Foreign Study

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DRAFTMARKET&FEASIBILITYSTUDY
ProposedConventionCenterand
HeadquarterHotel
TALLAHASSEE,FL
SUBMITTEDTO:
PREPAREDBY:
Mr.MichaelParker
CityofTallahassee
300SouthAdamsStreet,A17
Tallahassee,Florida,32301
michael.parker@talgov.com
+18508918665
HVSConvention,Sport&Entertainment
FacilitiesConsulting
205WestRandolph
Suite1650
Chicago,Illinois60606
3125879900
EXISTING
DRAFTSeptember9,2011
Attachment # 1
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Convention,Sports&Entertainment
Chicago,Illinois
205WestRandolph
Suite1650
Chicago,Illinois60610
+13125879900
+13125879909FAX
www.hvs.com
Atlanta
Mr.MichaelParker
CityofTallahassee
300SouthAdamsStreet,A17
Tallahassee,Florida,32301
michael.parker@talgov.com
Re: ProposedConventionCenterandHeadquarterHotel
Tallahassee,FL
DearMr.Parker:
Boston
Boulder
Chicago
Dallas
Denver
LasVegas
MexicoCity
Miami
Nassau
Pursuant to your request, we herewith submit our DRAFT Market & Feasibility
StudyofaProposedConventionCenterandHeadquarterHotelinTallahassee,FL.
We hereby certify that we have no undisclosed interest in the property, and our
employmentandcompensationarenotcontingentuponourfindings.Thisstudyis
subjecttothecommentsmadethroughoutthisreportandtoallassumptionsand
limitingconditionssetforthherein.
NewYork
Newport
SanFrancisco
It has been a pleasure working with you. We look forward to hearing your
comments.
Toronto
Vancouver
Sincerely,
DRAFTDOCUMENT
Washington
Athens
BuenosAires
Dubai
ThomasAHazinski
ManagingDirector
HVSConvention,Sports&EntertainmentFacilitiesConsulting
DRAFTDOCUMENT
HongKong
Lima
London
Madrid
Mumbai
NewDelhi
SaoPaulo
Shanghai
Singapore
CatherineSarrett
ProjectManager
DRAFTDOCUMENT
JohnLancet
AssociateManagingDirector
HVSConsulting&Valuation,Miami
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Convention,Sports&Entertainment
Chicago,Illinois
TableofContents
SECTION
TITLE
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
IntroductionandExecutiveSummary
SiteEvaluation
MarketAreaOverview
ConventionIndustryTrends
SurveyFindings
ComparableConventionCenterVenues
ConventionCenterBuildingProgramRecommendations
ConventionCenterDemandAnalysis
ConventionCenterFinancialAnalysis
HotelAnalysisandRecommendations
EconomicImpact
ApproachtoFinancing
StatementofAssumptionsandLimitingConditions
Certification
AppendixAComparableVenues
AppendixBSurveyResults
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1.IntroductionandExecutiveSummary
Natureofthe
Assignment
TheCityofTallahasseeCommunityRedevelopmentAgency(CRA)engagedHVS
Convention Sports and Entertainment Facilities Consulting (HVS) to conduct a
Market & Feasibility Study of a Proposed Convention Center and Headquarter
HotelinTallahassee,FL(theCity).Forthepurposeofthisanalysis,HVSassumes
that the convention center and the hotel would be owned and operated as
independent entities, complementing one another, and forming the Citys main
conventionassets.Thedemand,financialandimpactprojectionspresentedinthis
reportassumethatbothfacilitiesbeginoperationinJanuary2014.
The City through the CRA is initiating the development and would solicit the
participationofprivatedevelopmentandhotelcompanies.TheCRA,establishedin
1998bytheCityto"createaframeworkfortheredevelopmentandenhancement
ofselectedareasofthecentralurbandistrict,"isthecurrentownerofa5.31acre
land parcel located along the 400 block of West Gaines Street in Tallahassee,
Florida.Thefeesimpleownershiprightsoftheproposedsitewereassignedtothe
CityinAprilof2005.TheCityownedthesubjectparceluntilFebruaryof2010at
whichpointtheownershiprightsweretransferredtotheCRAforanominalfee.
Methodology
InordertocompletethisassignmentHVSstaffperformedthefollowingtasks:
1.
ThomasHazinskiandJohnLancettraveledtoTallahassee,FLintheweek
ofJanuary24,2011,duringwhichtheymetwithclientrepresentativesand
other stakeholders, performed a site inspection, met with key industry
participants,visitedothervenuesinthecity,andgatheredrelevantdata,
2.
Reviewedanumberofpreviouslyissuedreportsandstudies,includingThe
Greater Frenchtown/Southside Community Redevelopment Plan (2000),
the Downtown Community Redevelopment Plan (2004), Seminole
Boosters Phase I Conceptual Master Plan (2009), the Bonn Marketing
report on Preferences for a Full service Downtown Conference Hotel
(2010),andseveralotherreports,
3.
Analyzed the economic and demographics that indicate whether and the
extent to which the local market area is supportive of the Proposed
ConventionCenterandHeadquartersHotel,
4.
Conducted and analyzed a survey of local, state, and national event

plannersandpromoterstoassesstheireventhistories,currentandfuture
Market&FeasibilityStudyProposedConventionCenterandHeadquarterHotelTallahassee,FL
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facilityneeds,andtheiroverallinterestinusingtheproposedconvention
centerinTallahassee,
5.
Compiled data on 29 competitive and comparable state, regional, and

national venues to inform and test the reasonableness of the building
programrecommendationsanddemandandfinancialforecasts,
6.
Recommended a facility program plan and forecast of event demand and

roomnightgenerationfortheproposedconventioncenter,
7.
Forecastthefinancialoperationsoftheproposedconventioncenter,
8.
PreparedacompleteevaluationoftheTallahasseelodgingmarket,
9.
Evaluatedthreeguestroomscenariosfortheproposedheadquartershotel
based on the hotel market study and the incremental induced demand
fromtheproposedconventioncenter,
10.
Forecast the financial operations of the proposed headquarters hotel for

therecommendedscenario,and
11.
Estimated the economic and fiscal impacts of the proposed convention

center and headquarters hotel on the State of Florida and the City of
Tallahassee.
HVS staff collected and analyzed all information contained in this report. HVS
sought out reliable sources and HVS deemed information obtained from third
partiestobeaccurate.
Recommended
Program
HVS relied on an indepth user survey, other market research, a site inspection,
review of comparable convention centers, analysis of historical operations at the
TallahasseeLeonCountyCivicCenter(CivicCenter),andknowledgeofindustry
practices to recommend a convention center program for the proposed
Tallahassee Convention Center (TCC) and integrated headquarters hotel
property. This facility program should serve as a guide for subsequent physical
planningaimedatprovidingthedesiredprogramelementsontheproposedsite.
HVSrecommendsnew buildinginfrastructuresuchthattheproposedTCCstotal
conventionfacilitypackageincludesapproximately:
A100,000squarefootmultipurposehall,divisibleinto4divisions,
A15,000squarefootballroomwith4maindivisionsand6subdivisions,
27,000 square feet of flexible meeting space with 20 main divisions and a
varietyofroomsizesandconfigurations,and
Aheadquarterhotelwithapproximately300guestrooms.
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DemandAnalysis
Based on the above convention facility program, the market and comparable
facility analyses, and the implementation of other recommendations presented
throughout this study, HVS projects the following demand for the proposed TCC.
BasedonthefacilitysopeninginJanuary2014,HVSestimatesthateventdemand
willstabilizeinthefourthyearofoperation2017
FIGURE11
FIVEYEAREVENTDEMANDANDROOMNIGHTESTIMATES
Number
Attendance RoomNights
ofEvents
HotelAnalysis
2014
127
120,000
28,963
2015
138
130,000
33,643
2016
147
140,000
37,408
2017
155
150,000
40,760
2018
155
150,000
40,760
Basedontheaboveroomnightprojectionsforinducedconventioncenterdemand,
HVScalculatedtheoccupancy,theaveragedailyrate(ADR),andtherevenueper
availableroom(RevPar)fortherecommended300roomheadquarterhotel.The
followingfigurepresentsthesefiguresthroughstabilizationin2018.
FIGURE12
FIVEYEARHOTELOCCUPANCY,ADR,ANDREVPARPROJECTION
300RoomScenario
Opening 2014
2015
2016
2017
Stabilization 2018
FinancialProjections
Occupancy
ADR
RevPAR
51 %
61
69
71
72
$117.13
127.06
137.46
141.49
145.82
$59.74
77.51
94.85
100.45
104.99
HVS applied a series of revenue and expense assumptions regarding facility

utilization and operations to develop comprehensive operating financial
statements for the proposed convention center and hotel. The following figure
presentsresultingnetincomeprojectionsforthefirsttenyearsofoperation.
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FIGURE13
EconomicandFiscal
Impacts
TENYEARCONVENTIONCENTERANDHOTELNETINCOME
(LOSS)PROJECTIONS
HQHotel
NetIncome(Loss)
($000)
2014
($2,056)
$366
2015
(2,095)
2,193
2016
(2,123)
3,851
2017
(2,158)
4,063
2018
(2,223)
4,362
2019
(2,290)
4,493
2020
(2,358)
4,628
2021
(2,429)
4,767
2022
(2,502)
4,909
2023
(2,577)
5,057
ECONOMICANDFISCALIMPACT
SummaryofImpacts
EconomicImpact
FiscalImpact
Jobs
ConventionCenter
NetIncome(Loss)
($000)
HVS identified the new direct spending that would occur in the State and local
economiesduetotheoperationsoftheproposedTCCandHeadquarterHotel.HVS
usestheIMPLANinputoutputmodeltoestimateindirectandinducedimpactsas
well as the jobs created based on this direct spending. The following figure
presents the sum results of this analysis for the new spending projected in the
State of the Florida and in the City of Tallahassee. The figure also contains the
corresponding fiscal impacts of this spending. Dollar values represent the first
yearofstabilizeddemand,2017,andareexpressedin2011dollars.
FIGURE14
ApproachtoFinancing
andOperations
Year
StateofFlorida
$12million
$340,000
120
LeonCounty/Tallahassee
$25.1million
$560,000
320
Five different scenarios are available with respect to the various options for
operations, ownership, and financing of the proposed convention center and
headquarterhotel.Whileeachofthefivemodelsoffersitsowndistinctadvantages
and disadvantages, understanding the circumstances under which each model
works best often provides a better guide to the most appropriate model for a
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proposed development. Additionally, the goals and desires of the community,

regarding public financing, financial performance of the facility and economic
impactsonthecommunity,canidentifyoneortwoofthemostsuitablemodelsfor
the proposed development. The following figure presents these models with a
briefoverviewofkeyfeaturesandrequirements.
FIGURE15
OPERATIONSANDOWNERSHIPMODELS
Ownership/Financing
Private
PublicPrivatePartnership
Public
NotFeasible
Privateownershipof
improvementsonlandleased
frompublicsector.Requires
substantialpublicincentives.
Publictaxexemptdebtfinancing
ofentireproject.Integrated
venueoperatedundera
QualifiedManagement
Agreement("QMA").
PrivateOwnershipofhotel
only.ConventionCenternot
feasible.
Privateownershipand
operationofhotel.Public
ownershipandoperationof
conventioncenterassets.
Separatebutcoordinated
operations.
Publicdebtfinancingofboth
projects.Maybeseparatedebt
issuances.SeparateQMAsfor
operationofhoteland
conventioncenter.Potential"self
operation"oftheconvention
center.
Operations
Integrated
StandAlone
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2.SiteEvaluation
Thesuitabilityofthelandfortheoperationofalodgingfacilityisanimportant
consideration affecting the economic viability of a property and its ultimate
marketability. Factors such as size, topography, access, visibility, and the
availabilityofutilitieshaveadirectimpactonthedesirabilityofaparticularsite.
Thesubjectsiteislocatedat402WestGainesStreetintheCityofTallahassee,
Florida. The site is made up of the entire area within the city block that is
formedbyWestGainesStreet(tothesouth),SouthMacombStreet(tothewest),
West Madison Street (to the north), and South Martin Luther King Junior
BoulevardStreet(totheeast).
PhysicalCharacteristics
According to the Leon County Property Appraiser, the subject site measures
approximately5.31acres,or231,304squarefeet.Theparcel'sadjacentusesare
setforthinthefollowingtable.
FIGURE21
SUBJECTPARCEL'SADJACENTUSES
Direction
AdjacentUse
North
South
East
West
TallahasseeLeonCountyCivicCenter
Stripcenterwithretailoutletsandrestaurants
ActionAutoRepair,vacantland
FloridaProfessionalFirefightsAssociation,vacantland
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2-1
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FIGURE22 AERIALPHOTOGRAPHOFTHESUBJECTPARCEL
CivicCenter
SubjectParcel
5.31acres
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2-2
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VIEWFROMSITETOTHENORTH:
VIEWFROMSITETOTHEEAST:
VIEWFROMSITETOTHESOUTH:
VIEWFROMSITETOTHEWEST:
HVS assumes that there will be vehicular access to the proposed subject
property.Thetopographyoftheparcelisgentlyrolling,withgroundelevations
being slightly higher at the southeastern portion of the parcel. The parcel's
shapeisrectangular.
DRAFTMay20,2011
SiteEvaluation
2-3
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SiteUtility
According the zoning legislation that governs the development of the subject
site,thefootprintofanydevelopmentislimitedto85%ofthetotallotarea,ora
4.51acre footprint out of the parcels total 5.31 acres. Upon completion of
construction, HVS anticipates that the subject site will not contain any
significant portion of undeveloped land that could be sold, entitled, and
developed for alternate use. Developing the available land with site
improvements or building improvements will contribute to the overall
profitabilityofthehotelandattachedconventioncenterspace.
AccessandVisibility
Ease of access with respect to regional and local transportation routes and
demand generators will affect the performance of the hotel and convention
center.Thesubjectsiteisreadilyaccessibletoavarietyoflocal,county,state,
andinterstatehighways.
FIGURE23
MAPOFREGIONALACCESSROUTES
DRAFTMay20,2011
SiteEvaluation
2-4
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Primaryregionalaccessthroughtheareaisviaeast/westInterstate10("I10"),
which provides access to Jacksonville to the east and Mobile, Alabama to the
west.North/southU.S.Highway319isanothermajorhighway,whichprovides
accesstoTifton,GeorgiatothenorthandApalachicolatothesouth.Avarietyof
additionallocalhighwaysserveTallahassee,asillustratedontheprecedingmap.
From I10, motorists take the Monroe Street Exit (Exit 199) towards the State
Capitolandproceedsouthforapproximatelyfourmiles.Motoristsmakearight
hand turn onto East Gaines Street and travel west for approximately one
quarter mile to the subject site, which is located on the motorists righthand
side.
ThesubjectsiteislocatedalongtheGainesRoadcorridor,anareatargetedfor
redevelopment by the City of Tallahassee and the CRA. Assuming that the
proposed subject property will have adequate signage at the street, the
proposed convention center hotel should benefit from very good visibility and
accessibilityfromwithinitslocalneighborhood.
AirportAccess
With regard to air transit, users of the proposed convention center and hotel
would primarily use the Tallahassee Regional Airport, which is located
approximatelyfivemilestothesouthwestofthesubjectsite.Fromtheairport,
motorists would follow signs to State Route 263 and travel east on this
thoroughfaretoSpringhillRoad,atwhichpointmotoristswouldexecutealeft
hand turn. Motorists would then proceed northbound on Springhill Road for
approximatelytwomilesuntilitsmergerwithLakeBradfordRoad.Continuing
north on Lake Bradford Road, motorists would drive approximately one mile
beforeexecutingarighthandturnonWestGainesStreet.Motoristswouldthen
proceed east for approximately one mile until reaching the subject site, which
wouldbelocatedonmotorists'lefthandside.
Neighborhood
Theneighborhoodsurroundingalodgingfacilityoftenhasanimpactonahotel's
status, image, class, style of operation, and sometimes its ability to attract and
properly serve a particular market segment. This section of the report
investigates the subject neighborhood and evaluates any pertinent location
factors that could affect its future occupancy, average rate, and overall
profitability.
The subject neighborhood can be generally defined by Tennessee Street to the
north,CapitalCircletothewest,OrangeAvenueandLakeBradfordDrivetothe
south, and Magnolia Drive to the east. In general, this neighborhood is in the
stablestageofitslifecycle,withpocketsofrevitalizationoccurringalongGaines
Street corridor. In fact, the City of Tallahassee CRA commissioned the
redevelopment of the Gaines Street corridor, along which the subject property
DRAFTMay20,2011
SiteEvaluation
2-5
Attachment # 1
Page 14 of 438
will be located. Upon the completion of the redevelopment, the Gaines Street
corridor will feature a blend of commercial, residential, and cultural units in a
pedestrianfriendly area with wide sidewalks. The Gaines Street Revitalization
Plan, adopted in the early 2000s, is downsizing Gaines Street from a fourlane
roadintoatwolaneroadwithlimitedonstreetparkingwiththegoalofbetter
connectingFSUandFAMUwhilecreatingan"18hourdowntown."Accordingto
the City of Tallahassee, the road currently services approximately 36,000 cars
per day and, upon completion, will only have the capacity for approximately
16,000carsperday.
CURRENTSTATUSOFGAINESSTREET
REVITALIZATION
RENDERINGOFGAINESSTREETUPON
COMPLETION
DRAFTMay20,2011
SiteEvaluation
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REVITALIZATION
REVITALIZATION
DRAFTMay20,2011
COMPLETION
COMPLETION
SiteEvaluation
2-7
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The followingmapillustratesselectparcelsoflandthatare beingredeveloped

to supplement the Gaines Street Revitalization Plan. This development is the
most significant development occurring to the area immediately surrounding
the subject parcel. The area lies within Tallahassees Enterprise Zone and is,
therefore,subjecttoawidevarietyofdevelopmentincentives.Thefullscopeof
thedevelopmentbenefitsandincentivesreceivedundertheEnterpriseZoneis
outlinedlaterinthisreport.
FIGURE24MAPOFSELECTLANDPARCELSTOSUPPLEMENTTHEGAINESSTREETREVITALIZATIONPLAN
UtilitiesPaymentCenter
SubjectParcel
ChevronProperty
SallieProperty
SiteEvaluation
2-8
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Sallie Property: This 5.0acre parcel is being developed with the intent to
be a university transition between the capitol, FSU, FAMU, and the
Tallahassee Central Business District (CBD). This pedestrianfriendly
parcel is being developed with the intent of housing a wide variety of
commercial and heritageoriented uses. Prospective tenants are being
offered various economic incentives under the existing enterprise zone
zoningdirectives.
Utilities Payment Center: This 1.3acre land parcels intended use is for
daytodaygovernmentoperationsasautilitiespaymentcenter.
Chevron Property: This 2.5acre land parcel will be zoned as downtown

institutional/cultural/university transition areas in which urban planned
developmentsareencouraged.SimilartotheSallieProperty,prospective
tenants are being offered various economic incentives under the existing
enterprisezonezoningdirectives.
The proposed facility has the potential to complement the local government
entities which serve the State of Florida, Tallahassee's highereducation
providers(specifically,FSUandFAMU),aswellasthevariousheadquartersfor
statewideassociationsthatarebasedinthedowntownTallahasseearea;these
demandgeneratorsaccountforasignificantportionofthesurroundinglanduse
and heavily contribute to the character of the city. In general, we characterize
the greater neighborhood as 35% government/association, 25%
office/retail/commercial use, 20% residential use, 10% hotel use, 5% vacant,
and5%other.Theproposedconventioncenterandheadquarterhotel'sopening
shouldbeapositiveinfluenceontheareagiventhefactthatthesefacilitieswill
beincharacterwithandwillcomplementsurroundinglanduses.
Overall, the supportive nature of the existing improvements in the area

immediatelyproximatetothesubjectparcel,includingtheCivicCenter,aswell
asthegreaterneighborhoodintandemwiththecharacteroftheredevelopment
oftheGainesStreetcorridorisconsideredappropriateforandconducivetothe
operationofaconventioncenterandhotel.
SiteEvaluation
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FIGURE25 MAPOFTHEGREATERNEIGHBORHOOD
ProximitytoLocal
DemandGenerators
andAttractions
Thefollowingtableoutlinessomeofthemoreproximateandmoresignificant
major room night demand generators and attractions in the downtown
Tallahasseearea.
SiteEvaluation
2-10
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FIGURE26
AREADEMANDGENERATORSANDATTRACTIONS
DemandGeneratorsandAttractions
ChallengerLearningCenter
CityHall
ClaudePepperCenter
FloridaA&MUniversity
FloridaA&MUniversityBraggMemorialStadium
FloridaDepartmentofState
FloridaDepartmentofEducation
FloridaGovernor'sMansion
FloridaStateCapitolBuilding
FloridaStateUniversity
FloridaStateUniversityDoakCampbellStadium
LeonCountySchools
VisitTallahassee
TallahasseeChamberofCommerce
TallahasseeCommunityCollege
TallahasseeMemorialHealthcare
TallahasseeLeonCountyCivicCenter
Utilities
The subject site will reportedly be served by all necessary utilities. HVS has
assumed that these will be acquired from the most costeffective providers
withinthelocalmarket.
Soiland
SubsoilConditions
Geological and soil reports were not provided to HVS nor is HVS qualified to
evaluate soil conditions other than by a visual inspection of the surface. Upon
visualinspection,noextraordinaryconditionswereapparent.
Nuisances
andHazards
HVSwasnotinformedofanysitespecificnuisancesorhazardsandtherewere
no visible signs of toxic ground contaminants at the time of our inspection.
Because HVS is not experts in this field, we do not warrant the absence of
hazardouswasteandurgethereadertoobtainanindependentanalysisofthese
factors.
FloodZone
According to the Federal Emergency Management Agency map illustrated

below,thesubjectsiteislocatedinfloodzoneX.
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2-11
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FIGURE27
COPYOFFLOODMAPANDCOVER
The flood zone definition for the X designation is as follows: areas outside the
500year flood plain; areas of the 500year flood; areas of the 100year flood
withaveragedepthsoflessthanonefootorwithdrainageareaslessthanone
squaremileandareasprotectedbyleveesfromthe100yearflood.
Zoning
Accordingtothelocalplanningoffice,thesubjectpropertyiszonedasfollows:
ASND. This zoning code stands for All Saints NeighborhoodD Civic Center,
CorridorMixedUseDistrict.Thiszoningdesignationallowsforawidevariety
of commercial uses, including small office complexes, retail centers, service
industries,hotels,motels,andconventionactivity.
HVS has assumed that all necessary permits and approvals will be secured
(includingaliquorlicense)andthatthesubjectpropertywillbeconstructedin
accordancewithlocalzoningordinances,buildingcodes,andallotherapplicable
SiteEvaluation
2-12
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regulations.Ourzoninganalysisshouldbeverifiedbeforeanyphysicalchanges
are made to the site. Local ordinances limit the height of any developed
structure to 100 feet tall, or seven stories. Additionally, a maximum of 85% of
thefootprintofthesubjectparcelispermittedtobedeveloped.Giventhatthe
subject parcel is approximately 5.31 acres in size, a development with a
footprintofapproximately4.51acreswouldbepermitted.
TheTallahasseeLeon
CountyEnterpriseZone
The subject parcel is located in a Florida Enterprise Zone, more specifically,

the TallahasseeLeon County Enterprise Zone. This 20squaremile area of
Tallahassee has been targeted for economic growth through various financial
incentive programs. According to the Leon County Economic Development
Council, the Tallahassee/Leon County Enterprise Zone's economic benefits
beganinJanuary2003.
As illustrated on the map on the following page, the local enterprise zone
includes portions of the central, southern and western area of the community.
The area covered under this program also extends into portions of
unincorporatedLeonCounty.
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2-13
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FIGURE28
TALLAHASSEELEONCOUNTYENTERPRISEZONE
ProposedSubjectSite
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Easementsand
Encroachments
HVS is not aware of any easements attached to the property that would
significantlyaffecttheutilityofthesiteormarketabilityofthisproject.
Conclusion
HVS has analyzed the issues of size, topography, access, visibility, and the
availabilityofutilities.Thesubjectsiteisideallysituatedinthegreaterdowntown
Tallahasseearea.TheredevelopmentoftheGainesStreetcorridorintomoreofa
pedestrianfriendlyareawillacttobetterconnectFSU,FAMU,thecapitol,andthe
downtownarea.Giventhefactthatthesubjectsiteislocatedinthecenterofthis
prospective "link," the area will be well suited for future hotel and convention
centerdevelopment.ThelocationofthesubjectsiteadjacenttotheexistingCivic
CenterwillprovideanopportunityfortheproposedfacilityandtheexistingCivic
Center to complement each other, from an economic, a city planning, and a
meeting and event planning perspective. Upon completion, the site should offer
acceptableaccess,visibility,andtopographyforaneffectivehotelandconvention
centerdevelopment.
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3.MarketAreaOverview
Thismarket area analysisreviewseconomic anddemographicdatathatdescribe
theoverallconditionofthelocaleconomyinTallahassee,FL.Thecharacteristicsof
theareaeconomyandtrendsthatindicategrowthordeclineprovideindicatorsof
theperformanceoftheProposedConventionCenterandHeadquarterHotel.HVS
analyzed the following indicators: population, income, sales, work force
characteristics, employment levels, major businesses, airport access,
transportation,hotelsupply,andtourismattractions.
MarketAreaDefinition
The market area for a convention center consists of the geographical region that
offerstransportationaccess,lodging,andotheramenitiestousersoftheProposed
Convention Center and Headquarter Hotel. For the purposes of this study HVS
definedthemarketareaastheCombinedStatisticalAreaofTallahassee,FL,which
includesGadsen,Jefferson,Leon,andWakullaCounties.Thefollowingmapshows
marketarea.
TALLAHASSEE,FL
MarketAreaOverview
3-1
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Page 25 of 438
Tallahassee is the capital of Florida, as well as a major trading center and

agriculturalfocalpointofthestate.StategovernmentbuildingsdominatetheCity's
skyline,andgovernmentactivitiesdominatetheeconomy.Thename"Tallahassee"
isaMuskogeanIndianwordoftentranslatedas"oldfields,"whichstemsfromthe
Seminole Indians who migrated into this region and found large areas of cleared
lands that had previously been occupied by the Apalachee tribe. Today, modern
Tallahasseeisathrivingculturalcentersupportingavarietyofmuseums,theaters,
andhistoricbuildings.
LocatedinthesoutheasternU.S.,Floridaspansapproximately58,560squaremiles.
ThestateisborderedbytheAtlanticOceantotheeast,GeorgiaandAlabamatothe
north, and the Gulf of Mexico to the west. Sunshine is one of the state's most
important resources, as Florida's comfortable climate has lured vacationers for
more than a century. An interstate highway system exists throughout the state,
providingeasyaccessalongboththeintercoastalareasandthecoastlinecities.
TallahasseeisthecapitalofFlorida.Itislocatedinthenorthernpartofthestate,
roughlymidwaybetweenPensacolaandJacksonville.Floridasmanymetropolitan
cities include Orlando (central), Miami (south), and Daytona Beach (central).
Historically, agriculture and tourism have provided much of the economic
influence throughout Florida. Since World War II, Floridas economy has become
more diverse. Tourism, cattle, citrus, and phosphate have been joined by several
new industries that have greatly expanded the numbers of jobs in the state. The
citrus industry continues to prosper, despite occasional winter freezes, and
tourism remains important, bolstered by large capital investments. Florida
attractions, such as the large theme parks in the Orlando area, bring millions of
visitorstothestatefromacrosstheU.S.andaroundtheworld.
MarketAreaOverview
3-2
Attachment # 1
Page 26 of 438
HISTORICSTATECAPITOLBUILDING
Economicand
DemographicReview
Aprimarysourceof economic anddemographic statisticsusedinthisanalysisis

the Complete Economic and Demographic Data Source published by Woods &
PooleEconomics,Inc.awellregardedforecastingservicebasedinWashington,
DC. Using a database containing more than 900 variables for each county in the
nation, Woods & Poole employs a sophisticated regional model to forecast
economic and demographic trends. Historical statistics are based on census data
and information published by the Bureau of Economic Analysis. Projections are
formulated by Woods & Poole, and all dollar amounts have been adjusted for
inflation,thusreflectingrealchange.
Thefollowingtablepresentkeydemographicandeconomicdatafortheregion.
MarketAreaOverview
3-3
Attachment # 1
Page 27 of 438
FIGURE31
ECONOMICANDDEMOGRAPHICDATASUMMARY
1990
2000
2009
2015
194.1
261.2
13,033.3
249,622.8
240.4
321.3
16,047.2
282,171.9
269.0
363.5
18,618.9
307,050.4
299.1
401.1
20,385.7
325,421.9
$23,914
22,221
26,343
26,226
$28,207
26,842
30,905
32,352
$30,317
28,594
33,634
35,142
$31,917
30,237
36,458
37,963
96.0
87.9
104.3
100.0
92.5
86.8
99.2
100.0
91.8
85.8
101.4
100.0
FoodandBeverageSales(Millions)*
LeonCounty
$260
Tallahassee,FLMSA
281
StateofFlorida
15,735
250,451
UnitedStates
$329
359
19,988
332,342
$3,218
3,642
217,670
3,516,734
ResidentPopulation(Thousands)
LeonCounty
Tallahassee,FLMSA
StateofFlorida
UnitedStates
PerCapitaPersonalIncome*
LeonCounty
Tallahassee,FLMSA
StateofFlorida
UnitedStates
W&PWealthIndex
LeonCounty
Tallahassee,FLMSA
StateofFlorida
UnitedStates
TotalRetailSales(Millions)*
LeonCounty
Tallahassee,FLMSA
StateofFlorida
UnitedStates
$2,278
2,616
155,227
2,545,947
AverageAnnual
CompoundedChange
199000 200009 200915
2.2 %
2.1
2.1
1.2
1.3 %
1.4
1.7
0.9
1.8 %
1.7
1.5
1.0
1.7
1.9
1.6
2.1
0.8
0.7
0.9
0.9
0.9
0.9
1.4
1.3
89.9
84.4
101.7
100.0
(0.4)
(0.1)
(0.5)
0.0
(0.1)
(0.1)
0.2
(0.0)
(0.4)
(0.3)
0.0
0.0
$393
433
24,670
388,117
$444
489
27,193
415,376
2.4
2.5
2.4
2.9
2.0
2.1
2.4
1.7
2.1
2.1
1.6
1.1
$3,274
3,750
231,968
3,544,629
$3,973
4,529
276,609
4,093,326
3.5
3.4
3.4
3.3
0.2
0.3
0.7
0.1
3.3
3.2
3.0
2.4
*InflationAdjusted
Source:Woods&PooleEconomics,Inc.
MarketAreaOverview
3-4
Attachment # 1
Page 28 of 438
Over the past decade, the populations of the Tallahassee MSA and Leon County
have grown slower than that for the entire state of Florida. Projections indicate
that this trend will reverse in coming years with Tallahassee experiencing a
growth rate higher than the state average. Per capita personal income for the
TallahasseeMSAisbelowthestateandUSaverages,atrendwhichisexpectedto
continuewithbelowaveragegrowthratesprojectedforthearea.Whilethegrowth
rates of retail and food & beverage sales for the region are expected to outpace
state and national averages,theoverallwealthindexoftheregionis expectedto
decline.
Workforce
Characteristics
The characteristics of an area's workforce provide an indication of the type and

amount of transient visitation likely to be generated by local businesses. Sectors
such as finance, insurance, and real estate (FIRE); wholesale trade; and services
produceaconsiderablenumberofvisitorswhoarenotparticularlyratesensitive.
The government sector often generates transient room nights, but perdiem
reimbursement allowances often limit the accommodations selection to budget
andmidpricedlodgingfacilities.Contributionsfrommanufacturing,construction,
transportation,communications,andpublicutilities(TCPU)employerscanalsobe
important,dependingonthecompanytype.
The following table shows the Tallahassee, FL MSA workforce distribution by
businesssector.
MarketAreaOverview
3-5
Attachment # 1
Page 29 of 438
FIGURE32
HISTORICALANDPROJECTEDEMPLOYMENT(000S)
Percent
ofTotal
Percent
ofTotal
Percent
ofTotal
Industry
1990
Farm
Forestry,Fishing,RelatedActivitiesAndOther
Mining
Utilities
Construction
Manufacturing
TotalTrade
WholesaleTrade
RetailTrade
TransportationAndWarehousing
Information
FinanceAndInsurance
RealEstateAndRentalAndLease
TotalServices
ProfessionalAndTechnicalServices
ManagementOfCompaniesAndEnterprises
AdministrativeAndWasteServices
EducationalServices
HealthCareAndSocialAssistance
Arts,Entertainment,AndRecreation
AccommodationAndFoodServices
OtherServices,ExceptPublicAdministration
TotalGovernment
FederalCivilianGovernment
FederalMilitary
StateAndLocalGovernment
2.5
1.3
0.2
0.3
8.1
4.9
21.5
3.5
17.9
1.9
3.6
5.5
4.6
47.7
9.4
0.2
4.8
1.0
12.2
1.8
10.0
8.3
55.1
1.8
0.9
52.3
1.6 %
0.8
0.1
0.2
5.1
3.1
13.6
2.2
11.4
1.2
2.3
3.5
2.9
30.4
6.0
0.2
3.1
0.7
7.7
1.1
6.4
5.3
35.0
1.2
0.6
33.3
3.0
1.5
0.2
0.3
9.5
4.9
26.4
4.4
22.0
2.6
5.5
6.6
5.4
71.8
14.5
0.5
11.7
1.8
17.8
2.6
12.0
11.0
64.3
2.1
0.8
61.4
1.5 %
0.7
0.1
0.1
4.7
2.4
13.1
2.2
10.9
1.3
2.7
3.2
2.7
35.6
7.2
0.2
5.8
0.9
8.8
1.3
6.0
5.4
31.8
1.0
0.4
30.4
2.7
3.1
0.3
0.2
10.3
5.3
26.3
4.8
21.5
1.7
5.4
8.0
9.3
90.1
19.2
0.5
9.7
4.0
22.3
3.9
17.6
13.0
65.2
2.1
0.9
62.2
1.2 %
1.3
0.2
0.1
4.5
2.3
11.6
2.1
9.4
0.7
2.4
3.5
4.1
39.5
8.4
0.2
4.2
1.7
9.8
1.7
7.7
5.7
28.6
0.9
0.4
27.3
157.3
100.0 %
202.0
100.0 %
227.9
100.0 %
TOTAL
MSA
U.S.
157.3
139,380.8
2000
202.0
166,758.8
2009
227.9
177,667.2
Percent
2015 ofTotal
2.7
3.2
0.4
0.2
11.6
5.5
27.6
4.9
22.7
1.8
5.5
8.9
10.8
105.0
23.5
0.6
10.9
4.9
25.1
4.5
20.8
14.9
65.9
2.1
0.9
63.0
AverageAnnual
CompoundedChange
1990
2000
2009
2000
2009
2015
1.1 %
1.3
0.1
0.1
4.7
2.2
11.1
2.0
9.1
0.7
2.2
3.6
4.3
42.1
9.4
0.2
4.4
2.0
10.1
1.8
8.3
6.0
26.5
0.8
0.4
25.3
1.7 %
1.4
(0.5)
(1.2)
1.6
0.1
2.1
2.3
2.0
3.1
4.2
1.8
1.7
4.2
4.4
6.6
9.3
5.4
3.9
3.6
1.8
2.9
1.6
1.2
(0.9)
1.6
(0.9) %
8.3
5.3
(4.3)
0.9
0.8
(0.0)
0.9
(0.2)
(5.0)
(0.2)
2.2
6.2
2.5
3.2
1.7
(2.1)
9.5
2.5
4.6
4.3
1.9
0.2
0.3
0.4
0.1
0.0 %
0.6
0.8
0.4
2.0
0.6
0.8
0.2
0.9
1.1
0.4
1.8
2.6
2.6
3.4
0.9
2.0
3.6
2.0
2.5
2.8
2.3
0.2
(0.4)
0.1
0.2
249.2 100.0 %
2.5 %
1.3 %
1.5 %
2.5 %
1.3
1.3 %
0.7
1.5 %
1.3
249.2
192,313.7
Source:Woods&PooleEconomics,Inc.
MarketAreaOverview
3-6
Attachment # 1
Page 30 of 438
The services sector represents the largest employment sector within the
Tallahassee MSA, driven by the growing health care and social assistance and
professional and technical services sectors. State and local government
employmentisdeclining,butstillrepresentsaquarterofthe areasemployment.
Retailtradeisalsodecliningbutconstitutesmorethan9percentofemploymentin
thearea.Thegreatestprojectedannualgrowthinemploymentthrough2015will
occur in the services sector, particularly in educational services and professional
andtechnicalservices.
MajorBusinessand
Industry
According to the TallahasseeLeon County Economic Development Agency, the

areaiscurrentlytargetingthefollowingindustry/businesssectors:
Alternativeenergyandenvironment,
Aviation,aerospace,defenseandnationalsecurity(manufacturing),
Healthsciencesandhumanperformanceenhancement,
Informationtechnology,
Researchandengineeringservices,and
Transportationandlogistics.
Providing additional context for understanding the nature of the regional

economy,thefollowingtablepresentsalistofthemajoremployersinthemarket
area.
MarketAreaOverview
3-7
Attachment # 1
Page 31 of 438
FIGURE33
Rank
1
2
3
4
5
6
7
8
9
10
MAJOREMPLOYERS
Firm
Sta teofFl ori da
Fl ori da Sta teUni vers i ty
LeonCountySchool Di s tri ct
Ta l l a ha s s eeMemori a l Hea l thCa re
Fl ori da A&MUni vers i ty
Ci tyofTa l l a ha s s ee
Publ i xSuperma rkets ,Inc.
Wa l Ma rtStores ,Inc.
LeonCounty
Ta l l a ha s s eeCommuni tyCol l ege
Numberof
Employees
10,000
9,500
9,000
8,500
8,000
7,500
7,000
6,500
6,000
5,500
Source:EconomicDevelopmentCouncilofTallahassee,2010
State and local government, educational institutions, and healthcare represent

eightofthetoptenemployersintheTallahasseeMSA.Tworetailchainsroundout
thelist.
TheTallahasseeareahashistoricallybeendominatedbytheservicessector,witha
stronggovernmentsector.Theprevalenthealthcaresectorandprojectedgrowth
intheservicessector,indicatethattheareaispoisedforgreatergrowthinneeded
services,whilemanufacturingwillremainstableordeclineslightly.Astheprofile
of the economy changes over time to encompass more services, the meeting and
conferencespaceneedsoflocalbusinesseswillchange.
Theaboveemployersalsogeneratethemajorityoftheroomnightssoldacrossthe
market. Additional substantial employers (and room night generators) in the
greater Tallahassee area include Jimmie Crowder Excavating & Land Clearing
Company, HealthSouth, CenturyLink, Tallahassee Democrat, Big Bend Hospice,
Aderant, Radiology Associates of Tallahassee, Coastal Property Services, Barkley
SecurityAgency,Post,Buckly,Schuh&Jernigan,QuincyJoist,andInfinitySoftward
Development.
Innovation Park is a significant contributor to the local Tallahassee economy.
The200acresthatcomprisesInnovationParkplayshosttoacollectionofpublic
andprivateresearchanddevelopmentgroups.FloridaStateUniversityandFlorida
A&Mworkintandemwithgovernmententitiesandprivatesectorcorporationsto
developcuttingedgetechnology.InnovationPark,forthelast25years,hasserved
many of the areas hightech firms. According to the Leon County Research and
MarketAreaOverview
3-8
Attachment # 1
Page 32 of 438
DevelopmentAuthority,thefacilityfeaturesapproximatelyonemillionsquarefeet
offloorspaceandthecompanieslocatedwithinthedevelopment(morethan50)
employmorethan2,000people.
INNOVATIONPARKNATIONALHIGHMAGNETICFIELDLABORATORY
Thefollowingbulletpointshighlightthemajorroomnightdemandgeneratorsfor
thismarket:
TallahasseeMemorialHealthCare("TMH")isatopemployerinthearea.TMH
offersacomprehensivesystemofhealthcareservices,includingtheoperation
of a notforprofit hospital, a teaching institution with a clinic, and satellite
facilitiesandfamilymedicinecentersinfivesurroundingcounties.Withmore
than 35,000 inpatient admissions per year and 770 patient beds, TMH is the
seventhlargest hospital in Florida. TMH open its stateoftheart cancer care
centerinJanuaryof2011.Thisfacilityallowslocalresidentstheopportunityto
betreatedasoutpatientsandbringsresidentsfromsurroundingcountiesinto
theareafortreatmentasnecessary.
LocalandstategovernmentactivitycontinuestoleadtheTallahasseeeconomy
yearround. Local employment is dominated by government entities, with a
significant number of people employed by the State of Florida, City of
MarketAreaOverview
3-9
Attachment # 1
Page 33 of 438
Tallahassee, and Leon County governments. According to local officials, the

months of March and April generate a strong influx of government demand
whenthestatelegislatureisinsession.
The education sector plays an important role in the stability of the local
economy. With a combined enrollment of over 43,000 students, Florida State
University(FSU)andFloridaA&MUniversity(FAMU)provideastrongsource
ofdemandtotheareathroughouttheyear.FSUisaleadingdoctoralresearch
institution in the country, comprising 15 separate colleges and offering over
300 programs of study, including business, engineering, medicine, and law.
Founded in 1887, FAMU offers 13 separate schools and colleges, including
eleven doctoral programs within disciplines such as biomedical engineering,
civil engineering, and physics. Both FSU and FAMU continue to grow their
student bases and research capabilities each year. Other higher education
institutions located in Tallahassee include Tallahassee Community College,
LivelyTechnicalCenter,andbranchesofThomasUniversity,KeiserUniversity,
BarryUniversity,andFlaglerCollege.
University athleticprogramsinduce asignificant amount ofbusinessinto the

area.FSU,amemberoftheSoutheasternConferenceandFAMU,amemberof
theMidEasternAthleticConference,eachfieldavarietyofmensandwomens
athletic teams. In addition to regular season play, these teams also bring a
number of conference and NCAA tournaments and championships to the
Tallahassee area. The greatest attendance generators are the FSU and FAMU
footballprograms.Ofnote,theFSUfootballteamwasplacedonprobationby
the NCAA for four years, commencing March of 2009, as a result of various
violations during the 2006 and 2007 football season. The school, which was
requiredtoreducethenumberofscholarshipathletes,hassinceseenadecline
in the performance of its team and subsequently a decline in the number of
fanswhoattendtoSeminolesfootballgames.Thefollowingtablepresentsthe
trends in the total attendance to FSU football games, average attendance per
game,andthenumberofseasonticketholders.
MarketAreaOverview
3-10
Attachment # 1
Page 34 of 438
FIGURE34
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
FSUFOOTBALLPROGRAMATTENDANCETRENDS
Home Games
Played
Total
Attendance
Average
Attendance per
Game
6
6
6
6
6
6
8
5
7
6
7
484,985
488,645
490,598
498,895
497,047
496,343
644,256
403,015
545,773
446,067
498,890
80,831
81,441
81,766
83,149
82,841
82,724
80,532
80,603
77,968
74,345
71,270
Percent
Change
0.8 %
0.4
1.7
-0.4
-0.1
-2.6
0.1
-3.3
-4.6
-4.1
Season Ticket
Holders
45,927
46,817
47,441
16,738
46,647
45,818
46,098
46,238
43,606
38,964
34,300
Percent
Change
1.9 %
1.3
-64.7
178.7
-1.8
0.6
0.3
-5.7
-10.6
-12.0
DuringthepeakoftheFSUfootballprogramssuccess,theaverageattendanceper
homegameeclipsed83,000;sincethedeclineoftheprogramoccurredinthelate
2000s,attendancehasslippedsignificantly.
FLORIDASTATEUNIVERSITYSDOAKCAMPBELLSTADIUM
MarketAreaOverview
3-11
Attachment # 1
Page 35 of 438
Unemployment
Statistics
Unemploymentstatisticsprovideameasureofthehealthofthelocaleconomyand
comparisons to state and national trends. The following table presents historical
unemploymentratesforthemarketarea.
FIGURE35
UNEMPLOYMENTSTATISTICS
Year
County
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Recent Month - Feburary
2010
2011
MSA
State
U.S.
3.0 %
3.5
4.3
4.1
3.7
3.1
2.7
3.0
4.5
7.0
8.2
3.2 %
3.7
4.5
4.2
3.8
3.1
2.8
3.2
4.7
7.4
8.5
3.8 %
4.7
5.7
5.3
4.7
3.8
3.4
4.1
6.3
10.5
11.5
4.0 %
4.7
5.8
6.0
5.5
5.1
4.6
4.6
5.8
9.3
9.6
8.0 %
7.9
8.5 %
8.2
11.4 %
11.0
9.7 %
8.9
* Letters shown next to data points (if any) reflect revised population controls and/or
model re-estimation implemented by the BLS.
Source: U.S. Bureau of Labor Statistics
The national unemployment rate in the U.S. fluctuated within a narrow range of
between 4% and 6% in the decade spanning 1997 to 2007. The recession that
began in late 2007, and the subsequent financial crisis in 2008, forced many
businessestodownsizeorceaseoperations.Over3millionjobswerelostin2008,
andanother4.1millionwerelostin2009;asaresult,thenationalunemployment
rate reached 10.0% in the fourth quarter of 2009. However, beginning in the
fourthquarterof2009,thepaceofjoblossessloweddramaticallyandthenational
economybegantoexhibitpositivetrends.JobgrowthresumedinJanuaryof2010,
and excluding the fluctuations related to the loss of temporary jobs associated
withthe2010Censuscollectionofdata,thepaceofjobgrowthimprovedsteadily
inthefollowingmonths.Slowtomoderategrowthisanticipatedoverthebalance
of 2010. Forecasts for 2011 anticipate an accelerating pace of job growth
throughout the year. Nevertheless, it is expected to take several years to
MarketAreaOverview
3-12
Attachment # 1
Page 36 of 438
regenerate the jobs that were lost during the recession, and most economists
expectunemploymenttoremainsomewhatheightenedoverthenearterm.
Locally,theunemploymentratewas5.7%in2009.Forthissameareain2010,the
mostrecentmonthsunemploymentratewasregisteredat6.6%,versus6.0%for
thesamemonthin2009.
Locally, employers have slowed operations due to the state of the national
economy;however,thisslowdownhasbeenmitigatedbytheconsistencyandthe
stabilityprovidedbythegovernmentsectorandtherelativelylargeandconsistent
presenceassociatedwiththearea'shighereducationentitiessuchasFloridaState
UniversityandFloridaA&MUniversity.Unemploymentratesinthiscountyshould
remain stronger than state and national levels. Interviews with economic
development officials reflect a promising outlook for the area, although growth
shouldbemodestinthenearterm.
ExistingConvention
Activity
A convention center can serve as a gauge of visitation trends to a particular

market. Convention centers also generate significant levels of demand for area
hotelsandserve asa focalpoint for community activity. Typically,hotelswithin
theclosestproximitytoaconventioncenteruptothreemilesawaywillbenefit
themost.Hotelsservingasheadquartersforaneventbenefitthemostbywayof
premium rates and hosting related banquet events. During the largest of
conventions,peripheralhotelsmaybenefitfromcompressionwithinthecityasa
whole.
While the proposed project will serve as a significant demand generator for
meeting, group, exhibition, and convention activity, the TallahasseeLeon County
CivicCenterandtheFloridaStateConferenceCentercurrentlyserveastheareas
principal option for dedicated meeting and event activity. The proposed project
hasthepotentialtocomplementthebothofthesefaculties.
The TallahasseeLeon County Civic Center is a multipurpose convention and
entertainmentfacility.TheCivicCenter'ssixmeetingroomscoveratotalof16,000
square feet and are fully equipped with sound systems and adjustable lighting.
Additionally,the35,000squarefootExhibitionHallhostsvariouseventsincluding
tradeshows,largemealfunctions,themedparties,andmeetingswithseatingupto
5,000.The18,000squarefootArenacanaccommodate1,000peopleforbanquets
and receptions for up to 2,000. The facility is home to many of the Florida State
University athletic programs, such as the universitys basketball teams, as well
playing host to entertainment events such as the Harlem Globetrotters, George
Strait, the Tallahassee Blues Festival, the Tallahassee Broadway Series, and
Monster Jam (a live motorsport event with oversized monster trucks). The
facility also hosts circus, rodeos, banquets, expositions, and consumer and trade
MarketAreaOverview
3-13
Attachment # 1
Page 37 of 438
shows. The facility is located downtown on Pensacola Street, approximately two

blocksfromFlorida'sCapitolbuildinganddirectlyacrossthestreetfromtheFSU
Law School. A fullservice restaurant, the Spotlight Grille, is open approximately
twohourspriortomostlargeevents.
TALLAHASSEELEONCOUNTYCIVICCENTER
The August A. Turnbull III Conference Center on the campus of Florida State
Universityisa47,000squarefootfacilitythatopenedin2010.Thefacilityfeatures
nine meeting rooms with a total of approximately 8,800 square feet of meeting
space,a400seatauditorium,anda4,800squarefootdiningroom.Thefacilityhas
a number of stateoftheart audiovisual and technological features that make it
anidealvenueforsmalleracademicconferences,businessmeetings,andcorporate
seminars.
MarketAreaOverview
3-14
Attachment # 1
Page 38 of 438
FSUCONFERENCECENTERFLOORPLAN
AirportTraffic
Since airport access is an important consideration for event planners, airport

passenger counts provide an indication of the ability of a market to support
conventionevents.Trendsshowingchangesinpassengercountsalsoreflectlocal
businessactivityandtheoveralleconomichealthofthearea.
TheTallahasseeRegionalAirport,locatedinFloridascapitalcity,isasmallairport
that supports commercial airlines, corporate aviation, commuter and charter
services, and a wide variety of other private aviation activities. The airport is
located seven miles southwest of Tallahassees central business district and
accounts for onethird of air passenger travel in the Northwest Florida region,
whichincludesTallahasseeand32countiesinFlorida,Georgia,andAlabama.The
facilityopenedinDecemberof1989andcostareported$33milliontobuild.The
airportisservicedbyAmericanAirlines,ContinentalAirlines,DeltaAirLines,and
U.S. Airways. The airlines operate out of a singlelevel terminal with 14 gates.
Thereisanaverageof32flightsperday.
ThefollowingtableillustratesrecentoperatingstatisticsforTallahasseeRegional
Airport.
MarketAreaOverview
3-15
Attachment # 1
Page 39 of 438
FIGURE36
AIRPORTSTATISTICS
Year
Passenger
Traffic
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Yeartodate,February
2010
2011
933,600
853,626
1,081,995
1,113,243
1,155,072
1,129,947
993,859
947,165
820,729
734,151
670,756
56,787
56,628
Percent
Change*
Percent
Change**
(8.6) %
26.8
2.9
3.8
(2.2)
(12.0)
(4.7)
(13.3)
(10.5)
(8.6)
(8.6) %
7.7
6.0
5.5
3.9
1.0
0.2
(1.6)
(2.6)
(3.3)
(0.3)
*Annualaveragecompoundedpercentagechangefromthepreviousyear
**Annualaveragecompoundedpercentagechangefromfirstyearofdata
Source:TallahasseeRegionalAirport
MarketAreaOverview
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Change in Passenger Activity
FIGURE37
LOCALPASSENGERTRAFFICVSNATIONALTREND
30%
25%
20%
15%
10%
5%
0%
-5%
-10%
-15%
-20%
2001 2002 2003 2004 2005 2006 2007 2008 2009
Local Passenger Volume
National Passenger Volume
Source: HVS, Tallahassee Regional Authority
A large increase in the passenger traffic from 2001 to 2002 can be partly
attributedtotheestablishmentofTallahasseeRegionalAirportsCapitalProgram
Management Division in 2001. From its peak of approximately 1.2 million
passengers in 2005, passenger volume at the Tallahassee Regional Airport has
declined significantly to fewer than 700,000 in 2010. Lower passenger volumes
indicate reduced service and fewer options for flights to other major cities
throughoutthecountry.
OtherTransportation
Infrastructure
Inadditiontothewelldevelopednetworkofroads(includingeast/westInterstate
10 which provides access to Pensacola to the west and to Jacksonville and
Interstate75totheeast),TallahasseeisservedbywatertransportationviaPortSt.
Joseph and rail transportation by CSX Railroad and short lines to the Ports of St.
JosephandPanamaCity.
TouristAttractions
The market benefits from a variety of tourist and leisure attractions in the area.
ThepeakseasonfortourisminthisareaisfromNovemberthroughApril.During
othertimesoftheyear,weekenddemandcomprisestravelerspassingthroughen
route to other destinations, people visiting friends or relatives, and other similar
weekend demand generators. Primary attractions in the area include the
following:
MarketAreaOverview
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TheFloridaStateCapitolbuildinghousestheexecutiveandlegislativeoffices,
aswellastheStateHouseandSenatechambers.ThePlazaLevelholdsseveral
items of note besides the offices of the Governor and the Cabinet. The public
viewing galleries for the Florida House of Representatives and the Florida
Senate are on the fifth floor. A series of murals on Floridas history by
ChristopherStillencircletheHousechamberfloor.TheCapitolisopentothe
public.
Alfred B. Maclay State Gardens is a 28acre Florida State Park, botanical

garden, and historic site. The gardens are also a U.S. National Historic
LandmarkDistrictknownastheKillearnPlantationArcheologicalandHistoric
District.Theparkofferssuchamenitiesasbicycling,birding,boating,canoeing,
fishing, hiking, horse trails, kayaking, picnicking areas and swimming. It also
featuresamuseumwithinterpretiveexhibits.
LakeJacksonisashallowprairielakelocatedintheRedHillsRegion.Thelake
isapproximatelyeightmileslongwithadrainagebasinofroughly42.1square
miles.EndangeredandrarespeciesfoundatLakeJacksonandthesurrounding
watershedsincludethesnowyegret,littleblueheron,woodstork,baldeagle,
leasttern,Americanalligator,androundtailedmuskrat.
TheRedHillsHorseTrialsisoneoftheequestrianworld'stopevents.Itisan
annual major eventing competition held by the United States Eventing
Association, consisting of Dressage, CrossCountry, and ShowJumping. Elinor
KlappPhippsParkhoststhedressageandstadiumjumpingevents,whilethe
adjoiningproperty,ownedbyTallahasseeecologistandhorseenthusiastColin
Phipps,hoststhecrosscountryevent.
Tallahassee is also home to a number of historic and educational museums

learningcenters,including:
TheTallahasseeMuseum,
TheTallahasseeAutomobileMuseum,
MissionSanLuis,
TheFloridaMuseumofHistory,
TheChallengerLearningCenter,and
TheMaryBroganMuseumofArts&Sciences.
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ALFREDB.MACLAYSTATEGARDENS
Conclusion
This section discussed a wide variety of economic indicators for the pertinent
marketarea.
After a period of economic expansion in the mid2000s, the Tallahassee market
areaenteredintoaperiodofcontractionasthelocaleconomybegantoexperience
the challenges felt across the nation associated with the recession. Market
interviews and research reveal that, although the area has been impacted by
slowing business levels, a depressed housing market, and reduced levels of
discretionary spending, the market benefits from a wellestablished, diversified
economy.Theeducationalsectorisstrongandcontinuestoremainacornerstone
of this market. The outlook for the area is generally positive; as the national
economy rebounds and strengthens, the market should bounce back relatively
quickly.However,positivegrowthmayberelativelylimitedinthenearterm.
Our analysis of the outlook for this specific market also considers the broader
context of the national economy. The U.S. economy entered a recession in
Decemberof2007,initiallytriggeredbythesubprimemortgagecrisisthatledto
the collapse of the housing bubble. The failure of multiple lending institutions,
rising oil and food prices, and the crisis in the American automotive industry
contributed to the stresses on the U.S. and global economies. In the U.S., credit
markets froze, the stock market deteriorated, massive job losses were recorded,
andconsumerspendingdroppedatthefastestratesincethe1930s.Beginningin
MarketAreaOverview
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midyear 2009, some positive trends began to emerge, including growth in the
nation'sgrossdomesticproduct(GDP)andcorporateprofitsinthethirdquarterof
2009. Furthermore, the pace of job losses significantly slowed in the fourth
quarter of 2009 and turned positive during the first half of 2010, as previously
noted. Real GDP in the U.S. expanded by 3.7% in the first quarter of 2010 and
increasedatanannualrateof2.4%inthesecondquarterof2010,thatis,fromthe
first quarter to the second quarter. The pace of the longerterm recovery will be
influencedbytrendsinemployment,thehousingmarket,andconsumerspending.
Theoutlookincludesareturntostablegrowthinthenearterm,withthepotential
foraperiodofstrongergrowthastheeconomicrecoveryaccelerates.
MarketAreaOverview
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4.ConventionIndustryTrends
In the following section, HVS presents an analysis of the convention, tradeshow
andmeetingindustry,includingtrendsinthesupplyanddemandofmeetingand
convention facilities, as well as trends in expenditures and meeting planner
preferences. The purpose of this trends analysis is to provide background
informationnecessarytoassessthepotentialfor conventioncenterdevelopment
in Tallahassee. This section of the report also provides definitions of industry
termsusedthroughouttheremainderofthisreport.
OASISEvent
ClassificationSystem
Conventioncentersmeasuretheirperformancebytrackingeventactivity,butthe
definition and classification of events lacks consistency throughout the industry.
Eachconventioncenterormarketingorganizationhastheirownwayofclassifying
andmeasuringeventdemand.HVS hasdevelopedaproprietarymethodof event
classification called OASIS Event Classification Method or OASIS, which is a
convenient acronym for five criteria of event categorization: Organization,
Attendees,Scope,Industry,andSetup.Seethefigurebelow.
FIGURE41
OASISEVENTCLASSIFICATIONSYSTEM
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FollowingaredefinitionsofthecriteriaintheOASISEventClassificationMethod
anddescriptionsofthecategorieswithinineach.
ORGANIZATIONthe organization that sponsors or owns the event provides an
important area of classification and can be described in five mutually exclusive
categories:
Corporationscorporations,orprivatebusinessinterests,areresponsiblefor
organizingthemajorityofevents.Theeventorganizersmaybeinternaltothe
businessorprofessionalmeetingplanners.
Associationsassociations are usually membership organizations centered

onspecificbusinesstypes,professionsorpoliticalpurposes.
Governmentinternational,national,stateorlocalgovernmentorganizations
sponsorevents.Thiscategoryisparticularlyimportantinmarketswithalarge
governmentofficepresence.
ExhibitionCompanyexhibitingorganizationsarecompaniesorsubsidiaries
ofcompaniesforthepurposeofowningandpromotingexhibitingevents,such
astradeandconsumershows.
Event Promoterevent promoters are organizations that exist for the

purpose of promoting concerts, entertainment and other types of live events
thatrequireproductionsetup.
Sports Enterprisesports enterprises are companies or subsidiaries of

companiesthatexistforthepurposeofowningandpromotingsportingevents.
Social, Military, Educational, Religious, Fraternal and Ethnic

(SMERFE)although similar to associations, this category includes the
types of organizations described in the title. SMERFE represents a distinct
category because members of this category tend to be more pricesensitive
andlessprofitorientedthanassociations.
Theorganizationcriterionismostusefultomarketingandsalesorganizationsthat
relyonthisinformationtomakedecisionsontheallocationofstaffandresources
according to the type of organization sponsoring the event. Other industry
participants, such as destination management companies and venue operators,
alsoneedtounderstandthetypeoforganizationsactiveinsponsoringeventsand
valuepersonalrelationshipswiththeeventplannersthatrepresentthem.
ATTENDEESEvent attendees can be placed in four distinct categories that
distinguishamongthewaysinwhichattendeesgainaccesstoevents:
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Privateattendees come to the event by invitation only and do not pay a

registration or admission fee. Private attendees may be individually asked to
attend, as to a wedding, or invited by virtue of belonging to a certain group,
suchascompanyemployeesorshareholders.
Registeredattendeesdonotnecessarilyneedaninvitation,butmustpayan
advance registration fee to attend the event. Registered attendees are often
called delegates or qualified buyers and they usually attend an event for
multipledays.
Publicthe event is open to the general public. Attendees may need to

purchaseaticketforadmissionsuchasataconsumershow.Othercivicevents
maybefreeofcharge.
Combinationcombination shows typically have an initial period of

attendancebyregisteredattendeesonly,andlaterbythepublic.
Thiscategoryisparticularlyimportanttovenue operatorsandindustryanalysts.
Understanding the type of attendee is critical for assessing the impact on
convention center operations and projecting the economic impact of events. The
lengthofstayofattendeesandtheirspendingpatternsvariesconsiderablyamong
thetypesofattendees.
SCOPEthiscategoryreferstothegeographicoriginoftheattendees.Eventsare
classified accordingly if a significant proportion of the attendees come from the
indicated geographic region surrounding the convention center. Five categories
captureallthepotentialgeographicscopesandareselfexplanatory:
International
National
Regional
State/Provincial
Local
Understanding the origin of attendees is critical to event planners and in the

estimation of the economic impact of events. Events that draw attendees from
larger geographic regions tend to have higher new spending associated with the
event. The allocation of marketing and sales resources may also break down
accordingtothegeographicscopeofevents.
INDUSTRYin North America, HVS recommends relying on the North American
Industry Classification System (NAICS) which replaced the previously used U.S.
StandardIndustrialClassification(SIC)system.NAICSwasdevelopedjointlyby
4-3
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the U.S., Canada and Mexico to provide new comparability in statistics about
business activity across North America. Other economic regions and countries
have similar industrial classification systems that are widely used and can be
adoptedforthepurposesofclassifyingeventsbyindustry.
NAICShashundredsofcategoriesbutthesecategoriesareorganizedhierarchically
in five levels. All categories can be rolled up into twenty of the top levels in the
hierarchy. However, not all top level industry classifications are useful for event
classificationbecauselittleornoeventactivityisassociatedwiththem.Othertop
level categories, such as Manufacturing, are too broad to provide meaningful
information, and level two or three categories can be used to form a useful
breakdownofevents.
Thechoiceofindustryclassificationsshouldresultinareasonableshareofevents
falling into each category. According to the Tradeshow Week data book, the
leadingindustriesthatarerepresentedbyconventions,tradeshowsandexhibition
include:
MedicalandHealthCare
HomeFurnishingsandInteriorDesign
SportingGoodsandRecreation
Apparel
BuildingandConstruction
LandscapeandGardenSupplies
ComputersandComputerApplications
Education
Gifts
Associations
Use of the NAICS codes allows for the orderly rollup of industrial classifications
acrossdifferenteventsandvenues,regardlessofthecategoriesorthehierarchical
levelsthatdifferentpeoplemaychoosetouse.Industrialclassificationinformation
isusefulforthoseplanningtodevelopneweventsandforotheranalyststhatneed
to understand how trends in economic health of the underlying industries affect
thesuccessofparticulareventsandvenues.
SpaceSetupthisfinalcriterionprovidesforthecategorizationofeventsbyset
upofthefunctionspacestheyutilize.Unlikealltheothercriteria,thesecategories
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arenotmutuallyexclusiveaseventsmayuseanycombinationofthefourprimary
typesofeventsetup.
EventTypes
Breakouttypicallyinvolvestheuseofmeetingrooms,boardroomsorother
multipurposesspacesformeetingfunctionsinaclassroomormeetingsetting.
This setup may involve some catering services such as coffee breaks or
lunches.
Banquetincludesthesetupforcateredbanquetseventssuchasawedding
and may include some staging for presentations such as at a general session
event.
Exhibitincludes the setup displays in exhibition halls or other multi

purposespace.Concessionservicesandbuffetlunchesareoftenacomponent
ofthissetup.
Assemblyincludessetupintheaterstyleseatinginplenaryhallsandfixed
seat theaters or other multipurposes spaces that are used primarily for
assembliesandgeneralsessions.
Productionincludesthesetupforconcerts,entertainment,sportingevents
and other types of events that require significant staging, lighting, and other
liveeventrelatedsetup.
Application of the OASIS system can provide precise definitions of commonly

usedeventclassifications.Allcommonlyusedtermsforeventtypescanbedefined
by a combination of three OASIS categories: organization, attendees and space
setup.
Conventionsassociations, government, and SMERFE organizations register

attendeesformultidayevents.Facilitysetupincludesbreakout,banquetand
exhibitspacesetupandmayincludeplenarysessions.Typically,theprimary
purposeofaconventionisinformationexchange.
Tradeshowsprovide a means for wholesalers and retailers to transact

businesswithindustrybuyers.Likeconventions,tradeshowsofferaforumfor
exchanging industry ideas. In order to clearly differentiate conventions from
tradeshows,HVSassumesthatonlycorporationsandenterprisescansponsor
and produce tradeshows. Similar to conventions, tradeshows require
registered attendees. While they also require exhibit space setup, they only
sometimesrequirebanquetorbreakoutspacesetup.
Combination Showsare either corporate or enterprise produced, with a

part of the shows being a public event, and the rest of the show being a
registered event. Always requiring exhibit setup, they sometimes require
plenary,banquetand/orbreakoutsetupforadditionalportionsoftheirshow.
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Consumer Showsare public, ticketed events featuring the exhibitions of

merchandise for sale or display. Only enterprises can produce consumers
shows,astheyprovideameansofproductdistributionandadvertising.They
onlyrequireexhibitspacesetup.
Conferencesrequireamixofbanquetandbreakoutspacesetup,butdonot
require any exhibit setup. Conferences can be corporate, association,
governmentorenterprise,butalwaysrequireattendeestoberegistered.
Meetingsonlyrequirebreakoutspacesetup.Likeconferences,theycanbe
produced from any of the above named organization types, but unlike
conferences,theyareprivateeventstowhichonemustbeinvited.
Banquetsonlyrequireabanquetsetupforfoodandbeveragemealservice.
These events also can be produced by any organizational type, but are also
private.
Assembliesusuallyinvolveaceremony,aspeech,oranothersimilaractivity
thatattractsacrowdofspectators.ProducedonlybySMERFEgroups(social,
military, educational, religious, fraternal and ethnic), they are always public
events.Additionally,assembliesonlyrequireaplenarysetup.
Fairsusually involve an exhibit booth setup for a public event in which a

numberoforganizationsorcompaniesrepresentthemselvesand/oraproduct
or service, with a similar theme or purpose uniting the event. Associations,
governmentsorSMERFEgroupsmaypresentafair.
Civic Eventsis typically a local event, always produced by some form of

governmental entity. These are public events that always only require a
plenarysetup.
Entertainmentusuallyaconcertorsomeformofliveentertainment,owned
andorganizedbyaneventpromoterforthepublic.Entertainmenteventsonly
requireaproductionsetup.
Sportsrequireonlyaproductionsetup.Attendeestosportingevents,which
arealwaysorganizedbysportsenterprises,maybepublic,orregistered.Some
sportingeventshavebotharegisteredandpublicaspecttotheeventoverthe
spanofafewdays.
Trends
Thepurposeofthissectionistodescribetheconventionandmeetingindustryand
analyzetrendsinthenumberofevents,attendance,andthesupplyofmeetingand
expositionfacilities.
SupplyTrends
The convention center industry experienced significant yearovergrowth in

supply from 2000 through 2006. Since 2007, the rate of growth in supply has
slowed,butremainedpositive.Asthemajorityofconventionandmeetingfacilities
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involvepublicfunding,economicconditionsaffectthelevelofpublicinvestmentin
conventionandmeetingfacilitiesthatareintendedtostimulateeconomicactivity.
As poor economic conditions continue to constrain public budgets nationwide,
lackofavailablefundingforconventionandmeetingfacilitieswillcontinuetolimit
supply growth in the near future. As the economy improves, supply growth will
likely remain low as convention venue projects have long lead times due to
planning,financingandconstructionrequirements.
Anumberofmajorconventioncenterswillbeundergoingexpansionsinthenext
fewyears,asdescribedbelow.
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FIGURE42
FUTUREFACILITYEXPANSIONS
Year
2011
Project
PennsylvaniaConventionCenter
o239,000sqft.ofexhibitionspace
o123,000sqft.ofmeetingspace
o55,000sqft.ofballroomspace
2011
IndianaConventionCenter
o254,000sqft.ofexhibitionspace
o63,000sqft.ofmeetingspace
2012
MosconeConventionCenter
o$70millioninfacilityimprovements
2012
DallasConventionCenter
2013
AnaheimConventionCenter
2013
CoboConventionCenter
2013
WashingtonConventionCenter
o1,000roomheadquarterhotel
oAdding100,000sqftoutdoorplaza
oModestexpansion/facilityremodeling
2013
MusicCityCenter(Nashville)
oNew500,000+sqftcenter&800roomhotel
TBD
MiamiBeachConventionCenter
TBD
SanDiegoConventionCenter
TBD
KansasCityConventionCenter
TBD
Aurora,ColoradoGaylord
o 1,200roomhotel&____sqftoffundctionspace
oNewballroomandheadquarterhotel
o500roomhotel&350,000sqftoffunctionspace
As evidenced in the above facility expansions, the type of supply growth has
transformed in recent years to meet planners needs. Meeting and breakout
sessionshavebecomemorecommonduringlargeconventions,thusincreasingthe
needforadditionalmeetingspaceand/orflexiblefunctionspace.Astheindustry
has matured, meeting planner expectations for quality have increased, including
proximity of fullservice hotels to event facilities. Five of the 11 facilities above
plantoaddhotelroomsaspartoftheirexpansions.
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DemandTrends
TheCenterforExhibitionIndustryResearch(CEIR)hascreatedanindexoftotal
demandintheconventionandmeetingindustryandcomparedthedemandindex
totheUnitedStatesGDP.Thefollowingfiguredemonstrateshowthecombinedor
TotaldemandindexshownintheabovechartmovesinstepwiththeU.S.GDP.
FIGURE43RELATIONSHIPBETWEENGDPANDEXHIBITIONDEMAND
Source:CenterforExhibitionIndustryResearch
ThetotaldemandindexmovesgenerallyinstepwiththechangeinU.S.GDP.As
limited funding mechanisms have slowed supply growth, the struggling budget
situationsofcorporations,associations,andgovernmentalentitiesdecreasedtotal
demandforconventionandmeetingspacein2009.
EventplannersarereportingamoreoptimisticoutlookincomingyearsastheU.S.
economy continues to recover. The following figure provides snapshot of how
meetingplannershave predictedthattheirbusinesslevelstowouldchangeover
thepastthreeyears.
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FIGURE44
EVENTPLANNEROUTLOOK
2009
2010
2011
30%
43%
76%
19%
27%
16%
60%
29%
8%
Better
Flat
Worse
Source:MeetingPlannersInternational
Ascomparedtopredictionsfor2010,meetingplannersaremoreoptimisticonthe
improvementintheirmeetingbusinessfor2011.
Thefuturetrendsindemand,accordingtodatafromFutureWatch2010and2011,
showincreasednumberofeventsandattendance,butdecreasesinmeetinglength
and expenditures. The following table chart shows the average projected change
for2011inthesefourdemandindicators.
TABLE45
DEMANDINDICATORS
DemandIndicator
NumberofMeetings
ProjectedAttendance
AverageMeetingLength
AverageExpenditurePerMeeting
2010Predictions
2011Predictions
2.8%
4.5%
0.4%
0.4%
8.0%
2.0%
0.0%
5.0%
Source:FutureWatch
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In November of 2010, ExpoWeb conducted a survey of large convention and

