
Installation of a floating water play park at the Entrance or Terrigal (or other suitable location). Investigation into water quality and safety would need to occur when ascertaining the most appropriate location.
Development of a unique cultural attraction focused on the cultural history of the area and the Darkinjung People.
Develop improved access infrastructure for kayak, hire, jetties, etc. at hotspots for these activities.
Develop a dive training and education school. This school could leverage off the unique, artificial dive reef created by the sinking of the Ex-HMAS Adelaide off Avoca Beach
The 5 Lands Walk is an annual community-based cultural, physical and spiritual event. The walk journeys through Central Coast communities, allowing participants to enjoy a wide variety of activities and experiences. Opportunity exists to further integrate Indigenous sites of significance into the program.
Allowing participants to enjoy a wide variety of activities and experiences. Opportunity exists to further integrate Indigenous sites of significance into the program allowing participants to enjoy a wide variety of activities and experiences.
Creating a series of world class golf courses at Magenta Shores and Kooindah Waters
Undertake feasibility which assesses the viability of developing a Living Culture Centre, potentially at Mount Penang. The Centre could be utilised to interpret both Indigenous and Non Indigenous regional culture and heritage to the local community and visitors to the region.
Creating and promoting a network of renowned natural trails. These could include: - “Beach and Cliff Walk” along the coastline. - A “Mountains to the Sea Trail”. - Improved facilities for the Great North Walk. - Shared pathways around the entire Tuggerah Lakes system connecting Lake Macquarie to enhance a lakes focus for Wyong Shire.
PROJECT LOCATION COMMENTS#
48 l Page
14
15
16
17
18
19
20
21
22
23
24
25
Iconic Walks – Family Adventure Precinct on edge of National Park Land and along Coast
Surfing Tourism Attraction
A Bluetongue Brewery Outlet/ Café/ Restaurant at Warnervale
A Food and Wine Trail and appropriate zoning
Brisbane Water Adventure Cluster
Aquatic Centre
Adventure Races Precinct
Old Sydney Town Theme Park
Shelly Beach Golf Club
Terrigal Haven Tourism Precinct
Major obstacle course - extreme training venue at Mt Penang
Feasibility for the development of a Marine Education Centre and Oceanarium (including a specific shark breeding centre)
Throughout the region
Terrigal, Gosford
Warnervale
Throughout the region
Brisbane Water
Warnervale
Magenta Oval
Region
Shelly Beach
Terrigal
Gosford
Gosford or The Entrance
Development of sustainable high quality walk experiences through circuit and summit walks near iconic sites. This may involve upgrades to existing walks such as the development of new lookout sites, improved directional signage and expansion of car parking capacity. Build on the Central Coast’s Waterfront values through the development of a coast to coast walk, comprising of a 7km round trek.
Make the Central Coast a leading centre for surfing excellence in terms of surfing tourism and the world surf sports capital. Conduct a feasibility study for the development of a world-class surfing stadium with a man-made perfect wave.
Identifies opportunities to develop a sustainable high quality retail and food and beverage experience leverage from the emerging local boutique Bluetongue beer brand.
The clean and natural landscape of the Central Coast lends itself to the development of a produce trail leveraging off the high quality food and wine industry throughout the Hinterland.
Using Brisbane Water as a unique selling point, develop a series of water based activities including cruise operations and jet boating activities to further leverage off the Central Coast’s emerging clusters of soft adventure products.
The project entails the construction of an aquatic centre within the Warnervale Town Centre. It will service the majority of the 60,000 people expected to move to this region within the next 30 years
Support travel for events through the development of the Magenta Oval as a venue to host major adventure races, i.e. mountain biking.
Build on the history and pioneer heritage of the Central Coast through redeveloping the Old Sydney Town Theme Park concept.
Revise Council’s planning controls to ensure that all future development facing Shelly Beach Golf Club, between Oaks Avenue and Shelly Beach Road, is laid out and orientated towards Shelly Beach Golf Club, as well as the street they face, to provide passive surveillance of the street and Golf Club.
Terrigal Haven is a base for fishing and diving charters, with dive sites in the vicinity.
Potential for temporary or fixed major obstacle course at Mt Penang which could be utilised for training as well as events.
Undertake feasibility to determine the viability of developing a Marine Education Centre and Oceanarium at The Waterfront Development, linking back to stage 1 of The Waterfront Development proposal or consider possible sites at The Entrance.
PROJECT LOCATION COMMENTS#
Page l 49
26
27
28
29
China Cultural Village
Waterfront River Cruise
Encourage iconic local events.
