HomeMy WebLinkAbout1987 10-21 EBFA' AGENDA
Earle Brown Farm Committee
October 21, 1987
' Community Center
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Call to Order: 7:30 a.m.
Roll Call
Approval of Minutes - October 21, 1987
Maxfield Report/Operational Budget
Other Business
Adjournment: 9:00 a.m.
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Other Exnenses (Oneratina) for Earle Brown Farm
Tax ($2.50 per sq. ft. X 26,500)
Budget Reserve
Management Fees
Water/Sewer
Promotional
Subtotal
Operational Budget
Annual Operation Budget Total
Income Sources
Hippodrome Events
Catering (400,000 X 10%)
Subtotal
$66,250
25,000
40,000
6,000
100,000
$237,250
218,449
$455,699
$155,000*
40,000
$195,000**
* 155 event days at $1,000
To offset the annual operating costs, the rest of the Farm
must generate between $10 and $12 per square-foot.
MEMORANDUM
TO: Earle Brown Farm Committee ^
FROM: Brad Hoffman, HRA Coordinator
DATE: October 15, 1987
SUBJECT: Operation Cost Analysis
I have asked the Heskin Resource Group, Inc. to provide an
estimate of the annual operating costs for the Earle Brown Farm.
They have provided a preliminary operational budget (enclosed)
with the qualification that they represent a very rough estimate
only and that as the development progresses, they will be in a
better position to provide more accurate assessments.
I have provided an estimate for those areas not included in
Heskin's costs. A total annual operations budget for the farm
will be an estimated $460,000. Based upon an annual income of
$155,000 per year from the hippodrome, the rest of the farm will
need to generate $305,000 to break even. The break even point is
approximately $11.50 per square foot for all of the remaining
farm space. There are a number of alternatives available to us
and we will be discussing them Wednesday.
October 12, 1987
Preliminary Operational Budget
Earl Brown Farm
For purposes of this preliminary budget, no rental income was
projected to offset the operating expenses. Typically, many of
these expenses are a direct pass through to tenants. Operational
costs associated with comparable office projects were used as a
basis for this preliminary report.
Projected expenses were based on approximately 21,500 sq. ft. of
general use office space and 24,500 sq. ft. of Hippodrome/Meeting
space. No costs associated with the use of the Hippodrome as a
meeting center were considered, at this time.
The Property Manager detailed in the preliminary budget would
assume the onsite function of coordinator and scheduler of all
events and meetings, in addition to handling the day to day needs
of the office tenants. Supply ordering, supervision of contract
services and general decision making functions would also be
' handled by this person.
The Maintenance Supervisor would be responsible for preventive
' maintenance and repairs, continuous maintenance, minor HVAC work,
boiler maintenance, relamping, sidewalk snow removal, etc.
' In addition to the preliminary operational budget, a reserve
budget needs to be determined for such items as:
Maintenance Equipment
' Landscape Replacement
Lot Resurfacing/Sealcoating
Painting
Roof Repair
HVAC Repair
Exterior Building Repair
Plumbing Repair
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HIPPODROME FETING/EVENTS
CENTER
MARKETING/PROMOTIONS/BUDGET CATEGORIES
■
ADMINISTRATIVE EXPENSE
Dues $ Membership Fees
$
■
(International Association of
Convention b Visitors Bureau;
State & Local Trade Center
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Associations)
Miscellaneous Expenses
$
■
SALARIES
Promotions Manager
$
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CONSULTANTS
OF
A
P
IO
R
ESS
N
L
Advertising Labor
$
■
Public Relations
$
Marketing Management Fee
$
■
INFORMATION BROCHURES
$
HISTORIC LEAFLETS
$
■
POSTERS
$
■
YELLOW PAGES LISTING
$
HISTORIC TOURS
$
■
ADVERTISING (Print/Radio)
$
DIRECT MAIL
$
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BILLBOARDS
$
EVENTS/PROMOTIONS
$
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CONTINGENCY
$
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TOTAL
$
* All of the above is dependent upon:
■ o Revenue Subsidy Projections from the Other Buildings On Site
o Finalizing Expense Projections
' o Determining Optimum Usage of the Center
■ o Marketing Strategy to Generate Usage