tradeshowproducersontheirtopcriteriaforsiteselection.
FIGURE46
SITESELECTIONCRITERIA
HotelRoomPrices
75%
ConventionCenterandExhibitionHallSize
67%
AirportCapacityandAirfare
65%
HotelRoomAvailibility
63%
AvailibilityofOpenDates
59%
Source:FutureWatch
Inadditiontoactualfacilitysize,siteselection,thesurveyindicates,ishighlybased
on two important amenities hotels and airports. This reaffirms the changing
dynamicoftheconventionandmeetingindustrythatisnowfocusedonreducing
costs for the hosting organization and its attendees as well as maximizing
accessibility.
Conventionand
MeetingTrendsforthe
Future
Over the past few decades, the meeting and convention industry has evolved
dramatically from a budding industry to a more mature one that has become an
important driver of the national economy. As an established industry, the rapid
growthofthelastfourdecadeshasbeenfollowedbyaslowdowninsupplygrowth
in the late 2000s. As the economic recession continues to affect the level of
demand and available budgets for conventions and meetings, the industry
continuestoevolve.
Changes in Demand and Supply Transformation: As discussed earlier, the
maturity of the industry has sharply increased competitiveness in the industry.
Nearby or attached quality hotel rooms, flexible meeting space, as well as price
pointsatconventioncentersandhotels,andairportcapacityandratescontinueto
drive site selection, and, therefore, dictate how supply has and will continue to
change over time. Quality of convention facilities and hotels, in addition to size,
price,andproximity,continuetobeimportantfactorsinsiteselection.
Travel Costs: Organizations hosting and planning events, continue to work with
tightenedbudgets,asdoattendees.Recentincreasesintravelcostshavedecreased
thedesiretotravelforsomeattendeesandexhibitors.Inthelongrun,expansions
in the transportation system and continued innovations, as well as improved
economicconditions,thatreducecostsandincreasetheeaseofandaffordability,
totravelarelikelytosupportthegrowthofthemeetingindustry.
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Electronic Meetings: In recent years, industry experts have speculated that

improvements in telecommunications technology would supplant the need for
facetoface meetings. While data indicates that some meetings and events have
beenreplacedbywebinarsorotherelectronicformsofmeetings,inthelongrun,
electronic meetings act a demand generator for future meeting growth as it
expandsthenetworksandinteractionsofbusinessesandorganizations.
MixedUse Developments: For many cities, states, areas and developers
conventioncentershavebecomeanopportunitytospawnamixeduseattraction,
an area often including hotels, retail, dining, sports venues, and entertainment
options, in addition to a housing a convention center. Convention centers have
become the center of their own districts offering almost everything a delegate,
event organizer of exhibitor could want in one area. The growth of mixeduse
developments, particularly after economic conditions have improved, will
continuetochangethemeetingandconventionindustryassupplytransforms.
Implicationsfor
Tallahassee
Asthemeetingsindustryrebounds,meetingplannersandattendeeswillcontinue
to focus on reducing costs. As the capitol of Florida and headquarter city to
numerousstateassociations,Tallahasseeiswellpositionedtoenterthisindustry
as a lowcost alternative site to pricier locations. The following sections of this
report study Tallahassees event demand potential in the meetings industry and
themeetinginfrastructurerequiredtorealizethatpotential
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5.SurveyFindings
Overview
HVS conducted a survey of event planners to provide a basis for assessing the
potential demand for the proposed convention center and headquarter hotel in
Tallahassee, Florida. The purpose of this survey was to gather information from
professional event planners about their event needs and event destination
preferences.Includedinthesurveywerequestionsabouteventneeds,destination
preferencesandimpressionsofTallahasseeasadestinationforconductingevents.
Respondents included professionals from organizations representing national,
regional, state, and local associations, government entities, corporate and other
organizationsconductingorplanningevents.
Atotalof220respondentscompletedawebbasedsurveyorfollowuptelephone
interview.Thesurveyindicatedthatthereisaproposedmultipurposeconvention
and events center with a full services hotel for Tallahassee, Florida under
consideration. The proposed facility would include a multipurpose exhibition,
ballroom,andmeetingspace.The facilitywouldsupportconventionsandevents,
tradeshows,meetings,banquets,sports,andotherevents.
Acompletesurveyreportandtheaggregateresponsestoeachsurveyquestionare
presented in an appendix to this report. This section highlights key results that
indicate the required programming and potential performance of the proposed
conventioncenterandheadquarterhotel.
SurveyRespondents
In order to gain understanding of the type and size of the organizations

responding to the survey, HVS asked respondents a series of questions which
describe the organization. The figure below indicates the type of organizations
whichrespondedtothesurvey.
SurveyFindings
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FIGURE51RESPONDINGORGANIZATIONTYPE
PercentofRespondents
Association
Other
Government
SMERF
Corporate
Nonprofit
Entertainment
56%
11%
10%
9%
8%
5%
1%
More of than 50 percent of responding organizations indicated that they are

associations. Government and SMERF (Social Military Education Religious and
Fraternal)organizationsrepresent10and9percentofrespondents,respectively.
HVSaskedrespondentstoindicatethesizeoftheirmembership.
FIGURE52RESPONDINGORGANIZATIONMEMBERSHIP
1499
1,0002,499
500999
2,5004,999
10,000+
5,0009,999
40%
22%
14%
9%
9%
5%
Fortypercentofrespondingorganizationsaresmall,withlessthan500members,
whilethemajority,76percent,havelessthanonethousandmembers.
The following figure indicates the top ten industries represented by the
respondingorganizations.
SurveyFindings
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FIGURE53RESPONDINGORGANIZATIONINDUSTRY
Other
Medical
Health
Realestate
Law/JuvenileJustice/Cou
Financial
Sports
Technology/Computer
Agricultural/Fishery
Insurance
Education
36%
11%
10%
5%
5%
3%
3%
3%
3%
3%
3%
Respondents comprise a wide range of industries with no single industry

represented. Most respondents identified their industry as Other. The medical
and health industries are the most often cited sectors with 11 and 10 percent,
respectively.
AttendeeProfile
HVSaskedrespondentstoidentifythegeographicoriginoftheirmembersandto
indicatehowmemberstypicallytraveltotheirmeetingsandevents.Thefollowing
figurespresenttheseresults
FIGURE54GEOGRAPHICORIGIN
National/
International,
24%
Local,28%
Regional
(multistate),
25%
Statewide,51%
SurveyFindings
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FIGURE55ATTENDEETRANSPORTATION
Other,3%
Bus,2%
Plane,35%
Car,60%
Themajorityoftherespondingorganizationshaveastatewidemembershipbase.
Local organizations are the next highest group with regional and national
organizationseachmakingupapproximatelyonequarterofthetotalrespondents.
As such, most convention and meeting attendees would travel to an event in
Tallahasseeincarswith35percentusingairtravel.
EventProfileand
Preferences
HVS asked event planners to identify the types of events they regularly plan and
host. The following figure present the top ten event types that respondents
indicated.
FIGURE56EVENTTYPES
Meetings
Training/Workshops
Conferences
Convention(withexhibits)
Banquets
Convention(withoutexhibit)
Tradeshows(closedtopublic)
Consumershows(opentopublic)
Entertainmentshow/events
Sportscompetition/event
PercentofRespondentsAnsweringYes
94%
81%
76%
62%
50%
42%
26%
11%
10%
10%
SurveyFindings
5-4
Attachment # 1
Page 60 of 438
Most meeting planners who responded to the survey plan and host of variety of
meetings and other events throughout the year. Most respondents, 94 percent,
plan and host meetings for their organization. The majority of respondents host
conventionswithanexhibitcomponent.
HVSaskedmeetingplannerstoindicatewhethertheypreferaresort,downtown,
orotherlocationwhenplanninganevent.
FIGURE57ATTENDEETRANSPORTATION
Airport,7%
Suburban,
10%
ResortArea,
47%
Downtown,
35%
Almost half of the respondents indicated that they prefer a resort setting when
planning an event for their membership. The next most popular location is a
downtown,withsuburbanandairportlocationsbeingtheleastpreferred.
HVSaskedmeetingplannerstoassessrelativeimportanceofbookinganeventata
conventionvenuewithanadjacentheadquarterhotel.
FIGURE58IMPORTANCEOFHQHOTEL
Veryimportant
SomewhatImportant
Notveryimportant
Notimportantatall
58%
25%
8%
9%
SurveyFindings
5-5
Attachment # 1
Page 61 of 438
The vast majority of respondents, 83 percent, indicated that the presence of a

headquarterhoteliseitherVeryImportantorSomewhatImportantwhenmaking
theirplanningdecisions.
PerceptionsofCities
andBookingHistory
HVSaskedeventplannerstoconsiderallfactorsrelatedtobookinganeventand
rateseveral citiesinFlorida,including Tallahassee,onoverallattractivenessasa
convention destination. These cities would compete with Tallahassee for state
association meetings and conventions and other staterelated business. The
resultsarepresentedinthefigurebelowwitharatingof1indicatingthatacityis
considered not attractive in a particular factor and a 5 indicating that it is
consideredveryattractive.
FIGURE59RATINGCOMPETINGFLORIDACITIESASEVENTDESTINATION
NotAttractive
VeryAttractive
Orlando
4.1
Tampa
3.6
FortLauderdale
3.1
Miam i
2.9
WestPalm Beach
2.9
Jacksonville
2.8
Daytona Beach
2.6
FortMyers
2.5
St.Augustine
2.5
2.3
Tallahassee
2.2
Sarasota/Palmetto
Lakeland
1.8
Orlando received the highest average rating from meeting planners, followed by
Tampa and Fort Lauderdale. Tallahassee received a below average rating, rated
aboveonlySarasotaandLakeland.
HVSthenaskedmeetingplannerstolistthreevenuesandcitiesinwhichtheyhave
recently planned an event. The following figures present the top ten cities and
venueswhichreceivedthemostmention.
SurveyFindings
5-6
Attachment # 1
Page 62 of 438
FIGURE510TOPTENMOSTOFTENBOOKEDCITIESFOREVENTS
Orlando
141
Tampa
42
Tallahassee
35
Jacksonville
28
PalmBeach
21
St.Pete
15
Atlanta
15
Miami
14
Ft.Lauderdale
14
Naples
12
Destin
11
ThecityofOrlandoreceivedthegreatestnumberofmentions,significantlyabove
anyothercity.Tallahasseewasthethirdmostmentionedcity.Withtheexception
of Atlanta, Georgia, all of the top ten cities are in the state of Florida, suggesting
thatsmallercitiesinthesoutheasternUSdonotcompeteeffectivelywiththosein
Florida.
SurveyFindings
5-7
Attachment # 1
Page 63 of 438
FIGURE511TOPTENMOSTOFTENBOOKEDVENUESFOREVENTS
RosenCenterHotel
OrangeCountyConventionCenter
PalmBeachBreakers
GaylordPalms
Jacksonville HyattRegency
Tallahassee Civic Center
DisneyResortOrlando
OrlandoDoubletree
NaplesGrandHotel
HiltonClearwater
Two venues in Orlando, the Rosen Hotel and the Orange County Convention
Center, were the most often mentioned venues for past events. The Tallahassee
LeonCountyCivicCenter(CivicCenter)received5mentions.Eightofthetopten
venuesarehotelswithmeetingandconferencefacilities.
Perceptionsof
Tallahassee
HVS asked meeting planners to provide details on their overall perception of

Tallahasseeasameetingandeventdestination.Whenaskedtoratetheirlevelof
knowledge of Tallahassee as an event destination, 72 percent reported that they
areeitherveryknowledgeableorsomewhatknowledgeable.Fourteenpercent
reportedthattheyarenotknowledgeableatall.
HVS asked meeting planners to identify, in their own words, a key strength and
weakness for Tallahassee. The responses were analyzed and common responses
mergedtocreatethecombinedresultspresentedbelow.
SurveyFindings
5-8
Attachment # 1
Page 64 of 438
FIGURE512TALLAHASSEESTRENGTHS
CapitalCity/StateGovernment/Courts
Beauty
Easytogetaround/smalltown/friendly
Floridalocation/weather
History/Culture
College/Universitytown/Football
LowCost
ProximitytoGulf/BeachandNature
Distanceformembers
Cleanliness
49%
9%
8%
5%
3%
3%
2%
2%
1%
1%
FIGURE513TALLAHASSEEWEAKNESSES
LackofAirService/nodirectflights
Locationtofar/accessibility
LackofAdequateHotels
LackofAdequatemeetingfacilities
Nomajorattractions
NoConventionCenterwithHQHotel
NoBeach/Resort
Noconventionappeal
LackofEntertainment/dining
Hospitality
41%
15%
6%
5%
5%
5%
4%
3%
2%
1%
AlmosthalfoftherespondentsidentifiedTallahasseesroleasthestatecapitolas
its key strength. The citys beauty and friendly, small town, atmosphere also
received several mentions. Over forty percent of respondents identified
Tallahassees air service as its key weakness. Tallahassees location and relative
inaccessibilityalsorankedhigh.
The majority of meeting planners, 55 percent, had not hosted an event in
Tallahasseeinthepastthreeyears.Whenaskedthemainreasonfornotplanning
aneventinTallahassee,thoserespondentslistedthefollowingtypefivereasons.
SurveyFindings
5-9
Attachment # 1
Page 65 of 438
FIGURE514REASONSFORNOTSELECTINGTALLHASSEE
IndadequateFacilities
OrganizationdoesnotTravel
AirService
DestinationAppeal
Economicreasons
29.5%
28.6%
18.8%
11.6%
11.6%
Lack of adequate meeting facilities ranks as one of the most common reasons
event planners do not select Tallahassee for their events. Many organizations do
not rotate their events to different cities each year. This is the second most
common reason to not plan an event in Tallahassee. Air service also received a
numberofmentionsbytherespondents.
For those respondents who have hosted recent events in Tallahassee, HVS asked
them to list the specific venues which they have booked. The following figure
presentsasummaryofthemostcommonresponses.
FIGURE515VENUESSELECTEDFOREVENTSINTALLHASSEE
Hotel
GovernmentorBusinessOffice
ConferenceCenter/University
CivicCenter
Museum
36%
15%
12%
8%
2%
The area hotels are the most common location selected by the meeting planners
fortheirevents.Many eventsare alsoheldingovernmentofcorporateofficesas
wellasthenewTurnbullConferenceCenteratFSU.Only8percentofrespondents
reportedbookingtheCivicCenterfortheirevents.
HVSaskedmeetingplannerstoconsiderTallahasseedevelopinganewconvention
centerwithanadjacentheadquarterhotel.Assumingthefacilitywouldmeettheir
event programming needs, when asked how likely they would book an event in
suchafacility,meetingplannersrespondedasfollows.
SurveyFindings
5-10
Attachment # 1
Page 66 of 438
FIGURE516LIKELIHOODOFHOSTINGEVENTINNEWFACILITY
Somewhat
Unlikely, 10%
VeryUnlikely,
16%
Somewhat
Likely,31%
Neutral,17%
Verylikely,26%
The majority of respondents, 57 percent, report that they would be either very
likely or somewhat likely to book an event at a new convention center in
Tallahassee.Thefollowingsectionidentifiestheprogrammingneedsofthegroup
of meetings planners who are likely to host an event in Tallahassee if a future
conventionandhotelfacilitymeetstheirspaceandhotelroomrequirements.This
analysisformsthebasisfortheprogrammingrecommendationswhicharefound
inSection6ofthisreport.
EventCharacteristicsof
Organizations
Interestingin
Tallahassee
HVScompiledtheevent characteristicsofthoseorganizations,whoexpressedan
interest in hosting their events in Tallahassee. The following figures present the
resultsofthisanalysis.
SurveyFindings
5-11
Attachment # 1
Page 67 of 438
FIGURE517ORGANIZATIONSIZE(NUMBEROFMEMBERS)
5,0009,999,3%
10,000+,6%
2,5004,999,
10%
1 499,47%
1,0002,499,
24%
500 999,10%
Almost half, 47 percent, of the organizations interested in hosting events in

Tallahassee are small, with less than 500 members. A significant majority, 81
percent,havelessthan2,500members.
SurveyFindings
5-12
Attachment # 1
Page 68 of 438
FIGURE518NUMBEROFATTENDEES
2,5004,999,1%
5,000+,4%
1,0002,499,9%
500999,17%
1 499,70%
The majority of meeting planners interested in hosting events in Tallahassee, 70

percent, report that those events would be smaller events with less than 500
attendees.87percentofeventswouldhavelessthan1,000attendees.
FIGURE519NUMBEROFEXHIBITORS
250+,2%
100249,16%
5199,14%
150,68%
SurveyFindings
5-13
Attachment # 1
Page 69 of 438
Similarly,themajorityofinterestedmeetingplanners,68percent,reportthatthe
number of exhibitors at their events would be 50 or fewer. 82 percent of events
wouldhavelessthan100exhibitors.
FIGURE520REQUIREDEXHIBITSPACE(SQUAREFEET)
50,000
100,000,13%
100,001+,1%
25,00049,999,
10%
124,999,77%
The relatively small number of exhibitors translates into a relatively low exhibit
space requirement. The majority of events, 77 percent, would require less than
25,000squarefeetofexhibitspace.Ninetyninepercentofeventswouldbeableto
usea100,000squarefootexhibithall.
SurveyFindings
5-14
Attachment # 1
Page 70 of 438
FIGURE521REQUIREDBANQUETSPACE(NUMBEROFPEOPLE)
2,501+,8%
1,0002,500,7%
501999,8%
1 249,39%
250500,37%
Similar to the number of event attendees, over 70 percent of meeting planners

report requiring banquet seating for 500 people or less, which can be
accommodated by a 6,000 square foot ballroom. A 12,000 square foot ballroom
can accommodate up to 1,000 people, or 84 percent of interested meeting
planners.
SurveyFindings
5-15
Attachment # 1
Page 71 of 438
FIGURE522REQUIREDMEETINGSPACE(NUMBEROFROOMS)
20+,7%
1019,16%
14,43%
59,34%
Themajorityofinterestedmeetingplanners,77percent,couldbeaccommodated
by 10 or fewer break out meeting rooms. Ninety three percent of events require
lessthan20meetingrooms.
HVS also asked meeting planners to identify their preferred and minimum room
blockrequirementsfortheirevent.
FIGURE523HOTELROOMBLOCKMINUMUMANDPREFERREDNUMBEROF
ROOMS
1100
101249
250499
500999
1,000+
Minimum
Preferred
52%
39%
16%
15%
21%
31%
8%
12%
3%
3%
Themajorityofinterestedmeetingplanners,52percent,wouldbesatisfiedwitha
roomblockof100roomsorfewer;however,thispercentagedropsto39percent
when asked what size room block they prefer. Similarly, 68 percent of meeting
SurveyFindings
5-16
Attachment # 1
Page 72 of 438
planners would accept a room block of fewer than 250 rooms, while only 54
percentpreferlessthat250rooms.
FIGURE524HOTELROOMRATEMAXIMUMANDPREFERRED($)
Under$100
$101$149
$150$199
$200$249
$250+
Maximum
17%
35%
37%
8%
3%
Preferrred
48%
33%
16%
3%
0%
Almosthalfofinterestedmeetingplannerswouldpreferaroomrateof100dollars
orless,butonly17percentconsiderthisrateamaximum.81percentofplanners
prefer a rate less than 150 dollars, with 52 percent considering this a maximum
rate.Mostmeetingplanners,89percent,wouldbeunwillingtoacceptaroomrate
above200dollars.
Implicationsfor
ProposedConvention
Center
Themeetingplannerssurveyprovidesinsightintothetypesofeventsthatwould
likelyfilltheproposedfacility.Italsohighlightsthestrengthsandweaknessesof
theTallahasseemarketfromtheperspectiveofitscurrentandfutureclients.Key
implicationsandconclusionsincludethefollowing:
Convention, conferences, training workshops, and meetings hosted by

State associations make up the majority of potential demand for the
proposedfacility.
Thepresenceofanadjacentheadquartershotelisimportantforthefuture
successofthefacility.
The market share of the proposed facility, which would compete mainly
with other facilities in Florida, would be diminished due to Tallahassees
locationinthenorthernpartofthestateanditsinferiorairservice.
The market share of the proposed facility would be strengthened by the

presenceofStategovernment.
For those meeting planners interested in hosting event at the proposed

conventioncenter,mostplansmallereventsintermsofattendees,exhibit
space,andotherprogramrequirements.
SurveyFindings
5-17
Attachment # 1
Page 73 of 438
6.ComparableConventionCenterVenues
Thisanalysisofcomparablevenuesprovidesabasisforforecastsofeventdemand
andfinancialoperations.Theanalysiscomparesthefunctionspacesineachofthe
facilities, adjacent hotel capacities, and characteristics of the markets that are
relevant to the success of the venues. It concludes with an assessment of the
relativestrengthsandweaknessesofTallahassee.
Tallahassee competes directly with other cities in the State of Florida and in the
southeastUSforashareofthemeetingsmarket.Eventplannersselecthostcities
for their events based the overall package that a city may offer. Several factors
determine a citys overall strength and potential in the meetings market. These
factors include the attributes of the convention facilities, lodging supply, the
economic and demographic profile of the community, transportation access,
tourism amenities, and overall destination appeal. This analysis will help in
understanding the competitiveness of Tallahassee and the Proposed Convention
CenterandHeadquarterHotel.
HVSanalyzedthreesetsofvenues:
ConventionandconferencefacilitiesinFloridathatofferexhibit,ballroomand
meeting space and would compete directly with the Proposed Convention
Center for state, regional, and national business. For the purpose of this
analysis, the Orange County Convention Center in Orlando is considered an
outlierintermsoffacilitysizeandis,therefore,notincluded.
ConventionandconferencefacilitiesinthesoutheasternUSthatofferexhibit,
ballroom and meeting space and would compete directly with the Proposed
ConventionCenterforregionalandnationalbusiness
Convention and conference facilities in other U.S. state capitols that offer
exhibit, ballroom, and meeting space and would be comparable to the
proposedconventioncenter.
HVSanalyzedcompetitivevenuesshowninthefigurebelow.
6-1
Attachment # 1
Page 74 of 438
FIGURE61
COMPARABLEVENUES
Name of Venue
Total Function
Space
Location
Competitive State Venues

Broward County Convention Center
James L. Knight Center
Lakeland Center
Manatee Civic and Convention Center
Miami Beach Convention Center
Ocean Center
Palm Beach County Convention Center
Prime Osborne Convention Center
Sarasota Bradenton Convention Center
Tampa Convention Center
ExhibitionSpace
Assessment
Fort Lauderdale
Miami
Lakeland
Palmetto
Miami
Daytona Beach
Palm Beach
Jacksonville
Sarasota
Tampa
FL
FL
FL
FL
FL
FL
FL
FL
FL
FL
297,855 sf
28,000
63,924
47,400
647,848
211,475
140,575
112,375
97,920
278,767
Competitive Regional Venues

Baton Rouge River Center
Birmingham-Jefferson Convention Complex
Charlotte Convention Center
Virginia Beach Convention Center
Jackson Convention Complex
Mobile Convention Center
Myrtle Beach Convention Center
Charleston Area Convention Center
Von Braun Center
Savannah International Trade & Convention Center
Shreveport Convention Center
Baton Rouge
Birmingham
Charlotte
Virginia Beach
Jackson
Mobile
Myrtle Beach
North Charleston
Huntsville
Savannah
Shreveport
LA
AL
NC
VA
MS
AL
SC
SC
AL
GA
LA
133,000 sf
344,000
406,875
208,893
107,241
141,366
131,931
101,960
160,626
140,106
131,460
Comparable National Venues

Monona Terrace Convention Center
Austin Convention Center
Columbia Metropolitan Convention Center
Empire State Plaza Convention Center
Greater Richmond Convention Center
Lansing Center
Raleigh Convention Center
Salem Conference Center
Madison
Austin
Columbia
Albany
Richmond
Lansing
Raleigh
Salem
WI
TX
SC
NY
VA
MI
NC
OR
68,370 sf
364,439
56,980
40,250
255,736
94,874
211,061
25,370
Exhibition space is critical for several types of events such as conventions,

tradeshows, and consumer shows. The amount and quality of exhibition space
determines the size and types of events that the venue can accommodate. The
exhibitionspaceavailableateachoftheselectedcomparablefacilitiesprovidesan
indicationoftheamountofspacethatisappropriateforTallahassee.
6-2
Attachment # 1
Page 75 of 438
FIGURE62
EXHIBITIONSPACEINCOMPARABLEVENUES
CompetitiveStateVenues
TampaConventionCenter
BrowardCountyConventionCenter
OceanCenter
PalmBeachCountyConventionCenter
SarasotaBradentonConventionCenter
PrimeOsborneConventionCenter
ManateeCivicandConventionCenter
JamesL.KnightCenter
LakelandCenter
Average
CompetitiveRegionalVenues
CharlotteConventionCenter
BirminghamJeffersonConventionComplex
VirginiaBeachConventionCenter
VonBraunCenter
MyrtleBeachConventionCenter
BatonRougeRiverCenter
MobileConventionCenter
SavannahInternationalTrade&ConventionCenter
ShreveportConventionCenter
CharlestonAreaConventionCenter
JacksonConventionComplex
Average
ComparableNationalVenues
AustinConventionCenter
GreaterRichmondConventionCenter
RaleighConventionCenter
LansingCenter
MononaTerraceConventionCenter
EmpireStatePlazaConventionCenter
ColumbiaMetropolitanConventionCenter
SalemConferenceCenter
Average
sf
502,848
200,000
199,526
167,760
99,300
93,000
78,540
32,400
28,000
27,848
142,922
sf
280,000
220,000
150,012
106,800
100,800
100,000
100,000
97,750
95,000
76,960
60,000
126,120
sf
246,097
178,159
145,843
71,760
37,200
26,400
24,700
11,400
92,695
#halls
31
3
4
2
2
2
2
2
3
2
5
#halls
4
7
4
5
3
3
2
2
3
3
2
3
#halls
5
4
3
3
2
2
1
4
3
6-3
Attachment # 1
Page 76 of 438
In the State of Florida, the larger exhibit halls are located in beach destinations
such as Miami Beach, Tampa, Fort Lauderdale, and Daytona Beach. Other inland
citiesgenerallyhavesmallerexhibithallswithlessthan100,000squarefeet.With
over500,000squarefeetofexhibitspace,theMiamiBeachConventionCenterisa
clear outlier in the data set. Removing this venue from the calculation drops the
average exhibit hall size to just over 142,000 square feet. The southeastern
regional venues have exhibit halls which range in size from 60,000 to 280,000
square feet. Six of the eleven venues in this set, however, have exhibit halls with
approximately100,000squarefeet.Thenationalstatecapitolshaveawiderrange
ofexhibithallsizerangingfrom11,400squarefeetinSalem,ORto246,000square
feetinAustin,TX.Populationbaseandproximitytolargermetropolitanareasboth
influencetheexhibithallneedsinastatecapitol.
BallroomSpace
Assessment
Banquetspaceisimportantforconventioncentersasfacilityoperatorsattemptto
grow food service revenues at their facilities and event planners seek a higher
levelofservicefortheirattendees.Inadditiontosocialevents(suchasweddings
and fundraisers) that host banquets, several other types of events, such as
conventionsandtradeshows,typicallyrequirefoodservicesinaballroomsetting.
General assemblies at conventions and tradeshows are often held in a ballroom
and with a theater or banquet setup. Consequently, the size of the ballroom can
determine a venues event size capacity. Divisibility and the ability to host
simultaneous events that require banquet space are important considerations in
developing demand projections. The figure below compares of available banquet
spaceinthecomparablevenues.
6-4
Attachment # 1
Page 77 of 438
FIGURE63
BALLROOMSPACEINCOMPARABLEVENUES
OceanCenter
LakelandCenter
JamesL.KnightCenter
Average
VonBraunCenter
Average
LansingCenter
Average
sf
52,047
36,000
21,978
11,715
10,140
5,089
0
0
0
0
22,828
sf
75,289
39,464
31,029
26,000
25,000
25,000
25,000
24,000
18,000
16,890
15,508
29,198
sf
66,718
32,617
30,550
25,000
17,135
13,524
13,320
8,750
25,952
#divisions
12
4
4
3
2
2
0
0
0
0
5
#divisions
4
8
3
2
5
6
3
2
4
5
2
4
#divisions
7
3
3
1
3
4
8
6
4
Not all convention venues in the State of Florida have dedicated ballroom space
suggesting that exhibition and other multipurpose or prefunction spaces can be
setupforbanquetsandothersocialeventswhenneeded.Thisisespeciallytruefor
the Miami Beach Convention Center, which houses the largest amount of exhibit
space,butnodedicatedballroom.Ofthosevenueswithdedicatedballroomspace,
6-5
Attachment # 1
Page 78 of 438
theaverageisapproximately23,000squarefeet.Thecompetitiveregionalvenues
all have ballroom space with sizes that vary from approximately 15,000 square
feettoover75,000squarefeet.Despitethewiderange,fiveoftheelevenvenues
have ballrooms with approximately 25,000 square feet. Similar to exhibit hall
sizes,ballroomcapacityforthecomparablenationalstatecapitolsetvarieswidely.
WiththeexceptionoftheEmpireStatePlazainAlbany,NY,whichhasarelatively
smallamountofexhibitspace,ballroomsizeroughlytrackswithexhibithallsize.
Meeting/Breakout
RoomAssessment
Meeting rooms can accommodate subgroups as they break out of larger general
sessions at conventions and tradeshows. Additionally, these smaller rooms can
accommodate selfcontained meetings, training sessions, seminars, classes, and a
variety of small meeting functions. A facilitys meeting rooms are often its most
frequently used function spaces. Generally, convention centers should offer
meetingspacethatisproportionatetotheamountofexhibitionspaceavailableat
the facility. However, the optimum amount of meeting space can vary depending
onafacilitystargetmarket.
Thefollowingfigurepresentsacomparisonofavailablemeetingspace.
6-6
Attachment # 1
Page 79 of 438
FIGURE64
MEETINGSPACEINCOMPARABLEVENUES
OceanCenter
LakelandCenter
JamesL.KnightCenter
Average
VonBraunCenter
Average
LansingCenter
Average
sf
145,000
46,282
42,767
32,000
30,987
20,329
19,297
15,000
4,920
0
39,620
sf
100,000
51,586
27,852
25,858
22,241
18,460
17,356
14,241
11,972
10,000
7,000
27,870
sf
53,384
47,027
32,601
17,646
15,145
14,250
9,794
5,220
24,383
#rooms
72
31
40
36
11
19
18
7
4
0
26
#rooms
74
37
21
16
22
11
13
17
11
20
8
23
#rooms
49
32
20
14
11
7
9
3
18
The above figure demonstrates that the majority of venues house meeting space
area that is consistent with relative exhibit hall size. Of the competitive state
venues,theMiamiBeachConventionCenterisagaintheoutlierwithover100,000
moresquarefeetofmeetingspacethanitsclosestcompetitor,theBrowardCounty
Convention Center. Removing this venue from the calculation drops the average
6-7
Attachment # 1
Page 80 of 438
meeting room space to just over 26,000 square feet with an average of 21
divisions. The competitive regional venues average approximately 28,000 square
feet of meeting space with 21 divisions. The comparable national venue have
slightly less meeting space with an average of approximately 25,000 square feet
and18divisions.
AdjacentHotel
Capacity
Thequalityandproximityofhotelsupplyhasincreasinglybecomeoneofthemost
importantselectionfactorsforfacilityusersinrecentyears.Toattractoutoftown
groups, an adequate supply of nearby hotel rooms should support the lodging
needsofdelegates,exhibitors,andotherattendees.Proximityandconnectivityare
critical factors that event planners consider in evaluating overall hotel packages
available in competing communities. Generally, the number of rooms offered at
oneormorehotelsthatareadjacentorconnectedtotheconventioncenteristhe
key point of comparison. Other factors that can be important are hotel brands,
service levels, building ages, management, and available meeting and banquet
spacesinthesehotels.
6-8
Attachment # 1
Page 81 of 438
FIGURE65
ADJACENTORINTEGRATEDHOTELCAPACITY
JamesL.KnightCenter
LakelandCenter
OceanCenter
Average
VonBraunCenter
Average
LansingCenter
Average
615
589
360
135
127
0
0
0
0
0
365
757
700
403
402
372
313
300
295
292
0
0
426
800
401
400
240
222
193
0
0
376
DuetoastrongtourismmarketandalargenumberofhotelsinthestateofFlorida,
many of the states venue do not have a traditional attached headquarter hotel.
Hotel options relatively close to a venue are typically plentiful. Despite this, the
importanceofanadjacenthoteltomeetingplannersandattendeeshasprompted
6-9
Attachment # 1
Page 82 of 438
some communities, such as Daytona Beach, to pursue headquarter hotel

developments.Thecompetitiveregionalcitiesfollowmoretraditionalconvention
infrastructure development with most of the convention center adjoining a hotel
propertywithanaverageof426rooms.Similarly,mostofthecomparablenational
venues have a headquarter hotel with room count roughly based on convention
venuesize.
PopulationComparison
Local area population and income data can provide evidence of a communitys
overalleconomicsizeandabilitytosupportpublicservicesandvisitoramenities
thatareimportantforconventioncenterusers.Becausemostconventioncenters
primarily target outoftown users, local area population figures rarely have an
indirectcorrelationwithoveralldemandpotential.However,populationdatacan
provideabasisforunderstandingacommunitysabilitytosupportandsustaina
convention center, the surrounding neighborhood and market. Additionally,
demand potential for certain types of events such as locallygenerated meetings,
banquets, religious events, graduation ceremonies, and consumer shows can be
linkedtopopulation.
6-10
Attachment # 1
Page 83 of 438
FIGURE66
MSAPOPULATIONANDAVERAGEHOUSEHOLDINCOME
2010
MSAPopulation
FortLauderdale
Miami
Miami
Tampa
Jacksonville
PalmBeach
Palmetto
Sarasota
Lakeland
DaytonaBeach
Tallahassee
AVERAGE
Charlotte
VirginiaBeach
Birmingham
BatonRouge
NorthCharleston
Jackson
Mobile
VonBraunCenter
Huntsville
Shreveport
ProposedTallahasseeConventionCenter
Tallahassee
Savannah
MyrtleBeach
AVERAGE
Austin
Richmond
Raleigh
Albany
Columbia
Madison
LansingCenter
Lansing
Salem
Tallahassee
AVERAGE
JamesL.KnightCenter
LakelandCenter
OceanCenter
Average
HouseholdIncome
FL
FL
FL
FL
FL
FL
FL
FL
FL
FL
FL
5,421,171
5,421,171
5,421,171
2,768,308
1,341,061
1,268,183
693,503
693,503
598,427
500,272
364,687
1,619,452
73,346
73,346
73,346
65,506
71,493
83,642
70,739
70,739
58,088
59,280
62,682
68,097
NC
VA
AL
LA
SC
MS
AL
AL
SD
FL
GA
SC
1,792,914
1,655,891
1,130,578
782,361
665,385
542,341
409,814
409,050
391,434
364,687
344,152
270,876
729,957
75,231
72,080
68,835
64,910
69,924
63,938
54,942
70,833
57,193
62,682
65,037
57,259
65,239
TX
VA
NC
NY
SC
WI
MI
OR
FL
1,746,059
1,249,397
1,157,568
856,651
746,979
572,775
452,869
401,490
364,687
838,719
79,388
76,677
80,529
73,843
64,341
78,609
63,316
59,223
62,682
70,956
Source:DemographicsNow
6-11
Attachment # 1
Page 84 of 438
Tallahasseehasoneofthesmallestpopulationbasesinallthreecomparablesets,
significantly smaller than many of the cities with which it will be competing for
business. Similarly, Tallahassees population base has an average household
incomebelowtheaveragesofthecomparablesets.
CorporateComparison
Thedensityandbreadthofacityscorporatebaseisagoodindicatorofpotential
in the meetings industry. A citys established presence in a particular industry
makes it a more attractive destination for conventions, conferences, training and
other industryspecific events. Smaller corporations drive demand through
corporate meetings, industry conferences, and social events. The presence of
Fortune500firmsindicatestheoverallcorporatebaseandeconomicstrengthofa
city. The following figure demonstrates how Tallahassee compares with the
competitivesetsintermsofthetotalnumberofbusinessestablishmentsandthe
numberofFortune500corporations.
6-12
Attachment # 1
Page 85 of 438
FIGURE67NUMBEROFBUSINESSESTABLISHMENTSANDFORTUNE500COMPANIES
2010Total
BusinessEstablishments
FortLauderdale
Miami
Miami
Tampa
PalmBeach
Jacksonville
Palmetto
Sarasota
DaytonaBeach
Lakeland
Tallahassee
AVERAGE
VirginiaBeach
Birmingham
BatonRouge
Charlotte
NorthCharleston
Jackson
Shreveport
VonBraunCenter
Huntsville
Mobile
MyrtleBeach
Tallahassee
Savannah
AVERAGE
Austin
Richmond
Raleigh
Albany
Columbia
Madison
LansingCenter
Lansing
Tallahassee
Salem
AVERAGE
JamesL.KnightCenter
OceanCenter
LakelandCenter
Fortune
500Companies
FL
FL
FL
FL
FL
FL
FL
FL
FL
FL
FL
258,932
258,932
258,932
101,425
62,937
50,634
29,998
29,998
20,401
17,740
14,454
69,565
3
3
3
3
2
3
0
0
0
1
0
2
VA
AL
LA
NC
SC
MS
LA
AL
AL
SC
FL
GA
55,955
44,340
31,010
27,218
27,218
22,156
15,689
15,415
15,386
15,079
14,454
14,323
24,854
2
1
1
6
0
0
0
0
0
0
0
0
1
TX
VA
NC
NY
SC
WI
MI
FL
OR
66,140
45,507
43,494
33,358
27,992
27,502
17,792
14,454
13,717
32,217
1
5
2
0
0
1
1
0
0
1
Source:DemographicsNow,FortuneMagazine
6-13
Attachment # 1
Page 86 of 438
Tallahassee has the fewest number of business establishments in the statewide

competitivesetandrankslowascomparedtotheregionalandnationalsets.This
suggests weaker demand potential from corporate clients and less interest for
association meeting planners . With no Fortune 500 firms and a relatively small
number of business establishments Tallahassee has a small corporate base upon
whichtodrawsignificantdemand.
AirServiceCapacity
Transportationlinkages,includingairports,canplayacriticalroleinthesuccessof
conventioncentersthattargetregionalandnationalusergroups.Oneofthebest
indicators of an airports ability to enhance a convention centers draw is its
servicecapacity,generallymeasuredastotalannualpassengervolume,ortraffic.
An airport with relatively high annual passenger volumes generally is more
convenient and has a wider draw than an airport with relatively low annual
passengervolumes.
6-14
Attachment # 1
Page 87 of 438
FIGURE68AIRSERVICEATPRIMARYAIRPORTS
PrimaryAirport
2010Passengers
Miami FL
Miami FL
Lakeland FL
FortLauderdale FL
Tampa FL
PalmBeach FL
Jacksonville FL
Palmetto FL
Sarasota FL
Tallahassee FL
DaytonaBeach FL
AVERAGE
Charlotte NC
VirginiaBeach VA
Birmingham AL
NorthCharleston SC
Savannah GA
Jackson MS
VonBraunCenter
Huntsville AL
MyrtleBeach SC
BatonRouge LA
Tallahassee FL
Mobile AL
Shreveport SD
AVERAGE
Salem OR
Raleigh NC
Austin TX
Richmond VA
Albany NY
Madison WI
Columbia SC
Tallahassee FL
LansingCenter
Lansing MI
AVERAGE
JamesL.KnightCenter
LakelandCenter
OceanCenter
35,698,025
35,698,025
34,877,899
16,645,765
16,645,765
5,887,723
5,601,500
1,332,680
1,332,680
670,978
420,803
10,362,905
38,254,207
3,332,466
2,950,429
2,021,328
1,653,302
1,229,340
1,171,147
867,106
778,587
670,978
567,910
508,363
4,500,430
13,184,843
9,101,870
8,693,708
3,305,199
2,531,323
1,514,927
1,003,375
670,978
257,350
4,473,730
Source:HVS
6-15
Attachment # 1
Page 88 of 438
The passenger counts at Tallahassee Regional Airport indicate a below average

levelofcapacityforoutofstatetravel.Tallahasseescurrentairservicelevelsstill
falls well below most of its competitors and direct access to other national
destinationsislimited.
TravelCosts
Comparison
Travelcostsassociatedwithattendingaconventioncentereventcancontributeto
afacilitysoverallabilitytoattractdelegates,exhibitors,andattendees.Hightravel
costs can become a deterrent for certain types of groups in a facilitys potential
market whereas low travel costs can be a competitive advantage in attractive
certainpricesensitivegroups.Figure314evaluatesthreeprimarytravelexpense
categories that include costs associated with hotel accommodations, meals, and
carrentals.
6-16
Attachment # 1
Page 89 of 438
FIGURE69COMPARISONOFESTIMATEDTRAVELCOSTS
Hotel
JamesL.KnightCenter
Miami FL
Miami FL
FortLauderdale FL
Tampa FL
Jacksonville FL
Palmetto FL
Sarasota FL
LakelandCenter
Lakeland FL
Tallahassee FL
PalmBeach FL
OceanCenter
DaytonaBeach FL
AVERAGE
Charlotte NC
Jackson MS
NorthCharleston SC
Birmingham AL
BatonRouge LA
VirginiaBeach VA
Tallahassee FL
Mobile AL
Savannah GA
Shreveport LA
VonBraunCenter
Huntsville AL
MyrtleBeach SC
AVERAGE
Austin TX
Albany NY
Richmond VA
Raleigh NC
Madison WI
Tallahassee FL
Columbia SC
LansingCenter
Lansing MI
Salem OR
AVERAGE
$172.18
172.18
155.32
148.30
133.28
145.30
145.30
136.40
128.44
$148.52
$149.53
131.60
147.87
142.35
131.14
138.74
128.44
130.77
123.38
119.29
Car
PerDiemRates
Food
$121.77
121.77
110.23
91.96
102.18
95.13
95.13
99.58
78.81
na
na
$101.84
$103.32
116.60
82.29
79.63
85.56
72.67
78.81
68.14
74.72
68.39
Total
$121.59
121.59
91.38
90.29
89.33
84.16
84.16
86.22
81.73
$415.54
415.54
356.93
330.55
324.79
324.59
324.59
322.20
288.98
$94.49
$344.86
$110.89
82.64
79.95
86.22
90.05
81.90
81.73
85.55
85.18
81.79
$363.74
330.84
310.11
308.20
306.75
293.31
288.98
284.46
283.28
269.47
$86.59
$303.91
na
na
$134.31
$162.97
165.85
142.29
132.56
131.00
128.44
123.22
$140.90
$83.01
$138.23
106.06
94.59
91.68
79.00
78.81
69.37
na
na
$93.96
$107.19
111.72
93.56
99.00
99.31
81.73
83.44
$408.39
383.63
330.44
323.24
309.31
288.98
276.03
$96.56
$331.43
Source:BusinessTravelNews2010CorporateTravelIndex
VisitorstoTallahasseeenjoylowerpercapitaspendinglevelsthanthemajorityof
it competing cities. This is a distinct advantage for Tallahassee when trying to
attractmorepricesensitivegroups,suchasSMERFandgovernmentconventions.
6-17
Attachment # 1
Page 90 of 438
Conclusionsand
Implicationsfor
Tallahassee
When analyzed in the context of the overall market characteristics, a study of

comparable cities and venues is important indicator of the appropriate
programmingforaconventioncenterinTallahassee.Itisimportanttopositionthe
venuetobeabletoattractitsfairshareofeventsintheverycompetitiveFlorida
meetingsmarket.
Astudyofmarketcharacteristicsalsoprovidecluesastothepotentialnumberand
typeofeventsthatwouldmakeupthedemandprofileoftheproposedconvention
center. As compared to the in state competition and other venues in cities in the
southeasternU.S.,thedepthandbreadthoftheTallahasseeeconomyissomewhat
limited. Government functions, rather than corporations comprise the bulk of
employment, resulting in fewer business establishments and a lower median
householdincomeforitsresidents.Whilemuchofaconventioncentersdemand
comes from sources outside of a city, the overall strength of the local economy
does indicate its ability to fund the collateral development and other programs
that support the convention center. Additionally, a markets strength in a given
industry can generate trade shows, conventions and meetings. Local corporate
groupsarealsoanimportantsourceofmeetingandbanquetdemand.Airservice
to Tallahassee is limited, making the City a less convenient and more expensive
destination for meeting attendees who arrive by plane. Once in Tallahassee,
however, attendee costs for lodging, meals, car rental are lower than most other
cities. In total the comparable venue analysis presented in this section points to
belowaveragedemandlevelsforTallahasseeandademandprofilewithahigher
percentageofpricesensitiveattendees.
6-18
Attachment # 1
Page 91 of 438
7.BuildingProgramRecommendations
HVS relied on an indepth user survey, other market research, a site inspection,
review of comparable convention centers, analysis of historical operations at the
TallahasseeLeonCountyCivicCenter(CivicCenter),andknowledgeofindustry
practices to recommend a convention center program for the proposed
TallahasseeConventionCenter(TCC)andintegratedheadquarterhotelproperty.
This facility program should serve as a guide for subsequent physical planning
aimedatprovidingthedesiredprogramelementsontheproposedsite.
Currently, the Civic Center provides a valuable resource for civic events and
consumer shows; however, a review of historical demand (see Section 8),
demonstrates that the Civic Center under performs its peers with respect to its
ability to attract conventions and tradeshows. As presented in Section 5, user
surveys clearly indicate that a key reason for meeting planners not selecting
Tallahassee asahostcityfortheireventsis alackof adequatemeeting facilities.
Alsocitedisthelackofanadequatehotelroomblockinaproximateorintegrated
hotelproperty.
HVS program recommendations place the new TCC and headquarter hotel in the
positiontoservelocaldemandforcivicandsportingeventsandattractstateand
regional conventions and tradeshows. Functional requirements revolve around
the principal that the venue must host simultaneous events with different venue
needs, such as local public shows that use exhibition space, corporate meetings
that use meeting and banquet space, and sporting events which use exhibition
space as the main competition area and meeting rooms for staging and other
supportfunctions.
Other key assumptions that influence our convention center program
recommendationsinclude:
The Civic Center will continue as an independent operation in its current

locationasthemaincivicarenafortheTallahasseearea.
ThecloseproximityoftheCivicCentertotheproposedTCCsitewouldallow
forcoordinatedeffortstobooklargereventswhichcouldutilizebothvenues.
The proposed headquarters hotel would independently operate the meeting

andballroomareascontainedwithinthehotelfootprint.Bookingpolicywould
allowVisitTallahasseeandTCCstafflongrangebookingaccesstotheseareas
formajorconventions,tradeshows,andotherhighimpactevents
7-1
Attachment # 1
Page 92 of 438
ConventionCenter
Program
Recommendations
HVSrecommendsnew buildinginfrastructuresuchthattheproposedTCCstotal
conventionfacilitypackageincludesapproximately:
A100,000squarefootmultipurposehall,divisibleinto4divisions,
A15,000squarefootballroomwith4maindivisionsand6subdivisions,
27,000 square feet of flexible meeting space with 20 main divisions and a
varietyofroomsizesandconfigurations,and
Aheadquarterhotelwith300guestrooms.
The following figure shows the recommended amounts and capacities of event
spacesattheproposedconventioncenterandheadquartershotel.
7-2
Attachment # 1
Page 93 of 438
FIGURE71
FACILITYPROGRAMRECOMMENDATIONS
SeatingCapacities
EventSpace
TotalArea
(SF)
Theatre
Banquet
Classroom
12
14.5
Exhibit
Booths
(10'x10')
CONVENTIONCENTER
ExhibitHall
SubDi vi s i ons
Threefourths Ha l l
Ha l fHa l l
Qua rterHa l l
100,000
11,100
8,300
6,900
570
75,000
50,000
25,000
8,330
5,560
2,780
6,250
4,170
2,080
5,170
3,450
1,720
430
290
140
MeetingRooms
RoomBl ock1
Subdi vi s i on1a
Subdi vi s i on1b
Subdi vi s i on1c
Subdi vi s i on1d
15,000
8,000
2,000
2,000
2,000
2,000
890
220
220
220
220
670
170
170
170
170
550
140
140
140
140
RoomBl ock2
Subdi vi s i on2a
Subdi vi s i on2b
Subdi vi s i on2c
Subdi vi s i on2d
6,200
1,550
1,550
1,550
1,550
690
170
170
170
170
520
130
130
130
130
430
110
110
110
110
Boa rdrooms (2)
400
HEADQUARTERHOTEL
Ballrooom
SubDi vi s i ons
Di vi s i on1
Subdi vi s i on1a
Subdi vi s i on1b
Subdi vi s i on1c
Di vi s i on2
Di vi s i on3
Di vi s i on4
Subdi vi s i on4a
Subdi vi s i on4b
Subdi vi s i on4c
15,000
1,670
1,250
1,030
3,750
1,250
1,250
1,250
3,750
3,750
3,750
1,250
1,250
1,250
420
140
140
140
420
420
420
140
140
140
310
100
100
100
310
310
310
100
100
100
260
90
90
90
260
260
260
90
90
90
MeetingRooms
RoomBl ock1
Subdi vi s i on1a
Subdi vi s i on1b
Subdi vi s i on1c
Subdi vi s i on1d
12,000
6,000
1,500
1,500
1,500
1,500
670
170
170
170
170
500
130
130
130
130
410
100
100
100
100
RoomBl ock2
Subdi vi s i on2a
Subdi vi s i on2b
Subdi vi s i on2c
Subdi vi s i on2d
5,200
1,300
1,300
1,300
1,300
580
140
140
140
140
430
110
110
110
110
360
90
90
90
90
Boa rdrooms (2)

TOTALFUNCTIONSPACE
90
400
142,000
7-3
Attachment # 1
Page 94 of 438
ExhibitHall
The exhibit hall would have minimal floor, ceiling and wall finishes and be
primarily designed to serve as flexible multipurpose space. It could host
exhibitions, businessevents,aswell asindoorsporting eventssuchasvolleyball,
cheerleading, or martial arts tournaments. Flexible partitioning would allow the
exhibit hall to support banquets from approximately 2,000 to 8,000 persons and
assembliesofupto11,000persons.Thefloorwouldhaveauniformgridofutility
boxesforcommunicationsandpower.Movable wallswouldbeofhighqualityto
provide good sound separation between halls. Ceiling heights should
accommodate sporting events such as volleyball. The space should have proper
lighting and airflow, key considerations of badminton, table tennis, and other
sportseventplanners.Temporarystagingcapacityandlightriggingpointswould
be necessary to accommodate assemblies and various types of entertainment
events.Thefollowingfigureshowstherecommendedlayoutoftheexhibithalland
associatedspaces.
FIGURE72
PROPOSEDTCCEXHIBITHALLLAYOUT
ExteriorLoadingArea
ServiceCorridor
PreFunction Area
The exhibit hall should be divisible in half or into four independently accessed
halls of 25,000 square feet. Loading docks should provide access to the service
corridorwhichrunsalongtherearoftheexhibithall.Attendeeaccessthroughpre
function areas should be separate from service access such that each of the
7-4
Attachment # 1
Page 95 of 438
subdivisions of the hall can be separately operating during simultaneous events.

Forexample,onehallcouldbeloadedandsetupwhileaneventisoccurringina
neighboringhall.
ConventionCenter
MeetingRooms
Meeting Space is essential to provide breakout space for larger conference and
conventioneventsandtosupportstandalonemeetings.Whilesiteconstraintsand
other design issues will affect the final layout, the following figure shows the
recommendedorganizationofmeetingspacewithintheproposedTCC.
FIGURE73
PROPOSEDTCCMEETINGROOMLAYOUT
ServiceCorridor
MeetingBlock1
PreFunctionArea
ServiceCorridor
MeetingBlock2
PreFunctionArea
Twolargemeetingroomblocks,eachdivisibleintofoursections,wouldbeableto
serveasmeetingspaceaswellasabanquetspacewithbanquetseatingforupto
670 persons for the 8,000 square foot block and 520 for the 6,200 square foot
block.Inordertoservemealsandotherfoodserviceefficiently,thislargemeeting
roomshouldbeservicedviarearaccesstotheservicecorridor.Temporarywalls
would create a variety of configurations for maximum flexibility and allow for
simultaneousevents.
7-5
AncillaryandSupport
Spaces
Attachment # 1
Page 96 of 438
In addition to the exhibit and meeting function spaces provided above, the gross
floorareaoftheconventioncenterwouldincludethefollowingelements:
PrefunctionAwellappointedprefunctionareaprovidesmeetingplanners
areas for greeting and registration, social gatherings, and welldefined public
accesstotheexhibithallandmeetingrooms.
Circulation Circulation space provides for the movement of attendees into

and through the Convention Center. These areas would include and entrance
lobby,hallways,andconnectingwalkwaysandbridgesasrequired.Depending
on the concept plan, these areas could also include vertical circulation
(stairwells,elevators,andescalators).
ServiceaccessServicecorridorsprovidenonpublicaccesstotheeventhall
and meeting rooms as well as connection to the facilitys loading docks,
mechanicalrooms,andstorage.
Dropoff zone The Convention Center should have vehicular dropoff area
andpedestrianaccesssolelyfortheusesofeventattendees.
Loading areas Service access that is separate from the dropoff zone, truck
docks,andwastedisposalareasareneededtosupporttheConventionCenter.
Kitchenaproductionkitchencouldservetheneedsofthejuniorballroomor
larger events which use a portion of the exhibit hall. The capacity of the
kitchen should allow it to serve at least 2,000 persons, which would
accommodate those events using a 25,000 square foot division of the exhibit
hall.
Storage Adequate and convenient equipment storage is important to the

efficientoperationofthefacility.
Facility Operations Spaces are needed to support facilitys physical plant,

includingHVAC,plumbing,electricalandfireprotectionsystems.
Parkingtheonsitecapacityforparkingshouldbedeterminedinviewofthe
amountofavailableoffsiteparkingthatcouldservicetheConventionCenter.
A more precise determination of the floor areas would require a concept plan
created by a design firm that illustrates how the proposed Convention Center
would fit on the site. The process of concept planning will likely require
adjustmentstotherecommendedfloorareas.
7-6
Attachment # 1
Page 97 of 438
8. ConventionCenterDemandAnalysis
HVS based event demand projections at the proposed Tallahassee Convention
Centeronthefollowingresearchandanalysis:
TherecommendedfacilityprogrampresentedSection7,
Industrydataandtrendsreports,
KeymarketandeconomicindicatorsoutlinedinSection3,
Comparablevenueprogramandoperatingdata,
Existingstateandregionalcompetitivevenues,
Usersurveys,
Interviewswithgovernmentofficialandotherstakeholders,and
InterviewswithrepresentativesfromVisitTallahassee.
In developing the demand projections, HVS assumes that all recommendations

throughout this report are implemented. Projections assume that the proposed
facilityopensonJanuary1,2014.HVSestimatesthateventdemandwillstabilize
in the fourth year of operation2018. Demand projections also assume highly
qualified, professional sales and management teams for the proposed TCC and
headquartershotel.
Forthisconventioncenteranalysis,eventdemandprojectionsreflectthoseevents
whichwouldbeheldinthenewconventioncenter.Someeventsmayuseportions
ofthehotelsmeetinginfrastructure,suchastheballroom.Assuch,HVSassumes
that clearly defined booking policies between the convention center and hotel
operations seamlessly accommodate this joint utilization of meeting space when
necessary.Toavoiddoublecountingdemand,thoseeventswhicharesolelybased
within the hotel meeting spaces are captured in the hotel operating pro forma
presentedinSection7ofthisreport.
HistoricalDemand
Since its opening in 1981, the Tallahassee Leon County Civic Center (Civic
Center) has served as the Tallahassees main sports, entertainment, and
convention venue. The Donald L. Tucker Center is a 13,800seat arena located
withintheCivicCenter.ThevenueisthehomeofFloridaStateUniversitysmens
and womens basketball programs and hosts a variety of concerts, family shows,
graduations and other entertainment throughout the year. The Civic Center also
8-1
Attachment # 1
Page 98 of 438
housesa35,000squarefootexhibithalland16,000squarefeetofmeetingspace
whichiscapableofhostingtradeshows,consumershows,banquets,andmeetings.
Since1981, however,severalcompetingstate andregionalcitieshavedeveloped
new convention venues or expanded and updated existing venues to serve the
changingneedsofthemeetingsindustry.Assuch,theCityofTallahasseeisnotin
the market to compete for traveling association meetings and conventions and
recent demand at the Civic Center has relied heavily on locally promoted events
andgovernmentbasedmeetings.Thefigurebelowpresentsahistoricallookatthe
numberofeventsbyeventtype
FIGURE81
HISTORICALCIVICCENTERDEMAND
2008
Events
Conventi ons &Tra des hows
Cons umerShows
Ba nquets
Meeti ngs &Conferences
As s embl i es
Sports
Concerts &Enterta i nment
Other
Total
EstimateofAverageAttendance
Cons umerShows
Ba nquets
Me eti ngs &Conferences
As s embl i es
Sports
Other
EstimateofTotalAttendance
Cons umerShows
Ba nquets
Meeti ngs &Conferences
As s embl i es
Sports
Other
Total
2009
2010
18
11
87
358
14
33
31
17
569
12
4
74
382
10
36
25
18
561
12
10
62
382
8
28
36
12
550
989
1,892
576
68
4,514
3,293
3,292
1,260
613
2,370
649
57
6,250
4,147
3,599
1,401
1,617
1,469
788
63
3,803
3,357
2,475
766
17,810
20,810
50,110
24,475
63,197
108,658
102,059
21,427
408,546
7,350
9,480
48,023
21,605
62,500
149,301
89,985
25,222
413,466
19,400
14,691
48,881
23,967
30,425
93,984
89,100
9,194
329,642
Source:TallahasseeLeonCountyCivicCenter,restatedbyHVS
8-2
Attachment # 1
Page 99 of 438
TheCivicCentersarenahostsapproximately70to80eventseachyear,consisting
mainly of FSU basketball games, concerts, family shows, and college and high
schoolgraduations.The35,000squarefootexhibitionhallhostsavarietyofpublic
consumer shows, career fairs, private industry trade shows, and government
meetings. Numerous smaller meetings mainly consist of civic organizations and
governmentgroups.
TheTallahasseeSportsCouncil,establishedin1989,isavolunteeradvisorygroup
thatworksinavarietyofwaystobringsportseventsandprogramstoTallahassee
and establish Tallahassees reputation as an ideal site for competition. With the
goal of maximizing the economic benefits to Tallahassee and Leon County, the
TallahasseeSportsCouncilhashelpedVisitTallahasseesuccessfullybooksporting
eventsatalllevelsofcompetitioninanumberofvenuesthroughoutthearea.The
figurebelowpresentsahistoricallookatthetypesofsportseventsduringthelast
yearandtheassociatedvisitorstotheareaandroomnightsgenerated.
FIGURE82
HISTORICALSPORTSEVENTS200910
Type
Tra ck&Fi el d
Ba s eba l l
Aqua ti cs
Softba l l
Wres tl i ng
Ba s ketba l l
Tenni s
Gymna s ti cs
Soccer
Ra ci ng
Ul ti ma te
Other
Cheerl ea di ng
Eques tri a n
Vol l eyba l l
Ma rti a l Arts
Cycl i ng
Gol f
Fi s hi ng
Footba l l
Bowl i ng
Numberof
Events
EventDays
9
10
9
5
4
7
8
3
5
4
2
8
1
1
4
3
4
2
2
1
2
94
18
27
32
13
6
19
34
6
10
4
6
19
1
3
9
5
8
5
6
2
5
238
Total
Visitors
10,430
6,293
3,842
3,739
3,424
3,349
3,045
1,662
1,530
1,375
950
855
800
750
570
547
462
391
275
120
118
44,527
Source:TallahasseeSportsCouncil
Room
Nights
4,392
2,988
1,740
2,491
809
815
1,751
1,045
823
394
446
320
40
338
465
83
168
151
425
97
69
19,850
8-3
Attachment # 1
Page 100 of 438
TheSportsCouncilattributesapproximately20,000annualroomnightstosports
tournaments and other programs. In terms of visitors to the Tallahassee
community,thegreatestsuccessesfortheSportsCouncilhavemainlycomefrom
outdoor sports, such as track and field, baseball, aquatics and softball. Excellent
facilities, such as the Messer Sports Complex and the Trousdell and Morcom
Aquatics Centers have contributed to Tallahassees successes in booking and
hosting these events. Indoor sports, such as volleyball and basketball, and mat
sports,suchaswrestlingandmartialarts,havenothadthesamelevelofsuccess,
mainlyduetoalackofproperfacilitiestohosttheseevents.
ConventionCenter
DemandProjections
Marketresearch,interviewswithkeylocalstakeholders,ananalysisofcomparable
and competitive convention venues, and a detailed user survey suggest that the
proposed convention center should be able to attract a modest number of state
based conventions and trade shows. Occasional regional conventions and trade
shows may book the proposed facility, however, these event do not represent a
primary or consistent source of demand. The primary factors which hinder
Tallahasseesabilitytobookagreaternumberofhighimpacteventsisitsnorthern
location in the state and the limited and costprohibitive air service options into
the city. The facility would be able to attract a more significant number of
associationbased meetings, conferences, seminars, and smaller conventions due
toitspresenceinthestatecapitolandproximitytoassociationsheadquarters.
A more significant potential exists in sporting events which would use the
exhibition hall as a competition surface. Tallahassee has proven itself as an
excellent location for regional tournaments in a variety of outdoor and aquatic
sports. This is due, in part, to Tallahassees location and proximity to several
populationcentersinthesoutheastmakingitwithinathreehourdrivetoalmost4
million people and within a fourhour drive time to over 7 million people. An
indoor venue would capitalize on this already established presence in the youth
sports market. The presence of two major universities as well as Tallahassee
Community College indicates a strong potential for collegiate sports competition
andtournamenteitheratthevarsityorclublevels.
HVSforecasttheeventdemandfortheproposedTCCfora10yearperiod.Forthe
purposes of this analysis, HVS assumes the proposed convention center and
headquarter hotel will open on January 1, 2014. These projections reflect a
comprehensive survey of potential users of the facility, an analysis of the event
history of the Civic Center, and research on comparable convention center
properties.
8-4
Attachment # 1
Page 101 of 438
FIGURE83
CONVENTIONCENTERDEMANDPROJECTIONS
2014
Events
Conventions & Tradeshows
Consumer Shows
Banquets
Meetings & Conferences
Assemblies
Sports
Concerts & Entertainment
Other
2015
2016
2017
2018
6
17
30
48
4
8
4
10
6
19
30
54
4
10
4
11
7
22
30
57
5
11
4
11
8
24
30
60
5
12
4
12
8
24
30
60
5
12
4
12
127
138
147
155
155
Average Attendance
Consumer Shows
Banquets
Assemblies
Sports
Other
525
2,500
400
150
3,000
2,200
2,500
1,500
525
2,500
400
150
3,000
2,200
2,500
1,500
525
2,500
400
150
3,000
2,200
2,500
1,500
525
2,500
400
150
3,000
2,200
2,500
1,500
525
2,500
400
150
3,000
2,200
2,500
1,500
Total Attendance
Consumer Shows
Banquets
Assemblies
Sports
Other
3,150
42,500
12,000
7,200
12,000
17,600
10,000
15,000
3,150
47,500
12,000
8,100
12,000
22,000
10,000
16,500
3,675
55,000
12,000
8,550
15,000
24,200
10,000
16,500
4,200
60,000
12,000
9,000
15,000
26,400
10,000
18,000
4,200
60,000
12,000
9,000
15,000
26,400
10,000
18,000
120,000
130,000
140,000
150,000
150,000
Total
Total
HVS assumes that convention center demand would ramp up relatively slowly
duringthefirstthreeyearsofoperationandreachfullpotentialinyearfour.These
eventswouldinclude:
Conventions & Trade Shows Conventions and trade shows are events that
requireacombinationofexhibition,banquet,andmeetingspace.Theexhibithall
could be divided and set up in various configurations to accommodate these
8-5
Attachment # 1
Page 102 of 438
events. Meeting and junior ballroom space is also available to accommodate the
breakoutmeetingsandmealswhicharetypicallypartofthesemultidayevents.
Larger conventions which require additional meeting and ballroom space could
use space within the proposed headquarter hotel. The source of convention and
trade show events would be primarily state associations that would rotate to
Tallahassee for their annual events. Also included in this demand category are
regionalandpotentiallynationalSMERFconventionswhichalsorotatetovenues
throughoutthesoutheast.
Consumer ShowsConsumer shows are ticketed, public events that would
attractlocalattendeessuchashomeandgardenshows,craftfairs,andgunshows.
Theexhibithallwouldbethemainexhibitspaceforvendors.Somemeetingspace
wouldalsobenecessaryfortheseeventsassupportandbackofhouseuses.Food
andbeverageserviceswouldbelimitedtoconcessions.
BanquetsBanquets are standalone social events typically booked by local
corporations,socialandcivicorganizations,andprivateclients.The15,000square
foot Grand Ballroom proposed for the headquarter hotel would be the main
banquet facility for the complex. As such, the majority of banquets would be
bookeddirectlybythehotelandarecapturedinthehotelproformainSection7of
thisreport.DemandforbanquetswithintheproposedTCCwouldtaketwoforms.
First, the proposed 5,000 square foot Junior Ballroom could serve as alternate
spacewhenthehotelsGrandBallroomisbooked.Second,portionsoftheExhibit
Hallcouldbebookedforbanquetsandothersocialeventwhicharetoolargefor
theGrandBallroom.
Meetings and ConferencesMeeting and conferences are events that require
breakoutmeetingspacebutwouldnotusebanquetorexhibitspace.Foodservice
wouldbelimitedtocoffeebreaks,breakfasts,orluncheonsthatwouldbeservedin
meeting rooms. Locally based state associations, local area businesses, civic
organizations, and government agencies would host meetings and conferences.
Although the size of the meetings and conferences could range from 25 to 300
persons, most meetings and conferences would be small events that use a single
meeting room. The exhibit hall could also be used to handle larger meetings or
severalsmallersimultaneousmeetings.
Assemblies Assemblies include religious events, lectures, large meetings,
graduationsandothercivicceremonieswhichrequirealargeseatingcapacity.The
CivicCenteriscurrentlythemainvenueforsuchevents,andHVSassumesthatthe
majority of graduations and other ceremonies which require a large amount of
seating would appropriately remain in the arena. HVS projects that a modest
numberofsmallerassemblieswouldbooktheproposedTCC,usingportionsofthe
exhibithallinatheatersetting.Assembliesaretypicallysingledayevents.
8-6
Attachment # 1
Page 103 of 438
SportsGiven continued emphasis on marketing to sports events at all levels of

competitionandtheadditionoftheproposedconventioncenterspaceasavenue
forindoorplayingsurfaces,HVSassumesthatTallahasseeSportsCouncilwouldbe
abletobookanadditional12eventsperyear.Theseeventswouldbeamixofmix
ofavarietyofsports,includingvolleyball,basketball,matsports,badminton,table
tennis, and fencing. Events would range from youth to adult to collegiate
competitions.HVSprojectsanaverageeventdurationof2.5dayspereventwhich
hisconsistentwithcurrentdemandreflectinganumberofmultidaytournaments.
PotentialalsoexistsforsomesportseventstouseboththeproposedTCCandthe
CivicCenter.Forexample,abasketballtournamentcouldhaveuptoeightcourtsin
theexhibithallforpreliminarycompetitionswiththeCivicCenterarenaservingas
thechampionshipvenue.
ConcertsandEntertainmentHVSassumesthattheCivicCenterwouldremain
the primary entertainment venue for concerts, family shows and other
performances.TheexhibithallintheproposedTCCwouldhavetheabilitytohost
smallerconcerts,comedyshows,localproductions,andotherentertainment.The
facilitywouldalsobeavailableforshowswhichcannotbooktheCivicCenterdue
to scheduling conflicts. HVS, therefore projects 4 concert and entertainment
eventsannuallywithanaverageattendanceof2,500.
Other Other events include a variety of localoriented facility rentals which
include such events as exams, charity events, speeches, radio/television satellite
broadcasts,dancerecitals,blooddrives,andothercivicusesarealsoplacedinthis
othercategory.
ComparableAnalysis
SincenodirectlycomparablevenuesarecurrentlyintheTallahasseemarket,the
forecast of demand for the proposed TCC needs to be based on reasonable
assumptions about future demand. The mix of actual events could vary
significantly from these forecasts. The following analysis of comparable venues
providesatestofthereasonablenessoftheseeventdemandforecasts.
The following figure compares recent historical demand for nine of the
comparable venues presented in Section 6a with the demand projected for the
proposed TCC. The comparable venues represent both state and regional
competitorswhicharesimilarlysizedconventioncenters.Thevenuesrepresenta
variety of markets with a mix of relative destination appeal. Where available,
averageandtotalattendancefiguresarealsopresented.
8-7
Attachment # 1
Page 104 of 438
FIGURE84 HISTORICALEVENTSANDATTENDANCEATCOMPARABLEVENUES
DataYear
Proposed
Tallahassee
Convention
Center
Mobile
Convention
Center
Tallahassee
Mobile
CY
0
CY
2010
OceanCenter
BrowardCounty
Convention
Center
DaytonaBeach FortLauderdale
FY
2010
CY
2010
Jackson
Convention
Complex
Greater
Richmond
Convention
Center
Raleigh
Convention
Center
Shreveport
Convention
Center
Tampa
Convention
Center
VirginiaBeach
Convention
Center
Jackson
Richmond
Raleigh
Shreveport
Tampa
VirginiaBeach
FY
2010
FY
2009
FY
2010
CY
2010
CY
2010
CY
2010
Average*
Proposed
Tallahassee
Convention
Center
Tallahassee
NumberofEvents
Conventions&Tradeshows
ConsumerShows
Banquets
Meetings&Conferences
Assemblies
Sports
Concerts&Entertainment
Other
Total
8
24
30
60
5
12
4
12
155
9
8
16
21
57
3
4
9
127
18
6
8
0
0
6
7
29
74
28
17
28
35
8
9
0
21
146
17
7
71
131
8
8
8
12
264
36
32
50
115
0
11
0
278
522
55
24
68
188
21
10
0
0
366
1,724
2,693
269
207
1,197
1,400
2,650
819
2,358
2,732
472
176
0
5,757
0
223
1,186
10,750
401
105
2,711
1,645
0
0
29,300
18,850
19,075
27,175
9,575
11,200
21,200
9,830
146,205
84,885
87,438
23,622
20,288
0
63,329
0
61,860
341,422
65,240
258,010
27,270
19,711
56,936
16,450
0
0
443,617
15
10
31
46
15
4
2
9
132
6
14
1
12
3
3
4
8
51
29
33
78
151
6
20
2
14
333
24
17
39
87
17
8
5
48
224
8
24
30
60
5
12
4
12
155
2,182
3,997
306
131
11,683
10,859
3,043
655
2,148
6,035
381
155
5,197
4,290
3,366
1,205
525
2,500
400
150
3,000
2,200
2,500
1,500
63,270
131,913
23,896
19,850
70,098
217,171
6,085
9,172
541,455
60,389
111,242
19,503
21,756
45,536
63,776
19,373
42,844
353,170
4,200
60,000
12,000
9,000
15,000
26,400
10,000
18,000
154,600
AverageAttendance
ConsumerShows
Banquets
Assemblies
Sports
Other
525
2,500
400
150
3,000
2,200
2,500
1,500
3,292
10,000
457