Central Coast Adventure Pass
Wyong
Central Coast region
The Entrance
Central Coast
Support the development of the $500m China’s Forbidden City Theme Park, proposed for development in Wyong featuring a full-size replica of gates to the Forbidden City and a nine-storey temple.
Undertake feasibility to determine viability of developing a high quality waterfront river cruise to provide an additional attraction and offer cruises to cater for functions/small events.
Encourage iconic local events leveraging off the unique selling points of the Central Coast region – similar to the Staircase to the Moon Festival in Western Australia.
Creation of a pass enabling access to the Central Coast recreation parks, including the Tree Top Adventure Park, horse racing and the Reptile Park.
PROJECT LOCATION COMMENTS#
1
2
3
4
5
6
7
Develop a community awareness program
Aussie Host program and Business Awards program
Central Coast Arts and Cultural Centre
Directional signage
Improve access for activities on the water
Develop 4 key seasonal events
Attract youth events
Central Coast region
Central Coast region
Wyong
Central Coast region
Central Coast region
Throughout the region
Throughout the region
Improve community understanding of tourism and its benefits and contribution to the local economy Provide information via social media, website news and brochures.
Build service quality through the Aussie Host program; Business Awards program in partnership with Chamber. Support links with education providers to grow education market and available courses.
The Arts & Cultural Centre in Wyong will provide the type of quality facilities in the north of the region that will enable the Central Coast Conservatorium to offer a truly regional program for new audiences, with orchestra performances in the 500 seat facility and chamber performances in the studio space.
Improvements to exit signs on all main highways and roads. Improved signs for tourism product in towns.
Develop improved access infrastructure for kayak, hire, jetties, etc. at hotspots for these activities.
Events are significant visitor draw cards. The Central Coast and its proximity to Sydney makes it an ideal location for a range of different sporting and lifestyle events. Such events include orienteering, cycling, downhill mountain biking, kayaking, ocean swimming etc.
To attract a younger visitor market, the development of youth events could be a significant draw card. Events include music festivals, dance festivals, Crusty Demons etc. Sporting events such as PSSA, AICES.
PROJECT LOCATION COMMENTS#
TABLE 11: TOURISM INVESTMENT OPPORTUNITIES – COMMUNITY AND SUPPORT INFRASTRUCTURE
50 l Page
8
9
Kariong Event Park
Prepare a Regional Signage Plan
Kariong
Central Coast Region
Power, fencing, lighting for site specific events e.g. Flora festival, Caravan & camping Shows, Motor Shows etc.
Good quality directional and interpretive signage throughout any region is highly important for guiding and dispersing visitors to popular tourism sites. A plan should be developed to ensure effective and unified signage throughout the region.
PROJECT LOCATION COMMENTS#
TABLE 12: TOURISM INVESTMENT OPPORTUNITIES – HUMAN RESOURCES
1
2
Up-Skilling Project
Employment and skills audit
Throughout the Central Coast
Throughout the Central Coast
There is a need to up-skill many tourism sector players, particularly those working in direct contact with visitors, including retail, restaurants and tour operations. Higher service standards are required if the region is to become and remain competitive. The up-skilling program should be developed and implemented throughout the region.
Shortage of skilled staff is noted. Need for a skills audit to identify skills gaps. Need to look at multi-skilling opportunities.
PROJECT LOCATION COMMENTS#
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9.2. MOTORSPORTS PRECINCT CASE STUDY
CASE STUDY – MORGAN PARK RACEWAY, WARWICK, QUEENSLANDMorgan Park is a 351ha state-owned site under the auspices of the Department of Environment and Resource Management. The park is designated as a recreation precinct, with seven leases currently operating within the venue – to not for profit motorsport, equestrian and shooting clubs. Most improvements to the site have been funded through the lessee clubs, with the aid of government funding.
Following development in 2010, the circuit was extended to a 3.0 kilometre layout which was first used on the weekend of 14/15 August 2010 for a round of the Shannon’s Nationals Motor Racing Championships. This meeting featured a round of Australia’s oldest motor racing championship, the Australian Drivers’ Championship, which was visiting Morgan Park for the first time.
The raceway features sprint events, WDSCC Southern Downs Challenge and Queensland Super Sprint Championships, as well as being the home of the Queensland state championships for motor racing The circuit is also home to Queensland’s biggest historic motor racing festival held in July or August, hosted by the Historic Racing Car Club of Queensland.
Feedback from local stakeholders indicates that Morgan Park (2.5 hours driving distance from Brisbane) receives between 30,000 and 40,000 visitors per year.
9.3. SPORTING PRECINCTS CASE STUDIES
CASE STUDY – STOCKLAND PARK, SUNSHINE COAST, QUEENSLANDStockland Park is a multi-sport venue located at Kawana Waters on the Sunshine Coast, Queensland.
Since its expansion in 2007, more than 60 events a year are held at the complex, with in excess of 650,000 people use its sporting, recreation and leisure facilities.
The complex contains a small grandstand on the western side of the main field, following a construction period that lasted nearly nine months, The main grandstand seats 1,050 spectators under cover, while temporary seating can be placed around the field for rectangular events pushing the seating capacity to 12,000. As part of the focus on sustainability, the stadium features a 30 kW solar power system on the stadium’s roof.
The venue has hosted national events including a pre-season A-League fixture between the Queensland Roar and Wellington Phoenix as well as its attendance record-breaking pre-season NRL match between Manly Sea Eagles and Melbourne Storm, which attracted over 8000 spectators. In 2011, the stadium hosted a Cold Chisel concert, attracting 15,000 patrons.
CASE STUDY – CARLETON UNIVERSITY SUMMER SPORTS CAMP, CANADA During school holidays, Carleton University, located in Ottawa, Canada offers a fun and friendly sports camp to keep kids occupied and active. The aim of the camp is to provide boys and girls daily instruction and participation in a wide range of sports, including: badminton, basketball, European handball/dodgeball, fencing, field hockey, soccer, squash, ultimate frisbee volleyball and water games. Other activities may include arts and crafts, co-operative games, and tennis.
The Sports Camps makes use of the full range of Carleton University’s modern Physical Recreation Centre: including its Fieldhouse, Olympic-sized swimming pool with diving well, squash courts, multipurpose and combative rooms, tennis bubble, and gymnasiums.
Registration includes a T-shirt, a daily lunch and recreational swim and/or swimming lessons.
9.4. SCARE HOUSE/LIVE ENTERTAINMENT CASE STUDY
CASE STUDY – SPOOKERSSpookers is a live entertainment experience, located in South Auckland, New Zealand. The venue is designed to scare visitors, who move through a theatrically themed haunted house populated by sets, props and live scare-actors. During the experience, visitors encounter visual, tactile and sound effects. There are also outdoor attractions, including a Freaky Forest.
The attraction is recognised as a major tourism experience within the Auckland region and has been a finalist at the New Zealand Tourism Awards. Believed to be Australasia’s only haunted attraction, international visitor numbers have grown steadily and now make up 17% of visitors.
Spookers have indicated an interest to co-locate to the Mt Penang site.
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9.5. MUSIC FESTIVAL CASE STUDIES
CASE STUDY – CALOUNDRA MUSIC FESTIVAL The Caloundra Music Festival (CMF) was initiated by the Caloundra City Council in 2007 with the aim of developing a new iconic music festival that would provide cultural and economic benefits to the region as a means of generating economic activity.
The event centred on a combination of two main elements: several free or low cost events which targeted the local community,
A large ticketed event that would attract locals and visitors from outside the region and could raise revenue to cover the cost of the remainder of the event.
The aim of the combination of the free and ticketed events was to ensure community engagement while at the same time attracting income which could be invested in future events.
In 2011 the event continued to combine a range of free and ticketed events and was conducted over a three day period in October. The main event was hosted at Kings Beach and featured a high profile act with ancillary performances at Lions Park. Free community entertainment was also conducted at the Village at Happy Valley, Bulcock Beach.
Throughout the region the CMF is the only music festival with its venue situated directly on the beach, distinguishing itself from other similar music events. This relaxed, beach atmosphere has great appeal to festival-goers, which is easily seen through the rapid success that has been observed since CMF’s inception.
Additionally, Caloundra is in a prime location for a major event. It is found in the playground of the Sunshine Coast – a place synonymous with warm weather, blue skies, spectacular beaches and a laid-back attitude. It is also only a short drive from Brisbane, making it easily accessible to intrastate, interstate and international visitors.
Visitation to the CMF, based on ticket sales, has grown from close to 5,000 visitors in 2007 to close to 20,000 in 2010. Growth between 2007 and 2011 has averaged close to 25% year on year. In addition, it is estimated that between 10,000 and 15,000 visitors attend the free events associated with the CMF. It is estimated that the Mt Penang precinct would need to host two similar size festivals each year to meet the forecasted visitation.
The origin of ticket holders has also changed over time, with local and intrastate (from elsewhere in Queensland) ticket sales continuing to increase. Although interstate ticket sales more than doubled in 2008, they have since declined and have dropped by 89% between 2008 and 2010.
Visitor expenditure estimates from 2010 indicate that $2.04 million was spent at the main festival, $3.8 million was spent in the local area, and $1.5 million was spent on tickets. In total, income from the CMF in 2010 was estimated to be approximately $7.34 million.