1,788
4,405
3,121
4,200
60,000
12,000
9,000
15,000
26,400
10,000
18,000
154,600
TotalAttendance
ConsumerShows
Banquets
Assemblies
Sports
Other
Total
59,250
60,000
3,653

10,730
30,835
90,515
293,149
*Averagetheonlyavailabledata.
Sources:EventDatafromRespectiveFaciltiesasClassifiedbyHVS
8-8
Attachment # 1
Page 105 of 438
Because of the unique operating and market characteristics of each individual

facility,nonevenuesintheabovefigureareperfectcomparablestotheproposed
venue in Tallahassee. Taking market factors into consideration, the demand
projectionsfortheproposedConventionCenterComplexareconsistentwithevent
demand currently found in its statewide and regional competition. Specific
conclusionsincludethefollowing.
RoomNight
Projections
Eventdemandlevelsarereflectiveoftheuniquemarketcharacteristicsas
wellasthe differencesintheoverallsizeandbreadthofthe localmarket
economies. As demonstrated in Section 6a, Tallahassee has a smaller and
less diverse economy than most of the cities presented above. Demand
projections reflect this with lower than average event numbers and
attendancelevels.
Throughout the last decade, other competing cities in Florida and the
southeasternUShavemadesignificantinvestmentintotheirmeetingand
convention assets. The proposed TCC would establish Tallahassee as a
potential destination for a number of meetings and conventions that it is
currently unable to host. As a destination, complementary downtown
developmentisessentialforTallahasseetobesuccessfulinbookingthese
events.
Demand for locally generated events, such as sports, concerts and

consumershows,dependheavilyonlocalmarketfactorswhicharespecific
to each venue. These factors include local competition, population
demographics, and the local market economy. These factors should be
consideredwhencomparinglocaleventdemandamongstthevenues.
HVS calculated the potential generation of room nights by the proposed TCC.
Theseroomnightsrepresentnew,induceddemandintotheTallahasseemarketas
adirectresultofthedevelopmentoftheconventioncenter.Assumptionsusedto
generateroomnightestimatesareshownbelow.
8-9
Attachment # 1
Page 106 of 438
FIGURE85
ASSUMPTIONSFORROOMNIGHTGENERATION
Nightsper
Lodger
Percent
Lodgers
2.5
1.5
1.0
1.5
1.0
1.5
1.0
1.0
60%
5%
5%
20%
10%
60%
5%
5%
ConsumerShows
Banquets
Assemblies
Sports
Other
Conventions, trade shows, and sporting events are the strongest generators of
room nights. Because Tallahassee is the capitol city and a number of state
associations are based locally, the majority of meeting and conferences are
associationratherthancorporatebasedevents.Therefore,ahigherpercentageof
attendees may be from out of town and require lodging. The following figure
presentstheresultingroomnightgeneration.
FIGURE86
ROOMNIGHTESTIMATES
Type
ConsumerShows
Banquets
Assemblies
Sports
Other
Total
2014
2015
2016
2017
2018
4,725
3,188
600
2,160
1,200
15,840
500
750
4,725
3,563
600
2,430
1,200
19,800
500
825
5,513
4,125
600
2,565
1,500
21,780
500
825
6,300
4,500
600
2,700
1,500
23,760
500
900
6,300
4,500
600
2,700
1,500
23,760
500
900
28,963
33,643
37,408
40,760
40,760
In a stabilized year, HVS estimates that the Event Center would generate
approximately 41,000 room nights in the local area market. Some of these room
nights would be blocked through contracts with groups and others would result
fromindividualhotelreservations.
8-10
Attachment # 1
Page 107 of 438
9.ConventionCenterFinancialAnalysis
HVS uses a proprietary financial operating model to estimate revenues and
expenses at conventions centers. This model quantifies the key variables and
operating ratios that determine revenue potential and expenses levels. Unless
otherwise indicated, the model assumes an annual inflation rate of 3.0 percent
appliesbothtorevenuesandexpenses.
For the purposes of this study, HVS assumes that the proposed Tallahassee
Convention Center would be owned by the City of Tallahassee. The City would
contract with a third party venue operator to actively manage the convention
centerspaces.
ConventionCenter
Revenues
Convention Center event revenue line items include facility rental, food and
beverage sales, event services, and parking fees. The model uses a series of
revenueassumptionsbasedonattendanceorfloorareautilizationthatreflectthe
projectedutilizationlevelsoffunctionspace.Floorareautilizationismeasuredin
Gross Square Foot Days (GSFD)the amount of floor area rented times the
numberofdaysitisrentedincludingmoveinandmoveoutdays.
To formulate the revenue assumptions, HVS relied industry information,
knowledge of the performance of comparable venues, and information on price
levelsfromlocalareasources.Weadjustedtheassumptionsforinflationandother
anticipatedtrendsinpricelevels.
The figure below summarizes the revenue assumptions for the proposed
ConventionCenterbytypeofevent.
9-1
1
Attachment # 1
Page 108 of 438
FIGURE91EVENTREVENUEASSUMPTIONS
FacilityRental
Food&
Beverage
(Gross)
Event
Services
(Gross)
Parking
(Gross)
per
GSFD
per
Attendee
per
GSFD
per
Attendee
$0.08
0.08
0.02
0.30
0.05
0.05
0.05
0.08
$30.00
3.50
45.00
15.00
3.50
5.00
$0.08
0.06
0.05
0.01
0.05
$2.10
1.58
1.50
1.13
1.13
0.45
Type
ConsumerShows
Banquets
Assemblies
Sports
Other
Facility RentalFacility rental revenue includes the revenue the Convention

Centerreceivesfromclientsthatreserveoneormorefunctionareasinthefacility.
Despite having published rates, convention centers typically charge rental fees
based on negotiated daily rental fees. Not all events are charged a facility rental
fee. A facility may waive the space rental charges if the event meets a certain
minimumoffoodandbeveragechargesasisusuallythecaseformostbanquets.
Food and BeverageMost events that use the Convention Centers function
spaces will also arrange for food service for their attendees during their events.
Thisfoodserviceincludescateringwhichcanrangefromcoffeebreaksassociated
withameetingtoafulldinnerassociatedwithaconventionorbanquet.Consumer
shows and sporting events may generate concessions revenue. Most conventions
and conferences generate demand for multiple meals during the course of these
multiday events. Meetings and banquets generally include a single meal or
refreshment services. HVS projects estimated gross food and beverage revenues
onapercapitabasisdependingonthetypeofevent.Eventslikeconventionsand
tradeshows typically spend the most per attendee. Consumer shows have lower
percapitaspending.
Event ServicesEvent Services include the fees charged to tenants for services
that could include business services, audio and video technical assistance, setup
and take down of function spaces, cleaning services, security services, electricity
and other utilities, commissions from decorators and other services provided by
thirdparty contractors at events. Many events also require audio, video,
communications and internet services. Banquets and other upscale events can
often require elaborate decorating services. Almost all events require cleaning
9-2
2
Attachment # 1
Page 109 of 438
services;cleaningofcommonareasmaybecomplimentaryformosteventswhile
cleaningservicesofferedtoindividualexhibitorscanrepresentasignificantsource
ofrevenue.Servicechargesvarybytypeofevent.Someoftheseservicesmaybe
included in the rental charges for using the facility, but others will be addon
service charges. The HVS model estimates event services revenue based on the
amountofspacerented.
ParkingParkingrevenueresultsfromfeeschargedpervehicleatcertainevents.
HVSappliedthefollowingparameterstocalculateeventparkingrevenue.
FIGURE92PARKINGREVENUEASSUMPTIONS
Type
ConsumerShows
Banquets
Assemblies
Sports
Other
Percent
ParkingFee
Passengers
Attendeesby
perVehicle
perVehicle
Car
$7.00
60%
2
7.00
90%
4
5.00
60%
2
5.00
90%
4
5.00
90%
4
2.00
90%
4
Additional parking revenue may be earned during nonevent days from daily
parking and special event parking, such as during Florida State home football
games.Forthepurposeofthisanalysis,noneventparkingrevenueisincludedin
Otherrevenuediscussedbelow.
In addition to variable event revenues, the convention center would also earn
otherrevenuesasdescribedbelow.
Advertising and Sponsorship RevenueThis line item includes revenue from
the sale of fixed advertising signage on concourses, interior and exterior fascia,
andoutdoormarqueedisplays.Theadvertisingratesaconventioncenterisableto
charge is dependent upon the estimated number of events and the total
attendance. HVS projects that the total facility would generate approximately
$75,000inadvertisingandsponsorshiprevenueannually,whichisconsistentwith
venues of comparable size. Revenue estimates should be reassessed as design of
advertisingelementsprogresses.
OtherRevenueOther revenuecouldincludedamagesbilledtotenants,special
fees or dues, interest income, and certain nonrecurring income. Other revenue
9-3
3
Attachment # 1
Page 110 of 438
may also include daily parking charges for spaces in convention center lots and
autoandRVparkingduringFloridaStateUniversityfootballgames.
ConventionCenter
OperatingExpenses
HVS estimated direct event expenses for the proposed Convention Center as a
blendoffixedcostsandvariablepercentageofoperatingrevenuesassummarized
below.
FIGURE93CONVENTIONCENTEREXPENSEASSUMPTIONS
Expenditure
VariableExpense
PercentageRevenue
FixedExpensefor
BaseYear
OperatingExpense
Salaries
$0.00 #### $0
0.0% ## $0
Benefits
$0.00 #### $0
25.0% of Salaries
$0
Food&BeverageCosts
$0.00 #### $0
75.0% of Food&Beverage(Gross)
$0
EventServicesCosts
$0.00 #### $0
90.0% of EventServices(Gross)
$0
ContractualServices
$0.00 #### $0
2.5% of TotalOperatingRev
Administrative&General
$0.00 #### $0
$50,000
Marketing&Sales
$0.00 #### $0
0.0% ## $0
$30,000
Repair&Maintenance
$0.00 #### $0
$50,000
Supplies&Equipment
$0.00 #### $0
Utilities
$0.05
0.0% ## $0
per
GSFD
ParkingCosts
$0.00 #### $0
25.0% of Parking(Gross)
OtherExpense
$0.00 #### $0
0.0% ## $0
$1,432,800
$25,000
$25,000
$100,000
$0
$25,000
NonOperatingExpense
CapitalMaintenance
$0.00 #### $0
ManagementFees
$0.00 #### $0
0.0% ## $0
$150,000
Insurance
$0.00 #### $0
0.0% ## $0
$0
$0
Salaries&BenefitsHVScreatedadetailedprojectionofsalariesandassociated
benefitsforpermanentfullandparttimeemployeesdedicatedtoadministration,
marketing, building operations, and other functions. This category does not
include part time food & beverage and event staffing, which are included in
departmentalcosts.TheproposedstaffingschedulereflectswhatHVSconsidersto
be an adequate level of staffing required to effectively operate the convention
centerandachievethelevelofrevenuesprojected.Thefollowingfigurepresentsa
proposed staffing schedule with 30 full time equivalent positions. Benefits are
assumedtobe25percentofgrosssalaries.
9-4
4
Attachment # 1
Page 111 of 438
FIGURE94CONVENTIONCENTERSTAFFINGSCHEDULE
Position
Number
Salary
TotalSalary
ADMINISTRATION/FINANCE
GeneralManager
OfficeManager/Ass'ttoGM
DirectorofFinance&Administration
StaffAccountant
1
1
1
1
125,000
40,000
90,000
50,000
125,000
40,000
90,000
50,000
SALES&MARKETING
DirectorofSales&Marketing
SeniorSalesManager
Sales/MarketingManager
SalesCoordinator
1
1
3
1
90,000
60,000
40,000
25,000
90,000
60,000
120,000
25,000
EVENTSERVICES
DirectorofEventServices
EventManager
1
3
80,000
40,000
80,000
120,000
BUILDINGOPERATIONS
DirectorofOperations
AdministrativeAssistant
ChiefEngineer
MaintenanceTechnician
Housekeeping/SetupManager
Custodians/Housekeeping
DirectorofSecurity/Parking
Ass'tSecurityDirector
1
1
1
2
2
4
1
1
90,000
30,000
60,000
30,000
40,000
15,000
75,000
35,000
90,000
30,000
60,000
60,000
80,000
60,000
75,000
35,000
TECHNOLOGY
Computer/NetworkManager
Audio/VisualTechnician
1
2
72,800
35,000
72,800
70,000
TOTALS
30
1,432,800
Food and Beverage CostsHVS assumes that the food and beverage operation
would be operated by a third party food service operator. Costs are food service
are, therefore, estimated as a percentage of gross food and beverage sales and
reflectasalescommissionthatthefoodserviceoperatorwouldpaytothevenue.
EventServicesCostsEventservicescostsarethecostsincurredbythefacility
for client reimbursed expenses such as audio visual setup, security, cleaning,
eventsetupandeventlabor
9-5
5
Attachment # 1
Page 112 of 438
Contractual ServicesThe facility may require outsourced operations and

maintenance services as well as professional services in conducting convention
centeroperationssuchaslegal,accounting,tax,consultingorotheradvice.
Administrative & GeneralOffice and administrative operations incur dayto
day facility expenses. Such expenses typically include travel, telephone, printing,
permits,andothermiscellaneousservices
Marketing and SalesMarketing costs include the costs associated with
promotingthefacilityanditsevents.Thesemayincludeadvertisingfees,printing
andothercostsassociatedwithcreatingpromotionmaterials.
Repair & MaintenanceBoth routine and onetime facility maintenance
expensesareprimarilytheresponsibilityofinhousefacilityoperationspersonnel.
Morespecializedactivities,suchasHVACsystemmaintenance,electricalwork,and
maintenance of other mechanical systems often must be contracted out to third
parties.
Supplies & EquipmentItems such as computers, office machines, furniture,
consumables,andchemicalsarerequiredtosupporttheoperationsofthefacility.
UtilitiesUtilities, including electricity, gas, water, and other charges often
representoneofthelargestexpensesincurredbyfacilityoperators.
Other ExpensesThese other expenses could include expenses such as special
training expenses, special costs associated with managing volunteer workers,
collectioncosts,creditlosses,bankfees,andothersmallmiscellaneousexpenses.
NonOperating
Expenses
Management FeesManagement fees would be paid to a third party

managementfirmforthesuccessfulmarketing,operation,andmaintenanceofthe
conventioncenter.
InsuranceThisitemrepresentsthecostofprovidingbuildinginsuranceforthe
facility.
CapitalMaintenanceReserveAnannualcontributionbasedupon4percentof
totalarenaoperatingrevenueswouldbeusedtofundmajorcapitalimprovements
asthearenaages.
ConventionCenter
OperatingProForma
The figure below presents the tenyear financial projections for the proposed
Convention Center. The projections are in inflated dollars beginning January 1,
2014,thefirstfullfiscalyearofprojectedoperation.
9-6
6
Attachment # 1
Page 113 of 438
FIGURE95
DETAILEDFORECASTOFCONVENTIONCENTERINCOMEANDEXPENSE
2014
OPERATING REVENUE
Facility Rental
Food & Beverage (Gross)
Event Services (Gross)
Parking (Gross)
Adverstising & Sponsorships
Other Revenue
2015
2016
2017
2018
2019
2020
2021
2022
2023
$824,000
1,096,000
520,000
133,000
82,000
44,000
$950,000
1,181,000
587,000
154,000
84,000
45,000
$1,110,000
1,282,000
695,000
177,000
87,000
46,000
$1,251,000
1,377,000
789,000
198,000
90,000
48,000
$1,289,000
1,419,000
813,000
204,000
92,000
49,000
$1,328,000
1,461,000
837,000
210,000
95,000
51,000
$1,367,000
1,505,000
862,000
216,000
98,000
52,000
$1,408,000
1,550,000
888,000
223,000
101,000
54,000
$1,451,000
1,597,000
915,000
230,000
104,000
55,000
$1,494,000
1,644,000
942,000
236,000
107,000
57,000
Total
$2,699,000
$3,001,000
$3,397,000
$3,753,000
$3,866,000
$3,982,000
$4,100,000
$4,224,000
$4,352,000
$4,480,000
OPERATING EXPENSES
Salaries
Benefits
Food & Beverage Costs
Event Services Costs
Contractual Services
Administrative & General
Marketing & Sales
Repair & Maintenance
Supplies & Equipment
Utilities
Parking Costs
Other Expense
$1,566,000
391,000
822,000
468,000
95,000
136,000
33,000
190,000
108,000
669,000
33,000
27,000
$1,613,000
403,000
886,000
528,000
103,000
146,000
34,000
206,000
118,000
763,000
39,000
28,000
$1,661,000
415,000
961,000
625,000
114,000
160,000
35,000
228,000
131,000
875,000
44,000
29,000
$1,711,000
428,000
1,033,000
710,000
124,000
172,000
36,000
247,000
142,000
975,000
50,000
30,000
$1,762,000
441,000
1,064,000
731,000
127,000
177,000
37,000
255,000
147,000
1,004,000
51,000
31,000
$1,815,000
454,000
1,096,000
753,000
131,000
183,000
38,000
262,000
151,000
1,034,000
53,000
32,000
$1,869,000
467,000
1,129,000
776,000
135,000
188,000
39,000
270,000
156,000
1,065,000
54,000
33,000
$1,926,000
481,000
1,163,000
799,000
139,000
194,000
40,000
278,000
160,000
1,097,000
56,000
34,000
$1,983,000
496,000
1,197,000
823,000
143,000
200,000
42,000
287,000
165,000
1,130,000
57,000
35,000
$2,043,000
511,000
1,233,000
848,000
148,000
206,000
43,000
295,000
170,000
1,164,000
59,000
36,000
Total
OPERATING INCOME (LOSS)
NON-OPERATING EXPENSES
Capital Maintenance
Management Fees
Total
TOTAL NET INCOME (LOSS)
$4,538,000
$4,867,000
$5,278,000
$5,658,000
$5,827,000
$6,002,000
$6,181,000
$6,367,000
$6,558,000
$6,756,000
($1,839,000)
($1,866,000)
($1,881,000)
($1,905,000)
($1,961,000)
($2,020,000)
($2,081,000)
($2,143,000)
($2,206,000)
($2,276,000)
$54,000
164,000
$60,000
169,000
$68,000
174,000
$75,000
179,000
$77,000
184,000
$80,000
190,000
$82,000
196,000
$84,000
202,000
$87,000
208,000
$90,000
214,000
$218,000
$229,000
$242,000
$254,000
$262,000
$270,000
$278,000
$286,000
$295,000
$303,000
($2,056,000)
($2,095,000)
($2,123,000)
($2,158,000)
($2,223,000)
($2,290,000)
($2,358,000)
($2,429,000)
($2,502,000)
($2,577,000)
Market&FeasibilityStudyProposedConventionCenterandHeadquarterHotel
9-7
Attachment # 1
Page 114 of 438
To test the reasonableness of the operating projections for the proposed

Tallahassee Convention Center, HVS compiled available operating data from six
similarly sized venues in the southeastern U.S. HVS compared the comparables
operatingdatatoaprojectedstabilizedyearofoperationinTallahasseestatedin
2011dollars.Tomaintainconfidentialityofthedata,thenamesofthevenuesare
notincluded.
ComparableAnalysis
FIGURE96COMPARABLEVENUEOPERATINGDATA
Comp1
Comp2
Comp3
Comp4
Comp5
Comp6
FY
2009
FY
2009
FY
2009
FY
2009
FY
2010
FY
2009
2,829,661
3,836,982
3,576,172
8,765,631
2,583,479
1,755,350
3,891,213
TotalOperatingExpense
4,906,973
4,794,185
9,724,692
12,529,242
3,910,372
3,691,126
6,592,765
OperatingIncome(Loss)
(2,077,312) (957,203) (6,148,520) (3,763,611) (1,326,893) (1,935,776) (2,701,553)
DataYear
TotalOperatingRevenue
AverageExhibitSpace
AverageIncome(Loss)perSF
AverageTotalFunctionSpace
AverageIncome(Loss)perSF
ProposedTCC
Averageof
AvailableData StabilizedYear
in2011$
3,142,920
4,737,592
(1,594,672)
157,090
($21.01)
226,597
($14.72)
100,000
($15.95)
142,000
($11.23)
Very few convention center across the country are able to produce an operating
profit. While the operations of convention centers can vary widely depending on
local staffing levels, departmental responsibilities, and a variety of other factors,
the operating revenue and expense projections for the proposed TCC are well
withintherangeestablishedbythecomparableanalysis.Assumingaprofessional
management team is in place, the TCC should operate efficiently and be able to
maintainabelowaverageoperatinglossfromoperations.
HVSfinancialprojectionsareintendedtoshowtheexpectedlevelsofrevenuesand
expenses over a ten year period. Projections show smooth growth over time.
However,eventdemandandbookingcyclesarenotalwayssmooth.Businesscan
beaffectedbyunpredictablelocalandnationaleconomicfactors.Eventdemandis
often cyclical, based on rotation patterns and market conditions. Therefore, HVS
recommends interpreting the financial projections as a midpoint of a range of
possibleoutcomesandoveramultiyearperiodratherthanrelyingonprojections
foranyonespecificyear.
9-8
Attachment # 1
Page 115 of 438
10.HotelAnalysisandRecommendations
SupplyandDemand
Analysis
In the economic principle of supply and demand, price varies directly, but not
proportionately, with demand and inversely, but not proportionately, with
supply. In the lodging industry, supply is measured by the number of
guestrooms available, and demand is measured by the number of rooms
occupied;theneteffectofsupplyanddemandtowardsequilibriumresultsina
prevailing price, or average rate. The purpose of this section is to investigate
current supply and demand trends as indicated by the current competitive
market, and set forth a basis for the projection of future supply and demand
growth.
NationalTrends
Overview
Supply and demand trends within the immediate area most directly affect the
proposedsubjectpropertyslocallodgingmarket.However,thenationallodging
marketalsoinfluencesindividualmarketconditions.Wehavereviewednational
lodging trends to provide a context for the forecast of the supply and demand
fortheproposedsubjectpropertyscompetitiveset.
SmithTravelResearch(STR)isanindependentresearchfirmthatcompilesdata
on the lodging industry; typical hotel buyers routinely use STR data. Figure 1
presents annual hotel occupancy and average rate data since 1987. Figure 2
presentsmorerecentinformation(2009and2010).Thisdataiscategorizedby
geography, price point, type of location, and chain scale. The statistics include
occupancy, average rate, and rooms revenue per available room (RevPAR).
RevPARiscalculatedbymultiplyingoccupancybyaveragerate,andprovidesan
indicationofhowwellroomsrevenueisbeingmaximized.
DRAFT September9,2011
10-1
Attachment # 1
Page 116 of 438
FIGURE101 NATIONALOCCUPANCYANDAVERAGERATETRENDS
70.0%
$120
$100
65.0%
$80
60.0%
$60
55.0%
$40
50.0%
$20
$0
RevPAR
AverageRate
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
1990
1989
1988
1987
45.0%
Occupancy
Source:STR
10-2
Attachment # 1
Page 117 of 438
FIGURE102 NATIONALOCCUPANCYANDAVERAGERATETRENDS2009AND2010CALENDARYEAR
DATA
Occupancy
AverageRate
2009
2010
%Change
2009
Uni tedSta tes
54.5 %
57.6 %
5.7 %
$98.17
Regi on
NewEngl a nd
Mi ddl eAtl a nti c
SouthAtl a nti c
Ea s tNorthCentra l
Ea s tSouthCentra l
Wes tNorthCentra l
Wes tSouthCentra l
Mounta i n
Pa ci fi c
54.1 %
59.6
53.9
50.2
51.2
52.8
53.4
54.0
59.3
58.5 %
63.3
57.1
53.9
54.0
55.1
55.1
56.7
63.0
8.1 %
6.2
5.9
7.4
5.3
4.3
3.2
4.9
6.3
Pri ce
Luxury
Ups ca l e
Mi dpri ce
Economy
Budget
61.5 %
55.9
51.2
49.0
51.3
65.4 %
58.9
53.8
51.5
54.0
Loca ti on
Urba n
Suburba n
Ai rport
Inters ta te
Res ort
Sma l l Metro/Town
61.8 %
53.7
59.8
49.5
56.8
49.6
Cha i nSca l e
Luxury
UpperUps ca l e
Ups ca l e
Mi ds ca l ew/F&B
Mi ds ca l ew/oF&B
Economy
Independents
61.4 %
63.6
60.9
49.0
55.5
48.9
52.4
2010
RevPAR
%Change
2009
2010
%Change
$98.08
(0.1) %
$53.50
$56.47
5.5 %
$114.65
134.32
98.65
85.50
75.23
77.15
83.74
91.95
112.77
$115.93
138.57
97.46
85.13
75.08
77.95
82.71
90.28
112.54
1.1 %
3.2
(1.2)
(0.4)
(0.2)
1.0
(1.2)
(1.8)
(0.2)
$62.00
80.10
53.18
42.92
38.56
40.72
44.71
49.69
66.86
$67.77
87.78
55.64
45.90
40.51
42.91
45.58
51.16
70.89
9.3 %
9.6
4.6
6.9
5.1
5.4
2.0
3.0
6.0
6.3 %
5.4
5.2
5.1
5.3
$147.61
107.21
78.66
59.04
48.26
$146.54
106.44
78.33
58.28
47.30
(0.7) %
(0.7)
(0.4)
(1.3)
(2.0)
$90.81
59.94
40.25
28.95
24.74
$95.84
62.71
42.16
30.04
25.54
5.5 %
4.6
4.7
3.8
3.2
65.7 %
57.3
63.7
51.4
59.4
51.6
6.3 %
6.8
6.5
3.8
4.6
4.1
$136.45
85.02
90.67
69.43
129.86
81.14
$139.60
83.62
88.54
69.93
129.30
81.45
2.3 %
(1.6)
(2.3)
0.7
(0.4)
0.4
$84.32
45.64
54.19
34.38
73.73
40.26
$91.73
47.94
56.38
35.95
76.81
42.06
8.8 %
5.0
4.0
4.6
4.2
4.5
66.2 %
67.7
65.4
51.1
58.3
51.3
55.0
7.8 %
6.4
7.3
4.4
5.2
5.1
4.9
$244.52
143.09
108.63
83.33
85.43
50.95
95.12
$249.65
142.16
106.97
82.48
84.75
49.38
95.42
2.1 %
(0.6)
(1.5)
(1.0)
(0.8)
(3.1)
0.3
$150.18
90.97
66.20
40.82
47.39
24.89
49.88
$165.29
96.19
69.97
42.16
49.44
25.35
52.46
10.1 %
5.7
5.7
3.3
4.3
1.8
5.2
Source:STRDecember2010Lodgi ngRevi ew
10-3
Attachment # 1
Page 118 of 438
TheonsetoftherecessioninDecemberof2007firstbecameevidentinlodging
trendsinthespringof2008asdemandlevelsdecreasedfromthepeakrecorded
in the previous year. The pace of decline sped up in the fall of 2008, as both
corporateandconsumerspendingfelldramaticallyinthewakeofthefinancial
crisis and in response to intensifying recessionary pressures. Continued
increases in lodging supply, which grew by 2.7% in 2008 and 3.2% in 2009,
combined with demand decreases,resulted in a national average occupancy of
55.1%in2009,anhistoriclow.Aggressivepricecutsanddiscountingthatwere
implemented in the face of falling occupancy levels caused average rate to
decrease by 8.8% in that same year. The resulting $53.71 RevPAR recorded in
2009wasonparwiththelevelrecordedin2004.
Demand growth resumed in 2010, led by select markets that had recorded
positive growth trends in the fourth quarter of 2009. The pace of demand
growth accelerated through the year. Lodging demand in the U.S. increased by
7.7% in 2010 as compared with 2009 levels. A return of business travel and
some group activity contributed to these positive trends. The significant price
discounts that were widely available in the first half of 2010 partly fueled the
resurgence in demand. These discounting policies, largely phased out in the
latter half of the year, balanced much of the early rate loss. Average rate
decreasedbyonly0.1%in2010whencomparedwith2009.Moderatedemand
growth is forecast for 2011 and thereafter, and the commercial and
meeting/group demand segments are expected to continue to strengthen.
These trends, combined with the low levels of supply growth anticipated
through 2012, should boost occupancy to above the 60% mark by 2012.
Strengthening occupancy levels should permit hotels to further reduce and
eventually eliminate the deep discounts implemented in response to the
recession. The net result will be accelerated rate growth as occupancy nears
stabilization.
LeonCountyLodging
Overview
Theproposedsubjectpropertywillcompetewithexistinglodgingpropertiesin
LeonCounty.Whilethefacilitywillcompetemostdirectlywiththoseproperties
identified as primary and secondary competitors, the overall supply and
demandcharacteristicsofthelodgingmarketinLeonCountyisapplicabletothe
subsequentanalysis.
At the request of Visit Tallahassee, Smith Travel Research has provided the
followingdata.WhilenoteverypropertyinLeonCountyreportsitsdatatoSTR,
the information is a very good indication of the health of the lodging industry.
This data accounts for the supply and demand trends for roughly 80% of the
entirecountyslodgingsupply.
10-4
Attachment # 1
Page 119 of 438
FIGURE103 RECENTLODGINGTRENDSINLEONCOUNTY
2007
2008
2009
2010
Total Room
Supply
Percent
Change
2,091,723
2,158,869
2,206,205
2,229,054
3.2 %
2.2
1.0
Compound Average Change:
2.1 %
Total Demand Percent

for Room Nights Change
1,173,169
1,149,262
1,119,192
1,197,431
-2.0 %
-2.6
7.0
Occupancy
56.1 %
53.2
50.7
53.7
0.7 %
ADR
Percent
Change
RevPAR
Percent
Change
$83.15
80.87
77.98
76.43
-2.7 %
-3.6
-2.0
$46.63
43.05
39.56
41.06
-7.7 %
-8.1
3.8
-2.8 %
-4.2 %
Source: Smith Travel Research
The data suggests that, since 2007, the number of available rooms in Leon
Countyhasincreasedbyanaverage2.1%peryearwhilethedemandforroom
nights has increased by an average of only 0.7% per year. Subsequently,
countywide occupancy levels have declined from 56.1% in 2007 to 50.7% in
2009,beforeincreasingto53.7%in2010.
Given the most recent economic downturn, the countys average ADR has
declined each year since 2007, the smallest decline having occurred in 2010
(2.0%). Overall, countywide ADR has declined by an average of 2.8% per year
between2007and2010.ThelargestADRdeclineinrecenthistoryoccurredin
the 2009 calendar year during which ADR declined by 3.6% from $80.87 to
$77.98. The decline recorded in Leon County from 2009 to 2010 (2.0%) was
modestly larger than the decline recorded in the South Atlantic region (1.2%,
accordingtoSTR).
The following figure illustrates the recent monthly occupancy trends recorded
intheLeonCountyhotelindustry.
10-5
Attachment # 1
Page 120 of 438
FIGURE104 LEONCOUNTYOCCUPANCYLEVELSDURING2009AND2010
Leon County Hotel Occupancy Trends

65
Occupancy Level (%)
60
55
50
45
Consistent improvement
over2009levels
40
35
Jan
Feb
Mar
Apr
May
Jun
2009
Jul
Aug
Sep
Oct
Nov
Dec
2010
Asthedatasuggests,LeonCountyhotelsreachedtheirlowestoccupancylevels
in recent years in the 2009 calendar year (50.7%). The preceding figure
suggests that Leon County hotels began consistently registering improved
occupancy levels in June of 2010. In general, this data is consistent with the
recoveryofthenationaleconomy.
Thefollowingfigureillustratestheassociatedseasonalityindex.Thisseasonality
index is derived by dividing one months occupancy level by the annual
occupancy level; a number above 1.0 implies that the month receives a share
greater than its fair share of the years total room nights. A number below 1.0
impliesthatamonthreceivesbelowitsfairshareoftheyearstotalroomnights.
10-6
Attachment # 1
Page 121 of 438
FIGURE105 LEONCOUNTYOCCUPANCYSEASONALITYINDEX(2010)
Seasonality Index
January
February
March
April
May
June
July
August
September
October
November
December
0.78
1.04
1.13
1.07
0.94
1.14
1.04
1.11
0.93
1.00
1.00
0.82
TheindexindicatesthatthemonthsofFebruary,March,andAprilaswellasthe
monthsofJune,July,andAugustachievedthehighestoccupancylevelsin2010
andresponsibleformorethantheirfairshareoftheyearsoverallrevenue.The
followingfigureillustratesthemonthbymonthtrendsinADRachievedbythe
LeonCountyhotelindustryfrom2009through2010.
10-7
Attachment # 1
Page 122 of 438
FIGURE106 LEONCOUNTYADRLEVELSDURING2009AND2010
Leon County Hotel ADR Trends

$95
Average Daily Rate
$90
$85
$80
$75
$70
$65
$60
Jan
Feb
Mar
Apr
May
2009
Jun
Jul
2010
Aug
Sep
Oct
Nov
Dec
WhiletheaggregateADRinthecalendaryear2010($76.43)ismodestlylower,
2.0%, than what Leon County hotels achieved in 2009 ($77.98), the market is
expectedtoimprovewithregardstoADR.Thedevelopmentofnewhotels,the
renovationofexistinghotels,andtheclosureofpoorlyperforminghotelsinthe
area could support marketwide ADR growth (along with the improving
economy)in2011.
Examples of the dynamic nature of the Tallahassee lodging market developing
include:(1)StarwoodsaLoftinthedowntownareaopeninginAugustof2009,
(2) Hotel Duval commencing an affiliation with Marriott as a member of their
AutographCollectioninJulyof2010,(3)theoldHolidayInn/HotelonCapitol
Hill will be renovated and rebranded as a Four Points (set to open around
June/July of 2011), (4) the poorlyperforming Ramada in north Tallahassee
closed,and(5)anewFairfieldInnissettoopenjusteastofdowntownalongthe
Apalachee Parkway corridor. These developments should each improve the
marketwideADR.
10-8
LeonCountyTourist
DevelopmentTax
Attachment # 1
Page 123 of 438
Also of note, the Leon County Tax Collector is responsible for collecting the
Tourist Development Tax (TDT). The TDT, passed in 1988, collects a
percentageofthetotallypaymentreceivedfortherentalofanytemporary(less
thansixmonths)accommodation.VirtuallyalloftheTDTiscollectedfromthe
rentalofroomsinhotelsandmotels,whichmaketheamountcollectedagood
indicatorofthehealthofthelodgingindustryinLeonCounty.Thegovernment
raisedtheTDTfrom3.0%to4.0%inNovemberof2004andfrom4.0%tothe
current level of 5.0% (of the total payment received for the rental of all
temporaryaccommodation)inMayof2009.
GiventhefactthattheTDThasincreasedasapercentageoftherentalrevenue,
itwouldnotbe appropriatetocomparethis amountoftaxcollectedover time
without correcting for these changes. HVS used the amount of tax collected to
calculatetheamountofroomsrevenuereceived.Thefollowingfigurepresents
the resulting rooms revenue calculation based on the tax revenue and the tax
rateatthetimeofcollection.
10-9
Attachment # 1
Page 124 of 438
FIGURE107
TRENDSINROOMSREVENUEBASEDONLEONCOUNTYTOURISTDEVELOPMENTTAX
Calculated Leon County Rooms Revenue ('000s)
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Average Annual Change:
January
February
March
April
May
June
July
August
September
October
November December
Total
$4,403
6,561
6,593
5,700
8,473
5,590
6,953
5,863
5,789
5,460
4,928
$4,170
2,167
5,094
5,147
4,814
4,966
5,850
6,032
5,931
5,031
4,623
$5,221
4,039
5,700
5,309
6,853
6,911
7,007
6,774
7,008
6,000
5,891
$6,235
9,631
5,041
6,812
7,986
8,267
8,866
8,969
8,584
7,466
7,290
$5,763
6,062
6,834
6,124
6,353
8,180
8,722
9,115
9,112
5,247
7,141
$4,571
4,567
4,726
3,467
6,172
6,093
6,810
9,143
6,319
6,354
5,976
$4,484
4,630
5,720
8,466
5,984
5,882
6,571
6,944
6,169
5,851
6,232
$5,047
4,816
5,786
5,555
5,915
6,867
6,018
5,774
5,757
5,200
5,868
$4,707
4,874
5,859
5,964
6,418
7,010
7,431
7,150
6,772
6,101
6,489
$5,995
4,339
5,139
7,087
8,474
6,972
7,153
6,166
6,455
6,533
5,883
$3,725
7,134
4,747
2,969
5,746
8,220
7,761
8,906
6,789
7,073
7,340
$7,283
2,928
6,616
4,288
6,781
5,050
8,713
7,690
7,958
5,105
7,442
$61,605
61,748
67,856
66,888
79,969
80,008
87,854
88,527
82,642
66,628
75,102
1.1%
1.0%
1.2%
1.6%
2.2%
2.7%
3.3%
1.5%
3.3%
-0.2%
7.0%
0.2%
2.0%
Percent Change
0.2 %
9.9
-1.4
19.6
0.0
9.8
0.8
-6.6
-19.4
12.7
November 2004: TDT Tax raised from 3% to 4% of revenues

May 2009: TDT Tax raised from 4% to 5% of revenues
Source: Leon County Tax Collector
HotelAnalysisandR
10-10
Attachment # 1
Page 125 of 438
Countywide rooms revenue increased by an average of 5.6% per year from

2000 through 2007 before declining by 6.6% and 19.4% in 2008 and 2009,
respectively. A 12.7% increase in rooms revenue occurred from 2009 to 2010.
Whilethisdatafailstoaccountforanumberofvariablessuchasroomsupply,
the number of occupied rooms, and average rate, it does provide a broad
indication of the current condition of the lodging industry and the historical
trendsintotalrevenueearnedthroughoutallofLeonCounty.
FromthisdataHVScandeterminewhichmonthsoftheyearhavebeenableto
capturemorerevenuethanpreviouslyandwhichmonthsoftheyearhavelost
revenue. November is the month during which revenue has increased by the
largestrelativeamount,anaverageof7.0%peryear,from2000through2010.
Eachmonthoftheyear,exceptOctober,hasincreasedrevenuesince2000.
FIGURE108 LEONCOUNTYAVERAGEMONTHLYREVENUEGROWTH
(20002010)
Average Annual
Revenue Growth
November
July
September
June
May
April
August
March
January
February
December
October
7.0%
3.3%
3.3%
2.7%
2.2%
1.6%
1.5%
1.2%
1.1%
1.0%
0.2%
-0.2%
The following table illustrates a revenue index for the year 2010; this index
indicates which months of the year accounted for more or less than their fair
share(assumingrevenuesweresplitevenlyoverthetwelvemonthsofayear).
The months during which more than the fair share of revenue was collected
havebeenhighlightedintheprecedingfigure.
10-11
Attachment # 1
Page 126 of 438
FIGURE109 LEONCOUNTYMONTHLYREVENUEINDEX(2010)
Revenue Index
January
February
March
April
May
June
July
August
September
October
November
December
0.79
0.74
0.94
1.16
1.14
0.95
1.00
0.94
1.04
0.94
1.17
1.19
DefinitionofSubject
HotelMarket
As discussed, the proposed convention center hotel will be located in the

downtown area of Tallahassee, Florida, proximate to the central business
district.
Of the Leon County supply set analyzed earlier in this section, the proposed
subject property would compete with a smaller set of hotels based on various
factors. These factors may include location, price point, product quality, length
ofstay(suchasanextendedstayfocusvs.nonextendedstayfocus),roomtype
(allsuite vs. standard), hotel age, or brand, among other factors. We have
reviewed these pertinent attributes and established an expected competitive
set. In general, HVS has included area properties rated upscale and above as
wellasproximatelodgingfacilitiesthatofferguestsfoodservice.
Themaponthefollowingpageillustratesthelocationsoftheproposedsubject
propertyanditsfuturecompetitors.Primarycompetitorsareindicatedbyred
circleswhilesecondarycompetitorsareindicatedbyyellowcircles.
10-12
Attachment # 1
Page 127 of 438
MAPOFPRIMARYANDSECONDARYCOMPETITION
10-13
Attachment # 1
Page 128 of 438
Oursurveyoftheprimarilycompetitivehotelsinthelocalmarketshowsarange
of lodging types and facilities. HVS inspected and evaluated each primary
competitor. Descriptions of our findings are presented below. Narrative
pertaining to our review of the proposed subject propertys specific
competitivesetwithinthegreaterTallahasseeareacommencessubsequentto
ourreviewofnationaloccupancy,averagerate,andRevPARtrends.
TheCompetitiveSet:
HistoricalSupplyand
DemandTrends
Smith Travel Research (STR) is an independent research firm that compiles

and publishes data on the lodging industry, routinely used by typical hotel
buyers.Atourrequest,STRhascompiledhistoricalsupplyanddemanddatafor
agroupofhotelsconsideredapplicabletothisanalysisfortheproposedsubject
property.Thefollowingfigurepresentsthisinformationalongwiththemarket
wideoccupancy,averagerate,androomsrevenueperavailableroom(RevPAR).
RevPARiscalculatedbymultiplyingoccupancybyaveragerateandprovidesan
indicationofhowwellroomsrevenueisbeingmaximized.
10-14
Attachment # 1
Page 129 of 438
FIGURE1010 HISTORICALSUPPLYANDDEMANDTRENDS
Year
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Average Daily Available Room

Room Count
Nights
1,006
1,029
1,099
1,154
1,193
1,193
1,193
1,276
1,508
1,603
1,683
1,865
367,190
375,746
401,135
421,251
435,445
435,445
435,445
465,640
550,481
585,142
614,440
680,725
Average Annual Compounded Change: 1999-2010
Change
2.3 %
6.8
5.0
3.4
0.0
0.0
6.9
18.2
6.3
5.0
10.8
Occupied Room
Nights
234,881
249,746
256,204
273,053
292,103
302,304
299,834
293,015
321,000
328,459
367,190
414,717
5.8 %
Hotels Included in Sample

Hotel On Capitol Hill (Previous Holiday Inn Select; Proposed Four Points)
Holiday Inn Tallahassee Capitol East
Doubletree Tallahassee
Autograph Collection Hotel Duval
Courtyard Tallahassee
Residence Inn Tallahassee
Hilton Garden Inn Tallahassee
Courtyard Tallahassee N I 10 Capital Cir
Homewood Suites Tallahassee
Hilton Garden Inn Tallahassee Central
Residence Inn Tallahassee Univ @ The Capitol
Staybridge Suites Tallahassee I 10 East
Four Points Tallahassee North
Springhill Suites Tallahassee Central
aLoft Hotel Tallahassee Downtown
Change
6.3 %
2.6
6.6
7.0
3.5
(0.8)
(2.3)
9.6
2.3
11.8
12.9
Occupancy
Average
Rate
Change
RevPAR
Change
64.0 %
66.5
63.9
64.8
67.1
69.4
68.9
62.9
58.3
56.1
59.8
60.9
$84.48
87.80
87.14
88.85
91.12
96.05
100.26
111.36
114.60
114.19
105.44
103.11
3.9 %
(0.8)
2.0
2.6
5.4
4.4
11.1
2.9
(0.4)
(7.7)
(2.2)
$54.04
58.36
55.65
57.59
61.12
66.69
69.04
70.07
66.82
64.10
63.01
62.82
8.0 %
(4.6)
3.5
6.1
9.1
3.5
1.5
(4.6)
(4.1)
(1.7)
(0.3)
5.3 %
1.8 %
Competitive
Status
Number
of Rooms
Year
Affiliated
Closed
Secondary
Primary
Primary
Secondary
Secondary
Secondary
Secondary
Secondary
Secondary
Primary
Secondary
Secondary
Secondary
Primary
164
149
243
117
154
78
99
93
94
85
135
104
100
88
162
Sep-09
Aug-00
Feb-97
Jul-10
Aug-87
May-96
Nov-97
Oct-00
Jun-02
Mar-06
Dec-06
Feb-07
Mar-08
Oct-08
Aug-09
Total
Year
Opened
Jun 1960
Sep 1969
May 1971
Jun 1986
Aug 1987
May 1996
Nov 1997
Oct 2000
Jun 2002
Mar 2006
Dec 2006
Feb 2007
Mar 2008
Oct 2008
Aug 2009
1.4 %
General
Location
CBD*
East of CBD
CBD
CBD
East of CBD
North of CBD / I-10
North of CBD / I-10
North of CBD / I-10
North of CBD / I-10
CBD
CBD
North of CBD / I-10
North of CBD / I-10
East of CBD
CBD
1,865
*Central Business District
HotelAnalysis
10-15
Attachment # 1
Page 130 of 438
75
700,000
70
600,000
65
500,000
60
400,000
Room Supply
Room Demand
2010
2009
2008
2007
2006
2005
2004
2003
50
2002
200,000
2001
55
2000
300,000
Occupancy %
800,000
1999
Room Nights
FIGURE1011 HISTORICALSUPPLYANDDEMANDGRAPH
Occupancy
ItisimportanttonotesomelimitationsoftheSTRdata.Hotelsareoccasionally
addedtoorremovedfromthesample,andnoteverypropertyreportsdataina
consistentandtimelymanner;thesefactorscaninfluencetheoverallqualityof
the information by skewing the results. These inconsistencies may also cause
the STR data to differ from the results of our competitive survey. Nonetheless,
STRdataprovidethebestindicationofaggregategrowthordeclineinexisting
supply and demand in this submarket of Tallahassee; thus, these trends have
been considered in our analysis. Opening dates, as available, are presented for
eachreportinghotelintheprevioustable.
These data reflect an overall market occupancy level of 60.9% in 2010, which
compares to 59.8% for 2009. The overall average occupancy level for the
calendar years presented equates to 60.8%. Primary sources of demand for
roomnightsinthismarketaregeneratedfromthestronggovernmentpresence
and the fact that Tallahassee represents the home to many statewide
associations, corporate entities, and two major universities. The largest
universitiesinTallahassee(FloridaStateUniversityandFloridaA&M)generate
demand from their educational programs as well as their athletic programs.
Transientbusinessalsoaccountsforaportionofthelodgingdemand,primarily
forthehotelfacilitieslocatedoutsideofthedowntownareaandmoreproximate
totheInterstate10corridortothenorthofthecentralbusinessdistrict("CBD").
Withintheselectedcompetitiveset,demandforroomnightshasincreasedbyan
average of 5.3% per year while the increase in supply has outpaced that rate
slightly,atanaverageof5.8%peryear.From1999through2004,theincreases
10-16
Attachment # 1
Page 131 of 438
in the number of occupied room nights outpaced the increases in supply and
marketwideoccupancylevelsrosefrom64.0%to69.4%.Strongdemandtrends
andrelativelylimitednewsupplyencourageddeveloperstobuildhotelsinthe
Tallahassee area over the following years. From 2006 through 2010, room
supplyincreasedbyanaverageof9.4%peryearwhiledemandincreasedbyan
average of only 6.9%; these trends in the supply and demand of room nights
have yielded declining occupancy levels. Occupancy levels within the market
appearedtohave"bottomedout"in2008at56.1%(followingtheopeningofthe
Residence Inn, the Staybridge Suites, and the Four Points). Demand increased
significantly in 2009 and 2010, contrary to trends reported nationwide. The
Tallahassee area saw an increase in the capacity for highquality lodging
facilities (along with the "ramping up" of the hotel properties that opened in
2007 and 2008, the Springhill Suites by Marriott and the aLoft by Starwood
opened)whichallowedforthecompetitivesettoincorporatedemandthatwas
previously displaced, or "unaccommodated," to surrounding areas. These
increases in demand in 2009 and 2010 outpaced the increases in supply and
marketwideoccupancyrosefromits2008lowof56.1%to60.9%in2010.This
data suggests that the market is recovering and the effects of the economic
downturn are evaporating from a demand perspective. Interviews, with area
managersconfirmthistrend,reportingincreasesinroomnightsbythemarket's
majorcorporateaccounts.
ThesedatafromSTRalsoreflectanoverallmarketaverageratelevelof$103.11
in 2010, which compares to $105.44 for 2009. The average across all calendar
yearspresentedforaveragerateequatesto$107.92.Averagedailyrate("ADR")
inthelocalmarketregisteredpositivegrowthyearonyearfrom1999through
2007 except for a modest decline in 2001 (0.8%); over this time period, ADR
grew by an average of 3.9% per year. The market was relatively stable during
thisperiodoftimewithconsistentincreasesintheamountofroomsupply.The
consistentnatureoftheTallahasseemarketalongwithstrongoccupancylevels
encouraged development in the mid2000s. The nature of hotel construction
resultedinaperiodof"lag"andnewcompetitivehotelsdidnotbeginopening
until2006.Withthesignificantamountofadditionalroomsupplyenteringthe
market in 2006 and 2007, competition between lodging facilities limited rate
growth even though the local and the national economies were thriving. The
entrance of new highquality hotels (the Springhill Suites and the aLoft Hotel),
renovations to existing hotels (Hotel Duval, specifically), and the closure of
poorlyperforminghotels(HotelonCapitolHill,forexample)havemitigatedthe
declinesinmarketwideADR;marketwideADRbegantodeclinein2008(0.4%),
accelerating in 2009 (7.7%) and continuing through 2010 (2.2%). This decline
inADRwasconsistentwiththecontractionofthenationaleconomy.Thelatest
data indicate that the rate of decline in this market's average daily rate is
slowing,evidencethatarecoveryisunderway,andaveragedailyrateappearsto
10-17
Attachment # 1
Page 132 of 438
have reached its bottom in the low $100range. The current ADR level of
approximately $103 is consistent with the marketwide rates achieved in
2005/06. Rate recovery, while slow to begin with, is now expected, and hotels
shouldregainpricingpowerwiththeforecastedincreasesinoccupancy.
TheseoccupancyandaverageratetrendsresultedinaRevPARlevelof$62.82in
2010, a modest decline of 0.3% from the 2009 level. Within this submarket of
Tallahassee,RevPARpeakedatapproximately$70in2006.
Monthly occupancy and average rate trends are presented in the following
tables.
Seasonalityinthe
CompetitiveSet
10-18
Attachment # 1
Page 133 of 438
FIGURE1012
MONTHLYOCCUPANCYTRENDS
Month
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
January
February
March
April
May
June
July
August
September
October
November
December
54.9 %
66.0
78.2
69.8
56.5
54.8
58.3
67.5
67.9
73.6
67.9
52.5
56.7 %
68.0
80.3
75.6
61.9
62.7
57.6
64.9
65.9
66.2
79.5
58.6
59.2 %
70.4
77.1
75.1
60.1
60.9
61.8
65.6
51.7
72.3
61.8
50.8
60.4 %
80.5
68.4
71.7
61.1
59.9
59.0
69.6
61.6
72.3
64.8
51.3
60.7 %
72.1
76.4
71.1
65.8
71.7
64.1
71.8
69.8
70.6
58.3
53.2
61.3 %
74.6
84.1
76.2
63.3
73.1
59.0
71.0
77.9
76.2
64.3
53.0
59.0 %
74.9
79.8
79.8
66.4
72.3
69.2
71.8
69.8
72.0
61.4
50.6
59.6 %
75.9
72.5
71.4
61.4
63.0
53.8
63.2
62.4
65.7
65.2
45.1
56.1 %
63.8
71.2
68.1
56.2
62.8
49.5
61.6
50.4
62.0
55.7
42.7
53.9 %
67.7
65.1
67.8
54.9
57.9
47.6
57.8
50.6
53.4
55.5
43.2
52.4 %
69.9
72.1
66.1
68.7
70.4
58.4
62.3
56.8
55.1
46.8
44.9
49.2 %
68.8
69.2
65.5
56.0
67.2
57.1
65.8
58.3
64.2
60.8
50.0
Annual Occupancy
64.0 %
66.5 %
63.9 %
64.8 %
67.1 %
69.4 %
68.9 %
62.9 %
58.3 %
56.1 %
59.8 %
60.9 %
FIGURE1013
Month
MONTHLYAVERAGERATETRENDS
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
January
February
March
April
May
June
July
August
September
October
November
December
$83.67
84.57
92.23
91.38
79.69
76.42
75.77
80.99
88.76
91.72
84.88
76.19
$83.14
87.00
93.88
98.04
79.43
75.41
76.38
82.60
93.95
96.10
94.38
84.63
$85.03
89.21
95.59
97.10
81.77
77.51
75.14
78.65
90.39
99.58
87.88
81.18
$91.31
99.08
94.00
94.53
82.77
79.63
77.21
83.36
89.95
93.66
96.35
80.09
$84.36
87.72
101.12
99.42
89.53
80.85
80.79
83.40
104.10
100.69
92.46
85.53
$88.20
95.81
107.23
101.48
89.16
84.28
85.04
89.43
104.02
107.61
103.25
88.90
$94.20
98.85
112.22
115.32
91.21
86.95
87.71
94.69
108.45
114.04
101.04
91.21
$99.30
107.45
120.88
125.40
106.05
97.99
96.03
101.81
117.52
119.29
133.37
102.22
$111.34
112.84
130.48
133.32
105.67
102.05
97.40
102.67
111.67
134.72
116.26
104.36
$109.03
112.96
127.67
134.23
106.45
102.28
98.84
102.22
116.93
120.33
127.84
101.27
$104.34
104.98
122.30
111.30
101.34
94.59
91.24
97.34
116.00
119.97
104.18
93.94
$96.85
100.16
115.58
112.93
99.69
91.66
88.87
94.71
107.56
110.42
121.87
92.85
Annual Average Rate
$84.48
$87.80
$87.14
$88.85
$91.12
$96.05
$100.26
$111.36
$114.60
$114.19
$105.44
$103.11
10-19
Attachment # 1
Page 134 of 438
Theillustratedmonthlyoccupancyandaverageratespatternsreflectimportant
seasonal characteristics. We have reviewed these trends in developing our
forthcomingforecastofmarketwidedemandandaveragerate.
The following figure further confirms the preceding data and analysis which
indicatesthatthemonthsofMarchandAprilachievethehighestoccupancyand
ADR levels while ADR peaks again in September, October, and November.
December is the worstperforming month with regard to occupancy as (1) the
governmentsectoristypicallyabsentforagoodmajorityofthemonth,(2)many
students in the area return to their parents homes, and (3) those that do
vacationandtravelinFloridatendtoutilizelodgingalongtheeastorwestcoast
ofthestateasopposedtothecenter.
FIGURE1014 HISTORICALOCCUPANCYANDAVERAGERATETRENDS(1999
2010)
Areawide Occupancy
$115
75%
$110
70%
$105
65%
$100
60%
$95
55%
$90
50%
45%
$85
40%
$80
Room Rate (averaged over trend period)
Occupancy (averaged over trend period)
Areawide Average Rate
80%
Areviewof thetrendsinoccupancy,averagerate,andRevPARbythenightof
theweekoverthepastthreefiscalyearsprovidessomeinsightintotheimpact
that the current economic conditions have had on the competitive lodging
market.Thedata,asrequestedfromSmithTravelResearch,issetforthinthe
following table. The highest occupancy, ADR, and RevPAR levels have been
highlighted.
PatternsofDemand
10-20
Attachment # 1
Page 135 of 438
FIGURE1015OCCUPANCY,AVERAGERATEANDREVPARBYDAYOFWEEK
Occupancy (%)
Jan 08 - Dec 08
Jan 09 - Dec 09
Jan 10 - Dec 10
Sunday
34.9 %
38.2
37.6
Change (Occupancy Points)

FY 08 - FY 09
3.3
FY 09 - FY 10
-0.6
ADR ($)
Jan 08 - Dec 08
Jan 09 - Dec 09
Jan 10 - Dec 10
Change (Dollars)
FY 08 - FY 09
FY 09 - FY 10
Change (Percent)
FY 08 - FY 09
FY 09 - FY 10
Sunday
Monday
56.1 %
59.9
59.6
3.8
-0.3
Monday
Tuesday
65.4 %
68.9
70.5
3.5
1.5
Tuesday
Wednesday
Thursday
64.3 %
68.3
69.0
56.6 %
58.5
59.7
3.9
0.8
Wednesday
1.9
1.2
Thursday
Friday
57.7 %
63.4
64.4
5.7
0.9
Friday
Saturday
57.6 %
61.2
65.6
3.6
4.4
Saturday
Total Year
56.1 %
59.8
60.9
3.6
1.2
Total Year
$104.26
100.17
92.70
$116.87
110.24
103.15
$120.98
111.18
106.02
$119.55
109.80
105.40
$112.36
103.24
99.75
$110.08
100.63
104.90
$109.55
99.87
104.82
$114.19
105.44
103.11
-$4.09
-7.47
-$6.63
-7.09
-$9.80
-5.16
-$9.75
-4.41
-$9.12
-3.49
-$9.45
4.27
-$9.68
4.94
-$8.74
-2.33
-3.9 %
-7.5
-5.7 %
-6.4
-8.1 %
-4.6
-8.2 %
-4.0
-8.1 %
-3.4
-8.6 %
4.2
-8.8 %
4.9
-7.7 %
-2.2
RevPAR ($)
Sunday
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
Total Year
Jan 08 - Dec 08
Jan 09 - Dec 09
Jan 10 - Dec 10
$36.42
38.29
34.89
$65.55
65.99
61.48
$79.09
76.62
74.70
$76.89
74.94
72.74
$63.62
60.38
59.57
$63.48
63.81
67.51
$63.12
61.12
68.75
$64.10
63.01
62.82
$1.87
-3.40
$0.44
-4.51
-$2.46
-1.92
-$1.95
-2.21
-$3.24
-0.81
$0.33
3.70
-$2.00
7.64
-$1.08
-0.19
Change (Dollars)
FY 08 - FY 09
FY 09 - FY 10
Change (Percent)
FY 08 - FY 09
FY 09 - FY 10
5.1 %
-8.9
0.7 %
-6.8
-3.1 %
-2.5
-2.5 %
-2.9
-5.1 %
-1.3
0.5 %
5.8
-3.2 %
12.5
-1.7 %
-0.3
ItisevidentthatTuesdayandWednesdaynightsarethemostpopularandthe
most profitable for this set of Tallahassee hotels; this can be attributed to the
10-21
Attachment # 1
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significant portion of government travel and business travel (including

individualcommercialtravelersandcorporategroups)thatoccursmidweek.
Based on an evaluation of the occupancy, rate structure, market orientation,
chain affiliation, location, facilities, amenities, reputation, and quality of each
area hotel, as well as the comments of management representatives, we have
identifiedseveralpropertiesthatareexpectedtobeprimarilycompetitivewith
theproposedsubjectproperty.Additionallodgingfacilitieshavebeenjudgedto
be only secondarily competitive; although the facilities, rate structures, or
marketorientationsofthesehotelspreventtheirinclusionamongtheprimarily
competitive supply, they are expected to compete with the proposed subject
propertytosomeextent.
SUPPLY
The table on the following page summarizes the important operating

characteristics of the future primary competitors and the aggregate secondary
competitors. This information was compiled from personal interviews,
inspections,lodgingdirectories,andourinhouselibraryofoperatingdata.The
tablealsosetsfortheachpropertyspenetrationfactors;penetrationistheratio
betweenaspecifichotelsoperatingresultsandthecorrespondingdataforthe
market. If the penetration factor is greater than 100%, the property is
performingbetterthanthemarketasawhole;conversely,ifthepenetrationis
less than 100%, the hotel is performing at a level below the marketwide
average.
10-22
Attachment # 1
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FIGURE1016 PRIMARYCOMPETITORSESTIMATEDOPERATINGPERFORMANCE
aLoft
Doubletree
Hotel Duval
Residence Inn (Gaines Street)
Closed Holiday Inn Select/Hotel on Capitol Hill (Proposed Four Points)
Sub-Totals/Averages
Estimated 2008
re
Weighted
Annual
Room
Count
Leisu
Meeti
ng an
d
Gr o u p
l
ercia
C om m
Number
of Rooms
Go v e
Property
rn m e
nt
Est. Segmentation
162
243
117
135
164
25 % 45 %
25
35
20
35
20
35
15
30
10 %
20
20
15
20
20 %
20
25
30
35
243
89
135
164
Occ.
64 %
50
72
32
Estimated 2009
Average
Rate
RevPAR
Weighted
Annual
Room
Count
130.00
100.00
118.00
87.00
83.20
50.00
84.96
27.84
68
243
29
135
-
33 %
66
40
76
-
Estimated 2010
Weighted
Annual
Room
Count
RevPAR
Occ.
Average
Rate
$124.00
118.00
100.00
109.00
-
$40.92
77.88
40.00
82.84
-
Average
Rate
RevPAR
162
243
117
135
-
51 % $112.00
64
111.00
71
128.00
74
105.00
-
$57.12
71.04
90.88
77.70
-
Occ.
RevPAR
Change
Occupancy
Penetration
Yield
Penetration
39.6 %
(8.8)
127.2
(6.2)
-
83.0 %
104.1
115.5
120.4
-
86.6 %
107.7
137.7
117.8
-
821
23 % 37 %
17 %
23 %
631
55.4 % $116.39
$64.51
475
62.5 %
$114.63
$71.66
657
64.1 % $113.13
$72.51
1.2 %
104.3 %
109.9 %
Secondary Competitors
1,140
12 % 42 %
9%
37 %
589
57.3 % $115.40
$66.08
652
58.8 %
$103.54
$60.85
652
58.8 % $101.01
$59.39
(2.4) %
95.7 %
90.0 %
Totals/Averages
1,961
18 % 39 %
13 %
30 %
1,220
56.3 % $115.90
$65.27
1,128
60.4 %
$108.38
$65.41
1,309
61.5 % $107.35
$65.98
0.9 %
100.0 %
100.0 %
10-23
Attachment # 1
Page 138 of 438
PRIMARYCOMPETITOR#1ALOFT
aLoft
200 North Monroe Street
Tallahassee, Florida
FIGURE1017 ESTIMATEDHISTORICALOPERATINGSTATISTICS
Year
Estimated 2009*
Estimated 2010
Wtd. Annual
Average
Room Count Occupancy
Rate
68
162
33 %
51
124
112
RevPAR
41
57
Occupancy
Penetration
54.7 %
83.0
Yield
Penetration
62.6 %
86.6
*Aug. - Dec.
The aLoft, located in downtown Tallahassee, is owned and operated by

McKibbon Hotel Group ("MHG"). MHG also operates three Marriottaffiliated
propertiesinTallahassee;theCourtyardonRaymondDiehlRoad,theResidence
Inn on Raymond Diehl Road, and the TownePlace Suites on Capital Circle.
FacilitiesattheaLoftincludea"grabandgo"outofwhichbreakfastandother
light fare may be purchased, an outdoor pool, a fitness room, a guest laundry
10-24
Attachment # 1
Page 139 of 438
room,andapproximately2,250squarefeetofmeetingspace.Guestroomsoffer
42inch LCD televisions, minirefrigerators, complimentary wireless Internet,
and a "plugandplay" Ipod docking station. The hotel also features a lounge
with a pool table and cocktail bar. This hotel benefits from its affiliation with
Starwood and their popular Starwood Preferred Guest Program, its location
given its proximity to the capitol and along the busy Monroe Street, and its
recent construction when compared to the majority of the other downtown
Tallahassee lodging supply. Overall, the property appeared to be in excellent
conditionuponinspection.Itsaccessibilityiscomparabletothatofthesubject
site.ItsvisibilitytopassingmotoriststravelingonMonroeStreetisexcellent.
10-25
Attachment # 1
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PRIMARYCOMPETITOR#2DOUBLETREE
Doubletree
101 South Adams Street
Year
Estimated 2008
Estimated 2009
Estimated 2010
Wtd. Annual
243
243
243
64 %
66
64
Average
Rate
$130
118
111
RevPAR
$83
78
71
Occupancy
Penetration
Yield
Penetration
113.7 %
109.4
104.1
127.5 %
119.1
107.7
According to the Leon County Property Appraiser, the Doubletree is owned by

W2005 Wyn Hotels (in care of Goldman Sachs Investments); the facility is
reportedly operated by Hilton. W2005 Wyn Hotels purchased the property in
March of 2004 for $15,596,200 (approximately $64,181 per room). Facilities
include a restaurant, an outdoor pool, an exercise room, garage parking, and
6,000 square feet of meeting space. The hotel was built in 1971. In the early
10-26
Attachment # 1
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1980s, the hotel was operated as a Holiday Inn and then a Sheraton before
operatingindependentofaflag.Afteritspurchasein1996byPatriotAmerican,
the property underwent an extensive renovation and was branded as a
Doubletree.Recentrenovationsincludethelobbyareain2009,thefurniturein
the public areas in early2010, and in mid2010 the mattresses/bedding
packages in most guestrooms were replaced and the corridors on floors 13
through16wererenovated.Upcomingrenovationsslatedfor2011includethe
meeting space and the hotel's two suites. This hotel benefits from its
"preferred" status with most government associations as well as its location
proximate to the capitol. The hotel is large enough to house visiting athletic
teams,howevertheseteamsareoftendisplacedtootherhotelsduetothefact
thattherearenotenoughunoccupiedrooms.Overall,thepropertyappearedto
beinverygoodcondition.Itsaccessibilityanditsvisibilityareexpectedtobe
comparabletotheproposedconventioncenterhotel.
10-27
Attachment # 1
Page 142 of 438
PRIMARYCOMPETITOR#3HOTELDUVAL(THEAUTOGRAPHCOLLECTION)
HotelDuval
415 North Monroe Street
Year
Estimated 2008*
Estimated 2009^
Estimated 2010
Wtd. Annual
Average
Rate
89
29
117
50 %
40
71
$100
100
128
RevPAR
$50
40
91
Occupancy
Penetration
Yield
Penetration
88.8 %
66.3
115.5
76.6 %
61.2
137.7
*Jan. - Sept.
^Oct. - Dec.
The 117room Hotel Duval is owned by Duval Partners LLC. This facility
maintains an affiliation with Marriott under the "Autograph Collection." The
Autograph Collection affiliation intends to bring hotels that are considered
boutique,iconic,unique,andindependenthotelsintothe"Marriottfamily."The
lodgingfacility,previouslyknownastheTallahasseeParkPlaza,wasclosedfor
10-28
Attachment # 1
Page 143 of 438
renovations from October 2008 through September 2009 to undergo

renovations;thepropertyreopenedinOctoberof2009astheHotelDuval.The
property commenced an affiliation with Marriott as a member of their
Autograph Collection in July of 2010. Facilities include a breakfast and lunch
dining area called LeRoc, Shula's 347 Grill, Level 8 rooftop lounge, an exercise
room, approximately 7,500 square feet of meeting/function space, a business
center,andaninroomtouchscreenconciergeservice/personalcomputer(with
Internetaccess)called"ICE."MarketparticipantsestimatedthatDuvalPartners
LLC spent roughly $30 million, or approximately $256,000 per guestroom, on
thepropertywidecompleterenovation.Thishotelbenefitsfromitsimageinthe
marketplace as one of Tallahassee's premier boutique lodging facilities
(confirmedwiththemembershiptoMarriott'sAutographCollection)aswellas
its eighthfloor lounge visible to passing motorists. This facility also offers
approximately 64 square feet of meeting space per guestroom, making it a
leaderintheTallahasseearea.Overall,thepropertyappearedtobeininteriorof
thepropertyappearedtobeinexcellentcondition.Theexterioroftheproperty
that was visible to passing motorists appeared to be in good condition. Its
accessibilityanditsvisibilityattributesarecomparabletothoseexpectedofthe
proposedhotelandconventioncenter.
10-29
Attachment # 1
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PRIMARYCOMPETITOR#4RESIDENCEINN(GAINESSTREET)
ResidenceInn
600 West Gaines Street
Year
Estimated 2008
Estimated 2009
Estimated 2010
Wtd. Annual
135
135
135
72 %
76
74
Average
Rate
$118
109
105
RevPAR
$85
83
78
Occupancy
Penetration
Yield
Penetration
127.9 %
125.9
120.4
130.2 %
126.6
117.8
The135roomResidenceInnisownedbytheFinvarbGroupandisoperatedby
Marriott. Facilities include a breakfast dining area, an outdoor pool and
whirlpool, a fitness room, a fullservice business center, a nightly manager's
reception,and4,200squarefeetofmeetingspace.Thehotelwasbuiltin2006
andhasnotundergoneanysignificantrenovationssinceitsopening.Thishotel
benefitsfromitslocationimmediatelyproximatetoFloridaStateUniversityas
10-30
Attachment # 1
Page 145 of 438
well as its affiliation with Marriott. Marriott offers one of the most popular
rewards programs in the country. The rooms are fullyequipped with a
dishwasher, microwave, pots, pans, serving dishes, refrigerator, and toaster,
whichmakesthisfacilitypopularamongextendedstayguestsaswellasbudget
conscioustravelers.Overall,thepropertyappearedtobeinverygoodcondition.
Itsaccessibilityissimilartothatofthesubjectsite,anditsvisibilityissimilarto
theexpectedvisibilityoftheProposedConventionCenterHotel.
We have also reviewed other area lodging facilities to determine whether any
may compete with the proposed subject property on a secondary basis. The
room count of each secondary competitor has been weighted based on its
assumed degree of competitiveness in the future with the proposed subject
property. By assigning degrees of competitiveness, we can assess how the
subjectpropertyanditscompetitorsmayreacttovariouschangesinthemarket,
including new supply, changes to demand generators, and renovations or
franchisechangesofexistingsupply.Thetableonthefollowingpagesetsforth
thepertinentoperatingcharacteristicsofthesecondarycompetitors.
Secondary
Competitors
10-31
Attachment # 1
Page 146 of 438
FIGURE1021 SECONDARYCOMPETITORSESTIMATEDOPERATINGPERFORMANCE
Governors Inn
Springhill Suites
Hilton Garden Inn (Blairstone Road)
Tallahassee Center
Holiday Inn (Apalachee Parkway)
Homewood Suites
Courtyard by Marriott (Apalachee Parkway)
Hilton Garden Inn (Thomasville Road)
Four Points
Residence Inn (Raymond Diehl Road)
Courtyard by Marriott (Raymond Diehl Road)
Staybridge Suites
Totals/Averages
re
Estimated 2008
Leisu
ng a n
G ro up d
Meeti
l
ercia
Com m
Number of
Rooms
Gove
Property
rn m e
nt
Est. Segmentation
Weighted
Annual
Total
Competitive Room
Level
Count
Occ.
Estimated 2009
Average
Rate
RevPAR
Weighted
Annual
Room
Count
Occ.
Estimated 2010
Average
Rate
RevPAR
Weighted
Annual
Room
Count
Occ.
Average
Rate
RevPAR
41
88
85
55
149
94
154
99
100
78
93
104
20 %
15
20
15
15
10
15
10
5
5
5
5
35 %
40
45
40
45
45
45
45
45
40
45
25
20 % 25 %
10
35
10
25
10
35
10
30
5
40
10
30
5
40
10
40
5
50
10
40
5
65
75 %
75
70
65
60
60
60
50
50
50
45
40
31
11
60
36
89
56
92
50
42
39
42
42
60 % $130.00
38
124.00
71
129.00
35
150.00
40
90.00
67
117.00
64
119.00
72
121.00
32
96.00
71
109.00
61
119.00
60
94.00
$78.00
47.12
91.59
52.50
36.00
78.39
76.16
87.12
30.72
77.39
72.59
56.40
31
66
60
36
89
56
92
50
50
39
42
42
60 % $115.00
69
99.00
68
120.00
40
125.00
40
86.00
68
106.00
62
105.00
71
113.00
42
87.00
68
98.00
59
107.00
62
86.00
$69.00
68.31
81.60
50.00
34.40
72.08
65.10
80.23
36.54
66.64
63.13
53.32
31
66
60
36
89
56
92
50
50
39
42
42
62 % $120.00
74
96.00
69
117.00
45
120.00
37
85.00
70
103.00
61
99.00
69
111.00
37
68.00
74
98.00
59
104.00
56
91.00
$74.40
71.04
80.73
54.00
31.45
72.10
60.39
76.59
25.16
72.52
61.36
50.96
1,140
12 %
42 %
9 % 37 %
57 %
589
57.3 % $115.40
$66.08
652
58.8 % $103.54
$60.85
652
58.8 % $101.01
$59.39
10-32
Attachment # 1
Page 147 of 438
We have identified twelve hotels that are expected to compete with the
proposedsubjectpropertyonasecondarylevel.
TheGovernorsInn
SpringhillSuites
This condohotel offers transient guests a fullyfurnished apartment

proximatetotheStateCapitol.Whilelackingafullservicerestauranton
site,thereareavarietyofoptionsinthesurroundingplaza.Thisfacility
performs well with regards to extendedstay demand, occasionally
officials from the government sector staying for the entire legislative
session. As a result of the differences in this propertys target market,
guestroom facilities, and typical lengthofstay, this property is
estimatedtobeonlysecondarilycompetitive.
HolidayInn(ApalacheeParkway)
This 85room property is located proximate to the CBD but not within
walkingdistancewhichlimitsitsabilitytocapturealargeportionofthe
governmentdemand.Thisfullservicepropertydoesstronglycompete
within the commercial market segment for guests who are not
insistent upon staying in the CBD area. Given its location out of the
downtownarea,itisestimatedtoonlycompeteonasecondarybasis.
TallahasseeCenter
This88roomSpringhillSuites,openedinOctoberof2008,isestimated
to compete based on its location just east of the CBD and given its
classification as upper upscale. Given the fact that it is not within
walking distance to the State Capitol, it lacks a fullservice restaurant,
and the disparity in target market (Springhill Suites attracts a
significantly higher percentage of leisure guests than the downtown
properties)thisfacilityisestimatedtoonlycompetesecondarily.
HiltonGardenInn(BlairstoneRoad)
This 41room lodging facility is an upscale boutique hotel located

immediatelyproximatetotheprimarydemandgenerators.Thisfacility
isacondohoteland,giventhedisparityinthetargetmarketanditslack
of a fullservice restaurant, this facility is projected to be only
secondarilycompetitive.
The attached Applebees restaurant essentially makes this 149room

lodging facility a fullservice hotel. The location out of the immediate
downtownareaaswellasitsinferiorqualityandvaryingtargetmarket
makesthispropertyonlysecondarilycompetitive.
10-33
Attachment # 1
Page 148 of 438
HomewoodSuites
CourtyardbyMarriott(ApalacheeParkway)
The 94room Homewood Suites is located to the east of the CBD. This
propertytendstoofferslowerratesthanthepropertiesthathavebeen
included in the set from within the downtown area. The market
segmentationandtargetmarketareslightlydifferent(moreofaleisure
component) than the anticipated market segmentation and target
market for the proposed property given its location. As a result, this
propertyisconsideredtobesecondarilycompetitive.
The 154room Courtyard is located to the east of the CBD, along the
ApalacheeParkwaycorridor.Thisdatedproperty(constructedin1987)
offers lower rates than the downtown properties and is not within
walking distance to many of the primary demand generators. This
propertyattractsmoreleisurebusinessthancorporateandgovernment
anditsdatedamenities andsignsof functionalobsolescence havebeen
considered when deeming this property to be only secondarily
competitive.
10-34
Attachment # 1
Page 149 of 438
The following properties are located north of the downtown area,

approximately a 1015 minute drive from the CBD. These properties are
clusteredbyInterstate10andreceiveasignificantportionoftheirdemandfrom
transient business passing through. During peak periods of demand, these
properties also receive excess demand for room nights that is not
accommodated by the hotel properties in the downtown area; events include
but are not limited to collegiate football games, legislative sessions, and major
university events such as graduation. These properties have been included at
varyingdegreesofcompetitiveness:
HiltonGardenInn(ThomasvilleRoad);
FourPointsbySheraton;
ResidenceInn(RaymondDiehlRoad);
CourtyardbyMarriott(RaymondDiehlRoad);and
StaybridgeSuites.
SummaryofProximate
Competitors
Amenities
The table on the following page presents a summary of the facilities and
amenitiesavailableatthesurroundinghotels.
10-35
Attachment # 1
Page 150 of 438
FIGURE1022 SUMMARYOFTHEFACILITIESAVAILABLEATPROXIMATEHOTELS
SURROUNDING AREA
DOWNTOWN
Driving Distance from

Proposed Subject
Number of
Amount of
Meeting Space
Property (Miles)
Guestrooms Meeting Space per Guestroom
Food and Beverage Outlets
Business Swimming Exercise STR Chain

Center
Pool
Room
Scale
Residence Inn
0.3
135
4,200
31.1
1) Continental Breakfast
Upscale
Governors Inn
0.6
41
1,500
36.6
Independent
Tallahassee Center
0.6
55
1,400
25.5
No On-Site Dining
Independent
Doubletree
0.7
243
6,000
24.7
1) Jacob's on the Plaza

(B, L, D)
Upscale
aLoft
0.9
162
2,250
13.9
1) Grab-and-Go
2) w xyz Lounge (Light Fare)
Upscale
Hotel Duval
1.1
117
7,500
64.1
1) Shula's (L, D)
2) Level 8 Lounge (Light Fare)
3) Le Roc (B, L)
N*
Upper
Upscale
Courtyard by Marriott
1.7
154
1,250
8.1
1) Courtyard Caf (B)
Upscale
Holiday Inn
(Apalachee Parkway)
1.8
149
1,600
10.7
2) Applebees (L, D)
Upper
Midscale
Hilton Garden Inn

(Blairstone Road)
2.6
85
1,200
14.1
1) Pavilion Lounge (Light Fare)

2) Great American Grill (B, L, D)
Upscale
SpringHill Suites
3.4
88
635
7.2
Upscale
Homewood Suites
3.9
94
3,180
33.8
Upscale
Hilton Garden Inn

(North Tallahassee)
5.5
99
735
7.4
1) Pavilion Lounge (Light Fare)

2) Great American Grill (B, L, D)
Upscale
Courtyard by Marriott
(North Tallahassee)
6.0
93
648
7.0
1) Courtyard Caf (B)
Upscale
Residence Inn
(North Tallahassee)
6.0
78
0.0
Upscale
Four Points
(North Tallahassee)
6.3
100
750
7.5
1) Capitol Caf (B)

2) Capitol Lounge (Light Fare)
Upscale
Downtown Average
0.7
131
3,808
29.1
Overall Average
2.6
116
2,190
18.9
*Each room is equipped with a touch-screen computer
10-36
Attachment # 1
Page 151 of 438
It is important to consider any new hotels that may have an impact on the
proposed subject propertys operating performance. Based upon our research
and inspection, new supply considered in our analysis is presented in the
followingtable.
SupplyChanges
FIGURE1023 NEWSUPPLY
Proposed Property
Proposed Convention Center Hotel
Proposed Four Points by Sheraton
Proposed Fairfield Inn
Re-opening of the Closed Ramada Inn
Proposed Hotel and Casino-Gretna
Total
Competitive
Level
100 %
100
0
0
0
Estimated
Opening Date
Development Stage
January 1, 2014
August 1, 2011
Late-2011
Not Available
Not Available
Speculative
Closed for Renovation
Speculative
Rumored
Speculative
ProposedFourPointsbySheraton
316WestTennesseeStreet
Tallahassee,Florida
Thepropertyoriginallyopenedin1960.Recently,thestructurewashometoa
164room Holiday Inn Select before it lost its flag in November of 2008.
SubsequenttotheclosingoftheHolidayInnExpress,thefacilityoperatedfora
relatively short period of time as the Hotel on Capitol Hill. Currently, the
structureisclosedandundergoingacompleterenovation(everythingfromthe
exterior faade to the public spaces and the corridors to the guestrooms) in
ordertocomplywithStarwoodssuperiorbrandstandardsforaFourPointsand
tobemorecompetitiveinthemarketarea.
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EXISTINGHOTELSTRUCTUREPROPOSED164ROOMFOURPOINTSHOTEL
Originally, the target opening date for the 164room property was June 2011.
Throughdelaysintherenovationprocess,itiswidelybelievedthroughoutthe
marketthatthepropertywillnotbeopenforbusinessuntilthefallof2011.The
property is expected to be primarily competitive with the proposed subject
property as well as the majority of the downtown Tallahassee lodging
properties.Wehavebasedourprojectionsontheassumptionthatthisproperty
willopenonAugust1,2011.
The propertys historical performance as a Holiday Inn must be incorporated
intotheanalysisofthedemandcharacteristicsofthegreatermarket;however
the occupancy and average rate levels achieved as a Holiday Inn will not
translatetothefutureoccupancyandaverageratelevelsasa FourPoints.The
followingtableillustratesthedifference,onaverage,betweentheperformance
ofaHolidayInnandtheperformanceofaFourPoints.Wehavepresenteddata
from 2005 and 2006 as this is considered a normalized hotel market. This
periodoftimeisconsideredtobenormalbecauseitispriortothepeakofthe
marketandpriortotheeconomicdownturnthatensuedin2008.
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FIGURE1024 NORMALDISPARITYBETWEENTHEHOLIDAYINNANDTHE
FOURPOINTSBRANDS
2005
Occupancy
Holiday Inn
Four Points
Difference
61.5 %
67.3
5.8 Points
2006
ADR
RevPAR
Occupancy
$85.15
91.62
$52.37
61.66
62.8 %
67.5
7.6%
17.7%
4.7 Points
ADR
RevPAR
$91.35
99.43
$57.37
67.12
8.8%
17.0%
As illustrated, during a normal hotel market, the Four Points brand has
achievedapproximatelya17%RevPARpremiumwhencomparedtotheHoliday
Innbrand.TheproposedFourPoints,abrandconsideredtobeupscale,willbe
primarilycompetitivewiththeproposedsubjectproperty.
ProposedFairfieldInn
2997ApalacheeParkway
Tallahassee,Florida
LBAHospitality,theoperatorsofthe85roomHiltonGardenInnonSouthBlair
Streetandthe79roomFairfieldInnonNorthMonroeStreet,areslatedtoopen
an additional Fairfield Inn at the end of 2011, depending on the speed of the
building construction and fitout. The site is the closed Dutch Inn, east of the
downtownarea,onApalacheeParkway.AccordingtotheLeonCountyProperty
Appraiser,the50roomDutchInnsoldinJuly2010for$1,125,000,or$22,500
perroom.
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LOCATIONOFTHEPROPOSEDFAIRFIELDINN2997APALACHEEPARKWAY
Given the distance to the downtown area, the lower chain scale (Fairfield Inns
are considered to be midscale properties) and the scope of the service
provided(FairfieldInns arelimited servicepropertiesi.e.theydo not offer a
fullservicerestaurant),HVShasnotconsideredthispropertytobeprimarilyor
secondarily competitive with the proposed subject property. The prospective
operators of this property, LBA Hospitality, would anticipate receiving, aside
from a portion of the base demand in the area, a level demand that the
downtownlodgingfacilitiesareunabletoaccommodateduringbusyperiodsof
timesuchasFSUorFAMUsportingevents(specifically,footballgames),aswell
asduringportionsofMarchandAprilwhentheStateofFloridalegislatureisin
session.
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ClosedRamadaInn
2900NorthMonroeStreet
Tallahassee,Florida
TheRamadaInnlocatedon2900NorthMonroeStreetclosedinFebruary2010,
after being in receivership for approximately one year, due to negative cash
flows.AccordingtotheLeonCountyPropertyAppraiser,thepropertywassold
fourmonthsafteritsclosing,inJune2010,forthepriceof$1,200,000(or$6,000
per room, based on its 200room inventory). This property is located north of
the central downtown area, proximate to the intersection of Interstate 10 and
NorthMonroeStreet.The200roompropertyfeaturesover6,000squarefeetof
meetingandbanquetspace(or30squarefeetperguestroom)withatotalof9
breakout rooms. The main ballroom offers more than 3,000 square feet of
function space and can reportedly accommodate up to 275 delegates for
banquets. While there have been discussions regarding renovating this
propertyandreopeningitwithaRamadaflagorpotentiallyanewflag,forthe
purposeofthisanalysiswehaveassumedthatthisproperty,ifreopenedatall,
would be reopened as a Ramada and would not be competitive with the
proposedsubjecthotel.
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LOCATIONOFTHECLOSEDRAMADAINN2900NORTHMONROESTREET
While the nowclosed property already has the facilities for a full service
restaurant,lobbybar,businesscenter,andoutdoorswimmingpool,thequality
of the facilities prior to the closure was inferior to the expected quality of the
proposedsubjectpropertyandthedistancetotheprimarydemandgenerators
makesthisproperty,evenifreopened,notprimarilyorsecondarilycompetitive
withtheproposedsubjectproperty.
ProposedHotelandCasino
Gretna,Florida
IthasbeenreportedthatthePoarchBandofCreekIndians,inpartnershipwith
FloridadeveloperDavidRomanik,willbedevelopingahorseracingandapoker
facilitytothecityofGretna,Florida.Gretna,locatedapproximatelythirtymiles
10-42
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northwest of Tallahassee and eight miles south of the Georgia border, has a
populationunder2,000people.
AccordingtoChannel4NewsofDothan,Alabama,themixedusefacilitythatis
scheduled to open in the winter of 2011 is estimated to create approximately
400jobsandattractroughly500,000adultstoitspokerfacility.Currently,there
are three operating racetrack and poker rooms in the state of Florida; in total,
these facilities are estimated to employ more than 1,500 fulltime employees
and they generate an estimated $5.15 million in state and local taxes for the
communities they serve. Gretna City Manager Antonio Jefferson predicts that,
afterthesecondyearofoperation,whenaretailstoreandahotelwillbeadded,
theyexpectasixtosevenmilliondollareconomicimpacteachyear.
Whencomplete,themixedusefacilitywillbeapproximatelya40minutedrive
from the Tallahassee area. Given the different target market and its relatively
isolated location with regard to its distance from Tallahassee and its demand
generators,wehavenotincludedthisasaprimaryorsecondarycompetitorto
thesubjectproperty.
While we have taken reasonable steps to investigate proposed hotel projects
andtheirstatus,duetothenatureofrealestatedevelopment,itisimpossibleto
determinewithcertaintyeveryhotelthatwillbeopenedinthefuture,orwhat
their marketing strategies and effect in the market will be. Depending on the
outcome of current and future projects, the future operating potential of the
proposed subject property may be positively or negatively affected. Future
improvementinmarketconditionswillraisetheriskofincreasedcompetition.
Ourforthcomingforecastofstabilizedoccupancyandaveragerateisintendedto
reflectsuchrisk.
SupplyConclusion
Asdiscussedthroughoutthissection,wehaveidentifiedvariouspropertiesthat
are expected to be competitive to some degree with the proposed subject
property.Wehavealsoinvestigatedpotentialincreasesincompetitivesupplyin
this downtown submarket of Tallahassee. The proposed Convention Center
Hotel would be entering into a dynamic market of varying product types and
pricepoints.
HVSusesthehistoricalsupplydatapresentedasastartingpointtopresentour
forecastfordemandchange.Thefollowingtablepresentsthemostrecenttrends
for the subject hotel market as tracked by HVS. These data pertain to the
competitors discussed previously in this section; performance results are
estimated,roundedforthecompetition,andinsomecasesweightedifthereare
secondary competitors present. In this respect, the information in the table
DEMAND
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differsfromthepreviouslypresentedSTRdataandisconsistentwiththesupply
anddemandanalysisdevelopedforthisreport.
FIGURE1025 HISTORICALMARKETTRENDS
Year
Accommodated
Room Nights
Est. 2008
Est. 2009
Est. 2010
250,746
248,377
293,672
% Change
(0.9) %
18.2
Avg. Annual Compounded

Chg., Est. 2008-Est. 2010:
8.2 %
Room Nights
Available
445,288
411,555
477,840
% Change
(7.6) %
16.1
Market
Occupancy
56.3 %
60.4
61.5
Market ADR
$115.90
108.38
107.35
3.6 %
% Change
Market
RevPAR
% Change
(6.5) %
(1.0)
$65.27
65.41
65.98
0.2 %
0.9
(3.8) %
0.5 %
Forthepurposeofdemandanalysis,theoverallmarketisdividedintoindividual
segments based on the nature of travel. Based on our fieldwork, area analysis,
andknowledgeofthelocallodgingmarket,weestimatethe2010distributionof
accommodatedroomnightdemandasfollows.
DemandAnalysis
UsingMarket
Segmentation
FIGURE1026 ACCOMMODATEDROOMNIGHTDEMAND
Market Segment
Marketwide
Accommodated Percentage
Demand
of Total
Government
Commercial
Meeting and Group
Leisure
52,355
115,690
38,299
87,328
18 %
39
13
30
Total
293,672
100 %
The markets demand mix comprises government demand, with this segment
representingroughly18%oftheaccommodatedroomnightsinthisdowntown
submarketofTallahassee.Thecommercialcomprises39%ofthetotal,withthe
final portions meeting and group and leisure in nature contributing roughly
13%and30%,respectively.
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Using the distribution of accommodated hotel demand as a starting point, we

willanalyzethecharacteristicsofeachmarketsegmentinanefforttodetermine
futuretrendsinroomnightdemand.
Governmentdemandconsistsofindividualsvisitinggovernmententitiesinthe
subject market, in addition to highvolume accounts generated by major
governmentinstitutionsormilitarybases.Brandloyalty(particularlyfrequent
traveler programs), as well as location and convenience with respect to
government offices, influence lodging choices in this segment. Preferred
hotelsregularlyhonorpublishedperdiemrates,whichareestablishedannually
and may vary by season. Demand generated from government sources is
typically strongest Monday through Thursday nights, declines significantly on
Friday and Saturday, and increases somewhat on Sunday night. Government
demand is relatively constant throughout the year, declining somewhat in late
Decemberandduringotherholidayperiods.Somelongertermdemandmaybe
present, depending on the purpose of the visit. Trends with the most direct
correlation on government demand include changes in government
employment,aswellastrendsforlocalgovernmentinstitutions.
GovernmentSegment
A major factor considered in the development of our growth rates is the

grounded presence of a large facet of governmentrelated entities throughout
thecapitalcity.TheStateCapitol,theFloridaSupremeCourt,theFirstDistrict
CourtofAppeals,theFloridaEducationAssociation,andtheFloridaDepartment
ofEducationarealllocatedinthedowntownarea;thesemajoragenciesserveas
anchors for government demand, especially during legislative sessions.
Considering recent and historical trends, we project demand change rates of
1.0%in2011,stabilizingat2.0%in2012.
Commercial demand consists mainly of individual businesspeople passing
through the subject market or visiting area businesses, in addition to high
volumecorporateaccountsgeneratedbylocalfirms.Brandloyalty(particularly
frequenttravelerprograms),aswellaslocationandconveniencewithrespectto
businessesandamenities,influencelodgingchoicesinthissegment.Companies
typically designate hotels as preferred accommodations in return for more
favorable rates, which are discounted in proportion to the number of room
nights produced by a commercial client. Commercial demand is strongest
MondaythroughThursdaynights,declinessignificantlyonFridayandSaturday,
and increases somewhat on Sunday night. It is relatively constant throughout
the year, with marginal declines in late December and during other holiday
periods.
CommercialSegment
Commercialdemandinthesubjectmarketishighlytiedtotheeconomichealth
of the city and to a lesser degree, the state (given that Tallahassee is the state
10-45
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capitol).Amajorfactorconsideredinthedevelopmentofourgrowthratesisthe
presence of a significant number of corporate offices for local, regional, and
national entities in the various office parks surrounding the downtown area.
IBM, Fringe Benefit Management, Embarq Corporation, and General Dynamics
operate in the area and are anticipated to bolster commercial room night
demand. Additionally, the foundation of the city's business success stemsfrom
research. Innovation Park, one of the industry leaders in hightechnology
researchanddevelopment,hasconsistentlydrivenasignificantnumberofroom
nights to the area. Of note, the National High Magnetic Field Laboratory is
headquartered at Innovation Park; this laboratory attracts scientists from
around the world as well as numerous businesses who come to conduct
research. The projected recovery of the local and national economy and the
reduction in the unemployment rate have been considered in our projections.
Considering recent and historical trends, we project demand change rates of
4.0%in2011,5.0%in2012,and6.0%in2013.Afterthesefirstthreeprojection
years,wehaveforecastdemandgrowthwilltaperoffandslowto5.0%in2014
beforestabilizingat3.0%in2015.
Themeetingandgroupmarketincludesmeetings,seminars,conventions,trade
association shows, and similar gatherings of ten or more people. Peak
convention demand typically occurs in the spring and fall. Although there are
numerous classifications within the meeting and group segment, the primary
categories considered in this analysis are corporate groups, associations, and
SMERFE (social, military, ethnic, religious, fraternal, and educational) groups.
Corporate groups typically meet during the business week most commonly in
the spring and fall months. These groups tend to be the most profitable for
hotels,astheytypicallypayhigherratesandusuallygenerateancillaryrevenues
including food, beverage and banquet revenue. SMERFE groups are typically
pricesensitive and tend to meet on weekends and/or during the summer
monthsorholidayseason,whengreaterdiscountsareusuallyavailable.These
groupsgeneratelimitedancillaryrevenues.Theprofileandrevenuepotentialof
associationsvariesdependingonthegroupandthepurposeoftheirmeetingor
event.
MeetingandGroup
Segment
Meeting and group demand in this market is highly driven by the government
associations and the local corporate entities in the area. As such, the high
concentration of healthcare, hightechnology research and development, and
professionalservicesfirmsaswellthepresenceofFSUandFAMUisexpectedto
continue to bolster group roomblock needs locally. A substantial portion of
meeting and group demand in the market is associated with SMERFErelated
sources.Ameasurablepercentageofthemarketmakeupcomprisesfirstclass,
suburbanresidentialneighborhoods;assuch,theareaisattractiveforweddings
andreunions.TheintroductionoftheTurnbullConferenceCentershoulddrive
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amodestamountofroomnightsintothearea.Basedonthecollectivemeeting
and group demand circumstances, we expect modest growth to occur in this
segment. Considering recent and historical trends, we project demand change
rates of 3.0% in 2011, 4.0% in 2012, and 5.0% in 2013. After these first three
projection years, we have forecast that demand growth tapers off to 4.0% in
2014beforestabilizingat3.0%in2015.
Leisuredemandconsistsofindividualsandfamiliesspendingtimeinanareaor
passing through en route to other destinations. Travel purposes include
sightseeing, recreation, or visiting friends and relatives. Leisure demand also
includesroomnightsbookedthroughInternetsitessuchasExpedia,hotels.com,
andPriceline;however,leisuremaynotbethepurposeofthestay.Thisdemand
may also include business travelers and group and convention attendees who
usethesechannelstotakeadvantageofanydiscountsthatmaybeavailableon
these sites. Leisure demand is strongest Friday and Saturday nights and all
week during holiday periods and the summer months. These peak periods
represent the inverse of commercial visitation trends, underscoring the
stabilizing effect of capturing weekend and summer tourist travel. Future
leisure demand is related to the overall economic health of the region and the
nation. Trends showing changes in state and regional unemployment and
disposablepersonalincomecorrelatestronglywithleisuretravellevels.
LeisureSegment
Leisure demand in the area is generally seasonal and is driven largely by the
presenceofFSUandFAMU(andtheirathleticprograms),Interstate10,and,toa
lesserdegree,theCivicCenter.TheTallahasseeMallbringmodestlevelsofroom
night demand into the area during holiday and backtoschool periods; this
regional shopping area draws primarily weekend demand from surrounding
communities that lack a similar depth of retail. Successful events such as
Springtime Tallahassee and the Fourth of July celebrations should continue to
bolster room night demand. Market Days (in the fall) and Winter Festival (in
December) induce room nights from people living within the region. Leon
County offers more than 60 recreational parks, including the popular
Tallahassee/St. Marks Historic Railroad State Trail. Growth related to these
sources should continue to expand minimally in the future. Considering recent
andhistoricaltrends,weprojectdemandchangeratesof3.0%in2011,4.0%in
2012, and 5.0% in 2013. After these first three projection years, we have
forecastthatdemandgrowthwilltaperoffto4.0%in2014beforestabilizingat
3.0%in2015.
The purpose of segmenting the lodging market is to define each major type of
demand, identify customer characteristics, and estimate future growth trends.
Starting with an analysis of the local area, four segments were defined as
representing the subject propertys lodging market. Various types of economic
Conclusion
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and demographic data were then evaluated to determine their propensity to

reflect changes in hotel demand. Based on this procedure, we forecast the
followingaverageannualcompoundedmarketsegmentgrowthrates.
FIGURE1027 AVERAGEANNUALCOMPOUNDEDMARKETSEGMENTGROWTHRATES
Market Segment
2011
2012
Annual Growth Rate

2013
2014
2015
2016
Government
Commercial
Meeting and Group
Leisure
1.0 %
3.0
2.0
2.0
1.0 %
4.0
3.0
3.0
1.0 %
5.0
4.0
4.0
1.0 %
3.0
3.0
3.0
1.0 %
2.0
2.0
2.0
1.0 %
2.0
2.0
2.0
Base Demand Growth
2.2 %
3.0 %
3.9 %
2.7 %
1.8 %
1.8 %
LatentDemand
A table presented earlier in this section illustrated the accommodated room

night demand in the subject propertys competitive market. Because this
estimate is based on historical occupancy levels, it includes only those hotel
rooms that were used by guests. Latent demand reflects potential room night
demandthathasnotbeenrealizedbytheexistingcompetitivesupply;thistype
of demand can be divided into (1) unaccommodated demand and (2) induced
demand.
Unaccommodated
Demand
Unaccommodated demand refers to individuals who are unable to secure

accommodations in the market because all the local hotels are filled. These
travelersmustdefertheirtrips,settleforlessdesirableaccommodations,orstay
inpropertieslocatedoutsidethemarketarea.Becausethisdemanddidnotyield
occupied room nights, it is not included in the estimate of historical
accommodatedroomnightdemand.Asadditionallodgingfacilitiesareexpected
toenterthemarket,itisreasonabletoassumethattheseguestswillbeableto
secure hotel rooms in the future, and it is therefore necessary to quantify this
demand.
Unaccommodated demand is further indicated as the market is somewhat
seasonal, with distinct high and low seasons; such seasonality indicates that
althoughyearendoccupancymaynotaverageinexcessof70%,themarketsells
outmanynightsduringtheyear.
The following table presents our estimate of unaccommodated demand in the
subjectmarket.
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Ourinterviewswithmarketparticipantsfoundthatthemarketwilltypicallysell
out during weeknights while the state legislature is in session (earlyMarch
through midApril) and over the weekends when either the FAMU or FSU
football program is hosting another team from Florida or another strongly
rankedteam.Aportionofthisdemandforroomnights,includingdemandfrom
traveling sports teams, which is currently turned away, should return to the
marketconcurrentwiththesupplyincrease.Thefollowingtableillustratesthe
estimatesofunaccommodateddemandinthemarketbymonthandbymarket
segment.
FIGURE1028 UNACCOMMODATEDDEMANDESTIMATEBYMONTH
Government
January
February
March
April
May
June
July
August
September
October
November
December
Total
5.0
5.0
-
%
%
0.9 %
Commercial
5.0
5.0
-
%
%
0.9 %
Meeting and Group

5.0
5.0
-
%
%
0.9 %
Leisure
5.0
5.0
-
%
%
0.9 %
Accordingly,wehaveforecast0.9%ofthebaseyeardemandtobeclassifiedas
unaccommodatedbaseduponananalysisofmonthlyandweeklypeakdemand
andsellouttrends.Thishasbeenillustratedinthefollowingtable.
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FIGURE1029 UNACCOMMODATEDDEMANDESTIMATE
Market Segment
Accommodated Room Night

Demand
Unaccommodated
Demand Percentage
Government
Commercial
Meeting and Group
Leisure
52,355
115,690
38,299
87,328
0.9 %
0.9
0.9
0.9
Total
293,672
0.9 %
Unaccommodated
Room Night Demand
484
1,069
354
749
2,656
Induceddemandrepresentstheadditionalroomnightsthatareexpectedtobe
attractedtothemarketfollowingtheintroductionofanewdemandgenerator.
Situations that can result in induced demand include the opening of a new
manufacturingplant,theexpansionofaconventioncenter,ortheadditionofa
newhotelwithadistinctchainaffiliationoruniquefacilities.Thefollowingtable
summarizes the estimate of induced demand according to HVS Convention,
Sports, and Entertainment Facilities. For details pertaining to the analysis
behindtheinduceddemandforroomnights,pleaserefertothereportprepared
byHVSConvention,Sports,andEntertainmentFacilities;thisreportisintended
tobereadintandemwiththeanalysispreparedbythatdivisionofHVS.
InducedDemand
FIGURE1030 SUMMARYOFINDUCEDROOMNIGHTSASESTIMATEDBYHVSCONVENTION,SPORTS,
ANDENTERTAINMENTCONSULTING
Type
2014
ConsumerShows
Banquets
Assemblies
Sports
Other
Total
2015
2017
2018
4,725
2,125
600
7,200
1,200
13,200
500
0
4,725
2,375
600
8,100
1,200
16,500
500
0
5,513
2,750
600
8,550
1,500
18,150
500
0
6,300
3,000
600
9,000
1,500
19,800
500
0
6,300
3,000
600
9,000
1,500
19,800
500
0
29,550
34,000
37,563
40,700
40,700
2016
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Accordingly,wehaveincorporated40,700roomnightsasofstabilization(2018)
intoouranalysis.Asdiscussed,detailssupportingthisconclusioncanbefound
in the analysis prepared by HVS Convention, Sports, and Entertainment
Facilities. This induced demand figure is phased in, beginning at 29,550 room
nightsin2014.
Based upon a review of the market dynamics in the subject propertys
competitive environment, we have forecast growth rates for each market
segment. Using the calculated potential demand for the market, we have
determined marketwide accommodated demand based on the inherent
limitationsofdemandfluctuationsandotherfactorsinthemarketarea.
Accommodated
DemandandMarket
wideOccupancy
The following table details our projection of lodging demand growth for the
subject market, including the total number of occupied room nights and any
residualunaccommodateddemandinthemarketbasedona300roomsubject
hotel.Twofollowingtablesillustratethemarketwideoccupancylevelsbasedon
325roomand350roomscenarios.
Theseroomnightprojectionsforthemarketareawillbeusedinforecastingthe
proposedsubjectproperty'soccupancyandaveragerateinChapter6.
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FIGURE1031
FORECASTOFMARKETOCCUPANCY300ROOMSCENARIO
2010
Go ve rnm ent S e g me nt
Ba se De m an d
U na cc om m od ated De m and
Tota l Dem a nd
Grow th Rate
52,355
Co m m e rcial S egm e nt
Ba se De m an d
Tota l Dem a nd
Grow th Rate
115,690
M e e ting and Gro up S egm e nt

Ba se De m an d
Tota l Dem a nd
Grow th Rate
38,299
Le is ure S e gm ent
Ba se De m an d
Tota l Dem a nd
Grow th Rate
87,328
Ind uc e d D em and
Ind u ced De m and
293,672
1,309
P roposed Conven tion Center Hotel
P roposed Fo ur P oints by Sheraton
M a rke tw ide Oc cupanc y

1
2
119,160
1,101
120,262
4.0
39,065
361
39,426
2.9
89,075
764
89,839
2.9
201 3
2 014
2015
2 016
2017
2 018
2019
53,408
494
53,901
1.0
53,942
499
54,440
1.0
54,481
504
54,985
1.0
55,026
509
55,535
1.0
55,576
514
56,090
1.0
56,132
519
56,651
1. 0
56,693
524
57,217
1.0
57,260
529
57,790
1.0
123,927
1,145
125,072
4.0
130,123
1,203
131,326
5.0
134,027
1,239
135,266
3.0
136,707
1,264
137,971
2.0
139,441
1,289
140,730
2.0
142,230
1,315
143,545
2. 0
145,075
1,341
146,416
2.0
147,976
1,368
149,344
2.0
40,237
372
40,609
3.0
41,847
387
42,233
4.0
43,102
398
43,500
3.0
43,964
406
44,370
2.0
44,843
414
45,258
2.0
45,740
423
46,163
2. 0
46,655
431
47,086
2.0
47,588
440
48,028
2.0
91,747
787
92,534
3.0
95,417
818
96,235
4.0
98,280
843
99,122
3.0
100,245
860
101,105
2.0
102,250
877
103,127
2.0
104,295
894
105,189
2. 0
106,381
912
107,293
2.0
108,509
930
109,439
2.0
300,179
2,715
0
302,894
1,123
301,771
2.8 %
1,473
61. 5 %
309,319
2,798
0
312,116
0
312,116
3.4 %
1,473
321,328
2,906
0
324,235
0
324,235
3.9 %
1,473
57,833
535
58,367
1.0 %
150,936
1,395
152,331
2.0 %
48,540
449
48,988
2.0 %
110,679
949
111,628
2.0 %
29,550
34,000
37,563
40,700
40,700
40,700
40,700
329,889
2,984
29,550
362,423
0
362,423
11.8 %
1,473
335,942
3,038
34,000
372,981
0
372,981
2.9 %
1,473
342,111
3,094
37,563
382,768
0
382,768
2.6 %
1,473
348, 397
3, 151
40, 700
392, 248
0
392, 248
2. 5 %
1, 473
354,804
3,208
40,700
398,712
0
398,712
1.6 %
1,473
361,333
3,267
40,700
405,301
0
405,301
1.7 %
1,473
367,987
3,327
40,700
412,015
0
412,015
1.7 %
1,473
164
164
300
164
300
164
300
164
300
164
562,792
365
1,542
17.8 %
597,560
365
1,637
6.2 %
597,560
365
1,637
0.0 %
707,060
365
1,937
18.3 %
707,060
365
1,937
0.0 %
707,060
365
1,937
0.0 %
707, 060
365
1, 937
0.0 %
5 3.6 %
52.2 %
54.3 %
51.3 %
5 2.8 %
54.1 %
55.5 %
69
477,840
365
1,309
2020
300
164
707,060
365
1,937
0.0
300
164
56.4 %
707,060
365
1,937
0.0 %
5 7.3 %
300
164
707,060
365
1,937
0.0
58.3 %
Ope ning in Ja nu ary 2014 of the 100% com p etitive, 300-roo m P rop os ed C on ven tio n C ente r Ho tel
Ope ning in A ug u st 2011 of the 100% co m p etitive, 164-room P rop os ed Four Points b y Sh era ton
52,879
489
53,368
1.9
2012
Tot als
Ba se De m an d
Ind u ced De m and
Tota l Dem a nd
le ss: Re sid u al D em an d
Tota l A cc om m od ated De m and
Ove rall Dem and Gro w th
Exist ing Ho te l Sup ply
Pro p o se d Ho te ls
Av ailab le Room s p e r N igh t

N ig h ts p er Year
Tot al S u pply
Roo ms Su p ply Grow th
2011
10-52
Attachment # 1
Page 167 of 438
FIGURE1032
2010
Gove rnm ent S e gme nt

Ba se De m and
Una cc om m od ated De m and
Tota l Dem a nd
Growth Rate
52,355
Com m ercial S egm e nt

Ba se De m and
Tota l Dem a nd
Growth Rate
115,690
M e e ting and Group S egm ent

Ba se De m and
Tota l Dem a nd
Growth Rate
38,299
Ba se De m and
Tota l Dem a nd
Growth Rate
87,328
Induc ed D em and
Indu ced De m and
293,672
1,309
Proposed Conven tion Center Hotel
Proposed Fo ur Points by Sheraton
M arke tw ide Oc cupanc y
52,879
489
53,368
1.9
119,160
1,101
120,262
4.0
39,065
361
39,426
2.9
89,075
764
89,839
2.9
2012
201 3
2 014
2015
2 016
2017
2 018
2019
53,408
494
53,901
1.0
53,942
499
54,440
1.0
54,481
504
54,985
1.0
55,026
509
55,535
1.0
55,576
514
56,090
1.0
56,132
519
56,651
1. 0
56,693
524
57,217
1.0
57,260
529
57,790
1.0
123,927
1,145
125,072
4.0
130,123
1,203
131,326
5.0
134,027
1,239
135,266
3.0
136,707
1,264
137,971
2.0
139,441
1,289
140,730
2.0
142,230
1,315
143,545
2. 0
145,075
1,341
146,416
2.0
147,976
1,368
149,344
2.0
40,237
372
40,609
3.0
41,847
387
42,233
4.0
43,102
398
43,500
3.0
43,964
406
44,370
2.0
44,843
414
45,258
2.0
45,740
423
46,163
2. 0
46,655
431
47,086
2.0
47,588
440
48,028
2.0
91,747
787
92,534
3.0
95,417
818
96,235
4.0
98,280
843
99,122
3.0
100,245
860
101,105
2.0
102,250
877
103,127
2.0
104,295
894
105,189
2. 0
106,381
912
107,293
2.0
108,509
930
109,439
2.0
Tot als
Ba se De m and
Indu ced De m and
Tota l Dem a nd
le ss: Re sidu al D em and
Tota l A cc om m od ated De m and
Overall Dem and Grow th
Exist ing Hote l Supply
Proposed Hote ls
Av ailable Room s pe r Nigh t

Nig h ts p er Year
Tot al S upply
Rooms Su pply Growth
2011
300,179
2,715
0
302,894
1,123
301,771
2.8 %
1,473
61. 5 %
309,319
2,798
0
312,116
0
312,116
3.4 %
1,473
321,328
2,906
0
324,235
0
324,235
3.9 %
1,473
40,700
40,700
40,700
329,889
2,984
29,550
362,423
0
362,423
11.8 %
1,473
335,942
3,038
34,000
372,981
0
372,981
2.9 %
1,473
342,111
3,094
37,563
382,768
0
382,768
2.6 %
1,473
348, 397
3, 151
40, 700
392, 248
0
392, 248
2. 5 %
1, 473
354,804
3,208
40,700
398,712
0
398,712
1.6 %
1,473
361,333
3,267
40,700
405,301
0
405,301
1.7 %
1,473
367,987
3,327
40,700
412,015
0
412,015
1.7 %
1,473
325
164
325
164
562,792
365
1,542
17.8 %
597,560
365
1,637
6.2 %
597,560
365
1,637
0.0 %
716,185
365
1,962
19.9 %
716,185
365
1,962
0.0 %
716,185
365
1,962
0.0 %
716, 185
365
1, 962
0.0 %
5 3.6 %
52.2 %
54.3 %
50.6 %
5 2.1 %
53.4 %
54.8 %
Ope ning in A ug ust 2011 of the 100% com petitive, 164-room P ropos ed Four Points by Sh era ton
110,679
949
111,628
2.0 %
40,700
325
164
48,540
449
48,988
2.0 %
37,563
325
164
Ope ning in Ja nu ary 2014 of the 100% com petitive, 325-room P ropos ed C on vention C ente r Hotel
150,936
1,395
152,331
2.0 %
34,000
164
57,833
535
58,367
1.0 %
29,550
164
69
477,840
365
1,309
2020
325
164
716,185
365
1,962
0.0
325
164
55.7 %
716,185
365
1,962
0.0 %
5 6.6 %
325
164
716,185
365
1,962
0.0
57.5 %
10-53
Attachment # 1
Page 168 of 438
FIGURE1033
2010
Governm ent S e gme nt

Ba se De m an d
Tota l Dem a nd
Growth Rate
52,355
Co m m ercial S egm e nt
Ba se De m an d
Tota l Dem a nd
Growth Rate
115,690
M ee ting and Group S egm e nt

Ba se De m an d
Tota l Dem a nd
Growth Rate
38,299
Ba se De m an d
Tota l Dem a nd
Growth Rate
87,328
Induc e d D em and
Indu ced De m and
1,309
1
P roposed Fo ur P oints by Sheraton
M arke tw ide Oc cupanc y

1
293,672
P roposed Conven tion Center Hotel
Tot al S upply
Rooms Su p ply Grow th
52,879
489
53,368
1.9
119,160
1,101
120,262
4.0
39,065
361
39,426
2.9
89,075
764
89,839
2.9
2012
201 3
2 014
2015
2 016
2017
2 018
2019
53,408
494
53,901
1.0
53,942
499
54,440
1.0
54,481
504
54,985
1.0
55,026
509
55,535
1.0
55,576
514
56,090
1.0
56,132
519
56,651
1. 0
56,693
524
57,217
1.0
57,260
529
57,790
1.0
123,927
1,145
125,072
4.0
130,123
1,203
131,326
5.0
134,027
1,239
135,266
3.0
136,707
1,264
137,971
2.0
139,441
1,289
140,730
2.0
142,230
1,315
143,545
2. 0
145,075
1,341
146,416
2.0
147,976
1,368
149,344
2.0
40,237
372
40,609
3.0
41,847
387
42,233
4.0
43,102
398
43,500
3.0
43,964
406
44,370
2.0
44,843
414
45,258
2.0
45,740
423
46,163
2. 0
46,655
431
47,086
2.0
47,588
440
48,028
2.0
91,747
787
92,534
3.0
95,417
818
96,235
4.0
98,280
843
99,122
3.0
100,245
860
101,105
2.0
102,250
877
103,127
2.0
104,295
894
105,189
2. 0
106,381
912
107,293
2.0
108,509
930
109,439
2.0
Tot als
Ba se De m an d
Indu ced De m and
Tota l Dem a nd
le ss: Re sid u al D em an d
Tota l A cc om m odated De m and
Overall Dem and Grow th
Exist ing Ho te l Supply
Proposed Ho tels
Av ailab le Room s p e r Nigh t

Nigh ts per Year
2011
477,840
365
1,309
61. 5 %
300,179
2,715
0
302,894
1,123
301,771
2.8 %
1,473
309,319
2,798
0
312,116
0
312,116
3.4 %
1,473
321,328
2,906
0
324,235
0
324,235
3.9 %
1,473
2020
57,833
535
58,367
1.0 %
150,936
1,395
152,331
2.0 %
48,540
449
48,988
2.0 %
110,679
949
111,628
2.0 %
29,550
34,000
37,563
40,700
40,700
40,700
40,700
329,889
2,984
29,550
362,423
0
362,423
11.8 %
1,473
335,942
3,038
34,000
372,981
0
372,981
2.9 %
1,473
342,111
3,094
37,563
382,768
0
382,768
2.6 %
1,473
348, 397
3, 151
40, 700
392, 248
0
392, 248
2. 5 %
1, 473
354,804
3,208
40,700
398,712
0
398,712
1.6 %
1,473
361,333
3,267
40,700
405,301
0
405,301
1.7 %
1,473
367,987
3,327
40,700
412,015
0
412,015
1.7 %
1,473
69
164
164
350
164
350
164
350
164
350
164
350
164
350
164
350
164
562,792
365
597,560
365
597,560
365
725,310
365
725,310
365
725,310
365
725, 310
365
725,310
365
725,310
365
725,310
365
1,542
17.8 %
1,637
6.2 %
1,637
0.0 %
1,987
21.4 %
1,987
0.0 %
1,987
0.0 %
1, 987
0.0 %
5 3.6 %
52.2 %
54.3 %
50.0 %
5 1.4 %
52.8 %
54.1 %
1,987
0.0
55.0 %
1,987
0.0 %
1,987
0.0
5 5.9 %
56.8 %
Ope ning in Ja nu ary 2014 of the 100% com petitive, 350-room P ropos ed C on ven tion C ente r Hotel
Ope ning in A ugu st 2011 of the 100% com p etitive, 164-room P rop os ed Four Points b y Sh era ton
10-54
Attachment # 1
Page 169 of 438
Projectionof
Occupancyand
AverageRate
Thequality of alodging facility'sphysicalimprovementshas adirectinfluence

onmarketability,attainableoccupancy,andaverageroomrate.Thedesignand
functionality of the structure can also affect operating efficiency and overall
profitability.Thissectioninvestigatesthesubjectproperty'sproposedphysical
improvements and personal property in an effort to determine how they are
expectedtocontributetoattainablecashflows.
ProjectOverview
The proposed convention center hotel (the subject property) will be a full
service,conventionheadquarterslodgingfacility.Thenumberofrentableunits
containedwithinthesubjectpropertyisnotyetbeenofficiallydetermined.HVS
has performed occupancy and average rate analysis for a 300, 325 and 350
room lodging facility in order to determine the optimum number of rooms for
this facility; this analysis is detailed in the following narrative. Based on the
forthcomingresultsoftheoccupancyandaveragerateanalysis,wesuggestthat
a developer would build the hotel as a 300room facility. The benefits to
developing a larger hotel do not outweigh the additional construction and
operatingcosts.Additionally,thedevelopmentofaslightlylargerfacilitywould
not induce a significant amount of additional demand and therefore could
inhibit countywide occupancy levels. Additional rooms increase a propertys
undistributed operating expenses and make a hotel subject to additional risk
shouldtheroomsnotbefilled.
It should be noted that current zoning restrictions imposed by the City of
Tallahassee limit the maximum height of the building to 100 feet and seven
stories; local zoning restrictions also limit the development to 85% of the lot
area,ora4.51acrefootprintoutoftheparcelstotal5.31acres.Basedoninput
from the City of Tallahassee, the Tallahassee Community Redevelopment
Agency, and the typical amount of time it takes to fully develop a hotel (i.e.
secure the funding, have the appropriate architects and engineers design the
facility, and construct and fitout the facility) HVS has anticipated that the
proposed subject hotel will open on January 1, 2014, approximately twoand
onehalfyearsfromthewritingofthisreport.
Alongwithaveragerateresults,theoccupancylevelsachievedbyahotelarethe
foundationoftheproperty'sfinancialperformanceandmarketvalue.Mostofa
lodgingfacility'sotherrevenuesources(suchasfood,beverages,andtelephone
income)aredrivenbythenumberofguests,andmanyexpenselevelsalsovary
withoccupancy.Toacertaindegree,occupancyattainmentcanbemanipulated
bymanagement.Forexample,hoteloperatorsmaychoosetolowerratesinan
effort to maximize occupancy. Our forecasts reflect an operating strategy that
webelievewouldbeimplementedbyatypical,professionalhotelmanagement
teamtoachieveanoptimalmixofoccupancyandaveragerate.
10-55
Attachment # 1
Page 170 of 438
PenetrationRate
Analysis
Thesubjectproperty'sforecastedmarketshareandoccupancylevelsarebased
uponitsanticipatedcompetitivepositionwithinthemarket,asquantifiedbyits
penetrationrate.Thepenetrationrateistheratioofaproperty'smarketshare
toitsfairshare.Acompletediscussionoftheconceptofpenetrationispresented
intheaddenda.
HistoricalPenetration
RatesbyMarket
Segment
Inthefollowingtable,thepenetrationratesattainedbytheprimarycompetitors
andtheaggregatesecondarycompetitorsaresetforthforeachsegmentforthe
baseyear.
a L oft
D o ub letree
H o tel Du val
R esid en c e Inn (G ain es Stree t)
S ec o nd a ry C o mp etitio n
11 6 %
14 6
13 0
13 5
66
95 %
93
10 3
10 7
10 2
64 %
160
177
138
65
56 %
70
97
1 21
1 18
Ov
er a
ll
ure
Lei
s
et i
ng
and
G ro
up
Me
rci
al
mm
e
Co
P ro p e rty
Go
v er
nm
en
FIGURE1034 HISTORICALPENETRATIONRATES
83 %
10 4
11 6
12 0
96
The Doubletree achieved the highest penetration rate within the government
segment. The highest penetration rate in the commercial and the leisure
segments was achieved by the Residence Inn (Gaines Street), while the Hotel
Duvalledthemarketwiththehighestmeetingandgrouppenetrationrate.
ForecastofSubject
PropertysOccupancy
Becausethesupplyanddemandbalanceforthecompetitivemarketisdynamic,
thereisacircularrelationshipbetweenthepenetrationfactorsofeachhotelin
the market. The performance of individual new hotels has a direct effect upon
theaggregateperformanceofthemarket,andconsequentlyuponthecalculated
penetrationfactorforeachhotelineachmarketsegment.Thesameistruewhen
the performance of existing hotels changes, either positively (following a
refurbishment, for example) or negatively (when a poorly maintained or
marketedhotellosesmarketshare).
Ahotelspenetrationfactoriscalculatedasitsachievedmarketshareofdemand
dividedbyitsfairshareofdemand.Thus,ifonehotelspenetrationperformance
increases,therebyincreasingitsachievedmarketshare,thisleaveslessdemand
available in the market for the other hotels to capture and the penetration
performanceofoneormoreofthoseotherhotelsconsequentlydeclines(other
thingsremainingequal).Thistypeofmarketshareadjustmenttakesplaceevery
10-56
Attachment # 1
Page 171 of 438
time there is a change in supply, or a change in the relative penetration

performanceofoneormorehotelsinthecompetitivemarket.
Ourprojectionsofpenetration,demandcaptureandoccupancyperformancefor
the subject property account for these types of adjustments to market share
within the defined competitive market. Consequently, the actual penetration
factors applicable to the subject property and its competitors for each market
segment in each projection year may vary somewhat from the penetration
factorsdelineatedintheprevioustables.
The following tables set forth, by market segment, the projected adjusted
penetrationratesforthesubjectpropertyandeachhotelinthecompetitiveset.
10-57
Attachment # 1
Page 172 of 438
FIGURE1035 GOVERNMENTSEGMENTADJUSTEDPENETRATIONRATES
300-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
Secondary Competition
147 %
165
146
152
75
90
101
2015
144 %
162
144
150
73
100
100
2016
143 %
160
142
148
73
104
99
2017
143 %
160
142
148
73
104
99
2018
143 %
160
142
148
73
104
99
325-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
147 %
165
146
152
75
90
102
2015
144 %
162
144
150
73
100
100
2016
143 %
160
142
148
73
104
99
2017
143 %
160
142
148
73
104
99
2018
143 %
160
142
148
73
104
99
350-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
147 %
165
146
153
75
90
102
2015
144 %
162
144
150
73
100
100
2016
143 %
160
142
148
73
104
99
2017
143 %
160
142
148
73
104
99
2018
143 %
160
142
148
73
104
99
Government penetration rates are not expected to vary significantly between

scenarios. Within the government segment, the proposed subject hotels
penetration is positioned at an abovemarketaverage level by the stabilized
period. The fact that this property located further away from many of the
government demand generators than the competing hotels, the expected
10-58
Attachment # 1
Page 173 of 438
competitivenessandabilitytocapturegovernmentdemandissomewhatlimited
relative to some of the other primary competitors. The proposed subject
property is expected to outperform the nearby proposed Four Points in the
governmentmarketsegment.
FIGURE1036 COMMERCIALSEGMENTADJUSTEDPENETRATIONRATES
300-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
122 %
103
114
119
113
94
105
2015
120 %
101
112
117
112
104
104
2016
118 %
99
110
115
110
113
102
2017
118 %
99
110
115
110
113
102
2018
118 %
99
110
115
110
113
102
325-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
122 %
103
114
119
114
94
106
2015
120 %
101
112
117
111
104
104
2016
118 %
99
110
115
109
113
102
2017
118 %
99
110
115
109
113
102
2018
118 %
99
110
115
109
113
102
350-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
122 %
103
114
119
114
95
106
2015
120 %
101
112
117
111
104
104
2016
118 %
99
110
114
109
112
102
2017
118 %
99
110
114
109
112
102
2018
118 %
99
110
114
109
112
102
10-59
Attachment # 1
Page 174 of 438
Commercial penetration rates are not expected to very significantly between

scenarios. The proposed hotel is expected to become a reasonable choice for
corporatetransient demand in the greater Tallahassee area, with the nearby
aLoftanticipatedtobethemostcompetitivewithinthissegment.Basedonthe
assumption of a nationallycompetitive brand, the large amount of meeting
space,andtheanticipatedsize,quality,location,andamenitiesoftheproposed
propertyshouldcontributetothisproperty'scompetitiveness.
10-60
Attachment # 1
Page 175 of 438
FIGURE1037 MEETINGANDGROUPSEGMENTADJUSTEDPENETRATIONRATES
300-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
86 %
172
191
149
70
108
108
2015
79 %
159
176
138
65
149
99
2016
76 %
152
168
132
62
171
95
2017
76 %
152
168
132
62
171
95
2018
76 %
152
168
132
62
171
95
325-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
86 %
172
191
149
70
108
108
2015
79 %
158
175
137
64
148
99
2016
75 %
150
167
130
61
169
94
2017
75 %
150
167
130
61
169
94
2018
75 %
150
167
130
61
169
94
350-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
86 %
172
190
149
70
107
107
2015
79 %
157
174
136
64
147
98
2016
75 %
149
165
129
61
168
93
2017
75 %
149
165
129
61
168
93
2018
75 %
149
165
129
61
168
93
The proposed subject property is expected to become the foremost choice for
meeting and group demand in the greater Tallahassee area. While several
propertiesinthecompetitive market,includingthenearbyDoubletree andthe
Hotel Duval, encompass adequate more meeting space, the amount of space
proposed for the subject property is significantly larger and more dedicated.
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The function space at the Doubletree is generally dated and somewhat limited
based on the number of available rooms; corporatelevel staff indicated the
facilityisofteninneedofadditionalfunctionspace.Therefore,webelievethat
theproposedhotelwillbecomealeadingchoiceforcorporateandmoderately
sized meetings/banquet events given the upscale nature of the proposed
functionspaceandtheassumedmodern,technologicallyadvancedproduct.The
proposedconventioncenterhotelwillhavealoweradjustedpenetrationrateas
thesubjectincreasesinsizeduetothelimitationassociatedwiththesizeofthe
existing meeting and group market segment. This segment is exclusive of any
induced demand; induced demand is accounted for separately and follows the
narrativethatpertainstotheleisuresegment.
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FIGURE1038 LEISURESEGMENTADJUSTEDPENETRATIONRATES
300-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
82 %
82
113
142
138
70
105
2015
80 %
80
110
138
134
85
102
2016
77 %
78
108
134
131
100
100
2017
77 %
78
108
134
131
100
100
2018
77 %
78
108
134
131
100
100
325-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
82 %
82
114
142
138
70
105
2015
80 %
80
111
138
135
85
102
2016
78 %
78
108
134
131
100
100
2017
78 %
78
108
134
131
100
100
2018
78 %
78
108
134
131
100
100
350-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
82 %
82
114
143
139
71
106
2015
80 %
80
111
139
135
86
103
2016
78 %
78
108
134
131
100
100
2017
78 %
78
108
134
131
100
100
2018
78 %
78
108
134
131
100
100
The proposed subject propertys leisure penetration rate is positioned

appropriatelywithintherangeofexistingcompetitors,supportedbythehotels
proposed location relative to Florida State and among future development of
upscale retail and amenities assuming the redevelopment of Gaines Street.
AssumingtheredevelopmentoftheGainesStreetcorridoroccurs,thislocation
will be replete with upscale retail outlets and restaurants; the goal is for this
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areatobeapedestrianfriendlyfocalpointforregionalandlocalshoppingand
dining. With the proposed subject propertys location being so favorable to
weekendusesandbeingadjacenttotheexistingCivicCenter,wewouldexpect
thehoteltoexperiencerelativelyhighlevelsofpeakweekends,withweekend
transientleisuresupplementedbystrongweekendgroup.Theproposedsubject
propertyisexpectedtorealizealeisurepenetrationlevelabovefairsharebythe
stabilizedyear.
InducedDemand
Theaboveforecastedpenetrationratesbymarketsegmentareexclusiveofthe
induceddemand.Induceddemandforroomnightsfromtheconventioncenter
will heavily favor the proposed adjacent subject hotel; however some of the
demandwillnotbeaccommodatedattheproposedconventioncenterhotel.In
caseswherean event attendee ordelegateislooking foranadditionalvalue,a
different experience, different amenities, or in the event that the hotel is full,
someeventattendeesanddelegateswillbeaccommodatedatcompetinghotels.
The following table illustrates the adjusted penetration rates for the induced
demandsegmentofdemand.
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FIGURE1039INDUCEDDEMANDSEGMENTADJUSTEDPENETRATIONRATES
300-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
118 %
118
94
118
47
236
106
2015
118 %
118
94
118
47
236
106
2016
118 %
118
94
118
47
236
106
2017
118 %
118
94
118
47
236
106
2018
118 %
118
94
118
47
236
106
325-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
116 %
116
93
116
46
232
104
2015
116 %
116
93
116
46
232
104
2016
116 %
116
93
116
46
232
104
2017
116 %
116
93
116
46
232
104
2018
116 %
116
93
116
46
232
104
350-Room Scenario
Hotel
2014
aLoft
Doubletree
Hotel Duval
114 %
114
91
114
46
228
103
2015
114 %
114
91
114
46
228
103
2016
114 %
114
91
114
46
228
103
2017
114 %
114
91
114
46
228
103
2018
114 %
114
91
114
46
228
103
Thefollowingtableillustratesthecompositionofthesubjectpropertysdemand
basedontheprecedingadjustedpenetrationrates.
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FIGURE1040 MARKETSEGMENTATIONFORECASTSUBJECTPROPERTY
300-Room Scenario
2014
Government
Commercial
Meeting and Group
Leisure
Induced Demand
Total
2015
2016
2017
2018
14 %
35
13
19
19
13 %
33
15
20
19
12 %
33
16
21
18
12 %
32
16
21
19
12 %
32
16
21
19
100 %
100 %
100 %
100 %
100 %
2016
2017
2018
325-Room Scenario
2014
Government
Commercial
Meeting and Group
Leisure
Induced Demand
Total
2015
14 %
35
13
19
19
13 %
33
15
20
18
12 %
33
16
21
18
12 %
32
16
21
19
12 %
33
16
21
19
100 %
100 %
100 %
100 %
100 %
2016
2017
2018
350-Room Scenario
2014
Government
Commercial
Meeting and Group
Leisure
Induced Demand
Total
2015
14 %
35
13
19
19
13 %
33
15
20
18
12 %
33
16
21
18
12 %
33
16
21
19
12 %
33
16
21
18
100 %
100 %
100 %
100 %
100 %
As illustrated above, no significant change in the segmentation is anticipated to

occurasaresultofthechangesintheroomcount.
300RoomScenario
The subject property's occupancy forecast is set forth as follows for the 300
roomscenario,withtheadjustedprojectedpenetrationratesusedasabasisfor
calculatingtheamountofcapturedmarketdemand.
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FIGURE1041 FORECASTOFSUBJECTPROPERTY'SOCCUPANCY300ROOMSCENARIO
2014
2015
2016
2017
2018
Government Segment
Demand
Market Share
Capture
Penetration
54,985
14.0 %
7,677
90 %
55,535
15.4 %
8,574
100 %
56,090
16.2 %
9,063
104 %
56,651
16.2 %
9,154
104 %
57,217
16.2 %
9,245
104 %
Commercial Segment
Demand
Market Share
Capture
Penetration
135,266
14.6 %
19,771
94 %
137,971
16.1 %
22,158
104 %
140,730
17.5 %
24,565
113 %
143,545
17.5 %
25,057
113 %
146,416
17.5 %
25,558
113 %
Meeting and Group Segment

Demand
Market Share
Capture
Penetration
43,500
16.7 %
7,251
108 %
44,370
23.1 %
10,241
149 %
45,258
26.5 %
11,982
171 %
46,163
26.5 %
12,222
171 %
47,086
26.5 %
12,466
171 %
Leisure Segment
Demand
Market Share
Capture
Penetration
99,122
10.8 %
10,750
70 %
101,105
13.2 %
13,344
85 %
103,127
15.4 %
15,913
100 %
105,189
15.4 %
16,232
100 %
107,293
15.4 %
16,556
100 %
Induced Demand
Demand
Capture
29,550
10,797
40,700
14,872
40,700
14,872
Total Room Nights Captured

Available Room Nights
Subject Occupancy
Fair Share
Market Share
66,741
75,249
77,535
78,697
109,500
109,500
109,500
109,500
707,060
362,423
16 %
Marketwide Occupancy
Total Penetration
56,247
15 %
Marketwide Occupied Room Nights
37,563
13,725
109,500
51 %
Marketwide Available Room Nights
34,000
12,423
61 %
707,060
15 %
372,981
18 %
69 %
707,060
15 %
382,768
20 %
71 %
707,060
15 %
392,248
20 %
72 %
707,060
15 %
398,712
20 %
51 %
53 %
54 %
55 %
56 %
100 %
116 %
127 %
128 %
127 %
Based on our analysis of the proposed subject property and market area, we
haveselectedastabilizedoccupancylevelof72.0%.Thestabilizedoccupancyis
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intended to reflect the anticipated results of the property over its remaining
economiclife,given any andallchangesinthelifecycleofthehotel.Thus,the
stabilized occupancy excludes from consideration any abnormal relationship
between supply and demand, as well as any nonrecurring conditions that may
resultinunusuallyhighorlowoccupancies.Althoughthesubjectpropertymay
operateatoccupanciesabovethisstabilizedlevel,webelieveitequallypossible
fornewcompetitionandtemporaryeconomicdownturnstoforcetheoccupancy
belowthisselectedpointofstability.
TheseprojectionsreflectyearsbeginningJanuary1,2014,correspondingtothe
firstprojectionyearforthesubjectpropertysforecastofincomeandexpense.
FIGURE1042 FORECASTOFOCCUPANCY300ROOMSCENARIO
Stabilization
325RoomScenario
Year
Subject
Property's
Occupancy
2014
2015
2016
2017
2018
51 %
61
69
71
72
room scenario. As is the case for the other scenarios, the adjusted projected
penetrationratesusedasabasisforcalculatingtheamountofcapturedmarket
demand.
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2014
Market Segment
2015
2016
2017
2018
Government Segment
Demand
Market Share
Capture
Penetration
54,985
15.0 %
8,222
90 %
55,535
16.5 %
9,170
100 %
56,090
17.3 %
9,688
104 %
56,651
17.3 %
9,785
104 %
57,217
17.3 %
9,883
104 %
Commercial Segment
Demand
Market Share
Capture
Penetration
135,266
15.6 %
21,161
94 %
137,971
17.2 %
23,688
104 %
140,730
18.6 %
26,231
113 %
143,545
18.6 %
26,755
113 %
146,416
18.6 %
27,290
113 %

Demand
Market Share
Capture
Penetration
43,500
17.8 %
7,748
108 %
44,370
24.5 %
10,885
148 %
45,258
28.1 %
12,700
169 %
46,163
28.1 %
12,954
169 %
47,086
28.1 %
13,213
169 %
Leisure Segment
Demand
Market Share
Capture
Penetration
99,122
11.6 %
11,541
70 %
101,105
14.1 %
14,299
85 %
103,127
16.5 %
17,021
100 %
105,189
16.5 %
17,361
100 %
107,293
16.5 %
17,708
100 %
Induced Demand
Demand
Capture
29,550
11,352
40,700
15,635
40,700
15,635

Subject Occupancy
Fair Share
Market Share
71,103
80,069
82,490
83,729
118,625
118,625
118,625
118,625
716,185
362,423
17 %
Total Penetration
60,024
17 %
37,563
14,430
118,625
51 %
34,000
13,061
60 %
716,185
17 %
372,981
19 %
67 %
716,185
17 %
382,768
21 %
70 %
716,185
17 %
392,248
21 %
71 %
716,185
17 %
398,712
21 %
51 %
52 %
53 %
55 %
56 %
100 %
115 %
126 %
127 %
127 %
have selected a stabilized occupancy level of 71.0%. As is the case with other
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scenarios,thestabilizedoccupancyisintendedtoreflecttheanticipatedresults
ofthepropertyoveritsremainingeconomiclife,givenanyandallchangesinthe
lifecycleofthehotel.TheseprojectionsreflectyearsbeginningJanuary1,2014,
correspondingtothefirstprojectionyearforthesubjectpropertysforecastof
incomeandexpense.
Stabilization
350RoomScenario
Year
Subject
Property's
Occupancy
2014
2015
2016
2017
2018
51 %
60
67
70
71
room scenario. As is the case for the other scenarios, the adjusted projected
penetrationratesusedasabasisforcalculatingtheamountofcapturedmarket
demand.
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2014
2015
2016
2017
2018
Government Segment
Demand
Market Share
Capture
Penetration
54,985
15.9 %
8,753
90 %
55,535
17.6 %
9,752
100 %
56,090
18.4 %
10,296
104 %
56,651
18.4 %
10,399
104 %
57,217
18.4 %
10,503
104 %
Commercial Segment
Demand
Market Share
Capture
Penetration
135,266
16.6 %
22,518
95 %
137,971
18.2 %
25,177
104 %
140,730
19.8 %
27,849
112 %
143,545
19.8 %
28,406
112 %
146,416
19.8 %
28,974
112 %

Demand
Market Share
Capture
Penetration
43,500
18.9 %
8,231
107 %
44,370
25.9 %
11,505
147 %
45,258
29.6 %
13,388
168 %
46,163
29.6 %
13,656
168 %
47,086
29.6 %
13,929
168 %
Leisure Segment
Demand
Market Share
Capture
Penetration
99,122
12.4 %
12,319
71 %
101,105
15.1 %
15,233
86 %
103,127
17.6 %
18,100
100 %
105,189
17.6 %
18,462
100 %
107,293
17.6 %
18,831
100 %
Induced Demand
Demand
Capture
29,550
11,874
40,700
16,354
40,700
16,354