2007 2008 2009 2010 2011
2007 2008 2010
Local
Interstate
Intrastate
International
5,000
5000
-
0
10,000
10000
15,000
15000
20,000
25,000
Tick
et S
ales
Tick
et S
ales
CMF Ticket Sales
Ticket Sales by Origin
Page l 53
CASE STUDY – APOLLO BAY MUSIC FESTIVAL The Apollo Bay Music Festival is one of Victoria’s major tourist and community events and has established itself as a premier festival on both national and international festival circuits. It brings together a multitude of musical genres, including jazz, blues, classical, pop/rock and country, against the stunning backdrop of the Great Ocean Road. The Apollo Bay Music Festival was established in 1992 as a non-for-profit community event in an attempt to create a vibrant cultural event which would highlight the somewhat isolated township of Apollo Bay.
Held on the second last weekend in April this past year, the Apollo Bay Music Festival offers approximately 70 events at nine partner-licensed and non-licensed venues scattered throughout the Bay and two large marquee stages located along the foreshore. The festival runs over a three day period. In 2010, approximately 5,000 tickets were sold with an additional 3,000 visitors attending free activities offered along the foreshore. Visitors are composed of a wide variety of age groups and include families, couples and retirees, and it was shown in 2010 that over 90% of visitors travelled more than 1.5 hours to attend the festival.
Although the festival is going into its 20th year, community involvement remains high. The Apollo Bay Music Festival presents musical workshops to help “nurture creative development”, allows local schools, community groups and emerging artists to showcase their talents at free venues during the festival, and is associated with a wide variety of community groups around the region, such as the Apollo Bay Community Choir, Otway Community College and the Apollo Bay Youth Club. The festival also participates in a carbon offset program run by the Southern Otway Landcare Network and Landcare Carbon SMART. Native flora are planted in the region to cover the amount of carbon emissions utilised during the festival. This aids regional land and waterway conservation and a portion of ticket sales are used to fund the project.
The festival is run by a small Committee of Management which is composed of seven part-time staff. All other positions are volunteer-based or outsourced through the festival’s various partners/sponsors. Colac Otway Shire Council provides cash and in-kind support; however it does not have a management role.
Sources of funding are derived through an assortment of sponsors. Although exact sponsorship values are unavailable, the event has numerous sponsors that provide cash and in-kind support. Tickets are sold for entry into all events and are $250 for VIP, $120 for adults and $60 for teens aged 13 to 17 years. In 2010 it was estimated that the success of the festival brought in approximately $7 million to the local economy. The Apollo Bay economy receives approximately $875 per visitor to the festival. It is estimated that the Central Coast would receive approximately $500 per visitor to an event at Mt Penang.