Subject Occupancy
Fair Share
Market Share
75,330
84,727
87,278
88,592
127,750
127,750
127,750
127,750
725,310
362,423
18 %
Total Penetration
63,695
18 %
37,563
15,094
127,750
50 %
34,000
13,662
59 %
725,310
18 %
372,981
20 %
66 %
725,310
18 %
382,768
22 %
68 %
725,310
18 %
392,248
22 %
69 %
725,310
18 %
398,712
22 %
50 %
51 %
53 %
54 %
55 %
100 %
115 %
126 %
126 %
126 %
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have selected a stabilized occupancy level of 69.0%. As is the case with other
scenarios,thestabilizedoccupancyisintendedtoreflecttheanticipatedresults
ofthepropertyoveritsremainingeconomiclife,givenanyandallchangesinthe
lifecycleofthehotel.TheseprojectionsreflectyearsbeginningJanuary1,2014,
correspondingtothefirstprojectionyearforthesubjectpropertysforecastof
incomeandexpense.
Stabilization
Year
Subject
Property's
Occupancy
2014
2015
2016
2017
2018
50 %
59
66
68
69
Asdiscussedpreviouslyinthischapterofthereport,wesuggestthatadeveloper
wouldbuildthehotelasa300roomfacility.Thebenefitstodevelopingalarger
hotel do not outweigh the additional construction and operating costs.
Additionally, the development of a slightly larger facility would not induce a
significantamountofadditionaldemandandthereforecouldinhibitcountywide
occupancylevels.Additionalroomsincreaseapropertysundistributedoperating
expensesandmakeahotelsubjecttoadditionalriskshouldtheroomsnotbefilled.
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AverageRateAnalysis
One of the most important considerations in estimating the value of a lodging

facility is a supportable forecast of its attainable average rate, which is more
formally defined as the average rate per occupied room. Average rate can be
calculated by dividing the total rooms revenue achieved during a specified
period by the number of rooms sold during the same period. The projected
average rate and the anticipated occupancy percentage are used to forecast
rooms revenue, which in turn provides the basis for estimating most other
incomeandexpensecategories.
MarketSegmentation
Method
In the market segmentation method, average room rate is projected by

individualmarketsegment.Thisisthepreferredmethodforforecastingaverage
rate, based on the operational and marketing practices of hotel operators.
Consistent with hotel managements tracking of historical average rates by
market segment and their own budgeting methods, segmentation of demand
andaveragerateallowsforyieldmanagementresultinginthemaximizationof
roomrevenue.
Theaverageratesachievedbythemarketineachsegmentin2010serveasthe
basis for our average rate projection. Each market segments average rate is
projectedoutthroughthestabilizedyearbasedupontheannualrateofchange
anticipated for that market segment. For each forecast year, the segmented
average rate is multiplied by the number of occupied rooms previously
projectedtobecapturedinthatsegment;thisresultsinaforecastoftotalrooms
revenue for each market segment. The segmented rooms revenue is summed,
resulting in a forecast of the total rooms revenue. Dividing the total rooms
revenuebythetotalnumberofoccupiedroomsresultsintheoverallweighted
averageroomrate.
The following table identifies the historical segmented average rates and the
growthratesthathavebeenappliedtoeachratethroughthestabilizedyear.As
acontextfortheaveragerategrowthfactors,notethatwehaveappliedabase
underlyinginflationrateof3.0%throughoutourprojection.
Note: we do not anticipate a significant change in the average daily rate for the
different scenarios. As such, the following table illustrates our average rate
forecastforeachscenario.
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FIGURE1047SUBJECTPROPERTYSAVERAGERATEFORECAST
Stabilization
2010
Government Segment
Average Rate Growth
Captured Room Nights
Rooms Revenue
Average Rate (No Discount)
Commercial Segment
Average Rate Growth
Rooms Revenue
Average Rate (Before Discount)
Discount
Average Rate (After Discount)
Average Rate Growth
Rooms Revenue
Discount
Leisure Segment
Average Rate Growth
Rooms Revenue
Discount
Induced Demand
Average Rate Growth
Rooms Revenue
Discount
2011
$90.00
$120.00
$120.00
$100.00
$100.00
$125.00
$125.00
$100.00
$100.00
2012
2013
$107.35
2015
2016
2017
2018
1.0 %
0
$0
$90.90
2.0 %
0
$0
$92.72
2.0 %
0
$0
$94.57
3.0 %
7,677
$747,859
$97.41
3.0 %
8,574
$860,236
$100.33
3.0 %
9,063
$936,587
$103.34
3.0 %
9,154
$974,331
$106.44
3.0 %
9,245
$1,013,597
$109.64
3.0 %
0
$0
$123.60
$123.60
4.5 %
0
$0
$129.16
$129.16
5.0 %
0
$0
$135.62
$135.62
4.0 %
19,771
$2,509,767
$141.04
10.0 %
$126.94
3.5 %
22,158
$3,072,955
$145.98
5.0 %
$138.68
3.0 %
24,565
$3,693,646
$150.36
$150.36
3.0 %
25,057
$3,880,544
$154.87
$154.87
3.0 %
25,558
$4,076,900
$159.52
$159.52
3.0 %
0
$0
$103.00
$103.00
4.5 %
0
$0
$107.64
$107.64
5.0 %
0
$0
$113.02
$113.02
4.0 %
7,251
$767,077
$117.54
10.0 %
$105.78
3.5 %
10,241
$1,183,545
$121.65
5.0 %
$115.57
3.0 %
11,982
$1,501,346
$125.30
$125.30
3.0 %
12,222
$1,577,315
$129.06
$129.06
3.0 %
12,466
$1,657,127
$132.93
$132.93
3.0 %
0
$0
$128.75
$128.75
4.5 %
0
$0
$134.54
$134.54
5.0 %
0
$0
$141.27
$141.27
4.0 %
10,750
$1,421,453
$146.92
10.0 %
$132.23
3.5 %
13,344
$1,927,734
$152.06
5.0 %
$144.46
3.0 %
15,913
$2,492,452
$156.63
$156.63
3.0 %
16,232
$2,618,570
$161.32
$161.32
3.0 %
16,556
$2,751,070
$166.16
$166.16
3.0 %
0
$0
$103.00
$103.00
4.5 %
0
$0
$107.64
$107.64
5.0 %
0
$0
$113.02
$113.02
4.0 %
10,797
$1,142,188
$117.54
10.0 %
$105.78
3.5 %
12,423
$1,435,758
$121.65
5.0 %
$115.57
3.0 %
13,725
$1,719,793
$125.30
$125.30
3.0 %
14,872
$1,919,321
$129.06
$129.06
3.0 %
14,872
$1,976,901
$132.93
$132.93
56,247
$6,588,343
$117.13
92.4 %
66,741
$8,480,228
$127.06
8.5 %
97.3 %
75,249
$10,343,824
$137.46
8.2 %
102.2 %
77,535
$10,970,081
$141.49
2.9 %
102.1 %
78,697
$11,475,593
$145.82
3.0 %
102.2 %
4.5 %
$126.78
3.0 %
$130.59
3.0 %
$134.50
3.0 %
$138.54
3.0 %
$142.70
Total
Rooms Revenue
Weighted Total Average Rate
Average Rate Growth
Average Rate Penetration
Marketwide Average Rate Growth
Marketwide Average Rate
2014
3.0 %
$110.57
4.5 %
$115.55
5.0 %
$121.32
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Thestabilizedaveragedailyratedeflatedtocurrentdollarsequatesto$117.38.
Thefollowingaveragerateswillbeusedtoprojectthesubjectproperty'srooms
revenue; this forecast reflects years which begin January 1, 2014 and
correspondwithourfinancialprojections.
FIGURE1048 FORECASTOFAVERAGERATE
Average Rate
Year
Opening
Stabilization
(After Discount)
2014
2015
2016
2017
2018
$117.13
127.06
137.46
141.49
145.82
Inthischapterofourreport,wehavecompiledaforecastofincomeandexpense
for the proposed subject property. This forecast is based on the facilities
program set forth previously (a 300room hotel facility), as well as the
occupancyandaveragerateforecastdiscussedpreviously.
Theamenitiesaccountedforintheanalysisofthehotelcomponentinclude:
A fullservice restaurant that serves hotel guests, conference and event

attendees/delegates,andreceivesamodestamountofoutsidecapture
Approximately 30,000 square feet of meeting and event space that, for
thepurposeofthisanalysis,isattributedtothehotelcomponentandnot
theconventioncenter
As detailed within this section, the amenities and services that are
generallyofferedatafullserviceconventioncenterhotel
Theforecastofincomeandexpenseisexpressedincurrentdollarsforeachyear.
Thestabilizedyearisintendedtoreflecttheanticipatedoperatingresultsofthe
propertyoveritsremaining economiclife, givenanyor all applicablestagesof
buildup, plateau, and decline in the life cycle of the hotel. Thus, income and
expenseestimatesfromthestabilizedyearforwardexcludefromconsideration
any abnormal relationship between supply and demand, as well as any
nonrecurring conditions that may result in unusual revenues or expenses. The
tenyearperiodreflectsthetypicalholdingperiodoflargerealestateassetssuch
as hotels. In addition, the tenyear time frame provides for the stabilization of
10-75
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incomestreamsandcomparisonofyieldswithalternatetypesofrealestate.The
forecastedincomestreamsreflectthefuturebenefitsofowningspecificrightsin
incomeproducingrealestate.
ComparableOperating
Statements
In order to project future income and expense for the proposed subject
property, we have included a sample of individual comparable operating
statements fromourdatabaseofhotelstatistics.Allfinancial dataispresented
accordingtothethreemostcommonmeasuresofindustryperformance:ratioto
sales(RTS),amountsperavailableroom(PAR),andamountsperoccupiedroom
night (POR). These historical income and expense statements will be used as
benchmarksinourforthcomingforecastofincomeandexpense.
10-76
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FIGURE1049 COMPARABLEOPERATINGSTATEMENTS:RATIOTOSALES
Comp1
Comp2
Comp3
Comp4
NumberofRooms: 200to250
DaysOpen:
365
Occupancy:
68%
AverageRate:
$141
RevPAR:
$96
290to370
365
55%
$155
$85
220to290
364
74%
$118
$87
380to470
365
67%
$139
$93
REVENUE
Rooms
Food
Beverage
Food&Beverage
RentalIncome
OtherOperatedDepartments
OtherIncome
Total
DEPARTMENTALEXPENSES*
Rooms
Food&Beverage
RentalIncome
OtherExpenses
Total
DEPARTMENTALINCOME
OPERATINGEXPENSES
Marketing
FranchiseFee
PropertyOperations&Maintenance
Utilities
Total
HOUSEPROFIT
68.8 %
25.5
4.4
30.0
0.0
1.0
0.3
100.0
62.4 %
34.0
0.0
34.0
0.3
0.9
2.7
100.0
56.1 %
39.1
3.9
43.0
0.0
0.3
0.6
100.0
64.6 %
21.3
9.6
31.0
0.0
0.4
4.1
100.0
19.0
57.3
0.0
52.7
0.0
30.8
69.2
25.8
78.2
88.2
119.6
0.7
43.8
56.2
23.8
50.1
0.0
97.9
0.0
35.2
64.8
18.4
58.9
0.0
232.9
54.1
33.2
66.8
8.0
7.0
4.9
5.7
4.0
29.5
39.7
11.2
9.6
0.0
4.7
5.6
31.2
25.0
8.0
8.7
2.2
2.9
3.5
25.4
39.4
7.4
7.4
4.1
4.6
4.4
27.7
39.1
*Departmentalexpenseratiosareexpressedasapercentageofdepartmentalrevenues
10-77
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FIGURE1050 COMPARABLEOPERATINGSTATEMENTS:AMOUNTSPERAVAILABLEROOM
Comp1
Comp2
Comp3
Comp4
NumberofRooms: 200to250 290to370 220to290 380to470

DaysOpen:
365
365
364
365
Occupancy:
68%
55%
74%
67%
AverageRate:
$141
$155
$118
$139
RevPAR:
$96
$85
$87
$93
REVENUE
Rooms
Food
Beverage
Food&Beverage
RentalIncome
OtherIncome
Total
DEPARTMENTALEXPENSES
Rooms
Food&Beverage
RentalIncome
OtherExpenses
Total
DEPARTMENTALINCOME
OPERATINGEXPENSES
Marketing
FranchiseFee
Utilities
Total
HOUSEPROFIT
$34,943
12,974
2,251
15,225
0
485
141
50,793
$31,164
17,001
0
17,001
152
427
1,336
49,928
$31,608
22,031
2,188
24,220
0
188
349
56,365
$33,781
11,160
5,045
16,205
0
186
2,153
52,325
6,643
8,727
0
256
0
15,626
35,167
8,047
13,296
134
511
9
21,863
28,065
7,514
12,129
0
184
0
19,827
36,537
6,231
9,546
0
433
1,165
17,374
34,951
4,062
3,551
2,489
2,872
2,013
14,987
20,180
5,610
4,806
0
2,366
2,795
15,576
12,489
4,502
4,925
1,263
1,647
1,969
14,306
22,231
3,854
3,852
2,141
2,381
2,287
14,515
20,436
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FIGURE1051 COMPARABLEOPERATINGSTATEMENTS:AMOUNTSPEROCCUPIEDROOM
Comp1
Comp2
Comp3
Comp4
NumberofRooms: 200to250 290to370 220to290 380to470

DaysOpen:
365
365
364
365
Occupancy:
68%
55%
74%
67%
AverageRate:
$141
$155
$118
$139
RevPAR:
$96
$85
$87
$93
REVENUE
Rooms
Food
Beverage
Food&Beverage
RentalIncome
OtherIncome
Total
DEPARTMENTALEXPENSES
Rooms
Food&Beverage
RentalIncome
OtherExpenses
Total
DEPARTMENTALINCOME
OPERATINGEXPENSES
Marketing
FranchiseFee
Utilities
Total
HOUSEPROFIT
$141.00
52.35
9.08
61.43
0.00
1.96
0.57
204.95
$154.96
84.53
0.00
84.53
0.75
2.13
6.64
248.26
$117.81
82.11
8.16
90.27
0.00
0.70
1.30
210.08
$138.73
45.83
20.72
66.55
0.00
0.76
8.84
214.88
26.81
35.21
0.00
1.03
0.00
63.05
141.90
40.01
66.11
0.67
2.54
0.05
108.71
139.55
28.00
45.21
0.00
0.69
0.00
73.90
136.18
25.59
39.20
0.00
1.78
4.78
71.35
143.53
16.39
14.33
10.04
11.59
8.12
60.47
81.43
27.89
23.90
0.00
11.76
13.90
77.45
62.10
16.78
18.36
4.71
6.14
7.34
53.32
82.86
15.83
15.82
8.79
9.78
9.39
59.61
83.92
10-79
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The comparables departmental income ranged from 56.2% to 69.2% of total

revenue. The comparable properties achieved a house profit ranging from
25.0%to39.7%oftotalrevenue.Wewillrefertothecomparableoperatingdata
in our discussion of each line item, which follows later in this section of the
report.
PremiseofForecast
In2010,occupancygainshavebeenconsiderableonanationwidebasisand,in
manymarkets,averageratesbegantoshowsignsofrecoverybeginninginthe
second half of the year. With demand recovery established in 2010, hotel
operators are expected to continue to pursue price increases for 2011.
Operators and investors in the market anticipate an acceleration of revenue
growth thereafter as the economy and lodging market gain traction in the
recovery;thisoutlookisreflectedinourforecasts.StrongRevPARgrowthand
continuedmonitoringofexpensesareanticipatedtopositivelyaffecttheoverall
netoperatingincome.
FixedandVariable
ComponentAnalysis
HVS uses a fixed and variable component model to project a lodging facility's
revenue and expense levels. This model is based on the premise that hotel
revenuesandexpenseshaveonecomponentthatisfixedandanotherthatvaries
directlywithoccupancyandfacilityusage.Aprojectioncanbemadebytakinga
known level of revenue or expense and calculating its fixed and variable
components. The fixed component is then increased in tandem with the
underlying rate of inflation, while the variable component is adjusted for a
specificmeasureofvolumesuchastotalrevenue.
The following table illustrates the revenue and expense categories that can be
projected using this fixed and variable component model. These percentages
showtheportionofeachcategorythatistypicallyfixedandvariable;themiddle
column describes the basis for calculating the percentage of variability, while
the last column sets forth the fixed percentage that has been utilized in this
valuation.
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FIGURE1052 RANGEOFFIXEDANDVARIABLERATIOS
Category
Percent Fixed
Percent Variable
Index of Variability
Selected
Fixed Ratio
Revenues
Food & Beverage
Other Operated Departments
Other Income
25 - 50 %
10 - 40
30 - 70
50 - 75 %
60 - 90
30 - 70
Departmental Expenses
Rooms
Food & Beverage
Other Expenses
50 - 70
35 - 60
40 - 60
30 - 70
30 - 50
Occupancy
40 - 65
Food & Beverage Revenue
40 - 60 her Operated Departments Reven
30 - 70
Other Income
60
55
60
70
Undistributed Operating Expenses

Marketing
Franchise Fee
Prop. Operations & Maint.
Utilities
65 - 85
65 - 85
0
55 - 75
75 - 95
15 - 35
15 - 35
100
25 - 45
5 - 25
Total Revenue
Total Revenue
Occupancy
Total Revenue
Total Revenue
75
75
0
75
75
100
Total Revenue
100
100
0
0
0
100
Total Revenue
Total Revenue
Total Revenue
100
100
0
Management Fee
Fixed Expenses
Property Taxes
Insurance
Reserve for Replacement
Occupancy
Occupancy
Occupancy
25 %
10
10
Our fixed and variable projection model is based upon variables that we input
for each revenue and expense item for a base year, which in this case is the
year2010.Thebaseyearforecastsetsforththeratiostorevenue,amountsper
availableroom,oramountsperoccupiedroomthatwebelievecanbeachieved
at the stated baseyear average rate and occupancy. Our input variables are
derived from the comparable hotel statements. The model then calculates a
baseyearforecastofincomeandexpenseinthesebaseyeardollars.
Theactualforecastisderivedbyadjustingeachyearsrevenueandexpenseby
the amount fixed (the fixed expense multiplied by the inflated baseyear
amount) plus the variable amount (the variable expense multiplied by the
inflated baseyear amount) multiplied by the ratio of the projection years
occupancytothebaseyearoccupancy(inthecaseofdepartmentalrevenueand
expense)ortheratiooftheprojectionyearsrevenuetothebaseyearsrevenue
(inthecaseofundistributedoperatingexpenses).Fixedexpensesremainfixed,
increasing only with inflation. Our discussion of the revenue and expense
10-81
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forecast in this report is based upon the output derived from the fixed and
variablemodel.Thisforecastofrevenueandexpenseisaccomplishedthrougha
stepbystep approach, following the format of the Uniform System of Accounts
for the Lodging Industry. Each category of revenue and expense is estimated
separately and combined at the end in the final statement of income and
expense.
InflationAssumption
A general rate of inflation must be established that will be applied to most

revenue and expense categories. The following table shows inflation estimates
madebyeconomistsatsomenotedinstitutionsandcorporations.
10-82
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FIGURE1053 INFLATIONESTIMATES
Previous
Projections
forDec.'10in
July'10Survey
Name
Firm
PaulAshworth
PaulBallew
NarimanBehravesh
RichardBerner/DavidGreenlaw
RamBhagavatula
JayBrinkmann
MichaelCarey
JosephCarson
JuliaCoronado
MikeCosgrove
LouCrandall
J.DeweyDaane
RichardDeKaser*
DouglasDuncan
BrianFabbri*
MariaFioriniRamirez/JoshuaShapiro
StephenGallagher*
EthanHarris
MauryHarris
JanHatzius
TracyHerrick
StuartHoffman
GeneHuang
WilliamB.Hummer
DanaJohnson
KurtKarl
BruceKasman
PaulKasriel
JosephA.LaVorgna
EdwardLeamer/DavidShulman
DonLeavens/TimGill
JohnLonski
DeanMaki
DavidMalpass
AnetaMarkowska
JimMeil
MarkNielson,Ph.D.
MichaelP.Niemira
JimO'Sullivan
NicholasS.Perna
JoelPrakken/ChrisVarvares
ArunRaha
DavidResler
JohnRyding/ConradDeQuadros
IanShepherdson
JohnSilvia
AllenSinai
JamesF.Smith
SeanM.Snaith
SungWonSohn
NealSoss
StephenStanley
SusanM.Sterne
DianeSwonk
BartvanArk
BrianS.Wesbury/RobertStein
WilliamT.Wilson
DavidWyss
LawrenceYun
CapitalEconomics
Nationwide
IHSGlobalInsight
MorganStanley
CombinatoricsCapital
MortgageBankersAssociation
CreditAgricoleCIB
AllianceBernstein
BNPParibas
Econoclast
WrightsonICAP
VanderbiltUniversity
WoodleyParkResearch
FannieMae
BNPParibas
MFR,Inc.
SocieteGenerale
BankofAmericaSecuritiesMerrillLynch
UBS
GoldmanSachs&Co.
ThePrivateBank
PNCFinancialServicesGroup
FedExCorp.
WayneHummerInvestmentsLLC
ComericaBank
SwissRe
JPMorganChase&Co.
TheNorthernTrust
DeutscheBankSecuritiesInc.
UCLAAndersonForecast
NEMABusinessInformationServices
Moody'sInvestorsService
BarclaysCapital
EncimaGlobalLLC
SocieteGenerale
EatonCorp.
MacroEconGlobalAdvisors
InternationalCouncilofShoppingCenters
MFGlobal
PernaAssociates
MacroeconomicAdvisers
EconomicandRevenueForecastCouncil
NomuraSecuritiesInternationalInc.
RDQEconomics
HighFrequencyEconomics
WellsFargo&Co.
DecisionEconomicsInc.
ParsecFinancialManagement
UniversityofCentralFlorida
CaliforniaStateUniversity
CreditSuisse
PierpontSecurities
EconomicAnalysis
MesirowFinancial
TheConferenceBoard
FirstTrustAdvisors,L.P.
SkolkovoInst.forEmergingMarketStudies
StandardandPoor's
NationalAssociationofRealtors
ActualInflationfor2010
ProjectedIncreaseinConsumerPrice
Index(AnnualizedRate
Versus12MonthsEarlier)
June
December
2011
2011
0.0 %
2.2
0.7
1.5
2.0
0.8
1.1
1.5
1.0
1.1
2.0
0.4
0.8
1.2
0.9
1.1
0.8
0.6
2.0
1.0
1.8
1.3
0.7
1.3
0.9
0.7
1.2
1.1
0.7
0.9
1.3
2.2
2.1
3.2
2.4
0.9
1.2
0.7
2.5
2.1
0.7
0.5
1.0
0.2
1.2
1.8
0.8
1.0
2.6
0.8
0.8
1.9
1.7
1.0
1.2
1.5 %
1.7
2.0
2.5
2.0
1.1
1.8
1.6
1.6
1.6
3.1
1.5
1.7
2.0
1.9
1.8
1.2
1.5
2.2
1.9
1.7
2.5
2.1
1.7
1.9
1.7
1.9
2.2
2.5
1.9
2.4
1.2
1.4
2.5
2.4
1.6
1.8
1.7
2.0
1.5
2.2
2.0
2.4
2.4
0.7
1.8
1.2
1.5
2.8
1.9
1.7
1.7
2.4
1.4
1.7
2.5
1.0 %
2.2
1.3
2.5
2.6
1.0
1.4
2.0
1.0
1.8
3.0
2.0
1.3
2.1
0.8
1.9
1.0
3.0
1.7
2.6
1.8
1.9
1.5
1.2
1.9
2.0
1.8
2.4
2.2
1.6
2.5
1.8
1.9
3.2
2.9
1.3
1.7
1.1
2.4
0.9
2.6
0.5
2.0
2.6
1.0
1.7
2.2
0.4
2.7
2.2
1.2
2.0
3.0
1.8
1.6
2.7
1.3 %
1.9 %
1.9 %
1.6 %
*NoforecastssubmittedforJanuary2011survey
Source:wsj.com,January17,2011
10-83
Attachment # 1
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As the preceding table indicates, the financial analysts who were surveyed in
early 2011 anticipated inflation rates ranging from 0.7% to 3.1% (on an
annualized basis) for the sixmonth period ending June 2011; the average
estimate was 1.9%. The same group forecast 1.3% inflation for the sixmonth
period ending December 2011, and the actual inflation rate during this period
was1.6%.
As a further check on these inflation projections, we have reviewed historical
increasesintheConsumerPriceIndex(CPIU).Becausethevalueofrealestate
is predicated on cash flows over a relatively long period, inflation should be
consideredfromalongtermperspective.
FIGURE1054 NATIONALCONSUMERPRICEINDEX(ALLURBAN
CONSUMERS)
Year
NationalConsumer
PriceIndex
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
172.2
177.1
179.9
184.0
188.9
195.3
201.6
207.3
215.3
214.5
218.1
PercentChange
fromPreviousYear
AverageAnnualCompoundedChange
20002010:
20052010:
Source:BureauofLaborStatistics
2.8 %
1.6
2.3
2.7
3.4
3.2
2.8
3.8
0.4
1.6
2.4 %
2.2
Between 2000 and 2010, the national CPI increased at an average annual
compoundedrateof2.4%;from2005to2010,theCPIrosebyaslightlybelow
averageannualcompoundedrateof2.2%.In2010,theCPIincreasedby1.6%,
anincreasefromthelevelsof%and0.4%recordedinand2009,respectively.
Inconsiderationofthemostrecenttrends,theprojectionssetforthpreviously,
and our assessment of probable property appreciation levels, we have applied
an underlying inflation rate of 2.0% in 2014, 2.0% in 2015, and 3.0% in 2016
andthereafter.Thisstabilizedinflationratetakesintoaccountnormal,recurring
10-84
Attachment # 1
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inflationcycles.Inflationislikelytofluctuateaboveandbelowthislevelduring
the projection period. Any exceptions to the application of the assumed
underlyinginflationratearediscussedinourwriteupofindividualincomeand
expenseitems.
Summaryof
Projections
Based on an analysis that will be detailed throughout this section, we have

formulated a forecast of income and expense. The following table presents a
detailed forecast through the fifth projection year, including amounts per
availableroomandperoccupiedroom.Thesecondtableillustratesourtenyear
forecast of income and expense, presented with a lesser degree of detail. The
forecasts pertain to years beginning January 1, 2014 and are expressed in
inflateddollarsforeachyear.
10-85
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FIGURE1055 DETAILEDFORECASTOFINCOMEANDEXPENSE
Number of Rooms:
Occupancy:
Average Rate:
RevPAR:
Days Open:
Occupied Rooms:
REVENUE
Rooms
Food & Beverage
Other Income
Total Revenues
DEPARTMENTAL EXPENSES *
Rooms
Food & Beverage
Other Expenses
Total
DEPARTMENTAL INCOME
UNDISTRIBUTED OPERATING EXPENSES
Marketing
Franchise Fee
Utilities
Total
HOUSE PROFIT
Management Fee
INCOME BEFORE FIXED CHARGES
FIXED EXPENSES
Property Taxes
Insurance
Total
NET INCOME
2014 (Calendar Year)

300
51%
$117.13
$59.74
365
55,845 %Gross
PAR
$6,541 51.8 % $21,803
5,439 43.1
18,129
64
0.5
214
578
4.6
1,925
12,622 100.0
42,072
POR
$117.13
97.39
1.15
10.34
226.01
1,985 30.3
4,080 75.0
104 161.6
216 37.5
6,385 50.6
6,237 49.4
6,617
13,599
346
722
21,283
20,789
35.55
73.05
1.86
3.88
114.33
111.68
1,608
1,482
327
599
735
4,751
1,486
379
1,107
5,359
4,941
1,090
1,996
2,450
15,836
4,953
1,262
3,691
1,387
662
421
2,470
$1,221
416
199
126
741
$366
12.7
11.7
2.6
4.7
5.8
37.5
11.9
3.0
8.9
3.3
1.6
1.0
5.9
3.0 %
2015
300
61%
$127.06
$77.51
365
66,795 %Gross
PAR
POR
$8,487 54.4 % $28,290

6,349 40.7
21,163
77
0.5
258
696
4.5
2,319
15,609 100.0
52,030
$127.06
95.05
1.16
10.42
233.68
2016
300
69%
$137.46
$94.85
365
75,555 %Gross
PAR
$10,386 56.4 % $34,620

7,155 38.8
23,849
89
0.5
296
800
4.3
2,666
18,429 100.0
61,431
2,173 25.6
4,420 69.6
113 145.9
232 33.3
6,938 44.5
8,670 55.5
7,244
14,735
376
773
23,128
28,902
32.53
66.18
1.69
3.47
103.88
129.81
2,344 22.6
4,733 66.2
121 136.3
246 30.8
7,445 40.4
10,984 59.6
28.79
26.54
5.86
10.72
13.16
85.07
26.61
6.78
19.83
1,670
1,513
424
678
786
5,070
3,600
468
3,132
10.7
9.7
2.7
4.3
5.0
32.4
23.1
3.0
20.1
5,566
5,042
1,415
2,259
2,619
16,900
12,001
1,561
10,440
25.00
22.65
6.35
10.15
11.76
75.91
53.90
7.01
46.89
1,740
1,531
519
760
835
5,386
5,598
553
5,045
7.45
3.56
2.26
13.27
$6.56
422
205
312
939
$2,193
2.7
1.3
2.0
6.0
14.1 %
1,408
682
1,041
3,131
$7,310
6.32
3.06
4.67
14.06
$32.83
431
211
553
1,194
$3,851
POR
$137.46
94.70
1.18
10.58
243.92
2017
300
71%
$141.49
$100.45
365
77,745 %Gross
$11,000 56.5 % $36,667

7,528 38.7
25,093
94
0.5
313
845
4.3
2,817
19,467 100.0
64,890
7,814
15,777
404
822
24,817
36,615
31.03
62.64
1.60
3.26
98.54
145.38
5,800
5,104
1,731
2,535
2,784
17,954
18,661
1,843
16,818
23.03
20.27
6.87
10.06
11.05
71.29
74.09
7.32
66.78
1,803
1,587
550
830
866
5,635
6,086
584
5,502
2.3
1,436
1.1
703
3.0
1,843
6.4
3,982
21.1 % $12,836
5.70
2.79
7.32
15.81
$50.97
444
217
779
1,440
$4,063
9.4
8.3
2.8
4.1
4.5
29.1
30.5
3.0
27.5
PAR
2,442 22.2
4,921 65.4
126 134.2
256 30.3
7,745 39.8
11,722 60.2
POR
$141.49
96.83
1.21
10.87
250.39
Stabilized
300
72%
$145.82
$104.99
365
78,840 %Gross
$11,496 56.6 % $38,320

7,835 38.6
26,118
98
0.5
326
881
4.3
2,938
20,311 100.0
67,703
8,140
16,405
420
853
25,817
39,072
31.41
63.30
1.62
3.29
99.62
150.77
6,011
5,290
1,833
2,765
2,885
18,785
20,288
1,947
18,341
23.20
20.41
7.07
10.67
11.13
72.49
78.28
7.51
70.77
1,863
1,640
575
857
894
5,830
6,464
609
5,855
2.3
1,479
1.1
724
4.0
2,596
7.4
4,798
20.8 % $13,542
5.71
2.79
10.02
18.52
$52.26
457
224
812
1,493
$4,362
9.3
8.2
2.8
4.3
4.4
29.0
31.2
3.0
28.2
PAR
2,529 22.0
5,093 65.0
130 133.2
264 30.0
8,017 39.5
12,294 60.5
$145.81
99.38
1.24
11.18
257.62
8,431
16,977
435
881
26,724
40,979
32.08
64.60
1.65
3.35
101.69
155.93
6,211
5,466
1,916
2,857
2,981
19,432
21,547
2,031
19,516
23.64
20.80
7.29
10.87
11.35
73.94
81.99
7.73
74.26
2.3
1,524
1.1
745
4.0
2,708
7.4
4,977
21.4 % $14,539
5.80
2.84
10.30
18.94
$55.32
9.2
8.1
2.8
4.2
4.4
28.7
31.8
3.0
28.8
*Departmental expenses are expressed as a percentage of departmental revenues.
POR
10-86
Attachment # 1
Page 201 of 438
FIGURE1056 TENYEARFORECASTOFINCOMEANDEXPENSE
2014
Number of Rooms:
Occupied Rooms:
Occupancy:
Average Rate:
RevPAR:
REVENUE
Rooms
Food & Beverage
Other Income
Total
DEPARTMENTAL EXPENSES*
Rooms
Food & Beverage
Other Expenses
Total
DEPARTMENTAL INCOME
UNDISTRIBUTED OPERATING EXPENSES
Marketing
Franchise Fee
Utilities
Total
HOUSE PROFIT
Management Fee
INCOME BEFORE FIXED CHARGES
FIXED EXPENSES
Property Taxes
Insurance
Total
NET INCOME
2015
2016
2017
2018
2019
2020
2021
2022
2023
300
55,845
51%
$117.13 % of
$59.74 Gross
300
66,795
61%
$127.06 % of
$77.51 Gross
300
75,555
69%
$137.46 % of
$94.85 Gross
300
77,745
71%
$141.49 % of
$100.45 Gross
300
78,840
72%
$145.82 % of
$104.99 Gross
300
78,840
72%
$150.20 % of
$108.14 Gross
300
78,840
72%
$154.70 % of
$111.38 Gross
300
78,840
72%
$159.34 % of
$114.73 Gross
300
78,840
72%
$164.12 % of
$118.17 Gross
300
78,840
72%
$169.05 % of
$121.71 Gross
$6,541 51.8 %
5,439 43.1
64
0.5
578
4.6
12,622 100.0
$8,487 54.4 %
6,349 40.7
77
0.5
696
4.5
15,609 100.0
$10,386 56.4 %
7,155 38.8
89
0.5
800
4.3
18,429 100.0
$11,000 56.5 %
7,528 38.7
94
0.5
845
4.3
19,467 100.0
$11,496 56.6 %
7,835 38.6
98
0.5
881
4.3
20,311 100.0
$11,841 56.6 %
8,070 38.6
101
0.5
908
4.3
20,920 100.0
$12,197 56.6 %
8,313 38.6
104
0.5
935
4.3
21,549 100.0
$12,563 56.6 %
8,562 38.6
107
0.5
963
4.3
22,195 100.0
$12,939 56.6 %
8,819 38.6
110
0.5
992
4.3
22,860 100.0
$13,328 56.6 %
9,083 38.6
114
0.5
1,022
4.3
23,547 100.0
1,985 30.3
4,080 75.0
104 161.6
216 37.5
6,385 50.6
6,237 49.4
2,173 25.6
4,420 69.6
113 145.9
232 33.3
6,938 44.5
8,670 55.5
1,608
1,482
327
599
735
4,751
1,486
379
1,107
12.7
11.7
2.6
4.7
5.8
37.5
11.9
3.0
8.9
1,670
1,513
424
678
786
5,070
3,600
468
3,132
10.7
9.7
2.7
4.3
5.0
32.4
23.1
3.0
20.1
1,740
1,531
519
760
835
5,386
5,598
553
5,045
9.4
8.3
2.8
4.1
4.5
29.1
30.5
3.0
27.5
1,803
1,587
550
830
866
5,635
6,086
584
5,502
9.3
8.2
2.8
4.3
4.4
29.0
31.2
3.0
28.2
1,863
1,640
575
857
894
5,830
6,464
609
5,855
9.2
8.1
2.8
4.2
4.4
28.7
31.8
3.0
28.8
1,919
1,689
592
883
921
6,005
6,658
628
6,030
9.2
8.1
2.8
4.2
4.4
28.7
31.8
3.0
28.8
1,977
1,740
610
909
949
6,185
6,858
646
6,212
9.2
8.1
2.8
4.2
4.4
28.7
31.8
3.0
28.8
2,036
1,792
628
937
977
6,370
7,064
666
6,398
9.2
8.1
2.8
4.2
4.4
28.7
31.8
3.0
28.8
2,097
1,846
647
965
1,007
6,561
7,275
686
6,590
9.2
8.1
2.8
4.2
4.4
28.7
31.8
3.0
28.8
2,160
1,901
666
994
1,037
6,758
7,494
706
6,788
9.2
8.1
2.8
4.2
4.4
28.7
31.8
3.0
28.8
416
199
126
741
3.3
1.6
1.0
5.9
422
205
312
939
2.7
1.3
2.0
6.0
431
211
553
1,194
2.3
1.1
3.0
6.4
444
217
779
1,440
2.3
1.1
4.0
7.4
457
224
812
1,493
2.3
1.1
4.0
7.4
471
230
837
1,538
2.3
1.1
4.0
7.4
485
237
862
1,584
2.3
1.1
4.0
7.4
499
244
888
1,632
2.3
1.1
4.0
7.4
514
252
914
1,681
2.3
1.1
4.0
7.4
530
259
942
1,731
2.3
1.1
4.0
7.4
$366
3.0 %
$2,193 14.1 %
1
1
*Departmental expenses are expressed as a percentage of departmental revenues.
2,344 22.6
4,733 66.2
121 136.3
246 30.8
7,445 40.4
10,984 59.6
$3,851
1
21.1 %
2,442 22.2
4,921 65.4
126 134.2
256 30.3
7,745 39.8
11,722 60.2
$4,063
1
20.8 %
2,529 22.0
5,093 65.0
130 133.2
264 30.0
8,017 39.5
12,294 60.5
$4,362
1
21.4 %
2,605 22.0
5,246 65.0
134 133.2
272 30.0
8,258 39.5
12,663 60.5
$4,493
1
21.4 %
2,683 22.0
5,403 65.0
138 133.2
281 30.0
8,505 39.5
13,043 60.5
$4,628
1
21.4 %
2,764 22.0
5,565 65.0
143 133.2
289 30.0
8,761 39.5
13,435 60.5
$4,767
1
21.4 %
2,847 22.0
5,732 65.0
147 133.2
298 30.0
9,023 39.5
13,837 60.5
$4,909
1
21.4 %
2,932 22.0
5,904 65.0
151 133.2
307 30.0
9,294 39.5
14,253 60.5
$5,057
1
21.4 %
10-87
Attachment # 1
Page 202 of 438
ForecastofIncomeand
Expense
The following description sets forth the basis for the forecast of income and
expense.Weanticipatethatitwilltakefiveyearsforthesubjectpropertytoreach
a stabilized level of operation. Each revenue and expense item has been forecast
based upon our review of the proposed subject property's operating budget and
comparableincomeandexpensestatements.Ourforecastisbaseduponcalendar
yearsbeginningJanuary1,2014andisexpressedininflateddollarsforeachyear.
RoomsRevenue
Rooms revenue is determined by two variables: occupancy and average rate. We

projected occupancy and average rate in a previous section of this report. The
proposed subject property is expected to stabilize at an occupancy level of 72%
withanaveragerateof$145.82in2018.Followingthestabilizedyear,thesubject
propertysaveragerateisprojectedtoincreasealongwiththeunderlyingrateof
inflation.
FoodandBeverage
Revenue
Food and beverage revenue is generated by a hotel's restaurants, lounges, coffee

shops, snack bars, banquet rooms, and room service. In addition to providing a
source of revenue, these outlets serve as an amenity that assists in the sale of
guestrooms. With the exception of properties with active lounges or banquet
facilities that draw local residents, inhouse guests generally represent a
substantial percentage of a hotel's food and beverage patrons. In the case of the
proposed Convention Center Hotel, food and beverage department will include a
restaurantandalounge.
Although food and beverage revenue varies directly with changes in occupancy,
the small portion generated by banquet sales and outside capture is relatively
fixed.Thecomparablestatementsillustratedfoodandbeveragerevenuebetween
43.6%to76.6%ofroomsrevenue,or$45.83and$90.27peroccupiedroom.
Theproposedsubjectproperty'sfoodandbeverageoperationisexpectedtobean
important component of the hotel. Therefore, based upon our review of
comparable operating statements, we have positioned an appropriate revenue
level given the hotel's planned facility and price point. We would expect future
moderate growth to occur within this category after the hotel's opening. We
project food and beverage revenue to be $97.39 per occupied room in the first
projectionyear,or83.1%ofroomsrevenue,decliningto68.2%ofroomsrevenue
uponstabilization.
OtherOperated
Departments
According to the Uniform System of Accounts, Other Operated Departments

include any major or minor operated department other than rooms, food, and
beverage.ThesedepartmentalrevenuesandexpensesarepresentedintheOther
Operated Department revenue and expense line items on a Summary Operating
Statement,withsubschedulessettingforththeindividualdepartmentalrevenues
andexpensesinmoredetail.AnOtherOperatedDepartmentrevenueandexpense
10-88
OtherIncome
RoomsExpense
Attachment # 1
Page 203 of 438
maybepresentedinthesummarystatementifitisconsideredasignificantfactor
in the hotel operation. Telephone revenue and expense is now considered a
component of Other Operated Departments and is being reported as a separate
line item more infrequently now that telephone revenue has become so
inconsequential. We forecast the proposed subject propertys other operated
departmentsrevenuetostabilizeat0.9%ofroomsrevenueor$1.24peroccupied
room
by
the
stabilized
year,
2018.
Otherincomeisderivedfromsourcesotherthanguestrooms,foodandbeverage,
and telephone services. Other income revenue for the comparables ranged from
$0.57 to $8.84 on a peroccupiedroom basis. Changes in this revenue item
through the projection period result from the application of the underlying
inflation rate and projected changes in occupancy. We forecast the proposed
subject propertys other income to stabilize at $11.18 per occupied room by the
stabilizedyear,2018.
Roomsexpenseconsistsofitemsrelatedtothesaleandupkeepofguestroomsand
public space. Salaries, wages, and employee benefits account for a substantial
portion of this category. Although payroll varies somewhat with occupancy and
managerscangenerallyscalethelevelofservicestaffonhandtomeetanexpected
occupancy level, much of a hotel's payroll is fixed. A base level of front desk
personnel, housekeepers, and supervisors must be maintained at all times. As a
result, salaries, wages, and employee benefits are only moderately sensitive to
changesinoccupancy.
Commissions and reservations are usually based on room sales, and thus are
highly sensitive to changes in occupancy and average rate. While guest supplies
vary100%withoccupancy,linensandotheroperatingexpensesareonlyslightly
affectedbyvolume.
Thecomparablesillustratedroomsexpenserangingbetween18.4%and25.8%of
roomsrevenue;onaperoccupiedroombasis,therangewasbetween$25.59and
$40.01.Wehaveprojectedroomsexpenseforthesubjectat30.3%inthefirstyear
(or $35.55 per occupied room), stabilizing at 22.0% in 2018 (or $32.08 per
occupiedroom).Theproposedsubjectproperty'sroomsdepartmentexpensehas
beenpositionedbaseduponourreviewofthecomparableoperatingdataandour
understandingofthehotel'sfutureservicelevelandpricepoint.
FoodandBeverage
Expense
Food expenses consist of items necessary for the primary operation of a hotel's
food and banquet facilities. The costs associated with food sales and payroll are
moderately to highly correlated to food revenues. Items such as china, linen and
uniforms are less dependent on volume. Although the other expense items are
basicallyfixed,theyrepresentarelativelyinsignificantfactor.Beverageexpenses
consistofitemsnecessaryfortheoperationofahotelsloungeandbarareas.The
10-89
Attachment # 1
Page 204 of 438
costs associated with beverage sales and payroll are moderately to highly
correlatedtobeveragerevenues.
The comparables illustrate food and beverage expense ranging between 50.1%
and78.2%offoodandbeveragerevenue.Wehaveprojectedastabilizedexpense
ratio of 65.0% in 2018. The proposed subject property's food and beverage
operation is expected to be efficiently managed and operate at an expense level
thatisinlinewithothercomparableoperations.
OtherOperated
DepartmentsExpense
Other
IncomeExpense
This expense consists of all costs associated with this department, including
telephone. In the case of small hotels with automated telephone systems, the
operation of telephones may be an additional responsibility of front desk
personnel;however,mostlargepropertiesemployfulltimeoperators.Thebulkof
thetelephoneexpenseconsistsofthecostoflocalandlongdistancecallsbilledby
the telephone companies that provide these services. With the decrease in
telephoneusageandrevenues,theactualcostofcallshasdecreased.However,the
labor costs associated with a dedicated switchboard staff remain in place, as the
principal role of these individuals is to direct incoming calls, and respond to
and/or direct calls from hotel guests. Consequently, in those hotels with a
dedicated switchboard staff, the profitability of the telephone department has
decreased, and in many instances these departments now operate at a loss. In
properties where the calls are handled by the front desk staff, profit levels have
decreased,butmostcontinuetogenerateamodestprofitmargin.
The comparables illustrated other operated departments expense ranging
between $0.69 and $2.54 per occupied room. We have projected a stabilized
expense of $1.65 in 2018, or 133.2% of departmental revenue.
Other income expense consists of costs associated with other income and is
dependentonthenatureoftherevenue.Forexample,ifahotelleasesitsgiftshop
toanoutsideoperator,thegiftshop expensesarelimitedtoitemssuchasrental
fees and commissions. If the property operates its own gift shop, both revenues
andexpenseswillbehigher,andthehotelisresponsibleforthecostofgoodssold,
payroll,andsoforth.
Wehaveprojectedastabilizedexpenseratioof30.0%in2018.Expensesrelatedto
the proposed subject property's other income sources should be minimal and
associatedwiththeotherrevenuecomponentsdiscussedpreviously.
Administrativeand
GeneralExpense
Administrative and general expense includes the salaries and wages of all
administrative personnel who are not directly associated with a particular
department. Expense items related to the management and operation of the
propertyarealsoallocatedtothiscategory.
10-90
Attachment # 1
Page 205 of 438
Mostadministrativeandgeneralexpensesarerelativelyfixed.Theexceptionsare
cash overages and shortages; commissions on credit card charges; provision for
doubtfulaccounts,whicharemoderatelyaffectedbythenumberoftransactionsor
totalrevenue;andsalaries,wages,andbenefits,whichareveryslightlyinfluenced
byvolume.
On a percentage of total revenue basis, the comparable operations indicate an
administrative and general expense range from 7.4% to 11.2%, or $3,854 to
$5,610 per available room. Based upon our review of the comparable operating
dataandtheexpectedscopeoffacilityfortheproposedsubjectproperty,wehave
positioned the administrative and general expense level at a market and
propertysupported level. In the first projection year, we have projected
administrative and general expense for the proposed subject property to be
$5,359peravailableroom,or12.7%oftotalrevenue.Bythe2018stabilizedyear,
theseamountschangeto$6,211peravailableroomand9.2%oftotalrevenue.
MarketingExpense
Marketing expense consists of all costs associated with advertising, sales, and
promotion;theseactivitiesareintendedtoattractandretaincustomers.Marketing
can be used to create an image, develop customer awareness, and stimulate
patronageofaproperty'svariousfacilities.
Themarketingcategoryisuniqueinthatallexpenseitems,withtheexceptionof
feesandcommissions,aretotallycontrolledbymanagement.Mosthoteloperators
establish an annual marketing budget that sets forth all planned expenditures. If
thebudgetisfollowed,totalmarketingexpensescanbeprojectedaccurately.
Marketingexpendituresareunusualbecausealthoughthereisalagperiodbefore
resultsarerealized,thebenefitsareoftenextendedoveralongperiod.Depending
onthetypeandscopeoftheadvertisingandpromotionprogramimplemented,the
lagtimecanbeasshortasafewweeksoraslongasseveralyears.However,the
favorableresultsofaneffectivemarketingcampaigntendtolinger,andaproperty
oftenenjoysthebenefitsofconcentratedsaleseffortsformanymonths.
On a percentage of total revenue basis, the comparable operations indicate a
marketing expense range from 7.0% to 9.6%, or $3,551 to $4,925 per available
room.Baseduponourreviewofthecomparableoperatingdataandtheexpected
scope of facility for the proposed subject property, we have positioned the
marketing expense level at a market and propertysupported level. In the first
projection year, we have projected marketing expense for the proposed subject
propertytobe$4,941peravailableroom,or11.7%oftotalrevenue.Bythe2018
stabilized year, these amounts change to $5,466 per available room and 8.1% of
totalrevenue.
10-91
Attachment # 1
Page 206 of 438
FranchiseFee
HVS has recommended that the proposed fullservice subject property operate
under a franchise agreement with a nationallyrecognized brand. Based on the
analysis contained within this report, HVS suggests that the national brand
selectedbytheCityofTallahasseebeconsidered"anupperupscalechain"or"an
upscale chain" with regards to its quality. Appropriate brands for a fullservice
convention center hotel could include, but are not limited to, Embassy Suites,
Hilton, Marriott, Omni, Renaissance, Westin, Sheraton, Crowne Plaza, and
Radisson. Based on the assumption that the proposed subject property will
operate under a franchise agreement, HVS has included an industrystandard
franchisefeeinitsfinancialprojections.Assuch,afranchisefeehasbeenforecast
at5.0%ofroomsrevenue.
PropertyOperations
andMaintenance
Propertyoperationsandmaintenanceexpenseisanotherexpensecategorythatis
largely controlled by management. Except for repairs that are necessary to keep
thefacilityopenandpreventdamage(e.g.,plumbing,heating,andelectricalitems),
mostmaintenancecanbedeferredforvaryinglengthsoftime.
Maintenance is an accumulating expense. If management elects to postpone
performingarequiredrepair,theyhavenoteliminatedorsavedtheexpenditure;
theyhaveonlydeferredpaymentuntilalaterdate.Alodgingfacilitythatoperates
with a lowerthannormal maintenance budget is likely to accumulate a
considerableamountofdeferredmaintenance.
The age of a lodging facility has a strong influence on the required level of
maintenance. A new or thoroughly renovated property is protected for several
years by modern equipment and manufacturers' warranties. However, as a
hostelrygrowsolder,maintenanceexpensesescalate.Awellorganizedpreventive
maintenancesystemoftenhelpsdelaydeterioration,butmostfacilitiesfacehigher
propertyoperationsandmaintenancecostseachyear,regardlessoftheoccupancy
trend. The quality of initial construction can also have a direct impact on future
maintenance requirements. The use of highquality building materials and
construction methods generally reduces the need for maintenance expenditures
overthelongterm.
propertyoperationsandmaintenanceexpenserangefrom2.9%to5.7%,or$1,647
to $2,872 per available room. We expect the proposed subject property's
maintenanceoperationtobewellmanaged,andexpenselevelsshouldstabilizeat
atypicallevelforapropertyofthistype.Changesinthisexpenseitemthroughthe
projection period result from the application of the underlying inflation rate and
projected changes in occupancy. In the first projection year, we have projected
propertyoperationsandmaintenanceexpensefortheproposedsubjectproperty
tobe$1,996peravailableroom,or4.7%oftotalrevenue.Bythe2018stabilized
10-92
Attachment # 1
Page 207 of 438
year, these amounts change to $2,857 per available room and 4.2% of total
revenue.
UtilitiesExpense
Theutilitiesconsumptionofalodgingfacilitytakesseveralforms,includingwater
andspaceheating,airconditioning,lighting,cookingfuel,andothermiscellaneous
power requirements. The most common sources of hotel utilities are electricity,
natural gas, fuel oil, and steam. This category also includes the cost of water
service.
Totalenergycostdependsonthesourceandquantityoffuelused.Electricitytends
to be the most expensive source, followed by oil and gas. Although all hotels
consumeasizableamountofelectricity,manypropertiessupplementtheirutility
requirements with less expensive sources, such as gas and oil, for heating and
cooking.
utilitiesexpenserangefrom3.5%to5.6%,or$1,969to$2,795peravailableroom.
Thechangesinthisutilitieslineitemthroughtheprojectionperiodarearesultof
the application of the underlying inflation rate and projected changes in
occupancy.Inthefirstprojectionyear,wehaveprojectedutilitiesexpenseforthe
proposed subject property to be $2,450 per available room, or 5.8% of total
revenue. By the 2018 stabilized year, these amounts change to $2,981 per
availableroomand4.4%oftotalrevenue.
ManagementFee
Managementexpenseconsistsofthefeespaidtothemanagingagentcontractedto
operatetheproperty.Somecompaniesprovidemanagementservicesandabrand
name affiliation (firsttier management company), while others provide
management services alone (secondtier management company). Some
management contacts specify only a base fee (usually a percentage of total
revenue), while others call for both a base fee and an incentive fee (usually a
percentage of defined profit). Basic hotel management fees are almost always
based on a percentage of total revenue, which means they have no fixed
component. While base fees typically range from 2% to 4% of total revenue,
incentivefeesaredealspecificandoftenarecalculatedasapercentageofincome
availableafterdebtserviceand,insomecases,afterapreferredreturnonequity.
Details pertaining to a management agreement and the prospective terms were
notyetdeterminedatthetimeofthisreport;therefore,themanagementfeewhich
havebeenappliedinourprojectionsisreflectiveuponcurrentindustrystandards.
The projected management fees are intended to represent what would be
expected on a basefee basis. We have assumed a marketappropriate base
managementfeeof3.0%oftotalrevenuesthroughoutourstudy.Inthiscase,the
totalrevenuesinwhichthemanagementfeeisbasedoffofincludestherevenues
10-93
Attachment # 1
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attributedtothehotelcomponentonly(i.e.exclusiveoftherevenuesattributedto
theconventioncentercomponent).
PropertyTaxes
Property (or ad valorem) tax is one of the primary revenue sources of

municipalities.Basedontheconceptthatthetaxburdenshouldbedistributedin
proportion to the value of all properties within a taxing jurisdiction, a system of
assessmentsisestablished.Theoretically,theassessedvalueplacedoneachparcel
bears a definite relationship to market value, so properties with equal market
valueswillhavesimilarassessmentsandpropertieswithhigherandlowervalues
willhaveproportionatelylargerandsmallerassessments.
Dependingonthetaxingpolicyofthemunicipality,propertytaxescanbebasedon
the value of the real property or the value of the personal property and the real
property.Wehavebasedourestimateoftheproposedsubjectproperty'smarket
value(fortaxpurposes)onananalysisofcountyassessmentsofcomparablehotel
propertiesinthelocalcounty.
FIGURE1057 COUNTYASSESSEDVALUEOFCOMPARABLEHOTELS
Hotel
aLoft
Doubletree
Number
of Rooms
Land
Total Assessment
Improvements
Personal*
Total
162
243
135
$1,134,000
1,701,000
945,000
$4,848,822
7,568,976
7,221,443
$3,380,908
1,834,721
591,849
$9,363,730
11,104,697
8,758,292
$7,000
7,000
7,000
$29,931
31,148
53,492
$20,870
7,550
4,384
$57,801
45,698
64,876
$7,000
$40,000
$18,000
$65,000
$2,100,000
$12,000,000
$5,400,000
$19,500,000
Assessments per Room

aLoft
Doubletree
Positioned Subject - Per Room
Positioned Subject - Total
300
*After $25,000 exemption
Leon County Property Assessor
We have positioned the proposed subject property's future assessment levels

basedupontheillustratedcomparabledata.Wehavepositionedtheassessment
closest to the Residence Inn with regards to the value of the improvements and
closesttotheaLoftwithregardstothevalueofthepersonalproperty;overall,the
positionedassessmentiswellsupportedbythemarketdata.
10-94
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Tax rates are based on the city and county budgets, which change annually. The
mostrecenttaxrateinthisjurisdictionwasreportedat21.12900%.Thefollowing
tableshowschangesinthetaxrateduringthelastseveralyears.
FIGURE1058 COUNTYTAXRATES
Year
Personal Property
Tax Rate
2008
2009
2010
20.42650
20.84200
21.12900
Real Property
Tax Rate
20.42650
20.84200
21.12900
Leon County Property Assessor
Based on comparable assessments and the tax rate information, the proposed
subjectproperty'sprojectedpropertytaxexpenselevelsarecalculatedasfollows.
FIGURE1059 PROJECTEDPROPERTYTAXEXPENSE
Year
Land
Assessed Value
Improvements
Positioned
$2,100,000
$12,000,000
$5,400,000
$19,500,000
21.13
21.13
$412,016
2014
2015
2016
$2,100,000
2,100,000
2,100,000
$12,000,000
12,000,000
12,000,000
$5,400,000
5,400,000
5,400,000
$19,500,000
19,500,000
19,500,000
21.34
21.66
22.09
21.34
21.66
22.09
$416,136
422,378
430,825
InsuranceExpense
Personal
Total
Pers. Prop.
Tax Rate
Property
Tax Rate
Tax
Forecast
The insurance expense category consists of the cost of insuring the hotel and its
contentsagainstdamageordestructionbyfire,weather,sprinklerleakage,boiler
explosion,plateglassbreakage,andsoforth.Generalinsurancecostsalsoinclude
premiums relating to liability, fidelity, and theft coverage. Insurance rates are
basedon many factors,includingbuildingdesignandconstruction,firedetection
and extinguishing equipment, fire district, distance from the firehouse, and the
area'sfireexperience.Insuranceexpensesdonotvarywithoccupancy.
Based on comparable data and the structural attributes of the proposed project,
we project the proposed subject property's insurance expense at $745 per
availableroombythestabilizedyear(positionedat$600onaperavailableroom
basis in baseyear dollars). This forecast equates to 1.1% of total revenue on a
10-95
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Page 210 of 438
stabilized basis. In subsequent years, this amount is assumed to increase in

tandemwithinflation.
Reservefor
Replacement
Furniture, fixtures, and equipment are essential to the operation of a lodging

facility,andtheirqualityofteninfluencesaproperty'sclass.Thiscategoryincludes
allnonrealestateitemsthatarecapitalized,ratherthanexpensed.Thefurniture,
fixtures,andequipmentofahotelareexposedtoheavyuseandmustbereplaced
at regular intervals. The useful life of these items is determined by their quality,
durability,andtheamountofguesttrafficanduse.
Periodicreplacementoffurniture,fixtures,andequipmentisessentialtomaintain
the quality, image, and incomeproducing potential of a lodging facility. Because
capitalized expenditures are not included in the operating statement but
neverthelessaffectanowner'scashflow,aforecastofincomeandexpenseshould
reflecttheseexpensesintheformofanappropriatereserveforreplacement.
The International Society of Hospitality Consultants (ISHC) undertook a major
industrysponsored study of the capital expenditure requirements for full
service/luxury,selectservice,andextendedstayhotels.Themostrecentfindings
ofthestudywerepublishedinareportin20071.Historicalcapitalexpendituresof
wellmaintained hotels were investigated through the compilation of data
providedbymostofthemajorhotelcompaniesintheUnitedStates.Aprospective
analysis of future capital expenditure requirements was also performed based
uponthecosttoreplaceshortandlonglivedbuildingcomponentsoverahotel's
economic life. The study showed that the capital expenditure requirements for
hotelsvary significantly fromyeartoyear,anddependupon boththe actualand
effectiveageofaproperty.Theresultsofthisstudyshowedthathotellendersand
investorsarerequiringreservesforreplacement rangingfrom4%to5%oftotal
revenue.
Basedontheresultsofthisstudy,ourreviewofthesubjectassetandcomparable
lodging facilities, and our industry expertise, we estimate that a reserve for
replacement of 4% of total revenues is sufficient to provide for the timely and
periodicreplacementofthesubjectproperty'sfurniture,fixtures,andequipment.
Thisamountisrampedupduringtheinitialprojectionperiod.
Conclusion
In conclusion, our analysis reflects a profitable operation, with net income

expectedtototal21.4%oftotalrevenuebythestabilizedyear.Thestabilizedtotal
revenue comprises primarily rooms and food and beverage revenue, with a
The International Society of Hotel Consultants, CapEx 2007, A Study of Capital

ExpenditureintheU.S.HotelIndustry.
10-96
Attachment # 1
Page 211 of 438
secondary portion derived from other income sources. On the cost side,
departmental expenses total 39.5% of revenue by the stabilized year, while
undistributedoperatingexpensestotal28.7%oftotalrevenues;thisassumesthat
thepropertywillbeoperatedcompetentlybyawellknownhoteloperator.Aftera
3.0% of total revenues management fee, and 7.4% of total revenues in fixed
expenses,anetincomeratioof21.4%isforecastbythestabilizedyear.
10-97
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11.EconomicImpact
Methodology
HVSidentifiedthenewspendingthatwouldoccurinthelocaleconomyduetothe
operationsoftheproposedTallahasseeConventionCenterandHeadquarterHotel,
(TCC)assumingthatthefacilitiesopenonJanuary1,2014.HVSdirectspending
estimatesincludeonlynewspendingthatoriginatesfromoutsidethetwomarket
areasanalyzedinthisreport:theCityofTallahassee(theState)andtheStateof
Florida (the City). Spending by delegates who live within the market area is a
transfer of income from one sector of the areas economy to another; therefore,
thisanalysisdoesnotcountspendingbylocalresidentsasaneweconomicimpact.
HVS assumes that all of the overnight delegates, exhibitors, and event planners
attending major conventions and tradeshows at the proposed TCC would bring
new spending to the Citys economy. A large percentage of these events would
transfer from other locations in the State. Therefore, new State spending is
significantly lower for these events. Consumer shows that target local area
attendees generate a mix of new and transfer spending. Many consumer shows
attract attendees, exhibitors, and event planners from outside the Citys
boundarieswhomayresideinsurroundingsuburbanoroutlyingareas.Therefore,
aportionofspendingthatoccursattheseshowsincludedintheimpactanalysis.
ThemajorityofsportingeventsrepresentsnewdemandtotheCity,andtheywill
bring a significant portion of attendees from outside the City. A smaller, but
material portion of sports attendees would come from outside the State, since
many events will likely have a regional or national base of attendance. A larger
portion of attendees at meetings, banquets, and concerts do not represent new
spending because most of these events would have occurred somewhere else in
theCityandtheStateiftheTCCdidnotexist
Direct,Indirect,and
InducedSpending
Spendingfallsintothreecategories:
Direct spending impacts include the new spending from four sources as
definedbelow.Forexample,adelegatesexpenditureonarestaurantmealisa
directeconomicimpact.
Indirectspendingimpactsaregeneratedfromthebusinessspendingresulting
from the initial direct spending. For example, a delegates direct expenditure
on a restaurant meal causes the restaurant to purchase food and other items
fromsuppliers.Theportionoftheserestaurantpurchasesthatremainwithin
theStateandtheCityiscountedasanindirectimpact.
EconomicImpact
11-1
Attachment # 1
Page 213 of 438
Induced spending impacts represent the change in local consumption due to

thepersonalspendingbyemployeeswhoseincomesareaffectedbydirectand
indirectspending.Forexample,awaiteratalocalrestaurantmayhavemore
personal income as a result of convention delegates dining at the restaurant.
The amount of the increased income that the waiter spends in the local
economyisconsideredaninducedimpact.
HVS enters the direct spending estimate into the IMPLAN inputoutput model of
the local economy to estimate indirect and induced spending. The sum of direct,
indirect, and induced spending estimates make up the total estimated spending
impactoftheproposedTCCoperations.
Indirect and induced impacts are often referred to as multiplier effects. The
relationship between direct spending and the multiplier effects can vary based
uponthespecificsizeandcharacteristicsofalocalareaseconomy.
SourcesofDirect
Spending
OvernightandDaytrip
AttendeeAssumptions
HVS identified four sources of new direct spending impact for the State and the
City:
Overnight Attendees: Participants, including delegates, event organizers and

exhibitors,whoattendconventioncentereventsandrequirepaidlodging.
Daytrip Attendees: Participants, including delegates, event organizers and

exhibitors, who attend convention center events and do not require paid
lodging.
Event Organizers: Individuals, associations, or other organizations that plan,

sponsor, organize, and coordinate events that take place at the convention
center.
Exhibitors:Individualsorcompaniesthatrentexhibitionspace,typicallyfrom
event organizers, to display information or products at convention center
events. Exhibitors typically are present at conventions, tradeshows, and
consumershows.
Attendees at conventions, tradeshows, and other events are classified as either

overnight or daytrip delegates, depending on whether they require overnight
lodging. Typically, events attract a mix of local and nonlocal attendees. For
example, nearly all delegates to national conventions require lodging, while
regional tradeshows and local consumer shows may have a much lower
percentage of delegates requiring paid lodging. HVS estimated the percentage of
room nights, day trips, exhibitor spending and organizer spending that is new to
theStateandtotheCity.Thefigurebelowsummarizestheseassumptions.
EconomicImpact
11-2
Attachment # 1
Page 214 of 438
FIGURE111 NEWTOTHEMARKET
NewtotheLocalAreamarket
EventType
Percent
Lodgers
Room
Nights
State
ConsumerShows
Banquets
Assemblies
Sports
Other
60%
5%
5%
20%
10%
60%
5%
5%
21%
25%
0%
10%
10%
60%
25%
0%
0%
0%
0%
0%
0%
25%
0%
0%
25%
25%
na
na
na
na
na
na
25%
25%
na
na
na
na
na
na
City
ConsumerShows
Banquets
Assemblies
Sports
Other
60%
5%
5%
20%
10%
60%
5%
5%
100%
50%
10%
50%
80%
90%
90%
0%
65%
25%
10%
40%
25%
70%
25%
10%
90%
90%
na
na
na
na
na
na
90%
90%
na
na
na
na
na
na
DayTrips
Organizer
Spending
Exhibitor
Spending
Theassumptionsofthepercentofattendeesthatarenewtoeachmarketareaare
based on survey results and industry norms. Since the State is a smaller market
area than the City, HVS assumes that the percent room nights, day trips, and
exhibitor andorganizer spendingthatisnewto theCityissignificantlylessthan
thespendingthatisnewtotheState.
SourcesofImpact
Combining the event demand forecast (described in the Section 7 of this report)
withtheassumptionsofthepercentofdemandthatisnewtothemarket,yieldsan
estimateofthesourcesofimpactshowninthetablebelow.
EconomicImpact
11-3
Attachment # 1
Page 215 of 438
FIGURE112 SOURCESOFNEWIMPACT(FORASTABLIZEDYEAR)
Organizers
EventType
GrossAttendees
Overnight
GuestStays
DayTrips
AttendeeDays
State
ConsumerShows
Banquets
Assemblies
Sports
Other
Total
City
ConsumerShows
Banquets
Assemblies
Sports
Other
Total
4,200
60,000
12,000
9,000
15,000
26,400
10,000
18,000
1,323
1,125
0
270
150
14,256
125
0
0
0
0
0
0
6,600
0
0
12,600
60,000
0
0
0
0
0
0
154,600
17,249
6,600
72,600
6,300
2,250
60
1,350
1,200
21,384
450
0
32,994
3,276
14,250
1,140
4,320
3,375
18,480
2,375
1,710
48,926
12,600
60,000
0
0
0
0
0
0
72,600
Theseestimatesofattendeedays,overnightstays,anddaytripsprovidethebasis
forestimatingnewspending.
SpendingParameters
Delegates, attendees, event organizers, and exhibitors spend locally on lodging,

meals,localtransportation,facilityrentals,vendorservices,meetingroomrentals,
equipmentrentals,andothergoodsandservices.
In order to estimate average spending by overnight delegates, daytrip delegates,
event organizers, and exhibitors in the State and City , HVS evaluated data from
two visitor spending surveys. First, the 2004 Destination Marketing Association
International(DMAI)survey(themostrecentoneavailable)focusesonspending
by convention and tradeshow participants. Second, the Corporate Travel Index
(CTI)surveyfocusesonvisitorspendinginthetop100businessdestinationsin
thecountry.HVSusestheCTIsurveytoindexthenationalresultscontainedinthe
EconomicImpact
11-4
Attachment # 1
Page 216 of 438
DMAIsurveysothattheymoreaccuratelyreflecttheprobablelevelofspendingin
themarket.
AdjustingtheaverageDMAIdatawiththeCTIcreatesspendingparametersforthe
State and City (referred to herein as the Daily Spending Parameters). All
parametersarestatedasthedailyspendingbyindividualovernightdelegates,day
trippers,eventorganizers,andexhibitors.AllDailySpendingParametersshownin
the figures below are stated as the daily spending by individual overnight
delegates,daytrippers,eventorganizers,andexhibitorsin2011dollars.
OvernightAttendee
Spending
MultiplyingthenumberofnewovernightstaysbytheDailySpendingParameters
produces an estimate of new spending by overnight attendees as shown in the
figurebelow.
FIGURE113 OVERNIGHTATTENDEESPENDING(IN2011DOLLARS)
DailySpendingParameter
SpendingPer
OvernightStay
LodgingandIncidentals
HotelF&B
Restaurants
Tours/Sightseeing
AdmissiontoMuseums,Theatre,etc.
Recreation
SportingEvents
RetailStores
LocalTransport
AutoRental
Gasoline,Tolls,Parking
Other
$117.74
22.51
41.56
4.60
0.00
1.54
0.71
24.10
6.96
5.19
7.96
0.14
Total
$233.02
State
City
$233.02
$233.02
OvernightGuestStays
17,249
32,994
DelegateSpending($millions)
$4.02
$7.69
Net new spending by overnight attendees is typically the single largest source of
direct economic impact generated by convention centers. HVS estimates that the
newTCCconventioncenterandheadquarterhotelwouldgenerateapproximately
33,000overnightstaysnewtotheCity,and17,250overnightstaysthatarenewto
theState.
Theseovernightattendeeswouldpurchaselodging,restaurantmeals,retailgoods,
transportation services, and other goods and services that would result in
EconomicImpact
11-5
Attachment # 1
Page 217 of 438
approximately$7.69millionand$4.02millioninnewspendingtotheCitytothe
Staterespectively.
DaytripSpending
Daytrip spending is generated by delegates and other attendees to conventions,

tradeshows,andconsumershowswhodonotstayovernight.Inmostmarketsday
tripperstypicallyspend$40$80perdayonmeals,shopping,localtransportation,
recreationandentertainmentandothergoodsandserviceswhileintown.
Multiplying the number of new delegates to the State and City by the estimated
dailyspendingfigureproducesanestimateofnewspendingbydaytripdelegates
intheStateandCity,asshownbelow.
FIGURE114 DAYTRIPSPENDING(IN2011DOLLARS)
SpendingperDay
Trip*
Restaurants
RetailStores
LocalTransport
AutoRental
State
City
$20.78
12.05
3.48
2.59
4.22
Total
$43.13
$43.13
$43.13
DayTrips
6,600
48,926
DayTripperSpending($millions)
$0.28
$2.11
Net new spending by daytrippers is typically a moderate source of direct

economic impact generated by convention centers. HVS estimated that
approximately 49,000 new day trips to the City and 6,600 new day trips to the
Statewouldgenerate$280,000and$2.11milliontotheStateandCityrespectively.
EventOrganizer
Spending
Inmostmarkets,eventorganizersspendseveralthousandsofdollarsonlodging,
meals,localtransportation,facilityrentals,equipmentrentalsandothergoodsand
services required to plan and organize a successful event. Adjusted DMAI data
providesestimatesoforganizerspendingperattendeedayasshowninthefigure
below.
EconomicImpact
11-6
Attachment # 1
Page 218 of 438
FIGURE115 EVENTORGANIZERSPENDING
Spendingper
AttendeeDays
Hotel
F&B
ExhibitionSpaceFees
ServicesHired
EquipmentRental
Advertising
TechnologyServices
AdditionalSpaces
LocalTransporation
Other
PercentOrganizersNewtoMarket
EventOrganizerSpending($millions)
City
$1.25
5.26
4.59
4.32
1.90
0.00
0.32
0.24
0.20
0.91
Total
AttendeeDays
State
$19.00
$19.00
$19.00
72,600
72,600
25%
90%
$0.34
$1.24
Eventorganizerspendingisbasedonthetotalnumberofdelegatedays,regardless
ofdelegateorigin.Notalleventorganizers,however,arenewtothemarket.Based
on$19.00indailyspendingperdelegateandassumptionsregardingtopercentage
ofexhibitorspendingwhichwouldbenewtothemarketarea,HVSestimatesthat
approximately 73,000 event organizers would generate approximately $340,000
and$1.24milliontotheStateandCityrespectively.
ExhibitorSpending
Exhibitorspendingincludesthelocalspendingwithintheareabyexhibitorsthat
participate in events taking place at the proposed TCC. Exhibitors purchase
lodging, meals, local transportation, vendor services, meeting room rentals,
equipment rentals, and other goods and services required for their events.
AdjustedDMAIdataprovidesestimatesofexhibitorspendingperattendeeday.
EconomicImpact
11-7
Attachment # 1
Page 219 of 438
FIGURE116 EXHIBITORSSPENDING(IN2011DOLLARS)
Spendingper
AttendeeDays
Hotel
VendorServices
F&B
Advertising
LocalTransportation
EquipmentRental
ServiceHired
AdditionalMeetingRooms
Other
State
City
$42.11
9.99
9.96
0.00
2.29
8.58
1.72
1.28
4.47
Total
$80.40
AttendeeDays
PercentExhibitorsNewtoMarket
ExhibitorSpending($millions)
$80.40
$80.40
72,600
72,600
25%
90%
$1.46
$5.25
New spending by exhibitors is typically one of the larger sources of direct