Attendance: 8,000 visitors in 2011
Management: Committee of Management (seven part-time staff)
Contractors: Outsourced to partners and sponsors. These include food, production, accommodation, etc.
Council Input: In-kind and cash contribution provided but no management role
Local Economic Contribution: $7 million in 2011
54 l Page
9.6. MOTOR SPORTS PRECINCT TOP LINE COST BENEFIT
TABLE 13: MOTOR SPORTS PRECINCT TOP LINE COST BENEFIT 57
57 Please note for this cost benefit analysis land value has been excluded as it is anticipated that the land owner would be an investor with other parties
Tota
l Ass
umed
Par
ticip
atio
n - W
eeke
nds
(per
day
) 40
0
Tota
l Ass
umed
Par
ticip
atio
n -
Mid
Wee
k (p
er d
ay)
150
Tota
l Ass
umed
Par
ticip
atio
n - Y
ear 1
80
,600
Trac
k us
e fe
e (h
alf-
day)
$3
00
Go-k
art t
rack
use
fee
(30
min
s)
$50
Rally
circ
uit (
inco
rpor
atin
g hi
ll cl
imb)
(hal
f-da
y)
$250
Num
ber o
f eve
nts
annu
ally
(usi
ng fu
nctio
n fa
cilit
y)
30
Even
ts s
pace
rent
al fe
e $3
50
Infla
tion
3%
Utilit
ies
perc
enta
ge o
f tur
nove
r 5%
Num
ber o
f car
sto
rage
spo
ts re
nted
ann
ually
20
0
Cost
of c
ar s
tora
ge a
nual
ly (p
er v
ehic
le)
$500
Reta
il pe
netra
tion
35
%
Aver
age
spen
d
$8.5
0
Parti
cipa
tion
infla
tion
- ye
ars
1-3
10%
Parti
cipa
tion
infla
tion
- ye
ars
4-10
5%
CO
ST B
EN
EFI
T –
MO
TOR
SP
OR
T P
REC
INC
TAS
SUM
PTIO
NS
YEAR
1
YEAR
2
YEAR
3
YEAR
4
YEAR
5
YEAR
6
YEAR
7
YEAR
8
YEAR
9
YEAR
10
Parti
cipa
tion
80,6
00
88,6
60
97,5
26
102,
402
107,
522
112,
899
118,
543
124,
471
130,
694
137,
229
REVE
NUE
Trac
k us
e fe
e in
com
e to
tal
$10,
760,
100
$11,
836,
110
$13,
019,
721
$13,
670,
707
$14,
354,
242
$15,
071,
955
$15,
825,
552
$16,
616,
830
$17,
447,
671
$18,
320,
055
Ev
ents
use
$2
,152
,020
$2
,367
,222
$2
,603
,944
$2
,734
,141
$2
,870
,848
$3
,014
,391
$3
,165
,110
$3
,323
,366
$3
,489
,534
$3
,664
,011
Co
rpor
ate
days
$1
,076
,010
$1
,183
,611
$1
,301
,972
$1
,367
,071
$1
,435
,424
$1
,507
,195
$1
,582
,555
$1
,661
,683
$1
,744
,767
$1
,832
,005
M
otor
veh
icle
test
ing
- per
sona
l veh
icle
use
$5,3
80,0
50
$5,9
18,0
55
$6,5
09,8
61
$6,8
35,3
54
$7,1
77,1
21
$7,5
35,9
77
$7,9
12,7
76
$8,3
08,4
15
$8,7
23,8
36
$9,1
60,0
27
Dr
iver t
rain
ing
$2
,152
,020
$2
,367
,222
$2
,603
,944
$2
,734
,141
$2
,870
,848
$3
,014
,391
$3
,165
,110
$3
,323
,366
$3
,489
,534
$3
,664
,011
Go-k
art h
ire a
nd tr
ack
use
fee
inco
me
tota
l $8
06,0
00
$886
,600
$9
75,2
60
$1,0
24,0
23
$1,0
75,2
24
$1,1
28,9
85
$1,1
85,4
35
$1,2
44,7
06
$1,3
06,9
42
$1,3
72,2
89
Ev
ents
use
$1
61,2
00
$177
,320
$1
95,0
52
$204
,805
$2
15,0
45
$225
,797
$2
37,0
87
$248
,941
$2
61,3
88
$274
,458
Co
rpor
ate
days
$8
0,60
0
$88,
660
$97,
526
$1
02,4
02
$107
,522
$1
12,8
99
$118
,543
$
124,
471
$1
30,6
94
$137
,229
M
otor
veh
icle
test
ing
- per
sona
l veh
icle
use
$4
03,0
00
$443
,300
$4
87,6
30
$512
,012
$5
37,6
12
$564
,493
$5
92,7
17
$622
,353
$6
53,4
71
$686
,144
Dr
iver t
rain
ing
$1
61,2
00
$177
,320
$1
95,0
52
$204
,805
$2
15,0
45
$225
,797
$2
37,0
87
$248
,941
$2
61,3
88
$274
,458
Rally
circ
uit (
inc
Hill
Clim
b) u
se fe
e in
com
e to
tal
$7,1
53,2
50
$7 ,8
68,5
75
$8,6
55,4
33
$9,0
88,2
04
$9 ,5
42,6
14
$10,
019,
745
$1
0,52
0,73
2
$1 1
,046
,769
$1
1,59
9,10
7
$12,
179,
063
Ev
ents
use
$1
,430
,650
$1
,573
,715
$1
,731
,087
$1
,817
,641
$1
,908
,523
$2
,003
,949
$2
,104
,146
$2
,209
,354
$2
,319
,821
$2
,435
,813
Co
rpor
ate
days
$7
15,3
25
$786
,858
$8
65,5
43
$908
,820
$9
54,2
61
$1,0
01,9
75
$1,0
52,0
73
$1,1
04,6
77
$1,1
59,9
11
$1,2
17,9
06
M
otor
veh
icle
test
ing
- per
sona
l veh
icle
use
$3
,576
,625
$3
,934
,288
$4
,327
,716
$4
,544
,102
$4
,771
,307
$5
,009
,873
$5
,260
,366
$5
,523
,384
$5
,799
,554
$6
,089
,531
Dr
iver t
rain
ing
$1
,430
,650
$1
,573
,715
$1
,731
,087
$1
,817
,641
$1
,908
,523
$2
,003
,949
$2
,104
,146
$2
,209
,354
$2
,319
,821
$2
,435
,813
Food
and
bev
erag
e re
ntal
inco
me
$2
0,00
0
$30,
000
$50,
000
$5
0,00
0
$50,
000
$5
0,00
0
$50,
000
$5
0,00
0
$50,
000
$50,
000
Corp
orat
e an
d pr
ivate
eve
nts
spac
e hi
re in
com
e
$10,
500
$10,
500
$10,
500
$1
0,50
0
$10,
500
$1
0,50
0
$10,
500
$1
0,50
0
$10,
500
$1
0,50
0
Reta
il re
venu
e
$239
,785
$2
63,7
64
$290
,140
$3
04,6
47
$319
,879
$3
35,8
73
$352
,667
$3
70,3
00
$388
,815
$4
08,2
56
Auto
mot
ive re
pair
cent
re re
ntal
inco
me
$2
0,00
0
$20,
600
$21,
218
$21,
855
$2
2,51
0
$23,
185
$2
3,88
1
$24,
597
$2
5,33
5
$26,
095
Car s
tora
ge re
ntal
inco
me
$1
00,0
00
$100
,000
$1
00,0
00
$100
,000
$1
00,0
00
$100
,000
$1
00,0
00
$100
,000
$1
00,0
00
$100
,000
Tota
l Rev
enue
$1
9,10
9,63
5
$21,
016,
149
$23,
122,
271
$24,
269,
936
$2
5,47
4,97
0
$26,
740,
244
$2
8,06
8,76
7
$29,
463,
703
$3
0,92
8,37
1 $3
2,46
6,25
8
Auto
mot
ive re
pair
spac
e
Run
by le
ssee
Food
/bev
erag
e pr
ecin
ct
Run
by le
ssee
Num
ber o
f em
ploy
ees
11
0
Aver
age
wag
e $4
8,00
0
Disc
ount
rate
5%
Requ
ired
yield
25
%
Page l 55
YEAR
1
YEAR
2
YEAR
3
YEAR
4
YEAR
5
YEAR
6
YEAR
7
YEAR
8
YEAR
9
YEAR
10
Parti
cipa
tion
80,6
00
88,6
60
97,5
26
102,
402
107,
522
112,
899
118,
543
124,
471
130,
694
137,
229
EXPE
NDIT
URE
Wag
es
$5,2
80,0
00
$5,4
38,4
00
$5,6
01,5
52
$5,7
69,5
99
$5,9
42,6
87
$6,1
20,9
67
$6,3
04,5
96
$6,4
93,7
34
$6,6
88,5
46
$6,8
89,2
02
Mot
orin
g co
mpl
ex/c
entre
mai
nten
ance
$2
0,00
0 $2
0,60
0 $2
1,21
8 $
21,8
55
$22,
510
$2
3,18
5
$23,
881
$2
4,59
7 $
25,3
35
$26,
095
Trac
k m
aint
enan
ce
$30,
000
$3
0,90
0
$31,
827
$3
2,78
2
$33,
765
$3
4,77
8 $3
5,82
2
$36,
896
$3
8,00
3
$39,
143
Go-k
art t
rack
mai
nten
ance
$2
5,00
0
$25,
750
$2
6,52
3
$27,
318
$28
,138
$2
8,98
2
$29,
851
$3
0,74
7
$31,
669
$3