economicimpactgeneratedbyconventioncenters.Exhibitorspendingisbasedon
thetotalnumberofdelegatedays,regardlessofdelegateorigin.Notallexhibitors,
however,arenewtothemarket.Basedon$80.40indailyspendingperdelegate
and assumptions regarding to percentage of exhibitor spending which would be
new to the market area, HVS estimates that approximately 73,000 event
organizers would generate approximately 1.46 million and $5.25 million to the
StateandCityrespectively.
SummaryofDirect
Spending
The following table summarizes the new spending estimates derived from
overnightdelegates,daytripdelegates,eventorganizers,andexhibitors.
FIGURE117 ESTIMATEDDIRECTSPENDING(IN2011DOLLARS)
Source
OvernightAttendees
DayTrippers
EventOrganizers
Exhibitors
TotalDirectImpact
StateSpending
($millions)
$4.02
0.28
0.34
1.46
$6.11
City
Spending
($millions)
$7.69
2.11
1.24
5.25
$16.29
EconomicImpact
11-8
Attachment # 1
Page 220 of 438
TotalestimatednewdirectspendingattributedtoactivitiesoftheproposedTCCas
aresultoftheadditionofaconventioncenterandheadquartershotelopeningon
January1,2014is$6.11millionfortheStateand$16.29millionfortheCity.
IndirectandInduced
SpendingEstimates
HVS uses the IMPLAN inputoutput model to estimate indirect and induced
impacts.IMPLANisanationallyrecognizedmodeldevelopedattheUniversityof
Minnesota to estimate indirect and induced economic impacts. An inputoutput
model generally describes the commodities and income that normally flow
through the various sectors of a given economy. The new indirect and induced
spendingandemploymenteffectsshownhererepresenttheestimatedchangesin
the flow of income and goods caused by the estimated new direct spending. The
IMPLANmodelaccountsforthespecificcharacteristicsofthelocalareaeconomy
andestimatestheshareofindirectandinducedspendingthatitwillretain.
HVScategorizednewdirectexpendituresintospendingcategoriesthatareinputs
into the IMPLAN model. Specifically, the IMPLAN model relies on spending
categories defined by the U.S. Census according to the NAICS. Because the
spending data from the DMAI surveys do not match the NAICS spending
categories,HVStranslatestheDMAIspendingcategoriesintotheNAICSspending
categoriesthatmostcloselymatchtheintentofthesurvey.
The following table shows new direct spending, categorized into each of several
major NAICS spending categories, or sectors of the local economy, that are
compatiblewiththeIMPLANmodel.
EconomicImpact
11-9
Attachment # 1
Page 221 of 438
FIGURE118 DISTRIBUTIONOFDIRECTSPENDING
State
Category
LocalTransport
Tours/Sightseeing
Supplies&Misc.Retail
AutoRental
EquipmentRental
TechnologyServices
Advertising&Promotion
EventServices
SportingEvents
Museums,Theatre,etc.
Recreation
HotelServices
SpaceRental
Food&Beverage
Parking
TOTAL
188,000
79,000
165,000
595,000
107,000
190,000
187,000
0
110,000
12,000
0
27,000
2,818,000
111,000
1,519,000
0
6,108,000
City
%Total
3.1%
1.3%
2.7%
9.7%
1.8%
3.1%
3.1%
0.0%
1.8%
0.2%
0.0%
0.4%
46.1%
1.8%
24.9%
0.0%
100%
$
563,000
152,000
469,000
1,741,000
298,000
685,000
674,000
0
395,000
23,000
0
51,000
6,718,000
399,000
4,125,000
0
16,293,000
%Total
3.5%
0.9%
2.9%
10.7%
1.8%
4.2%
4.1%
0.0%
2.4%
0.1%
0.0%
0.3%
41.2%
2.4%
25.3%
0.0%
100%
Spending in the hotel services sector would account for nearly half of all direct
spending. The food & beverage and retail sectors would also have a significant
shareofthebenefitsoftheproposedTCCactivities.Inaddition,abroadrangeof
economic sectors and businesses benefit from new spending in the numerous
categoriesoutlinesintheprecedingfigure.
IndirectandInduced
Spending
The following table shows the output of the IMPLAN modelthe projected new
direct,indirect,andinducedeconomicimpactsandthatwouldattributabletothe
proposedconventioncenterandheadquartershotel.
EconomicImpact
11-10
Attachment # 1
Page 222 of 438
FIGURE119 STABILIZEDINDIRECTANDINDUCEDSPENDING($2011)
2017
Spending
(inthousands)
Jobs
State
Direct
Indirect
Induced
Total
$6,100
2,500
3,400
$12,000
70
20
30
120
City
Direct
Indirect
Induced
Total
$16,300
4,400
4,400
$25,100
240
40
40
320
Totalspendinginastabilizedyear(2017)ofdemandisestimatedapproximately
$12millionintheStateand$25.1millionintheCity.
Jobs can also be used to measure economic impact. Total spending supports
employment. Using the IMPLAN model, HVS estimates the proposed TCC and
headquarterhotelwouldsupportroughly120newjobsintheStateand320new
jobsintheCity.
FiscalImpacts
Fiscal impacts represent the public sector share of the economic impacts, as
represented by tax collections on new spending. The previously discussed
spendingestimatesprovideabasisforestimatingpotentialtaxrevenueassomeof
the spending will be subject to taxation. The fiscal impacts presented in this
sectionaresubjecttorevisionpendingtheverificationofapplicableCityandState
taxcategoriesandrateswhichhasbeenrequestedbyHVS.
CityFiscalImpacts
The IMPLAN analysis results in indirect and induced spending classified into
hundreds of detailed spending categories. HVS evaluated each of these spending
categoriestodeterminewhichtaxeswouldapplytoeachtypeofspendingoutput.
Theappropriatetaxratesarethenusedtoestimatetheamountoftaxrevenue.The
followingtableliststhelocalsalesandusetaxesthatapplytospendingintheCity.
Thetablealsoshowstherespectivetaxratesforeachcategory.
EconomicImpact
11-11
Attachment # 1
Page 223 of 438
FIGURE1110 COUNTYSALESANDUSETAXRATES
TaxCategoriesCity/LeonCounty
Rates
RetailSales
TransientAccommodations*
CommunicationsService
Fuel
*Inadditiontoregularretailsalestax
1.5%
5%
6.9%
$0.138 pergallon
HVS applied these tax rates to a detailed breakdown of spending categories that
resultfromdirect,indirectandinducedspendinginthelocaleconomy.HVSthen
estimated the potential revenue from each tax source as shown in the following
table.Allfiguresrepresentfiscalimpactduringthefirstyearofstabilizeddemand
(2017)in2011dollars.
FIGURE1111 CITYESTIMATEDINCREMENTALSALESANDUSETAXREVENUES
Taxable
Base
Estimate
LeonCountyTaxCategories
EffectiveTaxRates
TransientAccommodations*
RetailSales
FuelSales**
CommunicationsServices
6.5%
$6,650,975
1.5%
4.84%
6.9%
6,083,707
417,543
235,139
Total
TaxRevenue
Estimate($000)
$432,313
91,256
20,217
16,225
$560,011
*Includes5.0%Countyhoteltaxand1.5%localoptionretailsalestax
**Effectivetaxratebaseon$0.138/gallonwithaveragegaspriceof$2.85/gallon.
HVS estimates that the event activity associated with the proposed convention
centerinTallahasseewillgenerateapproximately$560,000inlocalsalesanduse
taxrevenuesin2017.
StateFiscalImpacts
HVS applied the sales and use tax and corporate income tax to the detailed
breakdown of spending categories that result from new direct, indirect and
induced spending within the State The following figure shows the respective tax
ratesforeachcategory.
EconomicImpact
11-12
Attachment # 1
Page 224 of 438
FIGURE1112 STATESALESANDUSETAXRATES
TaxCategoriesState
Rates
RetailSales
CommunicationsService
Fuel
UtilityService
CorporateIncome
6.0%
9.2%
$0.162 pergallon
2.50%
5.50%
HVS applied these tax rates to a detailed breakdown of spending categories that
resultfromdirect,indirectandinducedspendinginthestateeconomy.HVSthen
estimated the potential revenue from each tax source as shown in the following
table.Allfiguresrepresentfiscalimpactduringthefirstyearofstabilizeddemand
(2017)in2011dollars.
FIGURE1113 STATEESTIMATEDINCREMENTALTAXREVENUES
StateofFloridaTaxCategories
EffectiveTaxRates
RetailSales
FuelSales*
CommunicationsServices
UtilityService
CorporateIncome
6.0%
5.68%
9.2%
2.5%
5.5%
Taxable
Base
Estimate
4,914,574
35,537
187,894
158,992
395,682
Total
TaxRevenue
Estimate
294,874
2,019
17,230
3,975
21,763
$339,860
*Effectivetaxratebaseon$0.162/gallonwithaveragegaspriceof$2.85/gallon.
HVS estimates that the event activity associated with the proposed headquarters
hotelintheStatewillgenerateapproximately$340,000instatesalesandusetax
revenues,personalincometaxrevenues,andcorporateincometaxrevenuesina
stabilizedyear(2011).
Summaryand
Conclusion
The following table shows a summary of the projected impact the proposed
convention center and headquarters hotel would have on the local and state
economiesin2017,statedin2011dollars.
EconomicImpact
11-13
Attachment # 1
Page 225 of 438
FIGURE1114 SUMMARYOFIMPACTSFROMTHECONVENTIONCENTERAND
HOTELINASTABILIZEDYEAR(IN2011DOLLARS)
SummaryofImpacts
EconomicImpact
FiscalImpact
Jobs
StateofFlorida
$12million
$340,000
120
LeonCounty/Tallahassee
$25.1million
$560,000
320
HVS estimates the Proposed Convention Center and Headquarter Hotel would
generate economic impacts of approximately $25.1 million to the City in a
stabilized year (2011) and $12 million to the State. The fiscal impacts, or tax
revenues, generated by the new spending associated with the proposed
convention center, are projected at approximately $560,000 for the City and
$340,000 for the State. The new economic activity associated with the project is
projected to support roughly 320 fulltime equivalent jobs annually for the City
and120fulltimeequivalentjobsannuallyfortheState.
These economic and fiscal impact estimates are subject to the assumptions and
limitingconditionsdescribedthroughoutthereport.Sincetheestimatesarebased
on numerous assumptions about future events and circumstances and although
weconsiderthesereasonableassumptions,wecannotprovideassurancesthatthe
project will achieve the forecasted results. Actual events and circumstances are
likelytodifferfromtheassumptionsinthisreportandsomeofthosedifferences
maybematerial.Thereadersshouldconsidertheseestimatesasamidpointina
rangeorpotentialoutcomes.
EconomicImpact
11-14
12.
Attachment # 1
Page 226 of 438
ApproachtoOperationandFinancing
OperationScenarios
HVSrecommendsconsiderationoftwoalternativemodelsfortheoperationofthe
proposed convention center and headquarters hotel: 1)an integrated hotel
convention center operation and 2)a standalone convention center with an
independently operated headquarters hotel. Previous sections of this report
assume the latter scenario, two distinct operations which are coordinated and
complement each other. This discussion takes a step back from that assumption
and reviews the implications of both options. In both operating models the
building program recommendations and demand projections would remain the
same.
IntegratedHotel
ConventionCenter
Model
An integrated hotel convention center model offers meeting planners the

advantage of coordinating event activities in a single venue. Importantly, such
venues offer onestop shopping for event planners that only need to negotiate
contractwithasingleentity.Anintegratedhotelconventioncentermayincrease
theattractivenessandmarketabilityoftheconventioncentertomeetingplanners.
Anintegratedhotelconventioncentermodelmayalsobemoreefficientthantwo
standalone operations. Food and beverage operations can take advantage of a
singlefoodserviceoperatorandsharedbackofhousespacethatservesboththe
hotel and convention center. Additionally, this model potentially allows for a
singular administrative and sales and marketing department and team, saving
administrative overhead costs. While the convention center side of the project
operates at a loss, the combined convention center and hotel could yield
significantprofitsandmajoreconomicimpactsforthecommunity.
Integratedhotelandconventioncentersaretypicallyoperatedbyhotelcompanies
and their profit motive at times may come in conflict with public sector goals of
generatinghighlevelsof economicimpact.Forexample,ahoteloperator maybe
motivated to reserve a large portion of room inventory for profitable transient
business and leave fewer rooms available for convention groups that could have
citywideimpactsonhoteloccupancy.Thisbookingstrategy,whilebenefitingthe
hotels bottomline,may resultin fewerbookings ofcommunityeventsor events
thatwouldcreatesignificanteconomicimpacts.Thesepotentialconflictsareoften
dealt with through room block commitment agreements or priority booking
policies.
Hotel operators may also lack experience in marketing, selling, and servicing
locallybasedeventssuchasconsumershows,sportstournaments,assembliesand
12-1
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othercommunitybasedeventsthatdonotgenerateroomnightsbutarenonethe
less important to the operation of the convention center. To address this issue,
marketing and operating staff usually needs to be augmented to managing the
wider variety of event types that occur in a convention center as opposed to a
hoteloperation.
Standalone
ConventionCenter
Model
Thestandalonemodelseparatestheoperationoftheconventioncenterandhotel
and is the traditional model implemented by most communities. These facilities
are viewed as a form of public infrastructure. They are not expected to generate
profitbutexistforthepurposesofstimulatingeconomicdevelopmentandoffering
services of the community. Standalone convention centers rely on the private
sector to build adjacent amenities, including hotel rooms, restaurants, retail
outletsandotherentertainmentamenities.
The coordination of marketing efforts is more complex than in an integrated
operation. The coordinating role is often performed the by the local convention
and visitors bureau and requires good working relationships, cooperation, and
adherence to preestablished booking policies. Most standalone convention
centersoperateataloss,andHVSestimatesthatavenueinTallahasseewouldbe
no exception to that prevailing trend. A dedicated funding source is typically
necessarytofundongoingoperatingdeficits.
The following figure summarizes the relative advantages and disadvantages of
eachoperationsmodel
12-2
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FIGURE121ADVANTAGESANDDISADVATAGESOFOPERATIONSMODELS
IntegratedHotelandConventionCenter
Advantages
Disadvantages
Conveniencetousersofintegratedvenues.Onestop
shoppingforeventplanners.
Hoteloperatorhasincentivetogenerateprofitable
roomnightsattheexpenseofcitywideeventsand
localcommunitytouseoftheconventionfacilities.
Reducedoperatingcostsduetosharedoperation:
administrative,foodandbeverage,salesandmarketing.
Operatinglossfromconventioncentermustbe
coveredbyhotelprofits.
Professionalmarketingandsalesstaffwithresourcesof
hotelbrand.
Hotelierlackofexperienceinmarketing,salesand
servicingoflocalevents.
Highqualityofserviceassociatedwithhotelcompany
brandstandards.
StandaloneConventionCenter
Advantages
Disadvantages
Conventioncentercanbooklocaleventswhichmayhave
significanteconomicimpact.
Relianceonprivatesectortobuildadjacenthotels
andotheramenities.
Standardmodelofoperation,provensuccessinfacilities
aroundthecountry.
Noopportunitytoshareoperatingcosts,separate
food&beverage,sales&marketing.
Greatercontroltosetbookingguidelineswhichhavethe
greatesteconomicimpactforthecommunity.
Riskofoperatinglosses,whichneedtobecoveredby
otherpublicsectorrevenuesources.
Ownershipand
FinancingAssumptions
Ownershipandfinancingapproachesmaybechosenindependentlyofthemethod
of operation and these approaches fall into one of three general categories:
1)privateownershipandfinancingreliesonconventionalprivatesourcesofdebt
andequity,2)publicprivatepartnerships(PPPs)whichuseamixofprivateand
publicfundingsourcesandmorecomplexownershiparrangements,and3)public
financing and ownership which typically uses taxexempt municipal debt to fund
theproject.
Thefeasibilityofpureprivatedevelopmentismeasuredbytheanticipatedlevelof
returnoninvestmentintheproject.Projectgeneratedincome,includingpotential
saleoftheprojectneedstobesufficienttorepayloansandprovideanacceptable
12-3
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returnonequityinorderforprivateinvestorstoundertaketheriskoftheproject.
The feasibility of public project usually depends on whether publicly available
resources including project related income or deficits are sufficient to repay the
debt issued to finance the project. Public Private Partnerships involve a mix of
thesetwodefinitionsoffeasibility.Typicallythepublicsectorprovidesincentives
tobuydowntheequityrequirementstothepointwhereprivateinvestmentinthe
project becomes feasible. A wide variety of public sector incentives have been
employed on these types of projects including: tax abatements, tax increment
financing, tax credits, favorable land leases, assumption of related infrastructure
projects such as roads and parking, financing of public space in the building or
outrightcashgrantstotheproject.
Thefigurebelowillustratesthepotentialcombinationsofoperatingandfinancing
strategies.
FIGURE122POSSIBLECOMBINATIONSOFOPERATIONSANDOWNERSHIPSCENARIOS
Ownership/Financing
Private
Operations
Integrated
StandAlone
NotFeasible
PublicPrivatePartnership
Public
Privateownershipof
Publictaxexemptdebtfinancingof
improvementsonlandleasedfrom entireproject.Integratedvenue
publicsector.Requiressubstantial
operatedunderaQualified
publicincentives.
ManagementAgreement("QMA").
Publicdebtfinancingofboth
Privateownershipandoperation
projects.Maybeseparatedebt
ofhotel.Publicownershipand
PrivateOwnershipofhotelonly.
issuances.SeparateQMAsfor
operationofconventioncenter
ConventionCenternotfeasible.
operationofhotelandconvention
assets.Separatebutcoordinated
center.Potential"selfoperation"of
operations.
theconventioncenter.
While each of the approach offers its distinct advantages and disadvantages,
understanding the circumstances under which each model works best often
provides a better guide to the most appropriate model for a proposed
development.TheoptimalapproachforTallahasseeshouldbebasedonthemodel
thatbestaddressthegoalsanddesiresofthecommunityanditsfinancialcapacity.
12-4
ConventionCenter
Financing
Attachment # 1
Page 230 of 438
IntheUnitedStates,citiesusuallyfinancetheconstructionofconventionfacilities
withpublicdebt,whichisrepaidovera20to30yearperiod.Citiesjustifypublic
investment based on the potential economic impact of a project or because it
representsthedevelopmentofacommunityassetwithbroadsupportthatwould
notbedevelopedwithoutpublicspending.
Projectsthatarerelativelysmallorthatarefinancedinmunicipalitieswithrapidly
growingtaxbasesaresometimespaidfordirectlyoutofappropriatedfunds.This
type of payasyougo financing is not common for large projects, though. In
Tallahassee,asinmostcities,thedifficultyofprovidingsufficientrevenuestopay
fortheentireprojectduringtheconstructionperiodeffectivelyeliminatesthepay
asyougooption.
The majority of facilities have funding through the issuance of longterm debt so
thatthepaymentofcapitalcostscorrespondstotheperiodoverwhichthefacility
is used and its economic and the realization of public benefits. Cities typically
structurethedebtintheformofbondsorothermunicipaldebtinstruments.One
approachistorepaydebtusinggeneralfundrevenue,backedbythefullfaithand
creditoftheissuer.Thesearegeneralobligationbonds.
Governments,authorities,orpublicbenefitcorporationsmayissuerevenuebonds
which are repaid from specific tax sources and do not have a general claim on
publicresources.Forconventioncenterprojects,citiesoftenusetaxesorfeesthat
derive from the activities or businesses that are most likely to use or otherwise
benefit from the facility. Hotel room occupancy taxes, sales taxes, car rental fees,
parkingtaxes,preparedmealtaxes,airportaccessfees,anddevelopmentfeesare
the revenue sources most commonly used to repay debt service for convention
center revenue bonds. In addition, cities frequently use these tax sources to
financeongoingoperatingandmarketingneedsofthefacility.
The types of bonds used for particular projects depend on the size of the
investment, lending rates, the creditworthiness of the borrowing entity, and the
availability of revenue sources to repay the debt. The mix of revenue sources
selectedforparticularprojectsdependsonthecomparativelevelofexistingtaxes
orfees,aswellaswhatisconsideredtobebothfairandfeasibleundertheunique
politicalandeconomiccircumstancesofeachdevelopment.
DevelopmentCost
Estimates
The first step in this process is to estimate the amount of funds required for the
development of the proposed convention center. Based on the recommended
program of functional elements presented in Section 7, HVS developed rough
estimatesofgrosssquarefootageandestimatedtherangeofcostpersquarefoot
by functional areas. The following figure presents this estimated range of cost of
theproject.
12-5
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FIGURE123ESTIMATEDCONVENTIONCENTERDEVELOPMENTCOSTS
Estimated
ProgramArea
(SF)
Estimated
GrossArea
(SF)
100,000
15,000
na
na
175,000
26,250
60,000
100,000
CostperSFRange
TotalCostRange
FunctionalArea
Exhi bi tHa l l
Meeti ngRooms
Ba ckofHous e
Ci rcul a ti on
250
250
160
175
to
to
to
to
350
350
200
225
$43,750,000
6,562,500
9,600,000
17,500,000
to
$61,250,000
to 9,187,500
to 12,000,000
to 22,500,000
$77,412,500
Genera l Condi ti ons
Pha s i nga ndTempora ryWork
Ins ura ncea ndBonds
Fees
Es ti ma ti ngConti ngency
8.0%
2.0%
1.5%
3.0%
10.0%
GrandTotal
$104,937,500
6,193,000
1,548,250
1,161,188
2,322,375
7,741,250
to
to
to
to
to
8,395,000
2,098,750
1,574,063
3,148,125
10,493,750
$96,378,563
to
$130,647,188
Based on the building program presented in Section 7, HVS estimates that

development cost of the proposed convention center would range from
approximately $96 to $131 million. Infrastructure requirements and other site
specificissuescansignificantlyinfluencedevelopmentcosts.Thenextstepsinthis
projectshould,therefore,includemoredetailedplanninginwhichanexperienced
conventioncenterplannerlaysouttherecommendedprogramontheanticipated
site of the development and prepares a more detailed estimate of development
costs.
The following sections discuss potential strategies that the City and County can
taketofundtheprojectcosts.
BondFinancing
Strategies
In Tallahassee, as in most communities, a high level of commitment and a

coordinated communitywide effort that includes city and county governments,
and possibly the private sector, would be necessary to fund this project
successfully.TheproposedrenovationstotheciviccenterwouldrequiretheCity
toissuesometypeoflongtermbondstofunditsdevelopmentandconstruction.
Thefinancingmechanisms,therefore,mustfundanestimated$96to$131million
in development costs. In additional to project funding requirement, costs of
issuancecouldaddasmuchastwopercenttothetotalfundingrequirement.For
revenue bonds, the need to borrow debt reserve funds could add another five to
ten percent to the total issuance. Certain types of revenue bonds that rely on
revenue sources that are generated by the project may require borrowing
capitalized interest to fund debt service payments during and shortly after the
12-6
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construction period. Consequently, the amount of debt issued is almost always

greaterthantheamountofdevelopmentcosts.
Theprimarytypesofconventionandciviccenterbondfinancingmechanismsare
generalobligationbondsandrevenuebonds.Theyaredescribedbelow.
GrossReceiptsTax(GRT)ImprovementBondsLongtermbondsthatpledge
thegrosstaxreceiptsofthecity.Thistypeofdebtwouldprovideastrongcredit
and relatively low borrowing costs for the project. The use of GRT bonds is
typicallyreservedforprojectsperceivedtobenefitthepopulationasawhole,such
as educational, environmental, transportation, or correctional facilities. Because
conventioncentersoftenhaveanarrowergroupofusersandpeoplewhobenefit
fromtheseprojects,GRTbondsarenotoftenrecommendedasafinancingvehicle.
InlieuoffinancinganentireprojectthroughGRTbonds,somealternativeusesof
GRTdebtmightinclude:(i)restrictingittoaportionoftheprojectcostssuchas
landacquisition,sitepreparation,andtransportationaccess;(ii)creatingashort
termmeans ofpayingforsomeor allconstructioncostsuntilrevenuestriggered
bythenewfacilityarerealized;and/or(iii)providingaguaranteetobackstopa
new revenue source that is not initially creditworthy on its own or results in a
lowerbondratingwithoutthebackingofthegrossreceiptstax.
Revenue Bonds Various taxes, fees, or other dedicated revenues could secure
revenue bonds for the new convention center. Most of the recent convention
centerprojectsthroughouttheU.S.haveusedthisfinancingstructure,whichcan
be tailored to fit the specific requirements of the involved state and local
governments.
Municipal governments can pledge revenue from existing or projected taxes and
fees to support the repayment of debt on convention center projects. Bonds that
arebackedbysuchsourcesarecalledrevenuebondsbecausetherevenuefrom
thesetaxesandfeesprovidetheabilitytopaybackdebt.Theinterestratespaidon
revenue bonds would vary depending on the reliability of the chosen revenue
source. Interest rates will also vary from one municipality to another depending
ontheircreditratings.
RevenueSourcefor
FinancingDebt
Ifacityusesrevenuebondstofinanceaconventioncenterproject,thecitymust
decidewhichrevenuesourceorsourcesareappropriateandfeasibleforpayingoff
the bonds. The following points summarize the characteristics of various taxing
toolsavailablefortheproposedconventioncenterprojectinTallahassee.
HotelTaxHoteltaxeshavethemajoradvantageofprimarilytaxingoutoftown
visitors rather than local residents. Convention centers in Orlando, Los Angeles,
New Orleans, Atlanta, Charlotte, Houston, Indianapolis, Miami, Philadelphia, St.
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Louis, and San Francisco have their debt service paid totally or in part by
dedicated hotel tax revenues. Leon Countys 5 percent Tourist Development Tax
ontransientaccommodationsisaboutaveragewhencomparinghoteltaxratesin
cities throughout the country. Similarly, when combined with the retail sales tax
rate of 7.5 percent, the total tax on hotel accommodations is 12.5 percent which
alsotrackswithnationalaverages.
GrossReceiptsTaxesSalestaxesprovidestrongcreditstructuresbecausethey
are relatively predictable and tend to track inflation and economic growth. A
general sales tax increase or expansion of the base could provide a strong
incrementalrevenuestream.However,thesetaxesareoftendifficulttoimplement
becausetheyprimarilytaxlocalresidentsandrequireareferendumand/orstate
legislative approval. Sales taxes can generate large amounts of revenue, but also
burdenthelocaleconomy.Insomecases,municipalitieshaveusedageneralsales
tax increase over a fixed period of time to finance major capital projects such as
stadiumsandconventioncenters.Thisquickpaymethodenablesmunicipalitiesto
generatethenecessaryrevenueoverashortperiodoftime,butageneralsalestax
isablunttaxinginstrumentthatdoesnotalwaysprovideagoodmatchbetween
whobearstheburdenofthetaxandwhobenefitsfromit.
PreparedMealsTaxTaxesonpreparedmeals(i.e.restaurants)havebeenused
in several cities, particularly, to support the costs of convention and sporting
facilities.Likehoteltaxes,theyaredirectedtowardbeneficiariesoftheprojectand
tosomeextent,nonresidents.Asubsetofanoverallsalestax,mealstaxescanalso
generate substantial revenue. In some cases it can be difficult to define the
appropriategeographicboundarieswithinwhichsuchataxshouldbeapplied.
DevelopmentFees/LandLeaseIncomeFeesfortherighttodevelopprojects
near the proposed convention center or elsewhere in the downtown area could
conceivably be used to assist in funding the facility. These socalled linkage fees
have been imposed in other cities where available land adjacent to a convention
center is at a premium. Development fees or land lease income from hotels,
parkingdecks,retailstores,andotherusesthatcanbenefitfrombeingadjacentto
aconventioncenteraresometimesusedtohelpfundprojectcosts.
TaxIncrementFinancingTaxincrementfinancing(TIFs)isatoolthatallows
acertainportionoftheincrementalincreaseintaxrevenuesfromaprojecttobe
usedfordevelopmentsthatwillbenefitthatproject.Projectionsarebasedonthe
incremental property tax value of the ancillary economic development projects
thataretriggeredbyamajornewfacility.Thetaxbaseofadefinedarea(theTIF
District)surroundingtheprojectisfrozenandanyincreasesinthefuturetaxbase
areusedtorepayTIFbonds.DependingonthesizeandscopeoftheTIFDistrict,
this concept may be useful as a means of offsetting a portion of the future debt
12-8
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service on convention center bonds or providing an additional backstop for

another primary revenue source. TIF strategies can also be used to support
ancillary hotel developments in some communities. However, assuming the
proposedconventioncenterwouldbeapubliclyownedentity,andassuchisnot
subjecttopropertytaxes,TIFfinancingisnotanoptionforthethisproject.
LeaseFinancingLeasefinancing,orcertificateofparticipationfinancing,could
bebackedbyanyoftherevenuesourcesdiscussedabove.
OtherSourcesOthersourcesofpartialfundingincludeprivateequity,developer
equity,carrentaltaxes,taxiairportaccessfees,andparkingtaxes.
ConventionCenter
HeadquartersHotel
Financing
Convention center headquarters hotels stimulate local economic activity by

supporting a convention center, attracting new visitors to the local community,
and by providing conference facilities for use by area corporations. In an
increasingly competitive meetings market, communities that offer highquality
facilities have an edge in attracting corporate development and events.
Recognizingthebarrierstoprivatedevelopment,manycommunitiesarepursuing
development of quality, fullservice hotel conference centers to enhance their
attractiveness for corporate development and their position in the market for
events and provide their communities with a suitable event space for civic and
other local events. These facilities serve many of the same roles as standalone
conventioncenters,butalsoofferconnectedhotelroomstohelpattracteventstoa
conventioncenterthatdrawattendeesfromoutoftown.
Conventional financing for convention center hotels presents great challenges,
with only a handful of institutional lenders financing hotels in the current
economicenvironment.Becauseofthehighcostofconventionalfinancingandthe
high construction cost of quality, fullservice properties, very few proposals
generatetheforecastedcashflownecessarytoattractsufficientprivatefinancing.
Thus, many communities are turning to public financing of convention center
hotels. The difference between the level of conventional financing that the
projected revenues would support and the actual development costs is often
referredtoasthefundinggap.
Public sector incentives and funding support for a convention center hotels can
comefromavarietyofsources:contributionsofland,infrastructure,andparking
facilities; direct subsidy payments; or contingent pledges of financial support. In
particular, taxexempt bond financing can significantly change the financial
calculus of a projects feasibility. Taxexempt bond financing and other public
support dramatically reduce interest rates and substantially reduce equity
requirements.
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TheOwnershipEntity
Inrecentyearsseveralpublicentitieshaveusedtaxexemptbondstofinancenew
hotels. For many proposals, taxexempt bonds can provide the majority of the
overallfinancingneeds.
Tousetaxexemptfinancing,thefacilityownergenerally mustbeapublicsector
entity.Insomecases,privatelyownedprojectslocatedinafederalempowerment
zone,orinthiscaseanareaeligibletouseLibertyZoneBonds,canusetaxexempt
financing. Often, the public sector owner is either a newly created publicbenefit
corporation or a subset of an existing tourism or facilities department. State law
typicallydeterminestheappropriatestructureoftheownershipentity,whethera
publicbenefit corporation, a notforprofit corporation, or an entity within a
departmentofcitygovernment.Whereanewlyformedpublicbenefitcorporation
is appropriate, it is typically a singlepurpose entity created to develop, finance
and own the hotel. The purpose of a public benefit corporation is to isolate the
hoteloperationsfromapublicentitysotherassetsandrevenues.Creatinganew
entity clearly delineates a citys responsibility and limits its obligations,
responsibilitiesandliabilities.
ImportantCredit
Features
Severalfactorsinfluenceinvestordecisionsofwhethertopurchasethebondsfora
hotelproject.Thesefactorsinclude:
Rationalefortheproject,
Reliabilityandcredibilityofprojections,
Constructionrisk,
Evaluationofuncertainrevenuestreams,
Hoteloperatorandperformanceincentives,and
TheDevelopmentteam.
Reviewingthesefactorswillprovideabetterunderstandingofthepublicsupport
needed to successfully finance hotel conference center developments. The bond
financingmustbetailoredtoshieldbondinvestorsfromvariousrisksinherentina
singleprojectfinancing.
Rationale for the Project A vital factor that Bond investors evaluate is the
rationale for public investment and support of the hotel. Investors evaluate this
factor by applying the concept of essential public purposemeaning that, in
timesoffiscalstrain,publicbodiesaremostlikelytoreserveadequatefundingfor
essentialpublicpurposes(lawenforcement,fireprotection,waterandsewerplant
12-10
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operation) and are most likely to reduce spending by cutting nonessential

purposes(tourismadvertising,culturalprogramming,operationofsportsarenas).
Becausethehealthandsafetyofacitizenryarenotendangeredifthehoteldefaults
on its bonds, such a facility is considered a nonessential purpose. Therefore, a
public entity must present investors with evidence of a considered strategy that
justifies a potentially significant public contribution to support the longterm
effectiveness of the facility. This evidence could include data that demonstrates
that the travel and tourism industry are important components of the areas
economicgrowthplan,astheyclearlyareinTallahassee.
ReliabilityandCredibilityofProjectionsBondinvestorscarefullyevaluatethe
feasibility study for a convention center hotel facility. Most credit analysts
scrutinizefeasibilityreportscarefully.Investorsusethefeasibilitystudytoassess
demandfortheprojectandmustbeconvincedthatthedemanddescribedinthe
feasibility study actually will develop in the market. Investors ultimately must
viewpositively:
Theeconomicprofileofthegreatermetropolitanmarket,
Theexpectedfuturegrowthinthedemandforeventspace,
Thepotentialdemandforthehotel,and
Theprojectedaveragedailyroomrateandoccupancylevelsfortheproposed
hotel.
Construction Risk Taxexempt bond investors are familiar with the analytical
techniques to evaluate construction risks. These investors are accustomed to
analysis of construction contracts and construction performance and completion
guarantees. Taxable financings often are paired with significant equity
investments and the equity investor, rather than the debt provider, pays for
construction cost overruns. However, publicly owned financings do not have a
large equity investor,so thereisacorrespondinglygreaterpriorityincontaining
constructionrisks.Essentialelementsofsuccessforpubliclyownedfinancingsare:
Thechoiceofaqualifiedgeneralcontractor,
Documentationoftheconstructioncontract,and
Guaranteeprovisions.
Thegeneralcontractormustprovideaguaranteedmaximumpricecontract,agree
tocompleteconstructionbyacertaindate,andpayliquidateddamagesequal,ata
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minimum, to debt service on the bonds for any delay beyond the guaranteed
completiondate.Thegeneralcontractormustdemonstrateitsfinancialstrengthto
fulfillitsobligationsunderthecontractormustprovideforthirdpartysupportof
thoseobligationsintheformofguaranteesorbonds.Thepublicsectorownership
entity assumes any construction risks the general contractor or developer does
notinsure.
Evaluation of Uncertain Revenue Streams Bond investors are generally
cautious with respect to any tobebuilt project with no operating history. In
contrast,atypicaldebtofferingissecuredbyanoperatingpropertywithaknown
revenue stream. In addition to the critical construction risks, investors in
conventioncenterhotelbondfinancingsmustconsider:
Thatthebondsarepaidfromrevenuesdrawnfromalimitedgeographicarea
andanarrowrangeofeconomicactivity,
Sensitivitytoeconomicandcompetitiveconditions,
Inherentuncertaintyofrevenueprojections,and
Limitedabilitytoraiserevenuesifusageislowerthanexpected.
These features of a convention center hotel project limit how much projected
revenues can be leveraged. Thus, investors will (a) impose high coverage levels,
(b)requirestronglegalprotections,and(c)discountfuturegrowthofrevenues.
Ifthefeasibilityprocessindicatesthatpublicfinancingisnecessarytoimplement
the project, the participating public entity must determine appropriate and
adequatesourcesofpublicfinancing.
NextSteps
The development of a comprehensive financing plan for both the proposed

convention center and convention center hotel will require additional tasks,
including:
Athoroughreviewofthepotentialfundingsources,
An overall assessment of the ability of the identified funding sources to

providesufficientrevenuestofinancetheprojectsoveralldevelopmentcosts,
Conceptplanningbyanexperiencedconventioncenterplanner,
Evaluationofthefundinggapfortheheadquarterhotel,
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Securingaspecificsetofdevelopmentincentivesfortheproject,
Ananalysisofpotentialriskfactors,
Identifyingandsecuringparticipatingpublicsectorprojectparticipants,and
Requestingandevaluatingproposalsfromprivatedevelopers.
The preceding tasks would enable Tallahassee to advance the project from the
feasibility stage to the point of debt issuance and the commencement of project
construction.
The annual financing cost is highly dependent upon the specific structure of the
financingplanandadditionalanalysisisrequiredtodevelopamoredetailedplan
for this particular project. The financing plan for the hotel will seek to maximize
owner equity in the project through the use of taxexempt debt, minimizing any
potentialpublicsectorincentivesand/orequitycontribution.
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CASESTUDIESCONVENTIONCENTERS
A brief overview of financing methods and strategies used in other cities around
thecountrycanbeusefultodemonstratearangeofoptionsthathavebeenapplied
in different situations. HVS identified a number of recent projects to use as
examples. The following brief case studies illustrate financing methods that have
beenusedinothercommunitiesandthatrepresentvariousstrategiestoobtainthe
financingnecessaryfortheirrespectivefacilities.
GREATERRICHMONDCONVENTIONCENTER,RICHMOND,VA
The Greater Richmond Convention Center Authority (Authority), a political

subdivision of the Commonwealth of Virginia, was created on January 9, 1998
pursuant to the Public Recreational Facilities Authority Act, Chapter 56 of Title
15.2,CodeofVirginia.Thepoliticalsubdivisionsparticipatingintheincorporation
of the Authority are the City of Richmond and the Counties of Chesterfield,
Hanover, and Henrico. These municipalities recognized that convention centers
function as regional facilities and that a regional authority would enable the
relevant communities to jointly operate and finance the facility. A fivemember
commission comprised of the chief administrative officer of each of the four
incorporating subdivisions and the President and CEO of the Retail Merchants
AssociationofGreaterRichmondgovernstheAuthority.
TheCityofRichmondwouldnothavebeencapableoffinancingtheexpansionof
theconventioncenteronitsownwithoutcreatingahighleveloffiscaldistress.An
initial $10million equity contribution from the State allowed project planning,
landacquisition,anddesignworktoproceed.Inordertoreflectitsrelativeshare
of the benefit of the convention center, the City of Richmond agreed to pay for
approximatelyhalfofthelocalcostoftheconventioncenter.However,itscurrent
shareofavailablelodgingtaxrevenueisnotsufficienttocoverhalfoftheannual
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debt service and operating deficit. An interlocal agreement allows the City of
Richmondtoeffectivelyborrowaportionofitssharefromtheotherlocalitiesuntil
thecityslodgingtaxrevenuegrowstoalevelthatissufficienttocoverhalfofthe
costandrepaytheothermunicipalities.
The Authority in the Richmond area was created to acquire, finance, expand,
renovate, construct, lease, operate, and maintain the facility and grounds of a
visitors and convention center or centers including the facility and grounds
currentlyknownastheGreaterRichmondConventionCenter.Thepurposesofthe
Authorityaretofacilitatetheexpansionoftheconventioncenterandtoconstruct
access,streetscape,orotheronsiteandoffsiteimprovements,andtooperateand
maintain the venue. Each participating municipality pledged its gross revenues
fromtheassignedlodgingtaxestopaytheAuthoritysdebtandoperatingdeficits.
Any funds remaining after such debt service requirements and operating deficits
arepaidmaybereturnedtothelocalitiesatthediscretionoftheAuthority.
Thesurroundingcountiesagreedtothisfinancingapproachforseveralreasons,as
listedbelow:
Theregionalbenefitsofavibrantdowntowncoreandtheimportantrolethat
anexpandedconventionfacilitywouldplayinstrengtheningthatcore,
The benefits of having a large events venue capable of hosting national and
regionalconsumerandculturaleventsandothercivicfunctions,
The economic benefits they will receive in increased hotel, restaurant,

recreational, and other visitor spending that will occur within their
communities,and
The increased national and regional exposure that the expanded facility will
generatethroughtheincrementalincreaseinoutofareavisitorstotheregion.
TheformationoftheAuthorityandtheinterlocalagreementrequiredagreatdeal
of intergovernmental cooperation over a period of approximately ten years. The
Authority has begun to implement the expansion and is currently finalizing the
financing.
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FRONTIERAIRLINESCENTER,MILWAUKEE,WI
The County and City of Milwaukee (separate but overlapping jurisdictions) are
alsousingadistrictapproachtofinanceanewdowntownconventioncenter.The
WisconsinCenterDistrict(theDistrict)isalocalexpositiondistrict,composed
of Milwaukee County and the City of Milwaukee, with limited taxing powers
createdunderthe1993,WisconsinAct263.
The District Board is composed of appointees from the state, city, and county
governments. The District was established to assume ownership of thenexisting
conventionfacilitiesandtoconstructandexpandsuchfacilities.InJanuary1996,
the District issued $184 million of dedicated tax revenue bonds to finance the
development of the Frontier Airlines Center (formerly known as the Midwest
ExpressCenter),thefirstphaseofwhichwascompletedinJuly1998.Inorderto
maximizefinancingcapacityandreduceborrowingcosts,theDistrictissuedsenior
andsubordinateddebt.Certaintaxrevenuesremainingafterthepaymentofdebt
service requirements are used to fund the operation of District assets and the
marketingeffortsoftheconventionandvisitorsbureau.Inordertoenhancecredit
of the issuance, the State of Wisconsin provided its moral obligation to back the
debtissuance.
Phase one included a 127,000square foot exhibition hall, a 38,000square foot
ballroom,asmanyas32meetingrooms,andassociatedprefunctionandservice
areas. Phase two, which was completed in December 1999, involved the
demolition of the former convention facility and expanded the exhibition hall to
approximately188,000squarefeet.
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TheDistrictgeneratesitstaxrevenuesfromahoteloccupancytax,alocalfoodand
beverage tax, and a local car rental tax. The District also generates net operating
incomeoranetoperatingdeficitfromoperationsofitsfacilities,whichincludethe
Frontier Airlines Center, the Milwaukee Arena, and the Auditorium. Central
oversight of these various public assembly facilities enables the District to
prioritizeitscapitalfinancingneedsonaDistrictwidebasisandaddressitsmost
pressingneeds.
GEORGIAINTERNATIONALCONVENTIONCENTER,ATLANTA,GA
TheGICCwasconstructedintwophases,bothofwhichwerebondfinanced.The
College Park Business and Development Authority issued $16 million in tax
exemptbondsin1985tofinancetheinitialconstructionofthefacility.In1990,the
Authority issued an additional $28.5 million to finance expansion of the facility.
The 1990 issue was split into a taxable and a taxexempt series. The taxable
proceeds from this debt issuance were used to finance a portion of the facility
sharedbytheGICCanditsadjoininghotel.
TheGICCbondsarerepaidfromthreedifferentsources.First,netrevenuesofGICC
operationsarepledgedtorepaybonds.However,theGICCgenerallybreakseven
or experiences an operating deficit and has required tax support to cover its
shortfalls.Second,ahoteltaxandanexcisetaxonmixeddrinksalesintheCityof
College Park are pledged to pay the debt service. These taxes generate
approximately $4.5 million annually. Third, a special taxing district for the area
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thatsurroundstheGICChelpsfundthefacility.Aseparatetaxisleviedonallreal
and personal property within the district at a rate of 0.75 cents per $100 of
assessedvaluation.Thespecialdistrictlevygeneratedapproximately$900,000in
1995.
ORANGECOUNTYCONVENTIONCENTER,ORLANDO,FL
Aside from a land grant by the LockheedMartin Corporation, the OCCC was
financedentirelyfrompublicsources.Subjecttovoterapproval,Floridacounties
havestatutoryauthoritytolevyatouristdevelopmenttaxofuptofourpercenton
hotel and accommodation charges. Orange County voters originally approved a
twopercent tax, and in 1989 approved an increase to the current rate of four
percent.
TheOCCCwasconstructedinfourphases.Allfourphaseswerefinancedprimarily
with bonds, although the County made small equity contributions from excess
tourist development taxes. In 1994, the County issued $165 million in revenue
bonds and contributed $70 million in commercial paper proceeds to finance
portions of the Phase III and IV expansions. The commercial paper debt is
subordinate to the tourist development revenue bonds and will be paid from
futureexcesstouristdevelopmenttaxcollections.Theexpansionplannedin1999
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was projected to cost $145 million to be funded by an additional $86 million in

touristdevelopmenttaxrevenuebondsandCountycommercialpaperissuance.
Therevenuebondsarepayablefromthreesources:netrevenuesoftheconvention
center, tourist development tax revenues, and a portion of the City of Orlandos
sales tax revenues (up to $5.25 million per year). The Countys tourist
development tax collections support debt service and operations of the OCCC. In
1995,tourismdevelopmenttaxesgeneratedover$51millioninrevenue.TheCity
of Orlando initially pledged a portion of its sales tax revenues to increase debt
servicecoverageandexpectedtobereleasedfromthispledgeby1997,uponthe
achievementofcertaincoveragetargets.
All revenue bond issues related to the OCCC have received an A rating or have
been insured based on the strength of tax collections and Orange Countys
substantial tourism base. After the most recent bond issue in 1994, the coverage
ratio of annual tax revenues to annual debt service (based on historical tax
revenues)declinedto1.24from1.70.Despitethesmallercoverageratio,Moodys
Investors Service affirmed an A rating because of the strong history of tax
collections, the tourism base, and the ability of the County to make equity
contributionstoPhasesIVandVfromaccruedexcesstaxrevenues.Theseexcess
revenueshavebeentransferredtotheOCCCsrenewalandreplacementfundand
will be used to make equity contributions to future expansions and capital
improvements.
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MCCORMICKPLACE,CHICAGO,IL
McCormickPlaceisownedandoperatedbytheMetropolitanPierandExposition
Authority. The governor of Illinois and the mayor of Chicago appoint the
Authoritysboardmembers.Thegovernor,withapprovalofthemayor,selectsthe
BoardChair.
The1985expansionofMcCormickPlace,whichrequired$312millioninfunding,
was financed by two sources: 1) the State increased the sales tax on soft drinks
and issued $60 million in bonds backed by the State sales tax, and 2) State tax
revenue bonds supported by a dedicated state hotel tax, which provided $252
million.
The recently completed McCormick Place expansion required $987 million in
funding that included several infrastructure improvements. The citys and the
states share of infrastructure costs totaled approximately $187 million. State
general obligation bonds were issued and provided the underlying credit for the
bonds. However, repayment of the bonds was supported by a mix of local taxes
leviedbytheAuthority, includinga hoteltax,arestauranttaxleviedon aspecial
districtwithinChicago,anairportaccessfee,andacarrentaltax.
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COXCONVENTIONCENTER,OKLAHOMACITY,OK
ThecitizensofOklahomaCityvotedtoapproveandextendaonecentsalestaxto
support a collection of public recreation, entertainment, educational and cultural
facilitiesknownasOklahomaCitysMetropolitanAreaProjects(MAPS).Afiveand
onehalf year, onecent sales tax will fund the $346million MAPS initiative. The
City upgraded and expanded its Cox Convention Center (formerly known as
Myriad Convention Center) with a new 25,000square foot ballroom, 21 new
meetingrooms,newregistrationandprefunctionareas,andarenovatedexhibit
hall.TheCityalsoconstructedanew,20,000seat,downtownarenadirectlyacross
thestreetfromtheCoxConventionCenter.
TheMAPSprogramalsoincludesanewdowntownminorleaguebaseballstadium,
arenovatedCivicCenterMusicHall,acanalintheBricktownredevelopmentarea,
asevenmiledevelopmentoftheNorthCanadianRiverincludingthreedams,State
Fairgrounds improvements, a new downtown Library Learning Center, and a
rubbertired trolley transit system. The stadium, Bricktown Canal, Myriad, State
Fairgrounds, and trolley projects are complete. The arena, music hall, and
riverfront development projects are currently under construction, with the
Library Learning Center scheduled to begin construction this year. The MAPS
program has generated additional private investment in downtown Oklahoma
City, including the recently completed Renaissance Hotel, with 311 rooms,
adjacent to the Myriad. Additional planned projects include a performing arts
theater, a restaurant, and a retail complex to be located one block east of the
Myriad in Oklahoma City's historic Bricktown entertainment and restaurant
district.
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CaseStudies
ConventionCenter
Hotels
A brief overview of financing methods and strategies used in other cities around
thecountrycanbeusefultodemonstratearangeofoptionsthathavebeenapplied
in different situations. HVS identified a number of recent projects to use as
examples. The following brief case studies illustrate financing methods that have
beenusedinothercommunitiesandthatrepresentvariousstrategiestoobtainthe
financingnecessaryfortheirrespectivefacilities.
HOUSTONCONVENTIONCENTERHOTELHOUSTON,TX
The Houston Convention Center Hotel is a 1,200 room, full service property
managedbyHiltonHotelsCorporation.Thehotelopenedin2003andconnectsto
theGeorgeR.BrownConventionCenterviaaskywalk.Thepropertyhasatotalof
91,500squarefeetofmeetingandballroomspace,a1,600spaceparkinggarage,a
fullservicerestaurant,andpianobar.
The detail of the capital structure presented below includes funds used for the
expansionoftheconventioncenter.
$326.0millioninAAAinsuredHOTandSpecialRevenueBonds,Series2001B
(fixed)
$150.0 million in AAA insured HOT and Special Revenue Adjustable Rate
Bonds,Series2001C(variable)
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AUSTINCONVENTIONCENTERHOTELAUSTIN,TX
TheAustinConventionCenterHotelisan800roomfullservicehotelmanagedby
HiltonHotelCorporation.ThepropertyopenedinJanuary2004andhouses60,000
square feet of meeting and ballroom space, a 600space underground parking
garage,twofullservicerestaurants,andalobbybar.
Theoriginalcapitalstructure,establishedin2001includesthefollowing:
$109.665millioninBaa3/BBBratedseniorlienbonds
$134.95 million in subordinate lien bonds insured AA by ZC Specialty

Insurance
$20.5millioninthirdtiersubordinatemanageranddeveloperbonds
CityContribution$15.0millioncash
12-23
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DENVERCONVENTIONCENTERHOTELDENVER,CO
TheDenverConventionCenterHotelisa1,100room,fullservice,firstclasshotel
managedbytheHyattHotelCorporation.ThepropertyopenedinDecember2005
and is adjacent to the Colorado Convention Center. The hotel contains a total of
60,000 square feet of meeting and ballroom space, a 600 space parking garage
belowthehotel,a300seatfullservicerestaurant,andalobbylounge.
TheCapitalstructureincludesthefollowing:
$354.8millioninAAAinsuredseniorliencurrentinterestbondsissuedata
TICof4.61%
$10.0millionLetterofCreditfromthehoteloperator
City Contribution The Citys contingent appropriation pledge was equal to

45%ofdebtserviceonthebonds
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BALTIMORECONVENTIONCENTERHOTELBALTIMORE,MD
TheBaltimoreConventionCenterHotelisa756roomfullservicehotelmanaged
bytheHiltonHotelCorporation.ThehotelopenedinAugust2008andconnectsto
theconventioncenterviaanenclosedpedestrianbridge.Thepropertycontainsa
totalof62,000squarefeetofmeetingandballroomspace,streetlevelretail,and
outdoorparking.
Thecapitalstructureincludesthefollowing:
$247.5 million Senior Lien Revenue Bonds insured by XL Capital Assurance

and further secured by a $25 million letter of credit provided by the Hotel
Operator.
$53.44millionSubordinateRevenueBonds.
CityContributionAnannualpledge(subjecttoappropriation)oftheHotels
property taxes (TIF payment), the prior years site specific HOT, and a debt
serviceguaranteefromcitywideHOT(upto$7millionannually).
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PHOENIXCONVENTIONCENTERHOTELPHOENIX,AZ
The Phoenix Convention Center Hotel is a 1,000room property managed by

StarwoodasaSheraton.ThehotelopenedinOctober2008andisoneblockfrom
thePhoenixConventionCenter.Thepropertyhousesatotalof81,000squarefeet
ofmeetingspace,a500spaceparkinggarage,fullservicerestaurant,andlounge.
Capitalstructureincludesthefollowing:
$156.7millionSeniorLienRevenueBonds
$164.4millionSubordinateRevenueBonds
$25.0millionTaxableRevenueBonds
City Contribution A pledge of citywide taxes to fund Subordinate and

Taxablebonddebtserviceshortfalls
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SANANTONIOCONVENTIONCENTERHOTELSANANTONIO,TX
The San Antonio Convention Center Hotel is a 1,000room, full service hotel
managed by Hyatt Hotel Corporation. The hotel opened in 2008 and is
immediately adjacent to the Henry B. Gonzales Convention Center. The property
housesatotalof81,000squarefeetofmeetingandballroomspace,afullservice
restaurant,andlounge.
Thehotelisprivatelyowned.Capitalstructureincludesthefollowing:
$77.3millioninequity
$129.9millionoftaxexemptempowermentzonebonds
$78.3millionintaxablebonds
MunicipalContribution
o
o
10yearsofStatetaxabatements
Subordinate pledge of citywide hotel occupancy taxes on a
contingent basis to fund debt service shortfalls on the taxexempt
andtaxablebonds
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DALLASCONVENTIONCENTERHOTELDALLAS,TX
TheDallasConventionCenterHotelisa1,016roomfullservicehotelmanagedby
Omni.ThehotelsprojectedopeningdateinJanuary2012,andthepropertywillbe
immediatelyadjacenttotheDallasConventionCenter.Thehotelhousesatotalof
80,000squarefeetofmeetingandballroomspace,a720carparkingstructure,full
servicerestaurant,andlounge.
Thecapitalstructureofthispubliclyownedfacilityincludesthefollowing:
$74.4millionintaxexempthotelrevenuebonds
$388.1millionoftaxablehotelrevenueBuildAmericaBonds
$17.2millionintaxablebonds
OtherPublicContribution
o
o
10yearsofStatetaxabatements
Citybackstop(subjecttoappropriation)for100%ofthetotaldebt
service
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WASHINGTONDCCONVENTIONCENTERHOTELWASHINGTONDC
The Washington DC Convention Center Hotel is a 1,167room full service hotel

managedbyMarriottasaMarriottMarquis.Theanticipatedopeningofthehotelis
in 2013. The property will house a total of 100,000 square feet of meeting and
ballroomspaceanda400carparkingstructure.
Thecapitalstructureofthispublicprivatepartnershipincludesthefollowing:
PrivatePortion
o
$256millioninseniordebt
$75millionofinvestorequity
PublicContribution
o
Purchase of land (execute 99 year ground lease with development

team)$100million(Est.)
DistrictTaxIncrementFinancing
$74millionTaxExemptRecoveryZoneFac.Bonds
$70 million taxable recovery zone economic development

bonds
$17milliontaxableBuildAmericaBonds
$47millioncontributionfromWCCA
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13. StatementofAssumptionsandLimitingConditions
1.
Thisreportistobeusedinwholeandnotinpart.
2.
All information, financial operating statements, estimates, and opinions

obtained from parties not employed by HVS are assumed to be true and
correct.Wecanassumenoliabilityresultingfrommisinformation.
3.
Unless noted, we assume that there are no encroachments, zoning

violations,orbuildingviolationsencumberingthesubjectproperty.
4.
The property is assumed to be in full compliance with all applicable

federal, state, local, and private codes, laws, consents, licenses, and
regulations (including a liquor license where appropriate), and that all
licenses, permits, certificates, franchises, and so forth can be freely
renewedortransferredtoapurchaser.
5.
Wearenotrequiredtogivetestimonyorattendanceincourtbyreasonof
thisanalysiswithoutpreviousarrangements,andonlywhenourstandard
perdiemfeesandtravelcostsarepaidpriortotheappearance.
6.
If the reader is making a fiduciary or individual investment decision and

has any questions concerning the material presented in this report, it is
recommendedthatthereadercontactus.
7.
Wetakenoresponsibilityforanyeventsorcircumstancesthattakeplace
subsequenttothedateofourreport.
8.
Thequalityofaconventionandlodgingfacility'sonsitemanagementhasa
direct effect on a property's economic performance. The demand and
financial forecasts presented in this analysis assume responsible
ownership and competent management. Any departure from this
assumption may have a significant impact on the projected operating
resultsandthevalueestimate.
9.
The impact analysis presented in this report is based upon assumptions,

estimates, and evaluations of the market conditions in the local and
nationaleconomy,whichmaybesubjecttosharprisesanddeclines.Over
the projection period considered in our analysis, wages and other
operatingexpensesmayincreaseordecreaseduetomarketvolatilityand
economic forces outside the control of the convention center and hotels
management.
13-1
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10.
Wedonotwarrantthatourestimateswillbeattained,buttheyhavebeen
developed on the basis of information obtained during the course of our
marketresearchandareintendedtoreflectreasonableexpectations.
11.
Many of the figures presented in this report were generated using

sophisticated computer models that make calculations based on numbers
carried out to three or more decimal places. In the interest of simplicity,
most numbers have been rounded. Thus, these figures may be subject to
smallroundingerrors.
12.
Itisagreedthatourliabilitytotheclientislimitedtotheamountofthefee
paidasliquidateddamages.Ourresponsibilityislimitedtotheclient,and
use of this report by third parties shall be solely at the risk of the client
and/orthirdparties.Theuseofthisreportisalsosubjecttothetermsand
conditionssetforthinourengagementletterwiththeclient.
13.
Althoughthisanalysisemploysvariousmathematicalcalculations,thefinal
estimates are subjective and may be influenced by our experience and
otherfactorsnotspecificallysetforthinthisreport.
14.
This report was prepared by HVS Convention, Sports & Entertainment

Facilities Consulting and HVS Consulting & Valuation, divisions of HVS
Global Hospitality Services. All opinions, recommendations, and
conclusions expressed during the course of this assignment are rendered
by the staff of these two organizations, as employees, rather than as
individuals.
15.
This report is set forth as a market and feasibility study of the proposed
subjectproject;thisisnotanappraisalreport.
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14.Certification
Theundersignedherebycertifythat,tothebestofourknowledgeandbelief:
1.
thestatementsoffactpresentedinthisreportaretrueandcorrect;
2.
the reported analyses, opinions, and conclusions are limited only by the
reported assumptions and limiting conditions, and are our personal,
impartial,andunbiasedprofessionalanalyses,opinions,andconclusions;
3.
we have no (or the specified) present or prospective interest in the

propertythatisthesubjectofthisreportandno(orthespecified)personal
interestwithrespecttothepartiesinvolved;
4.
we have no bias with respect to the property that is the subject of this
reportortothepartiesinvolvedwiththisassignment;
5.
ourengagementinthisassignmentwasnotcontingentupondevelopingor
reportingpredeterminedresults;
6.
our compensation for completing this assignment is not contingent upon

thedevelopingorreportingpredeterminedresultsthatfavorsthecauseof
theclient;
7.
ThomasHazinskiandJohnLancetpersonallyinspectedthesiteandmarket
described in this report; Catherine Sarrett and Christina Vetter
participatedintheanalysis,butdidnotpersonallyinspectthesite;
8.
thereportedanalyses,opinions,andconclusionsweredeveloped,andthis
reporthasbeenprepared,inconformitywiththerequirementsoftheCode
ofProfessionalEthicsandtheStandardsofProfessionalAppraisalPractice
oftheAppraisalInstitute;and
9.
the use of this report is subject to the requirements of the Appraisal

Instituterelatingtoreviewbyitsdulyauthorizedrepresentatives.
DRAFTDOCUMENT
ThomasAHazinski
ManagingDirector
Certification
14-1
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DRAFTDOCUMENT
CatherineSarrett
ProjectManager
DRAFTDOCUMENT
JohnLancet
AssociateManagingDirector
HVSConsulting&Valuation,Miami
Certification
14-2
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CompetitiveState
Venues
Competitive State Venues include convention and conference facilities in Florida

that offer exhibit, ballroom and meeting space and would compete directly with
theProposedConventionCenterforstate,regionalandnationalbusiness.Orlando
CC is not included. The following decriptions provide information on facility
programming, ownership, management, and other amenities of the Competitive
StateVenues.
BROWARDCOUNTYCONVENTIONCENTER
The Broward County Convention
Center (BRCCC) is located in Fort
Lauderdale, Florida. The facility
recently underwent a $34 million,
230,000 square foot expansion and
renovation. The facility currently
houses 200,000 square feet of
exhibition space, a 52,000 square
foot ballroom, and 46,000 square
feet of meeting space. Broward
CountyistheowneroftheBRCCCwhichismanagedbySMG.Aparkinggarageis
connected to the BRCCC via two covered walkways. The development of an
adjacentheadquarterhoteliscurrentlyintheplanningstages.
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BROWARDCOUNTYCONVENTIONCENTERFLOORPLANS
ii
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JAMESL.KNIGHTCENTER
The James L. Knight Convention
Center (JLKCC) is located in
downtown Miami, Florida. The
facilityhas28,000squarefeetof
exhibition space and is
connectedtoboththe 615room
Hyatt Regency which has an
additional 23,000 square feet of
meetingspaceandtheUniversity
of Miamis Department of
Conference
Services
&
Professional Development. Owned by the City of Miami and managed by Global
Spectrum, the center is comprised of the James L. Knight Center, the Miami
Convention Center, the Hyatt Regency Miami hotel and the University of Miami
ConferenceCenter.AdjacenttotheCenterisparkingfor1,450cars.TheCenterhas34
designatedmeetingrooms,a444seatauditorium,a117seatlecturehall,a4,600seat
theaterandcanaccommodatemanyotherconfigurationswithmoveablewalls.
JAMESL.KNIGHTCENTERFLOORPLANS
iii
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LAKELANDCENTER
The Lakeland Center (LC) is
located in Lakeland, Florida.
The facility opened in 1974 as
the Lakeland Civic Center, an
8,200seat
multipurpose
arena. In addition to the arena,
the complex currently houses
28,000squarefeetofexhibition
space, a 5,000 square foot
ballroom,31,000squarefeetof
meetingspace,anda2,300seat
performingartstheater.TheCityofLakelandistheownerandmanageroftheLC.
The127roomHyattPlacehotelislocatedadjacenttotheLC.
LAKELANDCENTERFLOORPLANS
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MANATEECIVICANDCONVENTIONCENTER
The Manatee Civic and
Convention
Center
(MANCC) opened in
Palmetto, Florida in 1985.
The facility has a total
function space of 47,400
square feet. The MANCC
includesaflexibleexhibithall
with32,400squarefeetthatcanbedividedintotwoeventareaswith16,200square
feet each. The facility also houses a conference center with seven carpeted meeting
roomsofferingatotalof15,000squarefeet.Aselfservicebusinesscenterislocated
near this block of meeting rooms. The facility has successfully attracted a significant
amount of sports and entertainment event demand. Management is also trying to
increasethenumberofconventionsandconferencesthatcometothefacility
MANATEECIVICANDCONVENTIONCENTERFLOORPLANS
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MIAMIBEACHCONVENTIONCENTER
The Miami Beach Convention Center
("MBCC") opened in 1957 and
underwenta$92millionrenovationin
1989, doubling the facility size to
647,848squarefeet.MBCCspansfour
city blocks in the heart of Miami
Beach, Florida, is a fifteen minute
driveawayfromtheairport,andafew
blocks away from many beaches.
Additionally, it is within walking
distance of over 2,000 hotel rooms.
Managed by Global Spectrum, MBCC offers 502,848 square feet of contiguous
exhibitspacedivisibleinto31roomsandhallsand72columnfreemeetingrooms
over 145,000 square feet. Adjacent to the MBCC, the 2700seat Jackie Gleason
Theaterhasbeenfullyrenovated.
MIAMIBEACHCONVENTIONCENTERFLOORPLANS
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OCEANCENTER
The Ocean Center (OC) is
located in Daytona Beach,
Florida. The facility, which
originally opened in 1985,
underwent a major expansion
and renovation in 2009. In its
current configuration, the
facilityhas168,000squarefeet
of exhibition space, an 11,700
squarefootballroom,and32,000squarefeetofmeetingspace.Thecomplexalso
houses a 9,600seat arena with an additional 42,000 square feet of flat floor
exhibition space. Volusia County is the owner and manager of the complex. An
8,300space parking garage is located across from the OC, and there is an
additional 670 spaces of surface parking. The development of an adjacent
headquarterhoteliscurrentlyintheplanningstages.
OCEANCENTERFLOORPLANS
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PALMBEACHCOUNTYCONVENTIONCENTER
The Palm Beach County Convention
Center (PBCC) is located in West
Palm Beach, Florida, approximately
six miles from Palm Beach
International. The 140,575 square
foot facility opened in 2004 at a cost
of $83 million and is operated by
Global Spectrum. The facility is
located next to CityPlace, an
entertainment complex, and the
Raymond F. Kravis Center for the
Performing Arts. The Palm Beach
County Convention Center has two
exhibit halls totaling 99,300 square feet, a ballroom totaling 21,978 square feet,
and18meetingroomswithover19,297squarefeet.
PALMBEACHCOUNTYCONVENTIONCENTERFLOORPLANS
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PRIMEOSBORNECONVENTIONCENTER
The Prime Osborn Convention
Center (POCC) is located in
Jacksonville,
Florida.
The
facility opened in 1986 and
incorporates
Jacksonvilles
Union Railroad Station with
severalthousandsquarefeetof
new structure. The facility
houses 79,000 square feet of
exhibitionspace,a10,000squarefootballroom,and24,000squarefeetofmeeting
space.TheCityofJacksonvilleistheownerofthePOCCwhichismanagedbySMG.
SMG also manages several other city facilities, including an arena, a performing
artscenter,abaseballstadium,andanequestriancenter.
PRIMEOSBORNECONVENTIONCENTERFLOORPLANS
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SARASOTABRADENTONCONVENTIONCENTER
The
Sarasota
Bradenton
Convention
Center
(SBCC) is located in
Sarasota, Florida. The facility is conveniently located adjacent to the Sarasota
BradentonInternationalairportandapproximatelyonehoursdrivefromTampa
International Airport. The facility is privately owned and operated. The SBCC
houses 93,000 square feet of exhibition space, and 5,000 square feet of meeting
space.AnonsiteHolidayInnhas135guestroomsandanadditional1,700square
footballroom.Surfaceparkingfor750vehiclesisalsoavailableonsite.
SARASOTABRADENTONCONVENTIONCENTERFLOORPLANS
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TAMPACONVENTIONCENTER
The Tampa Convention Center
(TCC) was built in 1990 on
the central west coast of
Florida. The center is located
roughly seven miles from
Tampa International Airport,
andiseasilyreachedbyseveral
major highways. Since 2002,
the City has been trying to
upgrade the facilities, mostly
through renovation projects.
The facility offers a 36,000
squarefoot ballroom that can
be separated into 4 areas, 40 meeting rooms over 42,767 square feet, with 10
overlookingthewater,and200,000squarefeetofexhibitionspacethatisdivisible
into 3 halls. The facility also has 450 parking spots with access to thousands of
spots at nearby garages. The 360room Embassy Suites Tampa Downtown
Convention Center hotel is linked via Sky Bridge and has a 3,683 square foot
ballroomandsixmeetingroomstotaling5,269squarefeet.
TAMPACONVENTIONCENTERFLOORPLANS
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CompetitiveRegional
Venues
Competitive Regional Venues include convention and conference facilities in the

southeastern US that offer exhibit, ballroom and meeting space and would
compete directly with the Proposed Convention Center for regional and national
business. The following decriptions provide information on ownership,
management,andoperationsoftheCompetitiveRegionalVenues.
BATONROUGERIVERCENTER
The Baton Rouge River Center
(BRRC) is located in the capitol
city of Baton Rouge, Louisiana.
Originally known as the Riverside
Centroplex, the complexs 10,000
seat arena was opened in the late
1970s and was renamed River
Center Arena upon completion of
the convention center addition in
2004. The arena floor can be
combined with the BRCCs new 70,000 square foot exhibit hall to create over
100,000 square feet of exhibit space. The facility also has a 26,000 square foot
ballroom, 7,000 square feet of meeting space, and a 1,900seat performing arts
theater. The BRCC is attached to the Sheraton hotel with 300 guest rooms. The
BRCCisownedtheCityofBatonRougeandmanagedbySMG.
xii
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BATONROUGERIVERCENTERFLOORPLANS
xiii
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BIRMINGHAMJEFFERSONCONVENTIONCOMPLEX
The
Birmingham
Jefferson
Convention
Complex is a sports,
convention
and
entertainment complex
located in Birmingham Alabama. In addition to the convention center, it has a
17,000seatarena,3,000seatconcerthall,and1,000seattheater.Itisattachedto
theSheratonBirminghamHotelwith838guestrooms.TheBirminghamJefferson
ConventionComplexhasa220,000squarefootexhibitionhall,divisibleintothree
sections. Adjoining the exhibition hall are 64 meeting rooms totaling 100,000
squarefeetofmeetingspace,includinga16,000squarefootballroom.
xiv
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BIRMINGHAMJEFFERSONCONVENTIONCOMPLEXFLOORPLANS
xv
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CHARLOTTECONVENTIONCENTER
The Charlotte Convention

Center(CCC)islocatedin
Charlotte, North Carolina
and opened in 1995. The
CenterisownedbytheCity
of Charlotte and operated
by the Charlotte Regional
Visitors Authority (CRVA)
which also manages three
other
arenas
and
auditoriums in Charlotte.
The facility has a total function space of 405,000 square feet which features
280,000 square feet of exhibition space, divisible by four, 46 meetings rooms
totaling90,000squarefeet,anda35,000squarefootballroom.
CHARLOTTECONVENTIONCENTERFLOORPLANS
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CHARLOTTECONVENTIONCENTERFLOORPLANS(CONT)
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VIRGINIABEACHCONVENTIONCENTER
The Virginia Beach Convention Center ("VBCC"), in Virginia Beach, VA is owned

and operated by the City. The facility sits roughly seven blocks from the Virginia
BeachOceanfrontandBoardwalk.AdjacenttotheVBCCisa292roomDoubletree
Hoteland2,230parkingspaces.In2007,thefacilityadded150,000squarefeetof
functionspace.TheVBCCnowfeaturesfourexhibithallstotaling150,012square
feet, divisible into four sections, a ballroom of 31,029 square feet, divisible into
threesections,and21 meetingroomstotaling 27,852squarefeet.Additionally,a
tower overlooking a scenic area, offers an observation deck, a VIP lounge, a
boardroomandacoffeebar.
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VIRGINIABEACHCONVENTIONCENTERFLOORPLANS
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JACKSONCONVENTIONCOMPLEX
The Jackson Convention Complex
(JCC) is located in downtown
Jackson, MS, featuring 330,000
square feet of total function space.
The complex opened in January
2009,amergerbetweentheexisting
Mississippi TelCom Center and the
newly completed Capital City
Convention Center. The facility
features two large exhibit halls with
a combined 60,000 square feet, 5 ballrooms totaling 25,000 square feet, 22,241
squarefeetin22meetingrooms,andadditionallobbyandprefunctionspace.The
venueisoperatedbySMG.
JACKSONCONVENTIONCOMPLEXFLOORPLANS
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JACKSONCONVENTIONCOMPLEXFLOORPLANS(CONT)
MOBILECONVENTIONCENTER
The Arthur Outlaw Mobile
ConventionCenter(MCC)
is located in Mobile,
Alabama,approximately17
miles from the Mobile
Regional Airport. The
facility has a 100,000
square foot exhibition hall,
a 15,500 square foot
ballroom, and 26,000
squarefeetofmeetingspace.A25,000squarefootoutdoorplazahasviewsofthe
river and downtown Mobile. It is attached to the Renaissance Riverview Plaza
hotelwith372guestrooms.TheMCCisownedtheCityofMobileandmanagedby
SMG. A 1,550space parking lot is attached the MCC via covered walkway, and
thereareanadditional286spaceslocatedbelowthefacility.
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MOBILECONVENTIONCENTERFLOORPLANS
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MYRTLEBEACHCONVENTIONCENTER
The
Myrtle
Beach
Convention
Center
(MBCC) is found in
Myrtle Beach, South
Carolina. The Center is
owned and operated by
the City of Myrtle Beach.
The facility opened in
1970 and offers 131,931
square feet of total
function space. Connected to the Center is a 402room Sheraton Hotel, the
exclusivecateringprovider.TheMBCC,whichoriginallyopenedin1970,islocatedin
downtownMyrtleBeach,approximatelythreeblocksfromtheshoreline,andsixmiles
fromtheMyrtleBeachInternationalAirport.Thefacilityhasthreecontinuousexhibit
hallstotaling100,800squarefeet.Italsohasa16,890squarefootballroom,divisible
intofivesections.Additionally,ithas17meetingroomswithatotalof14,241square
feet.TheCityisplanningtoundertakea100,000squarefootexpansionoftheMyrtle
Beach Convention Center in coming years, with $950,000 for this expansion coming
fromthefederaleconomicstimuluspackage.
MYRTLEBEACHCONVENTIONCENTERFLOORPLANS
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CHARLESTONAREACONVENTIONCENTER
The Charleston Area Convention
Center (CACC) first opened in
1999 in North Charleston, South
Carolina. The CACC includes 77,000
square feet of exhibition space, a
25,000 squarefoot ballroom that
can be divided into six sections,
twenty meeting rooms, and 3,500
parking spaces. The City of North
Charleston owns the facility while
SMG,aprivatemanagementcompany,operatesthecenter.TheattachedEmbassy
Suites headquarters hotel offers 255 fullservice guest rooms. Additionally, the
hotel leases and services the ballroom and meeting rooms at the convention
center.IncludedinthisfacilityistheNorthCharlestonColiseum,whichishometo
the South Carolina Stingrays of the East Coast Hockey League (ECHL) and the
North Charleston Lowgators of the National Basketball Development League
(NBDL).
CHARLESTONAREACONVENTIONCENTERFLOORPLANS
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SAVANNAHINTERNATIONALTRADE&CONVENTIONCENTER
TheSavannahInternationalTrade
& Convention Center (SITCC)
opened 2000 and is located in
Savannah, Georgia, overlooking
the
Savannah
River
and
Savannahs landmark Historic
District. The facility has a 97,750
square foot exhibition hall, a 25,000 square foot ballroom, 17,000 square feet of
meeting space, and a 367seat auditorium. The SITCC is attached to the Westin
Savannahhotelwith403guestrooms.Severalotherhotelpropertiesarelocatedin
theHistoricDistrict,atwominutewaterferryridefromthefacility.TheSITCCis
ownedtheCityofSavannahandmanagedbySMG.
SAVANNAHINTERNATIONALTRADE&CONVENTIONCENTERFLOORPLANS
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SHREVEPORTCONVENTIONCENTER
The
Shreveport
Convention
Center
(SCC), located in
downtown Shreveport,
Louisiana,isthesecond
largest
convention
centerinLouisiana.The
facility offers 95,000
square feet of exhibit
space which can be
divided into three
exhibit halls, an 18,000 square foot ballroom, and 12 meeting rooms comprising
18,500 square feet. The facility connects, via a covered sky bridge, to the Hilton
Shreveport, which has 313 guest rooms. The SCC is owned by the City of
ShreveportandmanagedbySMG.
SHREVEPORTCONVENTIONCENTERFLOORPLANS
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VONBRAUNCENTER
The Von Braun Center (VBC)
openedin1975andislocatedin
northeastAlabama,ashortdrive
from Huntsville International
Airport. The center is setup in
threesections:North,South,and
East. The South Hall has 81,900
square feet of exhibition space,
16,650 square feet of ballroom
space, and 2920 square feet of
meetingspace.TheNorthHallis
themainmeetingareawith11,972squarefeetofmeetingspaceonitssecondfloor
and 23,184 square feet of exhibit space on the first floor. The East Hall features
24,000 square feet of ballroom space. The VBC is a multipurpose entertainment
venueequippedtoaccommodatemajorconcerts,Broadwayperformances,ballets,
symphoniesandafullrangeofsportingevents.The10,000seatArena,2,153seat
ConcertHalland502seatPlayhouseTheatrecanalsobeusedasmeetingareasfor
conferences or seminars. The 295room Embassy Suites has more than 7,000
squarefeetofadditionalmeetingspaceandisconnectedviaskybridgetoCenter.
VONBRAUNCENTERFLOORPLANS
xxvii
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ComparableNational
Venues
ComparableNationalVenuesincludeconventionandconferencefacilitiesinstate
capitolsthatofferexhibit,ballroom,andmeetingspaceandwouldbecomparable
totheproposedconventioncenter.Thefollowingdecriptionsprovideinformation
onownership,management,andoperationsoftheComparableNationalVenues.
AUSTINCONVENTIONCENTER
The Austin Convention Center
(ACC) covers six city blocks in
downtownAustin,Texasandopened
in
1992,
replacing
Palmer
Auditorium, and most recently
expanded in 2002. The ACC has a
total of 364,439 square feet of
function space and a twolevel
parking garage with a 1,685 car
capacity. The facility features five
exhibit halls that span 246,097
square feet, 7 ballrooms totaling
63,928squarefeet,and48meetings
rooms over 54,414 square feet. The
Centerisownedandoperatedbythe
City of Austin. The 800room Austin Hilton, adjacent to the facility, offers an
additional 60,000 square feet of function space, including two ballrooms and
elevenmeetingrooms.
xxviii
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AUSTINCONVENTIONCENTERFLOORPLANS
xxix
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COLUMBIAMETROPOLITANCONVENTIONCENTER
Built in 2004, the
Columbia Metropolitan
Convention Center in
downtown Columbia, SC
offers56,980squarefeet
of total function space.
The facility includes a
24,700squarefeetexhibitionhall,3ballroomstotaling27,235sqft,and15,145sq
ftin11meetingrooms.Thereare1,480hotelroomswithinonemileoftheCenter,
including 222 hotel rooms at the adjacent Hilton Columbia Center. Though the
Convention Center parking lot has 300 spaces, and the lot across the street can
offer up to 500 spaces, the Convention Center can coordinate nearby parking for
up to 2,200 vehicles. The convention center is located nine miles from the
ColumbiaMetropolitanAirport.ThevenueismanagedbytheMidlandsAuthority
for Convention, Sports & Tourism, which includes representatives of the City of
Columbia,LexingtonCounty,andRichlandCounty.
COLUMBIAMETROPOLITANCONVENTIONCENTERFLOORPLANS
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EMPIRESTATEPLAZACONVENTIONCENTER
The Empire State Plaza Convention Center
(ESPCC)openedin1978inAlbany,NewYorkand
has 38,750 square feet of total function space and
is a part of the government complex near the
Capitalbuilding.TheCenterhas26,000squarefeet
ofmultipurposespaceandsevenmeetingroomswith
approximately 13,000 square feet. The facility is
linked to the Times Union Center via skywalk. Large
consumer shows use both the Times Union and the
ESPCC. The facility connects to The Egg, a unique
multiuse theater. The Egg is a separate part of the
ESPCC that has two meeting rooms with 10,000
squarefeetand1,500squarefeetrespectively,the982seatKittyCarlisleHartTheatre
and the 450 seat Lewis A. Sawyer Theatre. The Egg and the ESPCC are operated
separatelybytwomanagementteamsthatworkfortheStateofNewYork.
EMPIRESTATEPLAZACONVENTIONCENTERFLOORPLANS
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GREATERRICHMONDCONVENTIONCENTER
The Greater Richmond
Convention
Center
(GRCC) sits in downtown
Richmond,
Virginia,
coveringmorethanfiveand
a half city blocks. The
Greater
Richmond
Convention
Center
Authority (GRCCA) is
composed of the government entities of the City of Richmond and the Henrico,
Chesterfield and Hanover counties. The GRCCA owns the GRCC, while Global
Spectrum manages it. The GRCC offers 178,159 square feet of contiguous exhibit
space,divisibleintofourhalls.Additionally,ithasaballroomof30,550squarefeet,
divisible into three sections, and 32 meeting rooms totaling 47,027 square feet.
The facility is located approximately 10 miles from the Richmond International
Airport. Attached via skywalk to the GRCC is the Richmond Marriott with 401
guestrooms.Thefacilityhas1,540parkingspacesonsite.
xxxii
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GREATERRICHMONDCONVENTIONCENTERFLOORPLANS
xxxiii
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LANSINGCENTER
The Lansing Center, located in
centralMichigan,ismanagedby
the City of Lansings Lansing
Entertainment
&
Public
Facilities Authority. The venue
offers94,874totalsquarefeetof
function space. It has 71,760 sq
ftofexhibitspaceinthreehalls,
13,320 ballroom space divisible
into 8 separate rooms, and a
total 9,794 square feet of
meeting space in 9 rooms. Renovations and upgrades including changes to the
lighting and electrical systems, kitchen, furniture, and partition walls were
recently completed. The facility has no adjacent hotel, and its parking lot is
managed by a different department of the City government. Lansing Center is
servedbytheCapitalRegionInternationalAirport.
xxxiv
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LANSINGCENTERFLOORPLANS
xxxv
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MONONATERRACECONVENTIONCENTER
The
Monona
Terrace
Convention Center (MTCC)
is found in Madison,
Wisconsin and overlooks
Lake Monona. Renowned
architect Frank Lloyd Wright
conceived of the MTCC in
1938, though the building
was not constructed until
1997. The MTCC is jointly
ownedbytheCityofMadison
and State of Wisconsin. The
City of Madison handles day
today operations. Total development cost of the facility was estimated at $67
million. The MTCC features 38,000 square feet of exhibition space, divisible into
two halls, a 13,500 squarefoot ballroom that can be divided into four sections,
17,600squarefeetofmeetingspaceover14rooms,anda320seatlecturehall.In
addition, there is a rooftop garden that provides 45,000 square feet of function
space for events, when weather permits. The facility is attached, via skywalk, to
the 240 room Hilton Madison Monona Center and 600 parking spaces.
Construction of the $29 million hotel was mainly financed by Marcus Corp., the
hotel developer and operator, with the remaining balance of the project being
fundedby anincrementalfinancing districttax.TheHilton features fourmeeting
roomscomprising2,400squarefeetofspace.
xxxvi
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MONONATERRACECONVENTIONCENTERFLOORPLANS
xxxvii
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RALEIGHCONVENTIONCENTER
The Raleigh Convention
Center ("RCC") opened
in summer 2008 in
downtown
Raleigh.
Owned and operated by
the City of Raleigh, this
new venue replaced the
former
convention
centerwhichwasunable
to accommodate the
needsofthemeetingand
convention demand in
the city. The facility was
fundedbyahotelandpreparedmealtaxthatappliestoWakeCountyandtheCity
ofRaleigh.TheRCChasfourlevelswiththeexhibithallonthelowerlevelandthe
ballroomandmeetingroomslocatedabove.Theexhibithallisdivisibleintothree
halls that measure 45,638, 54,269, and 46,936 square feet and form one
contiguous hall at 146,840 square feet of function space. The facility has 20
meetingroomstotaling32,601squarefeetanda32,617squarefeetballroomthat
isdivisibleintothreesections,thesmallestdivisionbeing10,072squarefeet.The
RCCisconnectedtothe400roomhotelMarriotCityCenter.Thehotelhasa9,000
squarefootballroomand15,000squarefeetofmeetingspace.
xxxvii
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RALEIGHCONVENTIONCENTERFLOORPLANS
xxxix
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RALEIGHCONVENTIONCENTERFLOORPLANS(CONT)
xl
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SALEMCONFERENCECENTER
The Salem Conference
Center is located in
downtown
Salem,
Oregon, and is owned
and operated by the
City of Salem. The
Centeropenedin2005,
and was designed to
earn
LEED
certification. The facility offers 25,370 total sq. ft of function space, including
11,400 sq ft of exhibit space in 4 halls, 8,750 square feet of ballroom space in 6
divisions,and3meetingroomstotaling5,220sqft.TheadjoiningGrandHotelin
Salem has 193 hotel rooms, and two additional meeting rooms, each
accommodatingapproximately70people.
SALEMCONFERENCECENTERFLOORPLANS
xli
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PROPOSEDTALLAHASSEECONVENTIONCENTER
ANDHEADQUARTERHOTEL
FEASIBILITYSTUDY
FINALSURVEYEVENTPLANNERSREPORT
CONDUCTEDBY
OPPENHEIMRESEARCH,INC.
March31,2011
___________________________________________________________________
Attachment # 1
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HVSConventionCenterandHeadquarterHotelStudy
TABLEOFCONTENTS
EXECUTIVESUMMARY .................................................................................................................................................. 3
OVERVIEW ................................................................................................................................................................... 3
SURVEYPARTICIPANTS ................................................................................................................................................... 3
EVENTSCONDUCTEDANDPLANNED ................................................................................................................................. 3
CONFERENCEANDEVENTPREFERENCES ............................................................................................................................ 5
TALLAHASSEEASANEVENTDESTINATION .......................................................................................................................... 5
INTERNATIONAL/NATIONAL/REGIONALORGANIZATIONS .................................................................................................... 6
FINALCONSIDERATIONS ................................................................................................................................................. 7
SURVEYFINDINGS ......................................................................................................................................................... 8
RESPONDINGORGANIZATIONS ............................................................................................................................... 8
EVENTATTENDEES.................................................................................................................................................. 12
TYPESOFEVENTPLANSANDNEEDS ..................................................................................................................... 14
VENUE/CITYPREFERENCESANDHISTORY ............................................................................................................. 28
THOUGHTSONTALLAHASSEEASEVENTDESTINATION ........................................................................................ 43
EVENTREQUIREMENTSFORTALLAHASSEE ........................................................................................................... 55
METHODOLOGY ........................................................................................... ERROR! BOOKMARK NOT DEFINED.
FIELDWORKDATESFORTHISTELEPHONEFOLLOWUPSURVEYWEREFEBRUARY15TOMARCH2,2011.
INTERVIEWSLASTEDANAVERAGEOF20MINUTESANDTHECOOPERATIONRATEWAS82PERCENT............ ERROR!
BOOKMARK NOT DEFINED.
APPENDIX .................................................................................................................................................................... 67
QUESTIONNAIRE .................................................................................................................................................... 67
FINALFREQUENCIESWITHRECODEDVARIABLES ............................................................................................................... 92
SAMPLEDESIGNFOREMAILSURVEYSWITHTELEPHONEFOLLOWUP ................................................................................. 136
OppenheimResearch,1640MetropolitanCircle,Tallahassee,FL32308
Attachment # 1
Page 303 of 438
PROPOSEDTALLAHASSEECONVENTIONCENTERANDHEADQUARTERHOTEL
FEASIBILITYSTUDY
SURVEYOFEVENTPLANNERS
CONDUCTEDBY
OPPENHEIMRESEARCH,INC.
EXECUTIVESUMMARY
Overview
Thepurposeofthissurveywastogatherinformationfromprofessionaleventplannersabout
their event needs and event destination preferences. Included in the survey were questions
abouteventneeds,destinationpreferencesandimpressionsofTallahasseeasadestinationfor
conducting events. Respondents included professional event planners, executives, directors,
owners and marketing professionals conducting and planning conventions and events that
wouldtypicallyconsiderusingaconventioncentertypefacility.
Thesurveytargetedprofessionalsfromorganizationsrepresentingnational,regional,stateand
local associations, government entities, corporate and other organizations conducting or
planningevents.
A total of 220 respondents completed a web based survey or followup telephone interview.
Theywereprovidedwiththescenariothatthereisaproposedmultipurposeconventionand
eventscenterwithafullserviceshotelforTallahassee,Floridaunderconsiderationthatwould
include a multipurpose exhibition, ballroom, and meeting space. The center would support
conventionsandevents,tradeshows,meetingsandbanquets.
SurveyParticipants
Respondents overall considered themselves small organizations with nearly three quarters
havinglessthan100employees.Associationsmadeupjustoverhalfoftherespondents(56%),
10% of respondents represented government and 8% corporations. Over half of the
associationsrespondinghadlessthan1,000members,whilejustunderaquarterhadbetween
1,000and2,500members.Respondentsrepresentedawiderangeofindustrieswithnosingle
industrydominatingthegroup.Medicalandhealthindustriesaccountedforjustoverafifthof
theindustries.Otherrepresentedindustriesincludedtechnology/computers,automotive,real
estate,hospitality,legalservicesaswellasnumerousotherindustries.
EventsConductedandPlanned
Respondents provided insight into the conventions and events they typically conducted or
planned:
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Page 304 of 438
Almost all respondents interviewed conduct or plan meetings (94%) with an average
attendance of 203. Some 81% conduct or plan training workshops which an average
258 attendees. Three quarters (76%) hold conferences which have an average
attendanceof450,while62%conductorplanconventionswithexhibitswithanaverage
attendance of 905. Rounding out the top five types of events was banquets with an
averageattendanceof419.
Most organizations (86%) held between one and four events per year. These were
spreadfairlyevenlyoverthevariousgroupsizes,howeverdecidedlylessorganizations
conductedeventsexceeding2,500attendees.
Organizations drew from national/international, regional, statewide and local

attendees.
Respondents indicated varying needs for square footage, but most (59%) indicated a
needforbetween25,000and50,000squarefeet.Aquarterindicatedaneedforless
than25,000andabout16%requiredmorethan50,000squarefeet.
Forbanquetspace,40%ofrespondentsrequiredspaceforlessthan250personswhile
35%neededspacetoaccommodatebetween250and500persons.
Whenconsideringthenumberofbreakoutroomsneeded,45%ofrespondentsrequired
lessthanfiverooms,while35%neededfromfivetoninerooms.
On average respondents indicated that their conventions and events typically were 3
days in length with one movein day and one moveout day. This would indicate a
typicalstayoffourhotelnightsonaverage.
Onaveragerespondentsindicatedthattheytypicallywouldrequireaminimumblockof
273roomsforaneventbutwouldpreferablockof317roomsonaverage.
The average maximum room rate was estimated at $142 per night while the average
preferredroomratewouldbe$110.
Mostorganizations(66%)estimatedthenumberofattendeestobelessthan500,while
17%indicatedbetween500and1000attendees.
Asmallmajority(54%)expectedanincreaseinattendeesinthenextfiveyears,while
40% indicated attendance would remain the same. Only 6% forecast a decrease in
eventattendance.
Attachment # 1
Page 305 of 438
ConferenceandEventPreferences
Respondents were asked a number of questions to determine their preferences for holding
conferencesandevents.
Intermsoflocation,respondentsindicated47%ofthetimethatthelocationpreference
was for a resort location, followed by 35% indicating a preference for a downtown
location.Only10%preferredasuburbanlocation.
RespondentsreactedtoalistofFloridacitiesintermsofhowattractivetheywereasan
eventlocation.TheyratedOrlando(4.1),Tampa(3.6),andFt.Lauderdale(3.1)asthe
mostdesirableonascaleofonetofive.
TheywerealsoprovidedalistofcitiesoutsideofFlorida.Noneofthecitiesoutsideof
Florida were rated above 1.7 on the 5 point scale, and respectively were not rated
higherthanTallahassee(2.3)
Respondentswereaskedabouttheimportanceofholdingtheirconventionsandevents
at a fullservice headquarters hotel connected to the convention center. This feature
was rated very important 58% of the time and somewhat important 25% of the
time.
TallahasseeasanEventDestination
RespondentswerequeriediftheyhadheldanyeventsinTallahasseeinthelastthreeyears.
Some45%indicatedthattheyhad,while55%hadnot.Ofthosewhohadheldeventsin
Tallahassee, 34% had held events in a hotel, while 14% held events in offices or
governmentfacilities.ConferenceCenters/university/collegefacilitieswereutilized12%
ofthetimewhileotherlocationcomprised25%ofresponses.
OfthoserespondentsindicatingtheyhadnotheldeventsinTallahassee,27%indicated
it was due to the location being too far or not centrally located enough. Some 24%
indicated there was a lack of facilities and 9% listed lack of suitable air travel as a
reason.Inthesecondaryreasonsprovided,thelackofsuitableairtravelaccountedfor
42%ofresponses,followedbylackoffacilities(17%)andlocation(13%).
When asked about their knowledge of Tallahassee, respondents indicated they were
veryknowledgeableaboutTallahassee36%ofthetimeandsomewhatknowledgeable
36%ofthetime.Respondentsindicatedtheywerenotveryknowledgeable13%ofthe
timeandindicatedhavingnoknowledgeatall14%ofthetime.
Attachment # 1
Page 306 of 438
Respondents were asked to rate Tallahassee relative to other cities and overall
respondents gave Tallahassee an overall rating of 2.5 on a five point scale. The
respondents gave the city more positive marks for categories like dining and
entertainment(2.5),recreation,tourismandculture(2.5),safety(3.4),andcleanliness
3.4).Lowermarksweregivenforavailablemeetingspace(2.1)andtravel(1.5).
Whenposedwiththequestionofwhetherrespondentshadwantedtohaveeventsin
Tallahassee but were unable to due so due to the lack of a convention center, 35%
indicated that this was the case. Similarly, respondents had not been able to plan
eventsinTallahasseeduetothelackofhotelrooms34%ofthetime.
Respondentswerethenaskedhowlikelytheywouldbetohaveconventionsandevents
inTallahasseeiftherewasaconventioncenterattachedtoafullservicebrandedhotel.
Some26%ofrespondentsindicatedtheywouldbeverylikelyand31%indicatedthey
wouldbesomewhatlikely.
WhenaskedaboutthefrequencyofeventstheywouldholdinTallahasseeiftherewasa
conventioncenter,respondentsindicatedmorethanonceayear14%ofthetimeand
onceayear28%ofthetime,while6%indicatedtheywoulddosoeverytwoyears.A
quarterindicatedtheywouldneverholdeventsinTallahassee.
When asked if their organization did have an event in Tallahassee what form of
transportation they would use, 60% indicated they would travel by car and 35%
indicatedtheywouldtravelbyplane.
InconsideringTallahasseesstrengthsasalocationtoholdevents,49%ofrespondents
cited the benefits of being in the capital city with state government offices located
there.Otherstrengthsnotedwerethecityscharacter,beauty,easeofgettingaround
andtheoveralllocalatmosphere.
Weaknesses pointed out focused on the lack of suitable air travel cited by 41% of
respondents and the location or lack of central location of the city (15%). Other
weaknessesmentionedincludedthelackofhotels,lackofmeetingcenterorconference
center,lackofattractions,andthelackofbeachorresort.
International/National/RegionalOrganizations
Whenlookingatorganizationsdrawingfrominternational,nationalandregionalattendees(56
out of 220 organizations interviewed) they reported having slightly more conventions with
exhibits, tradeshows and entertainment events. They were also more likely to report higher
numbersofattendeesformostevents.
Attachment # 1
Page 307 of 438
The majority (71%) had not held an event in Tallahassee in the last three years and most of
them expressed that it was not because of a lack of adequate convention and event center
space(86%)orlackofavailableorconvenientlylocatedhotelrooms(82%).Whilehalfofthem
preferaresortarea,39%reportedtheypreferadowntownlocationfortheirevents.
About 13% expressed that they would be very likely and 25% would be somewhat likely
consideringTallahasseefor theirconvention or events if Tallahassee had aconvention center
attachedtoafullservicebrandedhotel.Theywerealsomuchmorelikelytosaythatitisvery
importantforthemtohaveafullserviceheadquarterhotelconnectedtoaconventioncenter
(73%versus58%overall)fortheirevents.
Amajoritywouldtravelbyplane(57%),andasfarasmoveindaysareconcernedtheywould
requiretwodayscomparedtoonedayforthesampleoverall.Theyalsorequiremorerooms
(preferrednumberofrooms373onaveragecomparedto317forthesampleoverall)andtheir
preferred and maximum hotel room rates were slightly higher than the sample overall
(preferredroomrate$121comparedto$110forthesampleoverall).
FinalConsiderations
Tallahasseehasmanypositivethingstooffer.Itsabeautifulcitywithminortraffic,goodplaces
to eat and be entertained, a center of government activity, and it is affordable compared to
otherlargercities.Fromthestandpointofbeingadestinationforconventionsandevents,it
has a number of challenges to overcome to attract those organizations that conduct or plan
meetingsorevents.Someofthechallengesarethingsthatcanbechanged,whileothersare
stationary. The survey shows that for some organizations, if Tallahassee had a conference
centerattachedtoafullservicehotel,theywouldbelikelytobringeventstoTallahasseethat
theycurrentlyareplanningelsewhere.
Travelpresentsanotherbarrier,butwithincreaseddemandtherewouldlikelybeanincreasein
air travel options coming to and from Tallahassee. The fact that Tallahassee is not located
centraltolargepopulationswithinthestateisastationarychallenge,asisthelackofaresortor
beach.
Attachment # 1
Page 308 of 438
SURVEYFINDINGS
RESPONDINGORGANIZATIONS
Respondentswereaskedtoclassifytheorganizationtheyrepresented.Justoverhalf(56%)of
respondentsidentifiedthemselvesasrepresentinganassociation.Otherrepresented11%of
respondents,whilegovernmentrepresented10%ofrespondentsandcorporations about8%.
A collective group comprised of social, military, education, religious and fraternal groups
(SMERF)madeup9%ofrespondents.
SurveyQuestion6:Howwouldyouclassifytheorganizationyourepresent?
UnweightedBase
Association
Corporate
Entertainment
Government
ExhibitionCompany
Other
Nonprofit
SMERF
Total
220
124
56%
17
8%
2
1%
21
10%
1
0%
25
11%
10
5%
20
9%
Attachment # 1
Page 309 of 438
For those respondents identified as associations, almost half (40%) indicated that their
associationhadlessthan500members,14%had500to999members,22%had1,000to2,499
members. Associations with over 2,500 numbered 31 or 23% and of those 9% had 2,500 to
4,999,7or5%indicatedthattheirmembershipnumbersbetween5,000to9,999and12or9%
indicatedtheirmembershipasgreaterthan10,000members.
Surveyquestion7:HowmanymembersdoesyourAssociationhave?
AverageNumberofMembers
Base
Howmanymembers?
Total
134
2872
Attachment # 1
Page 310 of 438
Forthoserespondentsrepresentingorganizationsotherthanassociations,theyrepresenteda
widerangeofindustries.Whileoverathirdwereidentifiedasother,themedicalandhealth
industriesmadeup21%ofthegroup.Bothrealestateandlaw/juvenileorjustice/courtseach
represented5%ofrespondents.Allotherindustriesrepresentedwerebelow5%.
Surveyquestion8:Whatindustriesdoesyourorganizationrepresent?
UnweightedBase
Technology/Computer
Medical
Health
Pharmaceutical
Automotive
Aeronautical/Space
Fire
Realestate
Financial
Insurance
Law/JuvenileJustice/Courts
Culinary/Hotel/Restaurant/Hospitality
Sports
Other
Arts/Entertainment
Total
219
9
3%
34
11%
33
10%
5
2%
5
2%
9
3%
6
2%
4
1%
17
5%
10
3%
8
3%
16
5%
5
2%
10
3%
113
36%
1
10
Attachment # 1
Page 311 of 438
Construction
Education
Environmental
Information
Leisure/Recreation
Manufacturing
Retail
Trade/Transportation/Utilities
Tourism
0%
4
1%
8
3%
0
0%
3
1%
3
1%
2
1%
2
1%
4
1%
4
1%
Overall, the respondents identified their organizations as small in terms of employment with
most(74%)indicatingtheyemployedbetween1and99employees.Twentytworespondents
or10%indicatedtheyweremediuminsize(100to249employees),while35or16%werelarge
organizationswithgreaterthan250employees.
Surveyquestion9:Wouldyousayyourorganizationis:
UnweightedBase
Small(199employees)
Medium(100249employees)
Large(250+employees)
Total
220
163
74%
22
10%
35
16%
11
Attachment # 1
Page 312 of 438
EVENTATTENDEES
Whenconsideringtheoriginofattendeesateventsplannedorconductedbytheorganizations,
over a third (39%) indicated that the events were statewide, while 22% had local attendees.
Some20%indicatedthattheireventswereregionaland19%indicatedthattheydrewnational
or international attendees. Note that for this question, respondents were able to answer
multipleorigins,andthetotalsreflecteventsthatdrewagroupfrommorethanoneorigin.
SurveyQuestion10:Whichcategoriesbestdescribetheoriginofattendeesfor
theconventionsandeventsyouconductorplan?
CHECKALLTHATAPPLY
UnweightedBase
National/International
Regional(multistate)
Statewide
Local
Total
220
69
19%
72
20%
144
39%
81
22%
Responsesdonotaddto100%becausemultipleresponseswereallowed.
12
Attachment # 1
Page 313 of 438
WhenaskedaboutthemethodoftraveltoTallahasseeiftheirorganizationwouldhavealocal
conventionorevent,themajority(60%)indicatedtheirattendeeswouldtravelbycartogetto
Tallahassee. Just over a third (35%) would use plane travel to get to Tallahassee, and the
remaining5%wouldusebusoranalternateformoftransportation.
Surveyquestion40:Ifyourorganizationheldaconventionoreventin
Tallahassee,howwouldthemajorityofyourattendeestraveltoTallahassee?
UnweightedBase
Plane
Car
Bus
Other
Total
220
77
35%
131
60%
5
2%
7
3%
13
Attachment # 1
Page 314 of 438
TYPESOFEVENTPLANSANDNEEDS
The survey began by asking respondents about the types of events they conduct or plan.
Respondsthatdidnotconductorplananyoftheeventslistedwereeliminatedfrominclusion
inthesurvey.Thetypesofeventswerevariedandorganizationswerepronetoconductorplan
multiple types of events. Nearly all (94%) of the organizations had meetings, 81% identified
Training/Workshops, 76% conducted or planned conferences, 62% had conventions with
exhibits,and50%identifiedbanquets.Othereventsincludedtradeshowsclosedtothepublic
(26%), consumer shows open to the public (11%), sports competitions and events (10%) and
entertainmentshowsorevents(10%).
Surveyquestion2:Doesyourorganizationconductorplanforanyofthe
followingevents:
Meetings
Training/Workshops
Conferences
Banquets
Total Yes No
220 137
83
100% 62% 38%
220
92 128
100% 42% 58%
220 206
14
100% 94%
6%
220 178
42
100% 81% 19%
220 168
52
100% 76% 24%
220 110 110
100% 50% 50%
220
58 162
100% 26% 74%
220
25 195
100% 11% 89%
220
21 199
100% 10% 90%
220
23 197
100% 10% 90%
14
Attachment # 1
Page 315 of 438
15
Attachment # 1
Page 316 of 438
Respondents were then asked about the number of events they conducted or planned in a
typicalyearandthenumberofattendeestheyanticipated.SportCompetitionhadthehighest
average number of events, which is expected as it related to team schedules. The second
highest average number of events was from meetings with an annualaverage of9 meetings,
followedbyanaverageof8fortrainingsandworkshops.Allothertypeeventsaveragedeither
3or4eventsperyear.
SurveyQuestion3:Howmanyofthefollowingeventsdoesyourorganization
conductorplaninatypicalyear?
AverageNumberofEvents
Base
Meetings
Training/Workshops
Conferences
Banquets
Total
206
4
4
9
8
3
4
3
3
14
4
16
Attachment # 1
Page 317 of 438
Respondentswerethenaskedaboutthenumberofattendeesbytypeofevent.Eventsthatare
typicallyattendedbythepublichadthehighestaverageattendance.Ofthose,generallynon
publiceventstradeshowshadthehighestaverageattendanceat969,followedbyconventions
withexhibitsat905.Conventionswithoutexhibitshadthenexthighestaverageattendanceat
476,followedbyconferencesat450andbanquetsat419.
SurveyQuestion4:Howmanyattendees,delegatesorparticipantstypically
attendthefollowingevents?
AverageNumberofAttendees
Base
Meetings
Training/Workshops
Conferences
Banquets
Total
206
905
476
203
258
450
419
969
3360
2515
3628
17
Attachment # 1
Page 318 of 438
Toprovidefurtherinsightintothenumberofeventsandattendanceatthoseevents,responses
werefurtherbrokendownbyeventtype.
Forconventionswithexhibits,thevastmajorityofrespondents(86%)indicatedtheyconducted
orplannedbetween1and4eventsinatypicalyear.Forthistypeandfrequencyofevent,the
numberofattendeesvaried,withaquarter(27%)indicatinglessthan250attendeesand26%
indicatedbetween250and499attendees.Conventionswith500to999attendeesaccounted
for 21% and those with 1,000 to 2,499 attendees made up 19%. About 6% of conventions
expectedgreaterthan2,500attendees.
Question3:BreakdownforConventionswithexhibitsbyNumberofEvents
planned
NumberofEvents
UnweightedBase
NumberofAttendees
1,000
Total
1249 250499 500999 2,499 2,500+
137
35
34
32
27
8
14
118
86%
59
8
6%
1019
5
4%
20+
6
4%
32
91%
27%
2
6%
25%
1
3%
20%
0
0%
0%
31
91%
26%
3
9%
38%
0
0%
0%
0
0%
0%
25
78%
21%
2
6%
25%
2
6%
40%
3
9%
50%
22
81%
19%
1
4%
13%
1
4%
20%
3
11%
50%
7
88%
6%
0
0%
0%
1
13%
20%
0
0%
0%
18
Attachment # 1
Page 319 of 438
ForConventionswithoutexhibits,thenumberofeventsconductedorplannedwasverysimilar
toconventionswithexhibitswith82%ofrespondentsplanningorconducting1to4eventsper
year. Attendance for this type and frequency of convention was much smaller in scale with
44%indicatingbetween100and249attendeesandaquarter(25%)indicatingattendanceof
250 to 499. Some 9% of respondents indicated attendance of less than 100 while just 8%
indicatedfrom500to999.Some11%indicatedaconferencewith1,000ormoreattendees.
Question3:BreakdownforConventionswithoutexhibitsbyNumberofEvents
Planned
NumberofEvents
Unweighted Base
1-4
NumberofAttendees
100250500Total
1- 99
249
499
999 1,000+
92
13
35
24
7
11
75
82%
5-9
6
7%
10-19
5
5%
20+
6
7%
7
54%
9%
2
15%
33%
2
15%
40%
2
15%
33%
33
94%
44%
2
6%
33%
0
0%
0%
0
0%
0%
19
79%
25%
2
8%
33%
2
8%
40%
1
4%
17%
6
86%
8%
0
0%
0%
0
0%
0%
1
14%
17%
8
73%
11%
0
0%
0%
1
9%
20%
2
18%
33%
19
Attachment # 1
Page 320 of 438
ForConferences,alargemajority(86%)ofrespondentsindicatedtheywouldconductorplan
between 1 and 4 conferences within a one year period. For conference attendance at this
frequency31%indicatedtheywouldhaveattendancebetween100and249,followedby23%
indicatingattendanceoflessthan100.Some22%indicatedattendancebetween250and499,
while12%indicatedbetween500and999.About10%indicatedattendanceof1,000ormore.
Question3:BreakdownforConferencesbyNumberofAttendees
NumberofEvents
Unweighted Base
1-4
NumberofAttendees
Total
1- 99 100-249 250-499 500-999 1,000+
167
40
50
36
21
19
143
86%
5-9
11
7%
10-19
6
4%
20+
7
4%
33
83%
23%
3
8%
27%
2
5%
33%
2
5%
29%
45
90%
31%
5
10%
45%
0
0%
0%
0
0%
0%
32
89%
22%
1
3%
9%
1
3%
17%
2
6%
29%
17
81%
12%
2
10%
18%
0
0%
0%
2
10%
29%
15
79%
10%
0
0%
0%
3
16%
50%
1
5%
14%
20
Attachment # 1
Page 321 of 438
For banquets, a majority of respondents (74%) indicated they would conduct or plan 1 to 4
events.Respondentsatthisfrequencyindicated31%forattendanceoflessthan100,followed
by 25% indicating attendance of 100 to 249. Slightly more than a quarter (27%) indicated
attendanceof250to499,while10%indicatedattendanceof500to999.About6%indicated
attendanceof1,000orgreater.
Question3:BreakdownforBanquetsbyNumberofAttendees
NumberofEvents
UnweightedBase
14
59
1019
20+
NumberofAttendees
100 250 500 1,00
Total 199 249 499 999 0+
110 30 29 27 13
9
81 25
74% 83%
31%
18
3
16% 10%
17%
6
1
5% 3%
17%
5
1
5% 3%
20%
20
69%
25%
6
21%
33%
2
7%
33%
1
3%
20%
22
81%
27%
4
15%
22%
1
4%
17%
0
0%
0%
8
62%
10%
3
23%
17%
1
8%
17%
1
8%
20%
5
56%
6%
1
11%
6%
1
11%
17%
2
22%
40%
21
Attachment # 1
Page 322 of 438
For tradeshows, the vast majority of respondents (88%) estimated the number of events
conductedorplannedannuallybetween1and4.Amajorityofthoseplanning1to4events
(63%)indicatedattendanceoflessthan500,followedby12%indicatingattendanceof500to
999. Some 14% indicated attendance between 1,000 and 2,499, while about 10% estimated
attendanceat2,500orgreater.
Question3:BreakdownforTradeshowsbyNumberofAttendees
NumberofEvents
Unweighted Base
1-4
Total
58
51
88%
5-9
2
3%
10-19
2
3%
20+
3
5%
NumberofAttendees
1,0001- 499
500-999
2,499
34
10
8
32
94%
63%
0
0%
0%
1
3%
50%
1
3%
33%
6
60%
12%
2
20%
100%
1
10%
50%
1
10%
33%
7
88%
14%
0
0%
0%
0
0%
0%
1
13%
33%
2,500+
5
5
100%
10%
0
0%
0%
0
0%
0%
0
0%
0%
22
Attachment # 1
Page 323 of 438
Formeetings,amajority(67%)ofrespondentsindicatedconductingorplanning1to9events
annually.Nearlyaquarter(24%)indicatedtheywouldhave10to24meetingsannually,while
8% indicated they would conduct or plan 25 or more meetings. For the majority of the
meetings (ranging between 1 to 9 meetings annually), some 42% of respondents indicated
attendanceoflessthan50,whilejustoveraquarter(27%)indicatedattendancebetween51
and99.Afifth(20%)estimatedattendancebetween100and249and4%indicatedattendance
between250and499.About6%indicatedattendanceof500ormore.
Question3:BreakdownforMeetingsbyNumberofAttendees
NumberofEvents
UnweightedBase
NumberofAttendees
Less
Total
than50 5199 100249250499 500+
206
84
55
39
13
15
19
139
67%
1024
50
24%
2549
10
5%
50+
7
3%
59
70%
42%
21
25%
42%
4
5%
40%
0
0%
0%
38
69%
27%
10
18%
20%
4
7%
40%
3
5%
43%
28
72%
20%
9
23%
18%
0
0%
0%
2
5%
29%
6
46%
4%
3
23%
6%
2
15%
20%
2
15%
29%
8
53%
6%
7
47%
14%
0
0%
0%
0
0%
0%
23
Attachment # 1
Page 324 of 438
Fortraining,amajorityofrespondents(73%)indicatedtheywouldconductorplan19events
annually,20%indicatedtheywouldhave10to24eventsannuallyand7%indicatedtheywould
conductorplan25ormoretrainingsorworkshops.Ofthoseconducting1to9meetings,just
overathird(39%)estimatedattendanceateventsat50orless,while35%indicatedattendance
between 50 and 99. Some 18% indicated attendance between 100 and 249, while just 2%
indicatedattendancebetween250and499.About5%estimatedattendanceof500ormore.
Question3:BreakdownforTraining/WorkshopsbyNumberofAttendees
NumberofEvents
Unweighted Base
NumberofAttendees
Total
1- 49 50-99 100-249 250-499 500+
178
64
64
30
7
12
1-9
130
73%
10-24
36
20%
25-49
7
4%
50+
5
3%
51
80%
39%
8
13%
22%
3
5%
43%
2
3%
40%
45
70%
35%
15
23%
42%
3
5%
43%
1
2%
20%
23
77%
18%
6
20%
17%
0
0%
0%
1
3%
20%
3
43%
2%
3
43%
8%
0
0%
0%
1
14%
20%
7
58%
5%
4
33%
11%
1
8%
14%
0
0%
0%
24
Attachment # 1
Page 325 of 438
Forconsumershows,respondentsindicated88%ofthetimethattheywouldconductorplan1
to 4 events annually, while 13% indicated they would hold 5 or more consumer shows. A
majority of those holding 1 to 4 consumer shows (57%) indicated that attendance at those
eventswouldbelessthan500,whilejust5%estimatedattendanceat500to999.Some14%
respectivelyindicatedattendanceof1,000to2,499andattendanceof2,500ormore.
Question3:BreakoutforConsumerShowsbyNumberofAttendees
NumberofEvents
Unweighted Base
NumberofAttendees
1,000Total
1- 499 500-999 2,499
2,500+
12
1
4
4
24
1-4
21
88%
5+
3
13%
12
100%
57%
0
0%
0%
1
100%
5%
0
0%
0%
3
75%
14%
1
25%
33%
3
75%
14%
1
25%
33%
25
Attachment # 1
Page 326 of 438
Forsportingevents,respondentsindicated57%ofthetimethattheywouldconductorplan1
to 4 events annually, while 5% indicated they would hold 5 to 9, 19% would hold 10 to 19
eventsand19%wouldhold20ormoresportingevents.Halfofthoseholding1to4sporting
events(50%)indicatedthatattendanceatthoseeventswouldbelessthan500,whileaquarter
25% estimated attendance at 500 to 999. Some 17% indicated attendance of 1,000 to 2,499
and8%estimatedattendanceof2,500ormore.
Question3:BreakoutforSportsbyNumberofAttendees
NumberofEvents
Unweighted Base
NumberofAttendees
1,000Total
1- 499 500-999 2,499
2,500+
9
3
6
3
21
1-4
12
57%
5-9
1
5%
10-19
4
19%
20+
4
19%
6
67%
50%
0
0%
0%
1
11%
25%
2
22%
50%
3
100%
25%
0
0%
0%
0
0%
0%
0
0%
0%
2
33%
17%
1
17%
100%
2
33%
50%
1
17%
25%
1
33%
8%
0
0%
0%
1
33%
25%
1
33%
25%
26
Attachment # 1
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Forentertainmentevents,respondentsindicated83%ofthetimethattheywouldconductor
plan1to4eventsannually,while4%indicatedtheywouldhold5to9,9%wouldhold10to19
eventsand4%wouldhold20ormoreentertainmentevents.While42%ofthoseholding1to4
entertainment events (83%) indicated that attendance at those events would be 500 or less,
21%respectivelyestimatedattendanceat500to999and1,000to2,499.About16%estimated
attendanceof2,500ormore.
Question3:BreakoutforEntertainmentShowsbyNumberofAttendees
NumberofEvents
Unweighted Base
Total
23
1-4
19
83%
5-9
1
4%
10-19
2
9%
20+
1
4%
NumberofAttendees
1,0001- 499
500-999
2,499
2,500+
8
5
7
3
8
100%
42%
0
0%
0%
0
0%
0%
0
0%
0%
4
80%
21%
0
0%
0%
0
0%
0%
1
20%
100%
4
57%
21%
1
14%
100%
2
29%
100%
0
0%
0%
3
100%
16%
0
0%
0%
0
0%
0%
0
0%
0%
27
Attachment # 1
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VENUE/CITYPREFERENCESANDHISTORY
When considering the type of location that the respondents organizations preferred to plan
theirconventionsandeventsat,nearlyhalf(47%)indicatedapreferenceforaresortarea.The
second most frequently cited location preference was for a downtown area with 35% of
respondents indicating that preference. Preference for a suburban area was cited by 10% of
respondentsandjust7%indicatedapreferenceforanairportlocation.
Surveyquestion11:Whattypeoflocationdoyoupreferforyourconventions
andevents?
CHECKONLYONEANSWER
UnweightedBase
ResortArea
Suburban
Downtown
Airport
Total
220
104
47%
23
10%
78
35%
15
7%
28
Attachment # 1
Page 329 of 438
When indicating the importance of having a fullservice headquarters hotel connected to the
convention center where their event would be held, 58% indicated that this was a very
important featureand a quarter(25%) described this feature as somewhat important. Some
17%indicateditwaseithernotveryimportantornotimportantatall.
SurveyQuestion31:Howimportantisitthatyouhaveafullserviceheadquarters
hotelconnectedtotheconventioncenterwhereyouwouldmostlikelyholdyour
conventionorevent?
UnweightedBase
Veryimportant
SomewhatImportant
Notveryimportant
Notimportantatall
Total
220
127
58%
55
25%
18
8%
20
9%
29
Attachment # 1
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RespondentswereaskedtorateTallahasseeinrelationtoothercitieswheretherespondents
hadorwereplanningonholdingevents.BasedonthelistedcriteriaTallahasseehadanoverall
rating of 3 on a scale of 1 to 5 with 5 being the highest. The responses were somewhat
positiveforthefollowingareas:
DiningandEntertainmentOptions(2.5)
Recreation,Tourism&CulturalActivities(2.5)
Overalllevelofdestinationappeal(2.5)
Priceofhotelrooms(2.5)
Safety(3.4)
Cleanliness(3.4)
Areasreceivinglowmarksfocusedontheavailabilityofairtravel(1.5),theavailabilityofexhibit
space(1.7),andavailabilityofmeetingspace(2.1).
Surveyquestion33:PleaserateTallahasseeonthefollowingcriteriaasalocation
foryourconventionoreventsrelativetoothercitiesinwhichyouhaveheldor
mayholdconventionsorevents.
Base
AvailabilityofExhibitSpace
AvailabilityofMeetingSpace
AvailabilityofBanquetSpace
PriceofMeetingFacilityRentals
AvailabilityofHotelRooms
PriceofHotelRooms
Qualityofhotelrooms
AvailabilityofAirTravel
ConvenienceforDriveInVisitors
Dining&EntertainmentOptions
Recreation,Tourism&CulturalActivities
Safety
Cleanliness
AbilitytoAttractAttendees
OverallLevelofDestinationAppeal
Total
220
1.7
2.1
2.2
2.2
2.3
2.5
2.4
1.5
2.2
2.5
2.5
3.4
3.4
2.4
2.5
30
Attachment # 1
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Whenaskedtorateaselectionof12Floridacitieswithregardstotheoverallattractivenessasa
locationfortheirconventionoreventonascaleof1to5with5beingthehighestOrlando
andTampawerethemosthighlyratedinthegroupat4.1and3.6respectively.Therewerefive
othercitiesthatwereratedbetterthan2.5(DaytonaBeach,FortLauderdale,WestPalmBeach,
JacksonvilleandMiami).Tallahasseewasratedat2.3andwasincludedinthebottomfivecities
thatallreceivedaratingbelow2.5.
Surveyquestion34:Pleaseratetheoverallattractivenesstothebestofyour
abilitiesforthefollowingFloridacitiesasalocationforyourconventionor
event(s).
Base
Jacksonville
Lakeland
Miami
Tampa
Orlando
Tallahassee
DaytonaBeach
FortLauderdale
FortMyers
Sarasota/Palmetto
St.Augustine
WestPalmBeach
Total
220
2.8
1.8
2.9
3.6
4.1
2.3
2.6
3.1
2.5
2.2
2.5
2.9
31
Attachment # 1
Page 332 of 438
RespondentswerethenaskedaboutothercitiesoutsideofFlorida.Noneofthecitiesonthe
listratedhigherthana1.7,meaningnoneofthecitieswereratedhigherthanTallahassee.
Surveyquestion35:Pleaseratetheoverallattractivenesstothebestofyour
abilitiesforthefollowingothercitiesasalocationforyourconventionorevent(s)
Base
Raleigh,NC
Mobile,AL
MyrtleBeach,SC
Birmingham,AL
Charlotte,NC
Richmond,VA
Huntsville,AL
Savannah,GA
BatonRouge,LA
Shreveport,LA
Jackson,MS
VirginiaBeach,VA
Charleston,SC
Total
220
1.3
1.1
1.5
1.2
1.5
1.3
1.0
1.7
1.1
1.0
.9
.8
1.7
32
Attachment # 1
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Respondentswerealsoaskedwhatothervenuestheyhadusedforuptothreeothercities.For
thisquestionweusedthefirsttworesponsesfortheanalysisandcombinedthecitieswhere
most of them said they had held events. The eight most frequently mentioned cities were
Orlando,Tampa,Tallahassee,Jacksonville,PalmBeach,Atlanta,Ft.LauderdaleandMiami.
TheRosenCenterHotelwasmostfrequentlymentionedforOrlando,followedbytheHilton,
buttherewasnoclearpreferenceamongmanyothervenuesnamedforanyofthecitieswhere
theyhadheldevents.
Thefollowingtablesrepresentthefirstandsecondmentionsofothercityusedforeventsand
thefacilitiesnamed.
OtherEventCity1andCity2
UnweightedBase
Orlando
Tampa
Tallahassee
Jacksonville
PalmBeach
Atlanta
Ft.Lauderdale
Miami
DK/NA
St.Pete
Clearwater
Naples
Destin
DaytonaBeach
Ocala
Gainesville
214
TotalCity1
192
TotalCity2
63
29%
19
9%
18
8%
13
6%
8
4%
9
4%
3
1%
4
2%
2
1%
6
3%
2
1%
5
2%
2
1%
1
0%
2
1%
3
1%
49
26%
15
8%
10
5%
9
5%
7
4%
3
2%
7
4%
6
3%
7
4%
3
2%
6
3%
3
2%
5
3%
5
3%
3
2%
2
1%
406
Combined
112
34
28
22
15
12
10
10
9
9
8
8
7
6
5
5
33
Attachment # 1
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Sarasota
Savannah
PC
MarcoIsland
LasVegas
Lakeland
NewOrleans
St.Louis,MO
CocoaBeach
Birmingham
Charleston
SanDiego
Chicago
VirginiaBeach
Pensacola
BocaRaton
AmeliaIsland
Alexandria,VA
HoweyintheHills
Ft.Myers
Ashville
Weston
HutchinsonIsland
Nashville
Tucson
NY
4
2%
2
1%
3
1%
1
0%
2
1%
2
1%
2
1%
1
0%
1
0%
1
0%
0
0%
0
0%
2
1%
2
1%
0
0%
0
0%
1
0%
1
0%
1
0%
1
0%
1
0%
1
0%
1
0%
1
0%
1
0%
1
0%
1
1%
2
1%
1
1%
2
1%
1
1%
1
1%
1
1%
1
1%
1
1%
1
1%
1
1%
1
1%
0
0%
0
0%
1
1%
1
1%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
5
4
4
3
3
3
3
2
2
2
2
2
2
2
1
1
1
1
1
1
1
1
1
1
1
1
34
Attachment # 1
Page 335 of 438
AmeliaIsland
Melbourne
Other
1
0%
1
0%
19
9%
0
0%
0
0%
36
19%
1
1
55
35
Attachment # 1
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FirstMentionofOtherFacilitieswithinCities
Q16Property
DoubletreeSeaWorldIDrive
Doubletree(2)
DoubletreebyHilton
HyattRegencyGrandCypress(2)
HyattOrlandoAirport
HyattRegency
Marriott(airport)
Hilton(4)
HiltonDisney
RosenPlaza(2)
RosenCenterHotel(8)
RenaissanceHotelattheAirport
FourSeasonsResort
CentralFloridaFairgrounds
BestWestern
ChampionsGate
SeaWorld
CaribeRoyaleResort
TheHotel
BuenaVistaPlace
Orlando
FLChildren'sServiceCouncilOffice
MarqueeWorldCenter
StarIslandResort
Resort
VillasofGrandCypress
Hotel(cannotspecify)
Peabody
FloridaMall
RitzCarlton(2)
WorldCenter(5)
Disney'sGrandFloridian
WaltDisneyWorldYacht&BeachClub
DisneyYachtandBeachHotel
WaltDisneyWorldConferenceCenter
DisneyResort
OrlandoConventionCenter(2)
OrangeCountyConventionCenter(2)
GaylordPalms
5
Hotel
ResortHotel
Sheraton
Embassysuite
Doubletree
Q17City
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Kissimmee
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
LakeBuenaVista
Orlando
Kissimmee
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Tallahassee
36
Attachment # 1
Page 337 of 438
ResidenceInnUniversity
HiltonGardenInn
TallahasseeRVPark
GovernorsClub(2)
TallahasseeCommunityCollege
TheWineryattheRedBar
Church
StaybridgeSuites
Tallahassee
RubyDiamond
FSUCenter
UniversityCenterClub
CivicCenter(3)
RamadaInn
RitzCarltonHotel
HiltonHotel
O'ConnelCenter
Hotel
TreoCenter
HyattRegency(3)
SawgrassMarriott(2)
TheHiltonatRiverside
Hilton
TheRenaissanceResortatWorldGolfVillage
Omni(2)
UniversityHotel
Sandler
Hilton
Hilton
ClearwaterBeachonSandKey
TheBreakers(4)
FourSeasonsHotel
WestPalmBeach
TheCrownPlaza
PalmBeachGarden
TheInnonFifth
TheRitzCarlton(2)
NaplesGrandeHotel(3)
HyattRegency(2)
LongBoatKeyClub
RitzCarleton
SanibelResortandConferenceCenter
Renaissance
GrandHyattTampaBay(2)
Hyatt,Hilton
HyattTampaBay
HiltonConferenceCenter(2)
Renaissance
Airport
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
AmeliaIsland,Florida
DaytonaBeach
Gainesville
Gainesville
Gainesville
Jacksonville
PonteVedra
Jacksonville
Jacksonville
St.Augustine
Jacksonville
Jacksonville
Jacksonville
Jacksonville
Clearwater
ClearwaterBeach
PalmBeach
WestPalmBeach
WestPalmBeach
WestPalmBeach
PalmBeach
Naples
Naples
Naples
Sarasota
Sarasota
Sarasota
FtMyers
Ashville
Tampa
Tampa
Tampa
Tampa
Tampa
Tampa
37
Attachment # 1
Page 338 of 438
HillsboroughCommunityCollege
TampaIntercontinental
UniversityClub
TampaConventionCenter(2)
TheSheraton(2)
TheHyatt
CaesarsPalace
WynnLasVegas
RenaissanceVinoyResort&GolfClub(2)
TheSirataHotel
TradeWinds
Tigertown
TerraceHotel
SouthBeachTheLowes
CombConventionCenter
TheLoewsandRoyalPalm
Hotel
BaytownResort
SanDestinGolfandBeachResort
HiltonHotel
Amembersfacility(cannotname)
WestinLaPaloma
The
HeightRegency
Pensacolahotel
HyattRegency
HiltonConferenceCenter
RenaissanceAirportHotel
Wyndham
CallowayGardens
PrivateOwnedMansion
ConventionCenter(2)
Suites
MarriottBayPoint(3)
BrowardCounty.ConventionCenter(2)
HarborBeachConventionCenter
RegencyHotel
Hyatt
HyattRegency
HiltonOldTownAlexandria
Hilton
VanBraunCenter
FourSeasonsSheraton
MissionInnResort
Tampa
Tampa
Tampa
Tampa
Tampa
Weston,FL
LasVegas
LasVegas
St.Petersburg
StPetersburg
StPeteBeach
Lakeland
Lakeland
Miami
Miami
SouthBeach
Miami
Destin
Destin
Ocala
Ocala
Tucson
NewYorkCity
Chicago
Chicago
Atlanta
Atlanta
Atlanta
Atlanta
Atlanta
Atlanta
Atlanta
Atlanta
PanamaCity
FtLauderdale
FortLauderdale
St.LouisMO
Greenville
Louisville,KY
Alexandria,VA
Washington
Huntsville,Alabama
Greensboro,NC
HoweyintheHills
WestinDiplomat
TowerClub
WashingtonDCConventionCenter(2)
HoustonWestchase
Hollywood
Dallas
WashingtonDC
Houston
38
Attachment # 1
Page 339 of 438
AttheWarf
SanDiegoConventionCenter
HerronConventionCenter
UNOCUniversityofOhioEventCenter
NHHotel
CrownPlazaHotel,
EmbassySuite
Riverside
AmeliaIslandCotton
Hilton
LangleyAirforceBaseCenter
KingCenter
RegionsParks
Boston
SanDiego
Tunica,MS
Lima,Ohio
Rome,Italy
PaloAltoCA
CentralFlorida
NewOrleans
AmeliaIsland
Savanna
VirginiaBeach
VirginiaBeach
Melbourne
Birmingham,AL
39
Attachment # 1
Page 340 of 438
SecondMentionofOtherFacilitieswithinCities
Q18Property
Doubletree(2)
Hyatt
HyattRegencyGrandCypress
Marriott
MarriottbytheAirport
HiltonGardenInn
HiltonBonnetCreek
Hilton
RosenShingleCreek(2)
Rosen
RenaissanceSeaWorld
RenaissanceHotel
RenaissanceSeaWorld
ReunionResort
LakeMary
Peabody(2)
OmniChampionGate
BonnetCreekHilton
LakeNona
OaklandNaturePreserve
CaribeBarielDisney?
FloridaHotelandConferenceCenter
BonitaSpringsSpaResort
FloridaMall
TheRitzCarltonGrandeLake
WorldCenter(3)
Disney'sCoronadoSpringsResort
Disney
WaltDisneyHiltonResortHotel
WaltDisneyWorld
TheGrandFloridian
OrangeCountyConventionCenter(3)
GaylordPalmsResort(5)
FloridaHotel
CrownPlazaHotel
TheOldCapital
LivelyTechnicalCenter
BettyEastlyCenter
AgencyforHealthCareAdministration
FortKnoxComplex
StudentLifeCenter
FSUConference
FSUSTARRY
LeonCountyCivicCenter(2)
AloftHotel
Q19 City
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Kissimmee
Orlando
Kissimmee
LakeMary/Seminolecounty
Orlando
Orlando
Orlando
Orlando
WinterGarden
Orlando
Orlando
BonitaSprings
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Orlando
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
Tallahassee
40
Attachment # 1
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Hilton(3)
OceanCenter
DaytonaBeachShoresResort
U.FHilton
Hilton
HyattRegency(2)
RenaissanceWorldGolfResort
DetroitTigersComplex
PalmCoastHammockBeachResort
OmniDowntown
WorldGolfVillage
HiltonResort
HiltonClearwaterBeach
Hilton
SanPearlResort
CalvaryBaptistChurch
SheratonSandkey
TheBreakers(3)
4Seasons
ColonyHotel
SanibelHarbor
GrandNaplesResort(2)
RitzCarlton
GrandHyatt
Hyatt
Renaissance
StateFairgrounds
CountryClub
TampaInternationalAirportHotel(2)
TampaWatersideHotel(2)
StrazCenter
StateConferenceRoomRegionalOffice
ResortHotel(2)
Sheraton
MGMGrand
RenaissanceVinoy
Tradewind
SirataBeachResortandConferenceCenter
ConventionCenter
HiltonMiamiAirport
Boardwalk
MiamiDadeCollege
IntercontinentalHotel
Hilton
HiltonGardenInn
WharfTown
EmeraldCoastConventionCenter
SheratonatCypressCreek
CarneyIsland,MLKRecreationCenter
DaytonaBeach
DaytonaBeach
Daytona
Gainesville
Gainesville
Jacksonville
St.Augustine
Jacksonville
PalmCoast
Jacksonville
St.Augustine
Clearwater
ClearwaterBeach
ClearwaterBeach
ClearwaterBeach
Clearwater
Clearwater
PalmBeach
PalmBeach
PalmBeach
SanibelIsland
Naples
Sarasota
Tampa
Tampa
Tampa
Tampa
Tampa
Tampa
Tampa
Tampa
Tampa
Tampa
Tampa
LasVegas,NV
StPete
St.Pete
SaintPetersburg
Lakeland
Miami
Miami
Miami
Miami
Destin
Destin
SanDestin
FortWaltonBeach
Destin
Ocala
41
Attachment # 1
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CommunityCollege
FeatherSoundGolfCourse
Evergreen
595NorthEventCenter
CobbEMCEnergyCenter
Edgewater
Hyatt
ExtendedStay
FortLauderdaleConventionCenter
BahiaMarHotel
atHarborBeach
TowerClub
BrownHotel
Hyatt
ParkHyatt
Hyatt
MarriottWardenHotel
Hilton
FourSeasons
HyattFisherman'sWharf
Columbus
InnisBrookGolfResort
QwestCenter
Loews
ThePragueConventionCenter
WestinDiplomatResort(2)
LAConventionCenter
InternationalHomeFurnishingAssociation
TapatioResorts
Resort
WyndhamPhoenix
DaytonaResort
Golfresort
FranklinCarmackMovieTheater
AdamsMark
RitzCarlton
RitzCarlton
RitzCarlton
TheGaylordTexanHotel
GaylordHotels
Embassy
HiltonConventionCenter
Westin
TheInnatEllisisland
Officer'sClub,NASstation
BocaRatonResortandClub
HiltonCocoaBeachOceanfrontResort
BirminghamConventionCenter
Marriott
Ocala
Ocala
Atlanta
Atlanta,GA
AtlantaGA
PanamaCityBeach
FortLauderdale
FortLauderdale
FortLauderdale
Ft.Lauderdale
FtLauderdale
FtLauderdale
StLouis
Bonita
SanDiego
SanFrancisco
WashingtonDC
DeerfieldBeach
Boston
SanFrancisco
Columbus,Geo
InnisBrook
OmahaNE
Nashville
ChecRepublic
Hollywood
LA
HighPointNC
Arizona
Charleston
Phoenix
Hilton
PalmHarbor
Franklin,Michigan
Buffalo
LondonEngland
Denver
Arizona
Dallas,TX
Nashville
Concord,NC
NewOrleans,LA
Savannah, Georgia
Savanna,GA
Pensacola,FL
BocaRaton
CocoaBeach
Birmingham
SanDiego
42
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THOUGHTSONTALLAHASSEEASEVENTDESTINATION
RespondentswerealsoaskediftheyhadheldaconventionoreventinTallahasseeduringthe
last three years. Just over half (55%) indicated they had not, while 45% indicated they had
doneso.
Surveyquestion12:HaveyouheldaconventionoreventinTallahassee,Florida
duringthepastthreeyears?
UnweightedBase
Yes
No
Total
220
100
45%
120
55%
Of those respondents who had held events in Tallahassee, most respondents (64%) indicated
that their organization had held less than five events in Tallahassee in the last three years.
Twentyfour percent (24%) indicated they had held 5 to 9 events in Tallahassee, while 12%
indicatedthattheirorganizationhadheldmorethan10eventsinTallahasseeinthelastthree
years.
Surveyquestion13:Howmanyconventionsoreventshasyourorganizationheld
inTallahassee,Floridainthelastthreeyears?
UnweightedBase
14
59
10+
Total
97
62
64%
23
24%
12
12%
43
Attachment # 1
Page 344 of 438
RespondentswhohadheldconventionsoreventsinTallahasseewereaskedaboutthevenues
thattheireventstookplaceat.Aboutathird(34%)indicatedthattheyhadheldtheireventsat
ahotel.Some14%indicatedtheireventwasatanOffice/Government/Businesslocationand
12%indicatedthattheyhadutilizedaConferenceCenter/College/Universitytoholdanevent
at.Only8%hadutilizedtheciviccenterand26%didnotmentionaspecificlocation.
SurveyQuestions14recoded:WhatvenuesinTallahasseewereutilized?
UnweightedBase
Hotel
CivicCenter
ChamberofCommerce
Office/Government/Business
Other/notaplacebuttopicmentioned
Library
ConferenceCenter/College/University
Museum
Other/Parks/
Total
93
32
34%
7
8%
1
1%
13
14%
24
26%
1
1%
11
12%
2
2%
2
2%
44
Attachment # 1
Page 345 of 438
When asked why their organization had not held a convention or event in Tallahassee in the
last three years, the reasons were varied but the largest single indicator (27%) was that as a
locationTallahasseewastoofarandnotcentrallylocated.Thesecond(24%)mostcommonly
citedrationalwasthelackoffacilitiestoaccommodateaconferenceorevent.Some9%also
commentedthatthelackofairservicetoTallahasseewasafactor.Inthesecondaryreasons
given,airtravelwasTHEmostcitedreasonby42%ofrespondents.
Surveyquestion15recoded:Whataresomeofthereasonsyourorganizationhas
notheldaconventionoreventinTallahassee,Floridainthepast3years?
FirstReason
UnweightedBase
Total
120
Locationtoofarnotcentrallylocated
32
27%
Nofacilitiesnolargefacilitiesnoconferenceandhotelin
29
one
24%
Donotgooutsideregion/localorganization
10
8%
NoBeach
3
3%
Airservicetooexpensivenoflightsschedules
11
9%
Economicreasonsbudgetcutstoexpensivetotravel
4
3%
LackofknowledgeaboutTallyvenues
3
3%
Nospecificreason
10
8%
Destinationappealcouldnotsellit
6
5%
Notenoughattendees
2
2%
Onlygotocitiesinvitinguschurch
2
2%
Tallysportseventsinterferwithattentionneeded
1
1%
Locatewithcosponsoringorganization
1
1%
45
Attachment # 1
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DK
NoResortspace
OurmemberswanttogetoutofTally
NationalInternationalinscope
3
3%
1
1%
1
1%
1
1%
SecondReason
UnweightedBase
Total
24
3
13%
4
one
17%
Donotgooutsideregion/localorganization
0
0%
NoBeach
3
13%
10
42%
2
8%
1
4%
Expensive
1
4%
46
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Respondents were asked to rate their own knowledge regarding Tallahassee as a convention
and meeting destination. Just over a third (36%) indicated they were very knowledgeable
about Tallahassee and another 36% indicated they were somewhat knowledgeable. Those
sayingtheywerenotveryknowledgeablecomprised13%ofrespondentsandthoseidentifying
themselvesashavingnoknowledgeaccountedfor14%ofrespondents.
Surveyquestion32:PleaserateyourlevelofknowledgeregardingTallahassee,
Floridaasaconventionandmeetingdestination.
UnweightedBase
Veryknowledgeable
Somewhatknowledgeable
Notveryknowledgeable
Notknowledgeableatall
Total
220
80
36%
80
36%
29
13%
31
14%
47
Attachment # 1
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WhenaskedaboutTallahasseesstrengthsasaconventionoreventdestination49%citedthat
itheldappealbecauseitisthecapitalcityandtothestatelegislatureandgovernmentoffices.
Beautywasnotedby9%ofrespondents,followedbysmalltowncharm,easeofgettingaround,
andthefriendly,localatmosphererespectively8%ofthetime.
Surveyquestion41:TallahasseeStrengths
UnweightedBase
CapitalCity/StateLegislature/Government
Beauty
History/Culture
ProximitytoGulf/Beach
LowCost
Florida/location/weather
Friendly
None
Cleanliness
DK/neverbeenthere
AlotofmeetingplannersinTally
Easytogetaround/smalltown/localatmosphere/friendly
Other
Proximitytonatureactivities
Closestcitywithmeetingspace
Diversecitizens
Distancefromourmembers/nottoofar
Availableconventionandmeetingspace
SupremeCourtsallowtomeetwithjustices
Tallygoodplaceformeetings/conventions
Total
207
101
49%
19
9%
7
3%
2
1%
4
2%
11
5%
0
0%
6
3%
2
1%
17
8%
1
0%
16
8%
6
3%
5
2%
2
1%
1
0%
1
0%
3
1%
1
0%
1
0%
1
0%
48
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Lack of air service, cost of air service and availability of flights to Tallahassee was by far the
most frequently mentioned weakness of event destination appeal (41%), followed by the
location of Tallahassee itself (15%). Other most frequently identified weaknesses included a
lackofhotelsbigenoughtoholdtheireventsinTallahasseewith6%,lackofconventioncenter
withattachedfullservicehotel(5%),andlackofmeetingfacilitiesgenerally(5%).
Surveyquestion42:TallahasseeWeaknesses
UnweightedBase
Total
206
LackofAirService/tooexpensive/nodirectflights
85
41%
Lackofmeetingfacilities/notbigenough/notniceenough
11
5%
LackofHotels/notbigorniceenough
13
6%
NohotelandCCinone
10
5%
Nomajorattractions
11
5%
NoBeach/Resort
8
4%
Needbettermarketing
1
0%
None
4
2%
Locationtoofar/accessibility
30
15%
Lowqualityhighexpense
1
0%
Entertainment/dining
4
2%
Other
5
2%
Hospitality
2
1%
Noconventionappeal
7
3%
DK
13
6%
Cost
1
0%
49
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When asked about whether or not they had wanted to hold a convention or event in
Tallahasseebutwereunabletobecauseofalackofconventionandeventfacilities.Justovera
third(35%)indicatedthattheyhadencounteredthissituationwhile65%hadnot.
Surveyquestion36:Haveyouwantedtoholdaconventionoreventin
Tallahassee,butwereunabletodosobecauseofalackofadequate
conventionandeventcenterspace?
UnweightedBase
Yes
No
Total
220
77
35%
143
65%
Respondents felt similarly when asked if they had wanted to hold a convention or event in
Tallahassee but were prevented from doing so due to a lack of conveniently located hotel
roomswithjustoverathird(34%)indicatingthishadbeentheirexperience,while66%hadnot
experiencedthisbarrier.
Surveyquestion37:Haveyouwantedtoholdaconventionoreventin
Tallahassee,butwereunabletodosobecauseofalackofavailableor
convenientlylocatedhotelrooms?
UnweightedBase
Yes
No
Total
220
75
34%
145
66%
50
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WhenaskedabouttheirlikelinesstoholdconventionsandeventsinTallahasseeiftherewasa
conventioncenterwithanattachedfullservicebrandedhotelaboutaquarter(26%)indicated
thattheywouldbeverylikelytoholdaconventionoreventifsuchfacilitiesexisted.Abouta
third (31%) indicated they would be somewhat likely to hold events in Tallahassee if those
accommodations existed and some 26% of respondents indicated they would be either
somewhat or very unlikely to hold their events in Tallahassee regardless of the
accommodations.Seventeenpercentwereneutraltothequestion.
Survey question 38: The City of Tallahassee's Community Redevelopment

Agency is considering the development of a new multipurpose
convention and events center in downtown Tallahassee near the
existing CivicCenter.Thedevelopment would includeaconvention
centerattachedtoafullservicebrandedhotel.
Please answer the following questions assuming that this

development would meet your requirements for a headquarters
hotelandeventspace.
Howlikelywouldyoubetoconsiderholdingyourconventionor
eventsinTallahasseeifTallahasseehadaconventioncenterattached
toafullservicebrandedhotel?
UnweightedBase
Verylikely
SomewhatLikely
Neutral
SomewhatUnlikely
VeryUnlikely
Total
220
58
26%
68
31%
37
17%
21
10%
36
16%
51
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EightytwopercentofthosewhowantedtoholdeventsinTallahasseebutwereunabletodoso
because of a lack of adequate convention and event center space would be very (40%) or
somewhat (42%) likely to consider holding their convention or events in Tallahassee if
Tallahasseehadaconventioncenterattachedtoafullservicebrandedhotel.
Surveyquestion38:Howlikelywouldyoubetoconsiderholdingyourconvention
oreventsinTallahasseeifTallahasseehadaconventioncenter
attachedtoafullservicebrandedhotel?
Unweighted Base
Have you wanted to

hold a convention or
event in Tallahassee,
but were unable to do so
because of a lack of
adequate convention
and event center space?
Total
Yes
No
143
220
77
Very likely
58
26%
Somewhat Likely
68
31%
Neutral
37
17%
Somewhat Unlikely
21
10%
Very Unlikely
36
16%
31
40%
53%
32
42%
47%
10
13%
27%
2
3%
10%
2
3%
6%
27
19%
47%
36
25%
53%
27
19%
73%
19
13%
90%
34
24%
94%
52
Attachment # 1
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To provide greater insight into respondents who indicated the likeliness of their organization
holdingaconventionoreventinTallahasseeifthecityhadaconventioncenterattachedtoa
fullservicebrandedhotel,thefollowingtableconsidersthedegreeoflikelihoodtotheorigins
ofattendees.MostlikelytosaytheywouldbeverylikelytoholdtheireventsinTallahassee
were organizations with statewide attendees (78%), followed by those with local attendees
(52%).Fortythreepercentoftheorganizationsattractingmultistateorregionalattendeesand
28%oftheorganizationsattractingnationalorinternationalattendeeswouldbeverylikelyto
considerTallahasseeastheireventdestinationifaconventioncenterwithfullservicebranded
hotelwereanoption.
Surveyquestion38:Howlikelywouldyoubetoconsiderholdingyourconvention
oreventsinTallahasseeifTallahasseehadaconventioncenterattachedtoafull
servicebrandedhotel?
Which categories best describe the

origin of attendees for the conventions
and events you conduct or plan?
Unweighted Base
CHECK ALL THAT APPLY