2,61
9
Rally
Circ
uit (
inc
Hill
Clim
b) m
aint
enan
ce
$30,
000
$3
0,90
0
$31,
827
$3
2,78
2 $
33,7
65
$34,
778
$3
5,82
2
$36,
896
$3
8,00
3
$39,
143
Outd
oor/i
ndoo
r eve
nt s
pace
mai
nten
ance
$2
4,00
0 $
24,7
20
$25,
462
$2
6,22
5 $
27,0
12
$27
,823
$2
8,65
7 $
29,5
17
$30,
402
$31,
315
Food
/bev
erag
e pr
ecin
ct m
aint
enan
ce
$5,0
00
$5,1
50
$5,3
05
$5,4
64
$5,6
28
$5,7
96
$5,9
70
$6,1
49
$6,3
34
$6,5
24
Stor
age/
gara
ge m
aint
enan
ce
$10,
000
$10,
300
$1
0,60
9 $
10,9
27
$11
,255
$
11,5
93
$11
,941
$
12,2
99
$12,
668
$1
3,04
7.73
Utilit
ies
(ele
ctric
ity, w
ater
) $9
55,4
82
$1,0
50,8
07
$1,1
56,1
14
$1,2
13,4
97
$1,2
73,7
49
$1,3
37,0
12
$1,4
03,4
38
$1,4
73,1
85
$1,5
46,4
19
$1,6
23,3
12.8
9
Mar
ketin
g
$120
,000
$1
23,6
00
$127
,308
$1
31,1
27
$135
,061
$1
39,1
13
$143
,286
$1
47,5
85
$152
,012
$1
56,5
73
Insu
ranc
e
$300
,000
$3
09,0
00
$318
,270
$3
27,8
18
$337
,653
$3
47,7
82
$358
,216
$3
68,9
62
$380
,031
$3
91,4
32
Tota
l Cos
ts
$6,7
99,4
82
$7,0
70,1
27
$7,3
56,0
13
$7,5
99,3
93
$7,8
51,2
22
$8,1
11,8
10
$8,3
81,4
80
$8,6
60,5
68
$8,9
49,4
23
$9,2
48,4
07
EBIT
DA
$12,
310,
153
$13,
946,
021
$15,
766,
258
$16,
670,
542
$17,
623,
748
$18,
628,
434
$19,
687,
287
$20,
803,
135
$21,
978,
948
$23,
217,
850
Capi
tal E
xpen
ditu
re
Mot
orin
g co
mpl
ex/c
entre
(inc
. Aut
o
wor
ksho
p &
drive
r tra
inin
g sc
hool
) $6
,500
,000
Food
/bev
erag
e pr
ecin
ct
$3,8
00,0
00
Pre-
licen
ce s
kills/
Drive
r Tra
inin
g Fa
cility
$1
,500
,000
Trac
k co
nstru
ctio
n (3
-3.5
km)
$18,
000,
000
Go-k
art t
rack
con
stru
ctio
n
$3,5
00,0
00
Rally
Circ
uit (
inc
Hill
Clim
b) c
onst
ruct
ion
$3
,500
,000
Car s
tora
ge g
arag
es
$7,0
00,0
00
Indo
or/o
utdo
or e
vent
s sp
ace
$2
,500
,000
Cont
inge
ncy
(15%
) $6
,945
,000
Tota
l Cap
ital E
xpen
ditu
re
$53,
245,
000
Proj
ect V
alue
$9
2,87
1,40
2
Cash
Flo
w
-$53
,245
,000
$1
2,31
0,15
3 $1
3,94
6,02
1 $1
5,76
6,25
8
$16,
670,
542
$1
7,62
3,74
8
$18,
628,
434
$1
9,68
7,28
7
$20,
803,
135
$2
1,97
8,94
8
$116
,089
,252
Inte
rnal
Rat
e of
Ret
urn
(IRR)
31
%
Net P
rese
nt V
alue
(NPV
) $1
33,0
29,1
49
56 l Page
9.7. PIONEER DAIRY SPORTING HUB TOP LINE COST BENEFIT
TABLE 14: PIONEER DAIRY SPORTING HUB TOP LINE COST BENEFIT Us
e of
dor
m s
tyle
acc
omm
odat
ion
(nig
hts
annu
ally)
12
0
Dorm
sty
le a
ccom
mod
atio
n ni
ghtly
rent
al fe
e
$400
Offic
e sp
ace
for r
enta
l (12
sui
tes,
mee
ting
room
s x
3)
fee
per m
onth
18
00
Num
ber o
f em
ploy
ees
6
Aver
age
wag
e
$48,
000
Disc
ount
rate
5%
Requ
ired
yield
1%
Infla
tion
3%
Utilit
ies
perc
enta
ge o
f tur
nove
r 5%
Use
of s
ports
fiel
ds (d
ays
annu
ally)
25
0
Spor
ts fi
elds
dai
ly re
ntal
fee
$1
00
Use
of in
door
spo
rts fa
cilit
y (d
ays
annu
ally)
14
0
Spor
ts fa
cilit
y da
ily re
ntal
fee
$500
CO
ST B
EN
EFI
T –
PIO
NE
ER
DAI
RY
ASSU
MPT
IONS
YEAR
1
YEAR
2
YEAR
3
YEAR
4
YEAR
5
YEAR
6
YEAR
7
YEAR
8
YEAR
9
YEAR
10
REVE
NUE
Spor
ts fi
eld
rent
al in
com
e
$25,
000
$25,
750
$2
6,67
7 $2