Regional
National / (multiTotal International state) Statewide Local
220
69
72
144 81
Very likely
58
26%
Somewhat Likely
68
31%
Neutral
37
17%
Somewhat Unlikely
21
10%
Very Unlikely
36
16%
16
23%
28%
21
30%
31%
8
12%
22%
11
16%
52%
13
19%
36%
25
35%
43%
23
32%
34%
7
10%
19%
6
8%
29%
11
15%
31%
45
31%
78%
54
38%
79%
25
17%
68%
9
6%
43%
11
8%
31%
30
37%
52%
18
22%
26%
13
16%
35%
9
11%
43%
11
14%
31%
* Because this was a multiple response questions percentages do not add to 100% and combinations of
international/national,regional,statewideandlocalareincludedinthecountsrepresentedinthetableabove.
53
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When asked about the frequency that they would have events in Tallahassee if there was a
conventioncenterwithafullservicesbrandedhotel,28%indicatedtheywouldhaveoneevent
peryearwhile14%wouldholdeventsmoreoftenthanonceperyear.Sixpercentwouldhold
eventseverytwoyears,8%wouldconsiderholdingeventsinTallahasseeeverythreeyears,4%
everyfouryearsand7%everyfiveyears.SevenpercentwouldholdeventsinTallahasseeless
often than every five years and 25% would never hold events in Tallahassee even if a
conventioncenterwithfullservicehotelwouldbeavailable.
Surveyquestion39:Howoftenwouldyouconsiderholdingyourconventionorevent(s)in
TallahasseeifTallahasseehadaconventioncenterattachedtoafullservicebrandedhotel?
UnweightedBase
Never
Moreoftenthanonceperyear
Onceeveryyear
Everytwoyears
Everythreeyears
Everyfouryears
Everyfiveyears
Lessoftenthaneveryfiveyears
Total
220
56
25%
30
14%
62
28%
13
6%
18
8%
9
4%
16
7%
16
7%
54
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EVENTREQUIREMENTSFORTALLAHASSEE
Whenaskedtoestimatethenumberofsquarefeettheywouldrequireiftheyweretoholdan
event in a convention center, a majority (72%) indicated that they would require less than
25,000 square feet, while 12% of respondents indicated a need for 25,000 to 50,000 square
feet.Only14%indicatedaneedfor50,000100,000squarefeetandjust2%indicatedaneed
formorethan100,000squarefeet.
SurveyQuestion22:Pleaseanswerthefollowingquestionsfortheconvention
oreventyouwouldmostlikelyholdinaconventioncenter.
Howmuchexhibitspaceorflatfloorspace(insquarefeet)doesyour
conventionoreventrequire?
Unweighted Base
1- 24,999
25,000-49,999
50,000-100,000
100,001+
Total
173
124
72%
21
12%
24
14%
4
2%
55
Attachment # 1
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Respondents were asked about banquet spaceor seating capacity their convention or events
requires.Themajorityindicatedaneedtoaccommodatenolessthan500personswith40%
indicatinganeedforlessthan250personand35%indicatinganeedtoaccommodatebetween
250 and 500 persons. Some 8% indicated a need to accommodate 501999, 10% indicated
1,000to2,500,while8%indicatedanumbergreaterthan2,500.
Surveyquestions23:Howmuchbanquetspace(seatingcapacity)doesyour
conventionoreventrequire?
Unweighted Base
1- 249
250-500
501-999
1,000-2,500
2,501+
Total
208
83
40%
73
35%
16
8%
20
10%
16
8%
56
Attachment # 1
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Respondents were queried about the number of breakout meeting rooms required for their
conventionorevent.Amajorityindicatedaneedforlessthantenrooms,withjustunderhalf
(45%)indicatinganeedlessthanfiverooms,while30%indicatedaneedforfivetoninerooms.
Some17%indicatedaneedfor10to19roomsandjust8%requiredmorethan20rooms.
Surveyquestion24:Howmanybreakoutmeetingroomsdoesyourconventionor
eventrequire?
PLEASEPROVIDEYOURBESTESTIMATE
UnweightedBase
Lessthan5
59
1019
20+
Total
201
91
45%
60
30%
34
17%
16
8%
57
Attachment # 1
Page 358 of 438
Respondentswereaskedaboutthenumberofattendeeswhotypicallyattendtheirconvention
or event. A clear majority of 66% indicated that they typically had less than 500 attendees.
Some17%indicatedattendeesnumberingfrom500to999and11%indicatedbetween1,000
and2,500.About5%indicatedattendanceof2,500ormore.
Surveyquestion25:Howmanydelegates,attendeesorparticipantstypically
attendyourconventionorevent?
UnweightedBase
Lessthan500
500999
1,0002,499
2,5004,999
5,000+
Total
219
145
66%
37
17%
25
11%
3
1%
9
4%
**
58
Attachment # 1
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Whenconsideringfutureattendanceoverthenextfiveyearsatconventionsorevents,asmall
majorityof54%ofrespondentsindicatedthattheyexpectedattendancetoincreaseand40%
indicatedattendancewouldlikelyremainthesame.Only6%expectedattendancetodecrease
overthenextfiveyears.
Surveyquestion26:Pleaseanswerthefollowingquestionsfortheconvention
Overthenextfiveyears,doyouanticipatethatattendanceatyour
conventionoreventwill:
UnweightedBase
Increase
Staythesame
Decrease
Total
220
119
54%
88
40%
13
6%
Afterconsideringattendees,respondentswereaskedaboutthenumberofexhibitorsattheir
events. Just over half (55%) indicated their events had less than 50 exhibitors, while 18%
indicated between 50 and 99 exhibitors. A quarter (26%) indicated having 100 or more
exhibitors.
Surveyquestion27:Ifyourconventionoreventhasexhibitors,howmanydoesit
typicallyhave?
UnweightedBase
Lessthan50
5099
100249
250+
Total
157
87
55%
29
18%
31
20%
10
6%
59
Attachment # 1
Page 360 of 438
Whenrespondentswereaskedaboutthelengthoftheconventionoreventtheywouldlikely
holdtheyrevealedthattheaveragenumberofeventdaysisthreewithonemoveinandone
moveoutday.
Surveyquestion28:Pleaseanswerthefollowingquestionsfortheconvention
Whatisthelengthofyourconventionorevent(innumberofdays)?
PLEASEINDICATETHETOTALNUMBEROFDAYS,BROKENINTOTHEFOLLOWING
SECTIONS.
Base
Moveindays
Eventdays
Moveoutdays
Total
218
1
3
1
Whenaskedtoquantifythesizeofaroomblocktheireventrequired,alittlemorethanathird
(39%) indicated less than 100 rooms and about a quarter (24%) indicted a need for between
100and249rooms.Thoserequiringablockofroomsbetween250and499accountedfor21%
ofrespondents,whilethoseneedinggreaterthan500roomsaccountedfor16%.
Surveyquestion29:Whatsizeofahotelroomblock(numberofrooms)does
yourconventionoreventrequire?
AverageNumberofRooms
Base
Minimumnumberofrooms
Preferrednumberofrooms
Total
218
273
317
UnweightedBase
Lessthan100
100249
250499
500999
1,000+
Total
200
78
39%
48
24%
42
21%
20
10%
12
6%
60
Attachment # 1
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Respondents were asked to name a hotel rate they would consider for their event, and not
surprisinglythepreferredrate(averageof$110)waslessthanthemaximumrate(averageof
$142).
Forthemaximumrate,77%ofrespondentsnamedaratebetween$100and$199,with39%
namingbetween$100and$149and38%namingbetween$150and$199.Only9%indicated
thattheirmaximumratewaslessthan$100.Some14%indicatedthattheirmaximumratewas
$200ormore.
Surveyquestion30recoded:Pleaseanswerthefollowingquestionsforthe
conventionoreventyouwouldmostlikelyholdinaconventioncenter.
Whatisthetypicalhotelroomrate(dollars)youconsiderforyour
conventionorevent?
Base
Total
217
142
110
UnweightedBase
Total
199
18
9%
78
39%
76
38%
15
8%
12
6%
Maximumroomrate$
Preferredroomrate$
Maximumrates
Lessthan$100
$100$149
$150$199
$200$249
$250+
61
Attachment # 1
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Preferredrateswerelower,withnearlyhalfofrespondents(48%)indicatingapreferencefora
rate between $100 and $149, while only 18% indicated a preference for a rate from $150 to
$199. Nearly a third (30%) indicated a preference for a room rate below $100 and only 4%
actuallyhadapreferenceforarateof$200ormore.
PreferredRates
UnweightedBase
Lessthan$100
$100$149
$150$199
$200$249
Total
198
59
30%
95
48%
36
18%
8
4%
62
Attachment # 1
Page 363 of 438
METHODOLOGY
The Tallahassee Convention and Hotel Feasibility Survey was based on an online and telephone
surveysampleofexecutivesandeventplannersof1,882associationsandorganizations.Thislist
wasidentifiedasthepopulationmostlikelytoplanorholdeventsinFlorida.However,thelist
does not include all possible Florida event planners but represents a list of event planners
identifiedforthissurvey.
ListsusedtodrawthesamplefromincludedtheFloridaSocietyofAssociationExecutives(FSAE)
member list, the Tallahassee Society of Association Executives (TSAE) member list, the Visit
Tallahassee (VT)contactlist, the FloridaAssociations Directory(FAD purchased list)and alist of
NationalAssociationofSportsCommissions(NASC).Initiallythefirstthreelists(FSAE,TSAEandVT
lists)werecombined,checkedforduplicatesandduplicateswereremoved.Thislistproduced928
unduplicatedcontacts.791associationsfromtheFADlistrepresentinginternational,nationaland
regional associations and 163 NASC Alabama, Florida, Georgia and Louisiana with unduplicated
contactswithemailaddresseswereadded.Thelistwasdividedintothosewithemailaddresses
(1,654) and those without email addresses (228). The combined list of associations, Visit
TallahasseeandNASCcontactsincludedatotalof1,882contacts.Ofthose1,654receivedemail
invitationstoparticipateintheonlinesurvey.
Thenumberofpeoplewhoaccessedandstartedtheonlinesurveywas98butonly51finishedthe
entiresurvey(overallresponserateof6%).
TelephoneSurveySample
Forthetelephonefollowupsurveyarandomselectionofthosewhohadnotrespondedtothe
onlinesurveywasdrawn.
Thetotalpopulationforthetelephonesurveyconsistedof1,882organizations.Ofthose,228did
nothaveemailaddressesandtheywereselectedforthetelephonesurveysincetheydidnothave
an opportunity to respond to the online survey. In addition, 268 organizations from the TSAE,
FSAEandVTcombinedemaillist(masterlist)wererandomlyselectedforinclusion,representing
about71percentofthetotalpopulation.
FromtheFADlist115associationswith1,000+members,representingnational,stateandregional
associations, were randomly selected for inclusion since many of the smaller or medium size
associationswerealreadyrepresentedinthemasterlist.
Furthermore, 88 Alabama, Florida, Georgia and Louisiana sports commissions were randomly
selectedforfollowupinthetelephonesurvey.
Intotal,699organizationswereselectedforfollowupforthetelephonesurvey.
Thefollowingtableillustratesthesampleselectionfortheonlineandtelephonesamplesurvey.
63
Attachment # 1
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SamplePopulation
Total
Listings
WithEmail
Addresses(NASC
ForAL,FL,GA,LA)
FSAE,TSAE,VisitFlorida
(Master)
FloridaAssociation
Directory(FAD)
NationalAssociationof
SportsCommissions
(NASC)
BaseForOnlineSurvey
Phone#'sOnly
BaseforPhoneSample
FSAE,TSAE,VisitFlorida
(Master)
FloridaAssociation
Directory(FAD)
NationalAssociationof
SportsCommissions
(NASC)
TotalListSample
TotalListBaseForPhone
Survey
220completedsurveysfora
populationof1900
organizationsidentified
producesaconfidencelevelof
95%withamarginoferrorof
aboutplusorminus6%
Phone#'sOnly
(Mixof
AssociationsAnd
Other
Organizations)
928
700
1632
791
163
1358
3918
Percentof
PhoneBase
228
49%
42%
9%
100%
1654
228
1882
SelectedForPhone
Survey
National,State,
RegionalFAD1,000+
SelectedForPhone
Sample
TotalSelectedFor
PhoneSurvey
Percent
Selected
ForPhone
Survey
Phone#'s
Only
228
268
115
88
228
356
496
71%
115
16%
88
13%
115
699
100%
3918
1882
64
Attachment # 1
Page 365 of 438
ResponseRate
Ofthe220completedsurveys,51wereobtainedviatheonlinesurveyand187werecompletedby
telephonefollowup.35couldneverbereachedafterrepeatedcallbacks,5refused,154resulted
innoanswersoransweringmachinesafter4calls,246werescreenedouteitherbecausetheysaid
theyhadcompletedthesurveyonlineortheydidnothaveaneedformeetingspaceormetlocally
only.Another20wereduplicatesand51ofthephonenumbersweredisconnected.
Tocalculatethecooperationrateforthetelephonefollowuponlythecompletedsurveysusedfor
theanalysisareincludedinthefollowingtable.
Completedphonesurvey
187
Callbacksneverreached
35 Eligible
Refused
5
227
Noanswer/answering
machine
155 Noteligible
Screenedout
246
Duplicates
20
Disconnected
51
472
Total
699
699
CooperationRate82%
14completionswereremovedfromthecalculationbecausetheyclassifiedtheorganizationthey
representassports.Mostoftheorganizationswereoutdoorsportsorganizationssuchaswater
sports, golf, baseball, boating, road sports and softball. Sports organizations were removed
becausetheypresentedoutliersforlargersportingeventsskewingtheresultsfororganizations
morelikelytouseaconventioncenterwithaheadquarterhotel.Sportsprojectionswerebased
primarilyonconversationswiththeSportsCouncilandothercomparables.4completionswere
removedforsomeotherreason(incompletedata).
Fieldwork for the study was conducted under the professional supervision of Anneliese R.
Oppenheim,ResearchDirector,fromthephonebankatOppenheimResearch.
Interviewerscalledall699numberstocompletethe187surveys.Approximately1,700telephone
callswereattempted.
Callbackarrangementsweremadeforallorganizationsnotabletorespondattheinitialcontact
and messages were left for those who could not be reached. Refusals were not called back a
secondtime.
Oppenheim Research relies exclusively on trained and paid interviewers for survey research
projects.Allinterviewersreceivedspecialtrainingonprojectspecifics.
65
Attachment # 1
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Professionally trained and experienced supervisors oversaw all interviewing. Most of the
interviewing was done Monday through Friday, between 9 a.m. and 5 p.m. Some callback
arrangementsrequestedeveningcallbacks,andwereattemptedbetween6p.m.and9p.m.
Fieldwork dates for this telephone followup survey were February 15 to March 2, 2011.
Interviewslastedanaverageof20minutesandthecooperationratewas82percent.
Basedonthepopulationselectedandincluded,thetelephonefollowuptelephonesurveyhada
95percentconfidencelevelwithamarginoferrorofaboutplusorminus6percent.
66
Attachment # 1
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APPENDIX
QUESTIONNAIRE
HVSSurvey
Questionnaire#________(14)
Q.1Pleaseanswerthefollowingquestionsbasedonthemeetingsoreventsyouplanthatare
mostappropriateforamultipurposeconventionandeventscenterinTallahassee,
Florida.Theproposedvenuewouldincludemultipurposeexhibition,ballroom,and
meetingspace.Itwouldsupportconventions,tradeshows,sportsevents,meetings,
andbanquets.Yourcandidresponsesaregreatlyappreciated.
Q.2Doesyourorganizationconductorplanforanyofthefollowingevents:
IFTHEYDONOTCONDUCTANY,TERMINATE
[REQUIREANSWER]
Yes No
1
2(5)
1
2(6)
Meetings
1
2(7)
Training/Workshops
1
2(8)
Conferences
1
2(9)
Banquets
1 2(10)
1 2(11)
1 2(12)
1 2(13)
1 2(14)
Q.3Howmanyofthefollowingeventsdoesyourorganizationconductorplaninatypicalyear?
PLEASEENTERNUMBEROFEVENTS
[REQUIREANSWER][READONLYANSWERSCORRESPONDINGTOSUBQUESTIONSANSWERED1
INQUESTION2]
Convention(withexhibits)...........................____(1516)
Convention(withoutexhibit).......................____(1718)
Meetings......................................................____(1920)
Training/Workshops.....................................____(2122)
Conferences.................................................____(2324)
Banquets......................................................____(2526)
Tradeshows(closedtopublic).....................____(2728)
Consumershows(opentopublic)...............____(2930)
Sportscompetition/event............................____(3132)
Entertainmentshow/events........................____(3334)
67
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Q.4Howmanyattendees,delegatesorparticipantstypicallyattendthefollowingevents:
PLEASEENTERNUMBEROFATTENDEES
[REQUIREANSWER][READONLYANSWERSCORRESPONDINGTOSUBQUESTIONSANSWERED1
INQUESTION2]
Convention(withexhibits).....................................____________(3540)
Convention(withoutexhibit).................................____________(4146)
Meetings................................................................____________(4752)
Training/Workshops...............................................____________(5358)
Conferences...........................................................____________(5964)
Banquets................................................................____________(6570)
Tradeshows(closedtopublic)...............................____________(7176)
Consumershows(opentopublic).........................____________(7782)
Sportscompetition/event......................................____________(8388)
Entertainmentshow/events..................................____________(8994)
Q.5Pleaselistanyotherconventionsoreventsyourorganizationconductsorplansforina
typicalyear.
_____________________________________________(95294)
Q.6Howwouldyouclassifytheorganizationyourepresent?
SELECTTHEBESTFIT
AVOID"OTHER"IFPOSSIBLE
[REQUIREANSWER]
(295296)
Association......................1
Corporate........................2
Social...............................3
Military............................4
Education........................5
Religous...........................6
Fraternal..........................7
Sports..............................8
Entertainment.................9
Government...................10
ExhibitionCompany.......11
Other..............................12
Nonprofit.......................13
SMERF.............................14
[SIFTHEANSWERIS212,THENSKIPTOQUESTION8]
68
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[AIFTHEANSWERTOQUESTION6IS210,THENSKIPTOQUESTION8]
Q.7HowmanymembersdoesyourAssociationhave?
[REQUIREANSWER]
Howmanymembers?......................__________(297301)
Q.8Whatindustriesdoesyourorganizationrepresent?
CHECKALLTHATAPPLY
[REQUIREANSWER]
(302331)
Technology/Computer..................................1
Medical..........................................................2
Health............................................................3
Pharmaceutical.............................................4
Automotive...................................................5
Agricultural/Fishery.......................................6
Aeronautical/Space.......................................7
Fire................................................................8
Realestate.....................................................9
Financial.......................................................10
Insurance......................................................11
Law/JuvenileJustice/Courts.........................12
Culinary/Hotel/Restaurant/Hospitality........13
Sports...........................................................14
Other............................................................15
Arts/Entertainment......................................16
Construction.................................................17
Education.....................................................18
Environmental..............................................19
Information..................................................20
Leisure/Recreation.......................................21
Manufacturing..............................................22
Retail............................................................23
Trade/Transportation/Utilities....................24
Tourism........................................................25
69
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Q.9Wouldyousayyourorganizationis:
[REQUIREANSWER]
(332)
Small(199employees)..................1
Medium(100249employees).......2
Large(250+employees)................3
Q.10Whichcategoriesbestdescribetheoriginofattendeesfortheconventionsandevents
youconductorplan?
CHECKALLTHATAPPLY
[REQUIREANSWER]
(333336)
National/International....1
Regional(multistate).......2
Statewide..........................3
Local..................................4
Q.11Whattypeoflocationdoyoupreferforyourconventionsandevents?
CHECKONLYONEANSWER
[REQUIREANSWER]
(337)
ResortArea.....1
Suburban........2
Downtown......3
Airport............4
Q.12HaveyouheldaconventionoreventinTallahassee,Floridaduringthepastthreeyears?
[REQUIREANSWER]
(338)
Yes....1
No.....2
[SIFTHEANSWERIS2,THENSKIPTOQUESTION15]
70
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Q.13HowmanyconventionsoreventshasyourorganizationheldinTallahassee,Floridainthe
lastthreeyears?
[REQUIREANSWER]
Howmanyevents:.............____(339340)
Q.14Inwhatvenues?
LISTANYVENUES
____________________________________________(341640)
Q.15Whataresomeofthereasonsyourorganizationhasnotheldaconventionoreventin
Tallahassee,Floridaduringthepastthreeyears?
[REQUIREANSWER]
____________________________________________(641840)
Q.16Pleaseindicatetwotothreeotherfacilitiesandcitieswhereyouhaveheldconventionsor
eventsinthepast.Ifyouhavelessthanthreetolist,pleaserespondN/Awhere
appropriate.
PLEASELISTTHENAMEOFTHEACTUALFACILITY
ANDCITYSEPARATELY.FOREXAMPLE:FACILITYOrangeCountyConventionCenter
CITY:Orlando
FACILITY1: [REQUIREANSWER]
____________________________________________(841940)
Q.17CITY1: ____________________________________________(941970)
Q.18FACILITY2:__________________________________________(9711070)
Q.19CITY2: __________________________________________(10711100)
Q.20FACILITY3:________________________________________(11011200)
Q.21CITY3: __________________________________________(12011230)
71
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Q.22Pleaseanswerthefollowingquestionsfortheconventionoreventyouwouldmost
likelyholdinaconventioncenter.
Howmuchexhibitspaceorflatfloorspace(insquarefeet)doesyourconventionoreventrequire?
[REQUIREANSWER]
Flatfloorspaceinsquarefeet:..........................____________(12311236)
Q.23Howmuchbanquetspace(seatingcapacity)doesyourconventionoreventrequire?
[REQUIREANSWER]
Seatingcapacityornumberofpeople:....................____________(12371242)
Q.24Howmanybreakoutmeetingroomsdoesyourconventionoreventrequire?
[REQUIREANSWER]
Numberofbreakoutrooms:..............____(12431244)
Q.25Howmanydelegates,attendeesorparticipantstypicallyattendyourconventionor
event?
[REQUIREANSWER]
Howmanyattendees:........................____________(12451250)
Overthenextfiveyears,doyouanticipatethatattendanceatyourconventionorevent
will:
[REQUIREANSWER]
(1251)
Increase..............1
Staythesame.....2
Decrease.............3
Q.27Ifyourconventionoreventhasexhibitors,howmanydoesittypicallyhave?
72
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Howmanyexhibitors?...................________(12521255)
SECTIONS.
Moveindays................____(12561257)
Eventdays....................____(12581259)
Moveoutdays.............____(12601261)
Q.29Whatsizeofahotelroomblock(numberofrooms)doesyourconventionorevent
require?
Minimumnumberofrooms...................________(12621265)
Preferrednumberofrooms...................________(12661269)
Whatisthetypicalhotelroomrate(dollars)youconsiderforyourconventionorevent?
Maximumroomrate$.......................____________(12701275)
Preferredroomrate$........................____________(12761281)
Q.31Howimportantisitthatyouhaveafullserviceheadquartershotelconnectedtothe
conventioncenterwhereyouwouldmostlikelyholdyourconventionorevent?
[REQUIREANSWER]
(1282)
Veryimportant...............1
SomewhatImportant.....2
Notveryimportant.........3
Notimportantatall........4
73
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Q.32PleaserateyourlevelofknowledgeregardingTallahassee,Floridaasaconventionand
meetingdestination.
[REQUIREANSWER]
(1283)
Veryknowledgeable.................1
Somewhatknowledgeable.......2
Notveryknowledgeable..........3
Notknowledgeableatall.........4
Q.33PleaserateTallahasseeonthefollowingcriteriaasalocationforyourconventionor
eventsrelativetoothercitiesinwhichyouhaveheldormayholdconventionsor
events.
Pleaseuseascalefrom1to5where1meanspoorand5meansexcellent.
IFNOTAPPLICABLELEAVEBLANKORENTER0
[REQUIREANSWER]
AvailabilityofExhibitSpace..................................__(1284)
AvailabilityofMeetingSpace................................__(1285)
AvailabilityofBanquetSpace................................__(1286)
PriceofMeetingFacilityRentals...........................__(1287)
AvailabilityofHotelRooms...................................__(1288)
PriceofHotelRooms.............................................__(1289)
Qualityofhotelrooms..........................................__(1290)
AvailabilityofAirTravel........................................__(1291)
ConvenienceforDriveInVisitors.........................__(1292)
Dining&EntertainmentOptions..........................__(1293)
Recreation,Tourism&CulturalActivities.............__(1294)
Safety.....................................................................__(1295)
Cleanliness.............................................................__(1296)
AbilitytoAttractAttendees..................................__(1297)
OverallLevelofDestinationAppeal......................__(1298)
74
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Q.34PleaseratetheoverallattractivenesstothebestofyourabilitiesforthefollowingFlorida
citiesasalocationforyourconventionorevent(s).
Pleaseuseascalefrom1to5where1meansnotatallattractiveand5meansvery
attractive.
[REQUIREANSWER]
Jacksonville.....................__(1299)
Lakeland..........................__(1300)
Miami..............................__(1301)
Tampa.............................__(1302)
Orlando...........................__(1303)
Tallahassee......................__(1304)
DaytonaBeach................__(1305)
FortLauderdale...............__(1306)
FortMyers.......................__(1307)
Sarasota/Palmetto..........__(1308)
St.Augustine...................__(1309)
WestPalmBeach............__(1310)
Q.35Pleaseratetheoverallattractivenesstothebestofyourabilitiesforthefollowingother
citiesasalocationforyourconventionorevent(s).
Pleaseuseascaleof1to5where1meansnotatallattractiveand5meansvery
attractive.
[REQUIREANSWER]
Raleigh,NC......................__(1311)
Mobile,AL.......................__(1312)
MyrtleBeach,SC.............__(1313)
Birmingham,AL...............__(1314)
Charlotte,NC...................__(1315)
Richmond,VA..................__(1316)
Huntsville,AL...................__(1317)
Savannah,GA..................__(1318)
BatonRouge,LA..............__(1319)
Shreveport,LA.................__(1320)
Jackson,MS.....................__(1321)
VirginiaBeach,VA...........__(1322)
Charleston,SC.................__(1323)
75
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Q.36HaveyouwantedtoholdaconventionoreventinTallahassee,butwereunabletodoso
becauseofalackofadequateconventionandeventcenterspace?
[REQUIREANSWER]
(1324)
Yes....1
No.....2
Q.37HaveyouwantedtoholdaconventionoreventinTallahassee,butwereunabletodoso
becauseofalackofavailableorconvenientlylocatedhotelrooms?
[REQUIREANSWER]
(1325)
Yes....1
No.....2
Q.38HowlikelywouldyoubetoconsiderholdingyourconventionoreventsinTallahasseeif
Tallahasseehadaconventioncenterattachedtoafullservicebrandedhotel?
[REQUIREANSWER]
(1326)
Verylikely....................1
SomewhatLikely.........2
Neutral........................3
SomewhatUnlikely.....4
VeryUnlikely...............5
Q.39Howoftenwouldyouconsiderholdingyourconventionorevent(s)inTallahasseeif
[REQUIREANSWER]
(1327)
Never..................................................1
Moreoftenthanonceperyear.........2
Onceeveryyear.................................3
Everytwoyears..................................4
Everythreeyears...............................5
Everyfouryears.................................6
Everyfiveyears..................................7
Lessoftenthaneveryfiveyears........8
76
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Q.40IfyourorganizationheldaconventionoreventinTallahassee,howwouldthemajorityofyourattendeestravelto
Tallahassee?
[REQUIREANSWER]
(1328)
Plane...1
Car.......2
Bus.......3
Other...4
Q.41Inyourownwords,pleasedescribewhatyoubelievetobethekeystrengthsand
weaknessesofTallahassee,Floridaasaconventionandeventmeetingdestination.
Strengths: __________________________________________(13291528)
Q.42Weaknesses: __________________________________________(15291728)
Q.43MayIhaveyournamejustincasewehaveanymorequestions?
CONTACTNAME: __________________________________________(17291768)
Q.44Whatisyourjobtitle? __________________________________________(17691843)
Q.45Whatisthenameoftheorganizationyouworkfor?___________________(18441918)
Q.46Whatisyourphonenumber? ________________________________(19201935)
Q.60RecodedQ5
(1945)
None.....................................................................1
OtherMeetings....................................................2
AnnualMeeting....................................................3
Lobbydayforstudents.........................................4
Banquet................................................................5
Webinars..............................................................6
Hearings................................................................7
StatewideConventions/RegionalMeetings.........8
77
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Q.61RecodedQ14
(1946)
Hotel.............................................................1
CivicCenter...................................................2
ChamberofCommerce................................3
Office/Government/Business.......................4
Other/notaplacebuttopicmentioned.......5
Library...........................................................6
ConferenceCenter/College/University........7
Museum.......................................................8
Other/Parks/.................................................9
Q.62RecodedQ15Reason1
(19471948)
Locationtoofarnotcentrallylocated..................................................1
Nofacilitiesnolargefacilitiesnoconferenceandhotelinone.............2
Donotgooutsideregion/localorganization...........................................3
NoBeach..................................................................................................4
Airservicetooexpensivenoflightsschedules....................................5
Economicreasonsbudgetcutstoexpensivetotravel.........................6
LackofknowledgeaboutTallyvenues..................................................7
Nospecificreason...................................................................................8
Destinationappealcouldnotsellit.......................................................9
Notenoughattendees............................................................................10
Onlygotocitiesinvitinguschurch......................................................11
Tallysportseventsinterferewithattentionneeded.............................12
Locatewithcosponsoringorganization................................................13
DK............................................................................................................14
NoResortspace......................................................................................15
OurmemberswanttogetoutofTally...................................................16
NationalInternationalinscope..............................................................17
78
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Q.63RecodedQ15Reason2
(19491950)
Locationtoofarnotcentrallylocated...............................................1
Nofacilitiesnolargefacilitiesnoconferenceandhotelinone..........2
Donotgooutsideregion/localorganization.......................................3
NoBeach..............................................................................................4
Airservicetooexpensivenoflightsschedules................................5
Economicreasonsbudgetcutstoexpensivetotravel......................6
LackofknowledgeaboutTallyvenues..............................................7
Expensive.............................................................................................8
Q.64Recodeq41TallahasseeStrengths
(19511952)
CapitalCity/StateLegislature/Government....................................1
Beauty.............................................................................................2
History/Culture...............................................................................3
ProximitytoGulf/Beach..................................................................4
LowCost..........................................................................................5
Florida/location/weather...............................................................6
Friendly............................................................................................7
None................................................................................................8
Cleanliness.......................................................................................9
DK/neverbeenthere.....................................................................10
AlotofmeetingplannersinTally..................................................11
Easytogetaround/smalltown/localatmosphere/friendly..........12
College/Universitytown/Football..................................................13
Other..............................................................................................14
Proximitytonatureactivities.........................................................15
Closestcitywithmeetingspace.....................................................16
Diversecitizens...............................................................................17
Distancefromourmembers/nottoofar.......................................18
Availableconventionandmeetingspace......................................19
SupremeCourtsallowtomeetwithjustices.................................20
Tallygoodplaceformeetings/conventions...................................21
79
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Q.65RecodeQ42TallahasseeWeaknesses
(19541955)
LackofAirService/tooexpensive/nodirectflights...........................1
Lackofmeetingfacilities/notbigenough/notniceenough............2
LackofHotels/notbigorniceenough.............................................3
NohotelandCCinone......................................................................4
Nomajorattractions.........................................................................5
NoBeach/Resort...............................................................................6
Needbettermarketing......................................................................7
None..................................................................................................8
Locationtofar/accessibility.............................................................9
Lowqualityhighexpense.................................................................10
Entertainment/dining.......................................................................11
Other.................................................................................................12
Hospitality.........................................................................................13
Noconventionappeal......................................................................14
DK......................................................................................................15
Cost...................................................................................................16
Q.66RecodeOtherFacility1Q16
(19571958)
Breakers..........................................................................1
Doubletree......................................................................2
Hyatt................................................................................3
Marriott...........................................................................4
Hilton...............................................................................5
Rosen...............................................................................6
Renaissance.....................................................................7
4Seasons.........................................................................8
Other...............................................................................9
Tallahassee.....................................................................10
RitzCarlton.....................................................................11
FSUCenter......................................................................12
WorldCenter..................................................................13
DisneyGrandFloridian/otherDisneyproperties...........14
ConferenceCenters/Sanibel/others..............................15
OrlandoConventionCenter...........................................16
GaylordPalms/otherGaylord........................................17
CivicCenter....................................................................18
DK/NA.............................................................................19
SanDestinResort...........................................................20
PalmBeachGarden........................................................21
80
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Hotel...............................................................................22
RamadaInn....................................................................23
NaplesGrandResort/otherNaplesproperties..............24
BrowardCountyConventionCenter..............................25
TampaConventionCenter.............................................26
Sheraton.........................................................................27
CrownPlaza....................................................................28
Embassy..........................................................................29
HarborBeachConventionCenter..................................30
Q.67RecodeOtherCity1Q17
(19631964)
Orlando........................1
Tallahassee..................2
AmeliaIsland...............3
DaytonaBeach............4
Alexandria,VA.............5
HoweyintheHills........6
Gainesville...................7
Jacksonville..................8
Clearwater...................9
PalmBeach.................10
Naples.........................11
Sarasota......................12
Ft.Myers.....................13
Ashville.......................14
Tampa.........................15
Weston.......................16
HutchinsonIsland.......17
LasVegas....................18
St.Pete.......................19
Lakeland.....................20
Miami.........................21
Destin.........................22
Ocala...........................23
MarcoIsland...............24
Nashville.....................25
Tucson........................26
NY...............................27
Chicago.......................28
Atlanta........................29
PC................................30
Ft.Lauderdale.............31
81
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St.Louis,MO..............32
Other..........................33
NewOrleans...............34
AmeliaIsland..............35
Savannah....................36
DK/NA.........................37
Pensacola....................38
BocaRaton.................39
VirginiaBeach.............40
Melbourne..................41
CocoaBeach...............42
Birmingham................43
Charleston..................44
SanDiego....................45
(19591960)
Breakers..........................................................................1
Doubletree......................................................................2
Hyatt................................................................................3
Marriott...........................................................................4
Hilton...............................................................................5
Rosen...............................................................................6
Renaissance.....................................................................7
4Seasons.........................................................................8
Other...............................................................................9
Tallahassee.....................................................................10
RitzCarlton.....................................................................11
FSUCenter......................................................................12
WorldCenter..................................................................13
CivicCenter....................................................................18
DK/NA.............................................................................19
Hotel...............................................................................22
RamadaInn....................................................................23
82
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Sheraton.........................................................................27
CrownPlaza....................................................................28
Embassy..........................................................................29
AloftHotel......................................................................31
(19651966)
Orlando........................1
Tallahassee..................2
Gainesville...................7
Jacksonville..................8
Clearwater...................9
PalmBeach.................10
Naples.........................11
Sarasota......................12
Ft.Myers.....................13
Ashville.......................14
Tampa.........................15
Weston.......................16
LasVegas....................18
St.Pete.......................19
Lakeland.....................20
Miami.........................21
Destin.........................22
Ocala...........................23
MarcoIsland...............24
Nashville.....................25
Tucson........................26
NY...............................27
Chicago.......................28
Atlanta........................29
PC................................30
St.Louis,MO..............32
Other..........................33
NewOrleans...............34
83
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Savannah....................36
DK/NA.........................37
Pensacola....................38
BocaRaton.................39
VirginiaBeach.............40
Melbourne..................41
CocoaBeach...............42
Birmingham................43
Charleston..................44
SanDiego....................45
(19611962)
Breakers..........................................................................1
Doubletree......................................................................2
Hyatt................................................................................3
Marriott...........................................................................4
Hilton...............................................................................5
Rosen...............................................................................6
Renaissance.....................................................................7
4Seasons.........................................................................8
Other...............................................................................9
Tallahassee.....................................................................10
RitzCarlton.....................................................................11
FSUCenter......................................................................12
WorldCenter..................................................................13
CivicCenter....................................................................18
DK/NA.............................................................................19
Hotel...............................................................................22
RamadaInn....................................................................23
Sheraton.........................................................................27
CrownPlaza....................................................................28
Embassy..........................................................................29
84
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AloftHotel......................................................................31
HotelDuval.....................................................................32
(19671968)
Orlando........................1
Tallahassee..................2
Gainesville...................7
Jacksonville..................8
Clearwater...................9
PalmBeach.................10
Naples.........................11
Sarasota......................12
Ft.Myers.....................13
Ashville.......................14
Tampa.........................15
Weston.......................16
LasVegas....................18
St.Pete.......................19
Lakeland.....................20
Miami.........................21
Destin.........................22
Ocala...........................23
MarcoIsland...............24
Nashville.....................25
Tucson........................26
NY...............................27
Chicago.......................28
Atlanta........................29
PC................................30
St.Louis,MO..............32
Other..........................33
NewOrleans...............34
Savannah....................36
DK/NA.........................37
Pensacola....................38
BocaRaton.................39
85
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Q.72Recode3aConventions
(1969)
14.....1
59.......2
1019...3
20+......4
Q.73Recode4aConventions
(1979)
1249..............1
250499...........2
500999...........3
1,0002,499.....4
2,500+.............5
Q.74Recode3bConventionswithoutexhibit
(1970)
14.....1
59.......2
1019...3
20+......4
Q.75Recode4bConventionwithout
(1980)
199.........1
100249....2
250499....3
500999....4
1,000+.......5
Q.86Recode3cMeetings
(1976)
19.....1
1024...2
2549...3
50+......4
Q.87Recode4cMeetings
(1983)
149.........1
5099........2
100249....3
250499....4
500+..........5
86
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Q.88Recode3dTraining
Q.89Recode4dTraining
Q.76Recode3eConferences
Q.77Recode4eConferences
Q.78Recode3fBanquets
Q.79Recode4fBanquets
(1977)
19.....1
1024...2
2549...3
50+......4
(1984)
149.........1
5099........2
100249....3
250499....4
500+..........5
(1971)
14.....1
59.......2
1019...3
20+......4
(1981)
199.........1
100249....2
250499....3
500999....4
1,000+.......5
(1972)
14.....1
59.......2
1019...3
20+......4
(1982)
199.........1
100249....2
250499....3
500999....4
1,000+.......5
87
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Q.80Recode3gTradeshows
Q.81Recode4gTradeshows
Q.82Recode3iSports
Q.83Recode4iSports
Q.84Recode3jEntertainment
Q.85Recode4jEntertainment
(1973)
14.....1
59.......2
1019...3
20+......4
(1985)
1499..............1
500999...........2
1,0002,499.....3
2,500+.............4
(1974)
14.....1
59.......2
1019...3
20+......4
(1987)
1499..............1
500999...........2
1,0002,499.....3
2,500+.............4
(1975)
14.....1
59.......2
1019...3
20+......4
(1988)
1499..............1
500999...........2
1,0002,499.....3
2,500+.............4
88
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Q.90Recode3hConsumerShows
(1978)
14...1
5+....2
Q.91Recode4hConsumerShows
(1986)
1499..............1
500999...........2
1,0002,499.....3
2,500+.............4
Q.92Recodeq7#ofmembers
(1989)
1499..............1
500999..........2
1,0002,499.....3
2,5004,999.....4
5,0009,999.....5
10,000+...........6
Q.93Recodeq13ConventionsinTally
(1990)
14....1
59....2
10+....3
Q.94Recodeq22Squarefeet
(1991)
124,999................1
25,00049,999.......2
50,000100,000.....3
100,001+...............4
Q.95Recodeq23#people
(1992)
1249..............1
250500...........2
501999...........3
1,0002,500.....4
2,501+.............5
89
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Q.96Recodeq24#ofbreakoutrooms
(1993)
14......1
59.......2
1019...3
20+......4
Q.97Recodeq25#attendees
(1994)
1499..............1
500999...........2
1,0002,499.....3
2,5004,999.....4
5,000+.............5
Q.98Recodeq27#ofexhibitors
(1995)
150.........1
5199........2
100249....3
250+..........4
Q.99Recodeq29aMinrooms
(1996)
1100........1
101249....2
250499.....3
500999.....4
1,000+.......5
Q.100Recodeq29bPreferredrooms
(1997)
1100.......1
101249....2
250499....3
500999....4
1,000+.......5
Q.101Recode30amaxrate
(1998)
1$100..........1
$101$149....2
$150$199....3
$200$249....4
$250+............5
90
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Q.102Recodeq30b
(1999)
1$100..........1
$101$149....2
$150$199....3
$200$249....4
$250+............5
91
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FinalFrequencieswithRecodedVariables
Table2:Doesyourorganizationconductorplanforanyofthefollowingevents:
IFTHEYDONOTCONDUCTANY,TERMINATE
Total Yes No
220 137
83
100% 62% 38%
220
92 128
100% 42% 58%
Meetings
220 206
14
100% 94%
6%
Training/Workshops
220 178
42
100% 81% 19%
Conferences
220 168
52
100% 76% 24%
Banquets
220 110 110
100% 50% 50%
220
58 162
100% 26% 74%
220
25 195
100% 11% 89%
220
21 199
100% 10% 90%
220
23 197
100% 10% 90%
Table3:Howmanyofthefollowingeventsdoesyourorganizationconductorplaninatypical
year?
PLEASEENTERNUMBEROFEVENTS
Total
Base
206
4
4
Meetings
9
Training/Workshops
8
Conferences
3
Banquets
4
3
3
14
4
92
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Table4:Howmanyattendees,delegatesorparticipantstypicallyattendthefollowingevents:
PLEASEENTERNUMBEROFATTENDEES
Total
Base
206
905
476
Meetings
203
Training/Workshops
258
Conferences
450
Banquets
419
969
3360
2515
3628
Table6:Howwouldyouclassifytheorganizationyourepresent?
SELECTTHEBESTFIT
AVOID"OTHER"IFPOSSIBLE
Total
UnweightedBase
220
Association
124
56%
Corporate
17
8%
Entertainment
2
1%
Government
21
10%
ExhibitionCompany
1
0%
Other
25
11%
Nonprofit
10
5%
SMERF
20
9%
93
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Table7:HowmanymembersdoesyourAssociationhave?
Base
Howmanymembers?
Table8:Whatindustriesdoesyourorganizationrepresent?
CHECKALLTHATAPPLY
UnweightedBase
Technology/Computer
Medical
Health
Pharmaceutical
Automotive
Aeronautical/Space
Fire
Realestate
Financial
Insurance
Law/JuvenileJustice/Courts
Culinary/Hotel/Restaurant/Hospitality
Total
134
2872
Total
219
9
3%
34
11%
33
10%
5
2%
5
2%
9
3%
6
2%
4
1%
17
5%
10
3%
8
3%
16
5%
5
2%
94
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Sports
Other
Arts/Entertainment
Construction
Education
Environmental
Information
Leisure/Recreation
Manufacturing
Retail
Trade/Transportation/Utilities
Tourism
Table9:Wouldyousayyourorganizationis:
UnweightedBase
Small(199employees)
Medium(100249employees)
Large(250+employees)
10
3%
113
36%
1
0%
4
1%
8
3%
0
0%
3
1%
3
1%
2
1%
2
1%
4
1%
4
1%
Total
220
163
74%
22
10%
35
16%
95
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Table10:Whichcategoriesbestdescribetheoriginofattendeesfortheconventionsand
eventsyouconductorplan?
CHECKALLTHATAPPLY
Total
UnweightedBase
220
National/International
69
19%
Regional(multistate)
72
20%
Statewide
144
39%
Local
81
22%
Table11:Whattypeoflocationdoyoupreferforyourconventionsandevents?
CHECKONLYONEANSWER
Total
UnweightedBase
220
ResortArea
104
47%
Suburban
23
10%
Downtown
78
35%
Airport
15
7%
Table12:HaveyouheldaconventionoreventinTallahassee,Floridaduringthepastthree
years?
Total
UnweightedBase
220
Yes
100
45%
No
120
55%
96
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Table13:HowmanyconventionsoreventshasyourorganizationheldinTallahassee,Floridain
thelastthreeyears?
Total
Base
100
Howmanyevents:
6
Table22:Pleaseanswerthefollowingquestionsfortheconventionoreventyouwouldmost
Howmuchexhibitspaceorflatfloorspace(insquarefeet)doesyourconventionoreventrequire?
Base
Flatfloorspaceinsquarefeet:
Total
220
16092
Table23:Howmuchbanquetspace(seatingcapacity)doesyourconventionoreventrequire?
Total
Base
220
Seatingcapacityornumberofpeople:
1125
Table24:Howmanybreakoutmeetingroomsdoesyourconventionoreventrequire?
Base
Numberofbreakoutrooms:
Total
220
97
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Table25:Howmanydelegates,attendeesorparticipantstypicallyattendyourconventionor
event?
Total
Base
220
Howmanyattendees:
1445
Overthenextfiveyears,doyouanticipatethatattendanceatyourconventionor
eventwill:
Total
UnweightedBase
220
Increase
119
54%
Staythesame
88
40%
Decrease
13
6%
Table27:Ifyourconventionoreventhasexhibitors,howmanydoesittypicallyhave?
Total
Base
212
Howmanyexhibitors?
55
98
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SECTIONS.
Total
Base
218
Moveindays
1
Eventdays
3
Moveoutdays
1
Table29:Whatsizeofahotelroomblock(numberofrooms)doesyourconventionorevent
require?
Total
Base
218
Minimumnumberofrooms
273
Preferrednumberofrooms
317
Whatisthetypicalhotelroomrate(dollars)youconsiderforyourconventionor
event?
Total
Base
217
Maximumroomrate$
142
Preferredroomrate$
110
99
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Table31:Howimportantisitthatyouhaveafullserviceheadquartershotelconnectedtothe
conventioncenterwhereyouwouldmostlikelyholdyourconventionorevent?
Total
UnweightedBase
220
Veryimportant
127
58%
SomewhatImportant
55
25%
Notveryimportant
18
8%
Notimportantatall
20
9%
Table32:PleaserateyourlevelofknowledgeregardingTallahassee,Floridaasaconvention
andmeetingdestination.
Total
UnweightedBase
220
Veryknowledgeable
80
36%
Somewhatknowledgeable
80
36%
Notveryknowledgeable
29
13%
Notknowledgeableatall
31
14%
100
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Table33:PleaserateTallahasseeonthefollowingcriteriaasalocationforyourconventionor
eventsrelativetoothercitiesinwhichyouhaveheldormayholdconventionsor
events.
Pleaseuseascalefrom1to5where1meanspoorand5meansexcellent.
Total
Base
220
AvailabilityofExhibitSpace
2
AvailabilityofMeetingSpace
2
AvailabilityofBanquetSpace
2
PriceofMeetingFacilityRentals
2
AvailabilityofHotelRooms
2
PriceofHotelRooms
2
Qualityofhotelrooms
2
AvailabilityofAirTravel
1
ConvenienceforDriveInVisitors
2
Dining&EntertainmentOptions
3
Recreation,Tourism&CulturalActivities
3
Safety
3
Cleanliness
3
AbilitytoAttractAttendees
2
OverallLevelofDestinationAppeal
3
101
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Table34:Pleaseratetheoverallattractivenesstothebestofyourabilitiesforthefollowing
Floridacitiesasalocationforyourconventionorevent(s).
Pleaseuseascalefrom1to5where1meansnotatallattractiveand5means
veryattractive.
Total
Base
220
Jacksonville
3
Lakeland
2
Miami
3
Tampa
4
Orlando
4
Tallahassee
2
DaytonaBeach
3
FortLauderdale
3
FortMyers
2
Sarasota/Palmetto
2
St.Augustine
2
WestPalmBeach
3
102
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Table35:Pleaseratetheoverallattractivenesstothebestofyourabilitiesforthefollowing
othercitiesasalocationforyourconventionorevent(s).
Pleaseuseascaleof1to5where1meansnotatallattractiveand5meansvery
attractive.
Total
Base
220
Raleigh,NC
1
Mobile,AL
1
MyrtleBeach,SC
2
Birmingham,AL
1
Charlotte,NC
1
Richmond,VA
1
Huntsville,AL
1
Savannah,GA
2
BatonRouge,LA
1
Shreveport,LA
1
Jackson,MS
1
VirginiaBeach,VA
1
Charleston,SC
2
103
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Table36:HaveyouwantedtoholdaconventionoreventinTallahassee,butwereunabletodo
sobecauseofalackofadequateconventionandeventcenterspace?
Total
UnweightedBase
220
Yes
77
35%
No
143
65%
Table37:HaveyouwantedtoholdaconventionoreventinTallahassee,butwereunabletodo
sobecauseofalackofavailableorconvenientlylocatedhotelrooms?
Total
UnweightedBase
220
Yes
75
34%
No
145
66%
Table38:Howlikelywouldyoubetoconsiderholdingyourconventionoreventsin
TallahasseeifTallahasseehadaconventioncenterattachedtoafullservice
brandedhotel?
Total
UnweightedBase
220
Verylikely
58
26%
SomewhatLikely
68
31%
Neutral
37
17%
SomewhatUnlikely
21
10%
VeryUnlikely
36
16%
104
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Table39:Howoftenwouldyouconsiderholdingyourconventionorevent(s)inTallahasseeif
Total
UnweightedBase
220
Never
56
25%
Moreoftenthanonceperyear
30
14%
Onceeveryyear
62
28%
Everytwoyears
13
6%
Everythreeyears
18
8%
Everyfouryears
9
4%
Everyfiveyears
16
7%
Lessoftenthaneveryfiveyears
16
7%
Table40:IfyourorganizationheldaconventionoreventinTallahassee,howwouldthemajorityofyourattendeestravelto
Tallahassee?
UnweightedBase
Plane
Car
Bus
Other
Total
220
77
35%
131
60%
5
2%
7
3%
105
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Table60:RecodedQ5Otherevents
UnweightedBase
None
OtherMeetings
AnnualMeeting
Lobbydayforstudents
Banquet
Webinars
Hearings
StatewideConventions/RegionalMeetings
Total
182
162
89%
11
6%
4
2%
1
1%
1
1%
1
1%
1
1%
1
1%
Table61:RecodedQ14Inwhatvenues?
UnweightedBase
Hotel
CivicCenter
ChamberofCommerce
Office/Government/Business
Other/notaplacebuttopicmentioned
Library
ConferenceCenter/College/University
Museum
Other/Parks/
Total
93
32
34%
7
8%
1
1%
13
14%
24
26%
1
1%
11
12%
2
2%
2
2%
106
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Table62:RecodedQ15Reason1fornothavingeventsinTallahassee
UnweightedBase
Total
120
29
24%
29
one
24%
Donotfooutsideregion/localorganization
13
11%
NoBeach
3
3%
11
9%
4
3%
3
3%
Nospecificreason
13
11%
Destinationappealcouldnotsellit
7
6%
Notenoughattendees
2
2%
Onlygotocitiesinvitinguschurch
2
2%
Tallysportseventsinterferwithattentionneeded
1
1%
Locatewithcosponsoringorganization
1
1%
DK
1
1%
NoResortspace
0
0%
OurmemberswanttogetoutofTally
1
1%
NationalInternationalinscope
0
0%
107
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Table63:RecodedQ15Reason2fornothavingeventsinTallahassee
UnweightedBase
Total
24
3
13%
4
one
17%
Donotfooutsideregion/localorganization
0
0%
NoBeach
3
13%
10
42%
2
8%
1
4%
Expensive
1
4%
Table64:Recodeq41Tallahasseestrengths
UnweightedBase
CapitalCity/StateLegislature/Government
Beauty
History/Culture
ProximitytoGulf/Beach
LowCost
Florida/location/weather
Friendly
Total
207
101
49%
19
9%
7
3%
2
1%
4
2%
11
5%
0
0%
108
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None
Cleanliness
DK/neverbeenthere
AlotofmeetingplannersinTally
Easytogetaround/smalltown/localatmosphere/friendly
Other
Proximitytonatureactivities
Closestcitywithmeetingspace
Diversecitizens
Distancefromourmembers/nottoofar
Availableconventionandmeetingspace
SupremeCourtsallowtomeetwithjustices
Tallygoodplaceformeetings/conventions
6
3%
2
1%
17
8%
1
0%
16
8%
6
3%
5
2%
2
1%
1
0%
1
0%
3
1%
1
0%
1
0%
1
0%
Table65:RecodeQ42Tallahasseeweaknesses
UnweightedBase
Total
206
LackofAirService/tooexpensive/nodirectflights
85
41%
Lackofmeetingfacilities/notbigenough/notniceenough
11
5%
LackofHotels/notbigorniceenough
13
6%
NohotelandCCinone
10
109
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Nomajorattractions
NoBeach/Resort
Needbettermarketing
None
Locationtofar/accessibility
Lowqualityhighexpense
Entertainment/dining
Other
Hospitality
Noconventionappeal
DK
Cost
5%
11
5%
8
4%
1
0%
4
2%
30
15%
1
0%
4
2%
5
2%
2
1%
7
3%
13
6%
1
0%
Table66:RecodeFacility1Q16
UnweightedBase
Breakers
Doubletree
Hyatt
Marriott
Hilton
Total
211
4
2%
5
2%
18
9%
5
2%
17
8%
110
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Rosen
Renaissance
4Seasons
Other
Tallahassee
RitzCarlton
FSUCenter
WorldCenter
DisneyGrandFloridian/otherDisneyproperties
ConferenceCenters/Sanibel/others
OrlandoConventionCenter
GaylordPalms/otherGaylord
CivicCenter
DK/NA
SanDestinResort
PalmBeachGarden
Hotel
RamadaInn
NaplesGrandResort/otherNaplesproperties
Sheraton
11
5%
6
3%
3
1%
80
38%
3
1%
6
3%
3
1%
5
2%
5
2%
1
0%
4
2%
1
0%
3
1%
10
5%
1
0%
1
0%
4
2%
1
0%
3
1%
2
1%
2
1%
3
111
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CrownPlaza
Embassy
1%
1
0%
2
1%
1
0%
Table67:RecodeCity1Q17
UnweightedBase
Orlando
Tallahassee
AmeliaIsland
DaytonaBeach
Alexandria,VA
HoweyintheHills
Gainesville
Jacksonville
Clearwater
PalmBeach
Naples
Sarasota
Ft.Myers
Ashville
Total
214
63
29%
18
8%
1
0%
1
0%
1
0%
1
0%
3
1%
13
6%
2
1%
8
4%
5
2%
4
2%
1
0%
1
0%
112
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Tampa
Weston
HutchinsonIsland
LasVegas
St.Pete
Lakeland
Miami
Destin
Ocala
MarcoIsland
Nashville
Tucson
NY
Chicago
Atlanta
PC
Ft.Lauderdale
St.Louis,MO
Other
NewOrleans
AmeliaIsland
Savannah
19
9%
1
0%
1
0%
2
1%
6
3%
2
1%
4
2%
2
1%
2
1%
1
0%
1
0%
1
0%
1
0%
2
1%
9
4%
3
1%
3
1%
1
0%
19
9%
2
1%
1
0%
2
113
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1%
2
1%
0
0%
0
0%
2
1%
1
0%
1
0%
1
0%
0
0%
0
0%
DK/NA
Pensacola
BocaRaton
VirginiaBeach
Melbourne
CocoaBeach
Birmingham
Charleston
SanDiego
UnweightedBase
Breakers
Doubletree
Hyatt
Marriott
Hilton
Rosen
Renaissance
4Seasons
Total
189
3
2%
2
1%
10
5%
4
2%
17
9%
3
2%
6
3%
2
1%
114
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Other
Tallahassee
RitzCarlton
FSUCenter
WorldCenter
CivicCenter
DK/NA
SanDestinResort
PalmBeachGarden
Hotel
RamadaInn
Sheraton
CrownPlaza
Embassy
HaborBeachConventionCenter
86
46%
1
1%
5
3%
2
1%
3
2%
6
3%
0
0%
3
2%
7
4%
2
1%
12
6%
0
0%
0
0%
7
4%
0
0%
2
1%
0
0%
0
0%
3
2%
1
1%
1
1%
0
115
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0%
1
1%
AloftHotel
UnweightedBase
Orlando
Tallahassee
AmeliaIsland
DaytonaBeach
Alexandria,VA
HoweyintheHills
Gainesville
Jacksonville
Clearwater
PalmBeach
Naples
Sarasota
Ft.Myers
Ashville
Tampa
Weston
Total
192
49
26%
10
5%
0
0%
5
3%
0
0%
0
0%
2
1%
9
5%
6
3%
7
4%
3
2%
1
1%
0
0%
0
0%
15
8%
0
0%
116
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HutchinsonIsland
LasVegas
St.Pete
Lakeland
Miami
Destin
Ocala
MarcoIsland
Nashville
Tucson
NY
Chicago
Atlanta
PC
Ft.Lauderdale
St.Louis,MO
Other
NewOrleans
AmeliaIsland
Savannah
DK/NA
Pensacola
0
0%
1
1%
3
2%
1
1%
6
3%
5
3%
3
2%
2
1%
0
0%
0
0%
0
0%
0
0%
3
2%
1
1%
7
4%
1
1%
36
19%
1
1%
0
0%
2
1%
7
4%
1
117
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1%
1
1%
0
0%
0
0%
1
1%
1
1%
1
1%
1
1%
BocaRaton
VirginiaBeach
Melbourne
CocoaBeach
Birmingham
Charleston
SanDiego
UnweightedBase
Breakers
Doubletree
Hyatt
Marriott
Hilton
Rosen
Renaissance
4Seasons
Other
Tallahassee
RitzCarlton
Total
141
4
3%
2
1%
11
8%
2
1%
10
7%
4
3%
3
2%
0
0%
63
45%
1
1%
0
118
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FSUCenter
WorldCenter
CivicCenter
DK/NA
SanDestinResort
PalmBeachGarden
Hotel
RamadaInn
Sheraton
CrownPlaza
Embassy
AloftHotel
HotelDuval
0%
1
1%
2
1%
5
4%
0
0%
0
0%
2
1%
0
0%
15
11%
2
1%
0
0%
2
1%
0
0%
2
1%
0
0%
0
0%
3
2%
2
1%
4
3%
0
0%
0
0%
1
1%
119
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UnweightedBase
Orlando
Tallahassee
AmeliaIsland
DaytonaBeach
Alexandria,VA
HoweyintheHills
Gainesville
Jacksonville
Clearwater
PalmBeach
Naples
Sarasota
Ft.Myers
Ashville
Tampa
Weston
HutchinsonIsland
LasVegas
St.Pete
Total
145
29
20%
7
5%
0
0%
1
1%
0
0%
0
0%
1
1%
6
4%
1
1%
6
4%
4
3%
1
1%
3
2%
0
0%
8
6%
0
0%
0
0%
1
1%
6
120
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Lakeland
Miami
Destin
Ocala
MarcoIsland
Nashville
Tucson
NY
Chicago
Atlanta
PC
Ft.Lauderdale
St.Louis,MO
Other
NewOrleans
AmeliaIsland
Savannah
DK/NA
Pensacola
BocaRaton
4%
0
0%
4
3%
4
3%
0
0%
0
0%
0
0%
0
0%
0
0%
1
1%
3
2%
1
1%
4
3%
0
0%
34
23%
1
1%
2
1%
0
0%
13
9%
0
0%
4
3%
121
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Table72:Recode3aConventionswithexhibits
UnweightedBase
14
59
1019
20+
Table73:Recode4aConventionswithexhibits
UnweightedBase
1249
250499
500999
1,0002,499
2,500+
Total
137
118
86%
8
6%
5
4%
6
4%
Total
136
35
26%
34
25%
32
24%
27
20%
8
6%
122
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Table74:Recode3bConventionswithoutexhibit
UnweightedBase
14
59
1019
20+
Table75:Recode4bConventionwithoutexhibits
UnweightedBase
199
100249
250499
500999
1,000+
Total
92
75
82%
6
7%
5
5%
6
7%
Total
90
13
14%
35
39%
24
27%
7
8%
11
12%
123
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Table86:Recode3cMeetings
UnweightedBase
Total
206
139
67%
50
24%
10
5%
7
3%
UnweightedBase
Total
206
84
41%
55
27%
39
19%
13
6%
15
7%
19
1024
2549
50+
Table87:Recode4cMeetings
149
5099
100249
250499
500+
124
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Table88:Recode3dTraining
UnweightedBase
Total
178
130
73%
36
20%
7
4%
5
3%
UnweightedBase
Total
177
64
36%
64
36%
30
17%
7
4%
12
7%
19
1024
2549
50+
Table89:Recode4dTraining
149
5099
100249
250499
500+
125
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Table76:Recode3eConferences
UnweightedBase
Total
167
143
86%
11
7%
6
4%
7
4%
UnweightedBase
Total
166
40
24%
50
30%
36
22%
21
13%
19
11%
14
59
1019
20+
Table77:Recode4eConferences
199
100249
250499
500999
1,000+
126
Attachment # 1
Page 427 of 438
Table78:Recode3fBanquets
UnweightedBase
Total
110
81
74%
18
16%
6
5%
5
5%
UnweightedBase
Total
108
30
28%
29
27%
27
25%
13
12%
9
8%
14
59
1019
20+
Table79:Recode4fBanquets
199
100249
250499
500999
1,000+
127
Attachment # 1
Page 428 of 438
Table80:Recode3gTradeshows
UnweightedBase
Total
58
51
88%
2
3%
2
3%
3
5%
UnweightedBase
Total
57
34
60%
10
18%
8
14%
5
9%
14
59
1019
20+
Table81:Recode4gTradeshows
1499
500999
1,0002,499
2,500+
128
Attachment # 1
Page 429 of 438
Table90:Recode3hConsumerShows
UnweightedBase
14
5+
Total
24
21
88%
3
13%
Table91:Recode4hConsumerShows
UnweightedBase
1499
500999
1,0002,499
2,500+
Total
21
12
57%
1
5%
4
19%
4
19%
129
Attachment # 1
Page 430 of 438
Table82:Recode3iSports
UnweightedBase
Total
21
12
57%
1
5%
4
19%
4
19%
UnweightedBase
Total
21
9
43%
3
14%
6
29%
3
14%
14
59
1019
20+
Table83:Recode4iSports
1499
500999
1,0002,499
2,500+
130
Attachment # 1
Page 431 of 438
Table84:Recode3jEntertainment
UnweightedBase
14
59
1019
20+
Total
23
19
83%
1
4%
2
9%
1
4%
Table85:Recode4jEntertainment
UnweightedBase
1499
500999
1,0002,499
2,500+
Total
23
8
35%
5
22%
7
30%
3
13%
131
Attachment # 1
Page 432 of 438
Table92:Recodeq7#ofmembers
UnweightedBase
1499
500999
1,0002,499
2,5004,999
5,0009,999
10,000+
Table93:Recodeq13HowmanyconventionsinTallahassee
UnweightedBase
14
59
10+
Table94:Recodeq22Exhibitspaceinsquarefeet
UnweightedBase
124,999
25,00049,999
50,000100,000
100,001+
Total
129
52
40%
18
14%
28
22%
12
9%
7
5%
12
9%
Total
97
62
64%
23
24%
12
12%
Total
173
124
72%
21
12%
24
14%
4
2%
132
Attachment # 1
Page 433 of 438
Table95:Recodeq23#banquetattendees
UnweightedBase
1249
250500
501999
1,0002,500
2,501+
Total
208
83
40%
73
35%
16
8%
20
10%
16
8%
Table96:Recodeq24#ofbreakoutrooms
UnweightedBase
14
59
1019
20+
Total
201
91
45%
60
30%
34
17%
16
8%
Table97:Recodeq25#attendees
UnweightedBase
1499
500999
1,0002,499
2,5004,999
5,000+
Total
219
145
66%
37
17%
25
11%
3
1%
9
4%
133
Attachment # 1
Page 434 of 438
Table98:Recodeq27#ofexhibitors
UnweightedBase
150
5199
100249
250+
Total
157
96
61%
20
13%
31
20%
10
6%
Table99:Recodeq29aMinrooms
UnweightedBase
1100
101249
250499
500999
1,000+
Total
200
96
48%
30
15%
42
21%
20
10%
12
6%
Table100:Recodeq29bPreferredrooms
UnweightedBase
1100
101249
250499
500999
1,000+
Total
199
78
39%
30
15%
55
28%
23
12%
13
7%
134
Attachment # 1
Page 435 of 438
Table101:Recode30aMaxrate
UnweightedBase
1$100
$101$149
$150$199
$200$249
$250+
Total
199
36
18%
60
30%
76
38%
15
8%
12
6%
Table102:Recodeq30bPreferredrate
UnweightedBase
1$100
$101$149
$150$199
$200$249
$250+
Total
198
84
42%
70
35%
36
18%
8
4%
0
0%
135
Attachment # 1
Page 436 of 438
SampleDesignforEmailSurveyswithTelephoneFollowup
Nonscientificsurvey
The nonscientific survey was seeking information on the characteristics of the events that
selectedrespondentsplanandexploredtheirspecificfacilityneeds.Acombinationofmethods
tocollectaccurateandcomprehensivefeedbackfromselectedrespondentswasused.Thetwo
primary tools used included a web based survey with email blast invitations to selected
organizationsandafollowuptelephonesurveyofrandomlyselectedorganizationsthatdidnot
respondtothewebbasedsurvey.
Marketsegmentsincludedtotargeteventplannerswere:
Associations
Education
Government
Travel
Religiousgroups
Corporate
Sports
Entertainment
MasterList(List1)
AmasterlistwascreatedfromcontactlistsrequestedandsubmittedbyVisitTallahassee,FSAE,
and TSAE. The three lists were formatted and combined into one list. This combined list
contained duplicate listings of organizations and only the most appropriate contact was
selected for each organization for inclusion in the sample. Ultimately this list identified 928
organizations. Of those, 228 did not have email addresses but they did have telephone
numbers.
FloridaDirectoryofAssociations
Additionally,adirectoryofallFloridaAssociationswaspurchasedandthislistwassegmented
by reach (international, national, state and regional) and cross checked with the master list.
Duplicates already included in the master list were removed. This list contained 792
organizationswithemailaddresses.
NationalAssociationofSportsCommissions(NASC)
A third list of National Associations of Sports Commissions was obtained and 163 Florida,
Georgia,AlabamaandLouisianaSportCommissionswereselectedforinclusionforthesample.
TotalPopulation
136
Attachment # 1
Page 437 of 438
Thefivelistsconstitutedaselectedpopulationofabout4,000organizations(3,918)includedfor
theemailsurveyandrandomselectionforthetelephonefollowupsurvey.
EmailSurveysandTelephoneFollowupInterviewSamples
EmailSurveySamples
For the email survey three separate invitations were emailed to the master list, Florida
AssociationDirectorylistandtheNASClist.Theemailinvitationsweremailedonthefollowing
dates:
EmailBlasts
(allorganizationsidentifiedfromselectedlistswereincludedintheemailsurvey)
2/14EmailBlast1fromMasterList=700
2/17EmailBlast2fromFloridaDirectoryAssociationList791
2/22EmailBlast3fromNASCList=163
Totalsampleforemailblasts1,654organizations.
TelephoneSampleandSurveyFollowupInterviews
Thetelephonesurveysamplewasselectedbasedonthefollowingcriteria:
All 228 organizations without emails were included from the master list (about one
fourthor24.5%)
268 randomly selected organizations from the master list who did not respond to the
emailinvitation(aboutonethirdofalllistings)
115 organizations from the Florida Directory segmented with international, national,
stateandregionalreachand1,000+members.
88SportsCommissionssegmentedtoincludeFlorida,Georgia,AlabamaandLouisiana.
Totalsamplefortelephonefollowupinterviewsincluded699randomlyselectedorganizations
(orsemirandomlyselected).
ListDescriptionsforSamplesUsed
CombinationofVisitTallahassee,TSAE,FSAE
Cleanedlistwithoutduplicationoforganizations=928
Withemailaddresses=700
Withphonenumbersonly=228
FloridaAssociationDirectoryList
137
Attachment # 1
Page 438 of 438
TotalListings=1,632
NationalAssociationofSportsCommissions(NASC)
Totallist=1,358
FL(112),AL(5),GA(40),LA(6)List=163
PhoneSurveySamplesforPhoneInterviewFollowup
PhoneList1=228(Name=HVSPhoneSample)
Thislistwascomprisedofcontactswithoutemailaddressesfromthemasterlistwithamixof
organizations.
PhoneList2=186(Name=HVSPhoneSample2)
Arandomselectionfromthemasterlistincludingamixofallselectedorganizations.
PhoneList3=82(Name=PhoneSample3)
ArandomselectionfromthemasterlistofotherorganizationsexcludingFloridaassociations.
PhoneList4=115(FloridaAssociationswith1000plusmemberswithinternational,national,
regional,andstatewidereach)
A selection of Florida associations with 1000+ members including associations with
international,national,regionalandstatewidereach.
PhoneList5=88NationalAssociationofSportsCommissions(NASC)
A selected list of NASC, including commissions located in Florida, Alabama, Georgia and
Louisiana.
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Conducted and analyzed a survey of local, state, and national event

Compiled data on 29 competitive and comparable state, regional, and

Recommended a facility program plan and forecast of event demand and

Forecast the financial operations of the proposed headquarters hotel for

Estimated the economic and fiscal impacts of the proposed convention

HVS applied a series of revenue and expense assumptions regarding facility

proposed development. Additionally, the goals and desires of the community,

The followingmapillustratesselectparcelsoflandthatare beingredeveloped

Chevron Property: This 2.5acre land parcel will be zoned as downtown

Overall, the supportive nature of the existing improvements in the area

According to the Federal Emergency Management Agency map illustrated

The subject parcel is located in a Florida Enterprise Zone, more specifically,

Tallahassee is the capital of Florida, as well as a major trading center and

Aprimarysourceof economic anddemographic statisticsusedinthisanalysisis

The characteristics of an area's workforce provide an indication of the type and

According to the TallahasseeLeon County Economic Development Agency, the

Providing additional context for understanding the nature of the regional

State and local government, educational institutions, and healthcare represent

Tallahassee, and Leon County governments. According to local officials, the

University athleticprogramsinduce asignificant amount ofbusinessinto the

A convention center can serve as a gauge of visitation trends to a particular

shows. The facility is located downtown on Pensacola Street, approximately two

Since airport access is an important consideration for event planners, airport

Change in Passenger Activity

National Passenger Volume

Source: HVS, Tallahassee Regional Authority

Alfred B. Maclay State Gardens is a 28acre Florida State Park, botanical

Tallahassee is also home to a number of historic and educational museums

Associationsassociations are usually membership organizations centered

Event Promoterevent promoters are organizations that exist for the

Sports Enterprisesports enterprises are companies or subsidiaries of

Social, Military, Educational, Religious, Fraternal and Ethnic

Privateattendees come to the event by invitation only and do not pay a

Publicthe event is open to the general public. Attendees may need to

Combinationcombination shows typically have an initial period of

Understanding the origin of attendees is critical to event planners and in the

Exhibitincludes the setup displays in exhibition halls or other multi

Application of the OASIS system can provide precise definitions of commonly

Conventionsassociations, government, and SMERFE organizations register

Tradeshowsprovide a means for wholesalers and retailers to transact

Combination Showsare either corporate or enterprise produced, with a

Consumer Showsare public, ticketed events featuring the exhibitions of

Fairsusually involve an exhibit booth setup for a public event in which a

Civic Eventsis typically a local event, always produced by some form of

The convention center industry experienced significant yearovergrowth in

In November of 2010, ExpoWeb conducted a survey of large convention and

Electronic Meetings: In recent years, industry experts have speculated that

In order to gain understanding of the type and size of the organizations

More of than 50 percent of responding organizations indicated that they are

Respondents comprise a wide range of industries with no single industry

The vast majority of respondents, 83 percent, indicated that the presence of a

Tallahassee Civic Center

HVS asked meeting planners to provide details on their overall perception of

Almost half, 47 percent, of the organizations interested in hosting events in

The majority of meeting planners interested in hosting events in Tallahassee, 70

Similar to the number of event attendees, over 70 percent of meeting planners

Convention, conferences, training workshops, and meetings hosted by

The market share of the proposed facility would be strengthened by the

For those meeting planners interested in hosting event at the proposed

Competitive State Venues

Competitive Regional Venues

Comparable National Venues

Exhibition space is critical for several types of events such as conventions,