7,47
7
$28,
466
$29,
320
$3
0,20
0
$31,
287
$32,
226
$3
3,19
3
Indo
or s
ports
faci
lity
rent
al in
com
e
$70,
000
$7
2,10
0 $7
4,91
2 $7
7,15
9
$79,
474
$82,
335
$84,
805
$8
7,34
9 $8
9,97
0
$92,
669
Dorm
Sty
le A
ccom
mod
atio
n re
ntal
inco
me
$4
8,00
0
$49,
440
$50,
923
$52
,451
$5
4,02
4 $5
5,64
5 $5
7,31
5
$59,
034
$60,
805
$6
2,62
9
Cant
een/
kios
k re
ntal
inco
me
$5
0,00
0 $5
1,50
0 $5
3,04
5 $
54,6
36
$56,
275
$57,
964
$5
9,70
3 $6
1,49
4 $6
3,33
9
$65,
239
Offic
e re
ntal
fee
& m
eetin
g ro
om re
ntal
fee
p/a
$21,
600
$22,
248
$22
,982
$
23,6
72
$24,
382
$ 25
,186
$2
5,94
2 $
26,7
20
$27,
602
$2
8,43
0
Coun
cil c
omm
unity
ser
vice
oblig
atio
n
$165
,000
$1
69,9
50
$175
,558
$1
80,8
25
$186
,250
$
192,
396
$1
98,1
68
$204
,113
$2
10,8
49
$217
,174
Tota
l Rev
enue
$3
79,6
00
$390
,988
$4
04,0
98
$416
,221
$4
28,8
72
$ 44
2,84
7
$456
,132
$4
69,9
98
$484
,790
$4
99,3
34
EXPE
NDIT
URE
Wag
es
$288
,000
$2
96,6
40
$305
,539
$3
14,7
05
$324
,147
$3
33,8
71
$343
,887
$3
54,2
04
$364
,830
$3
75,7
75
Mai
nten
ance
of s
ports
fiel
d
$10,
000
$10,
300
$1
0,60
9 $1
0,92
7 $1
1,25
5
$11,
593
$1
1,94
1 $
12,2
99
$12,
668
$1
3,04
8
Mai
nten
ance
of i
ndoo
r spo
rts fa
cilit
y $1
5,00
0
$15,
450
$15
,914
$1
6,39
1
$16,
883
$17
,389
$1
7,91
1 $
18,4
48
$19,
002
$1
9,57
2
Mai
nten
ance
of a
ccom
mod
atio
n
$12,
000
$1
2,36
0 $1
2,73
1 $1
3,11
3
$13,
506
$1
3,91
1
$14,
329
$14,
758
$15,
201
$1
5,65
7
Mar
ketin
g (fo
r eve
nts
etc)
$1
8,00
0
$18,
540
$19
,096
$1
9,66
9
$20,
259
$2
0,86
7 $2
1,49
3 $2
2,13
8 $
22,8
02
$23,
486
Utilit
ies
(ele
ctric
ity/w
ater
) $1
8,98
0
$19,
549
$20
,205
$2
0,81
1
$21,
444
$22,
142
$22,
807
$23,
500
$24,
239
$2
4,96
7
Insu
ranc
e
$18,
000
$1
8,54
0 $1
9,09
6 $1
9,66
9
$20,
259
$2
0,86
7 $2
1,49
3 $2
2,13
8 $2
2,80
2 $2
3,48
6
Tota
l Cos
ts
$379
,980
$3
91,3
79
$40
3,19
0
$415
,285
$4
27,7
52
$440
,640
$4
53,8
59
$467
,484
$4
81,5
43
$495
,990
Page l 57
EBIT
DA
- $ 3
80
- $39
1 $9
08
$935
$1
,120
$2
,207
$2
,273
$2
,513
$3
,246
$3
,344
Capi
tal E
xpen
ditu
re
Cons
truct
ion
of 1
0 sp
orts
fiel
ds
$3,7
50,0
00
3 am
enity
blo
cks
$1
,680
,000
Indo
or s
ports
faci
lity
(3-4
cou
rts)
$4,6
75,0
00
Dorm
itory
sty
le a
ccom
mod
atio
n
$1,9
25,0
00
Inte
grat
ed s
ports
adm
inist
rativ
e ce
ntre
$2
,200
,000
Park
ing
$3
50,0
00
Cont
inge
ncy
(25%
) $3
,557
,500
Tota
l Cap
ital E
xpen
ditu
re
$18,
137,
500
Proj
ect V
alue
$
668,
769
Cash
Flo
w
-$ 1
8,13
7,50
0 -$
380
-$39
1 $9
08
$935
$1
,120
$2
,207
$2
,273
$2
,513
$3
,246
$6
72,1
13
Inte
rnal
Rat
e of
Ret
urn
(IRR)
-2
8%
Net P
rese
nt V
alue
(NPV
) -$
16,
872,
487
56 l Page
Central Coast Tourism Mission Statement:Using a Destination Management approach, lead the development and implementation of business strategies to increase the awareness, preference and visitation to the Central Coast of NSW whilst optimising the operational effectiveness of the organisation to influence the tourism industry.
Page l 59