Savannah Multipurpose Stadium Study

8/11/2019 Savannah Multipurpose Stadium Study

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Multi-Purpose Stadium Market Feasibility Study

SUBMITTED TOThe City of Savannah, Georgia

SUBMITTED BY

C. H. Johnson Consulting, Inc.

September 25, 2014

DRAFT


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6 East Monroe Street| Fifth Floor| Chicago, Illinois 60603| Phone: 312.447.2010| Fax: 312.444.1125

www.chjc.com|[email protected]

TABLE OF CONTENTS

SECTION I

TRANSMITTAL LETTER

SECTION II

INTRODUCTION ....................1

SECTION III

ECONOMIC & DEMOGRAPHIC OVERVIEW..............6

SECTION IV

SITE ANALYSIS.........19

SECTION V

HISTORICAL OVERVIEW & PEER REVIEW .....27

SECTION VI

STADIUM CASE STUDIES..........................35

SECTION VII

SURVEY RESULTS & DEMAND PROJECTIONS.....46

SECTION VIII

ECONOMIC AND FISCAL IMPACTS ANALYSIS........64

SECTION IX

STADIUM FUNDING STRATEGY .......75
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SECTION I

TRANSMITTAL LETTER


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September 25, 2014

Mr. Joe ShearouseCity of Savannah

2 East Bay Street

P.O. Box 1027

Savannah, GA 31402

Re: Multipurpose Stadium Market Feasibility Analysis

Dear Mr. Shearouse:

Johnson Consulting is pleased to submit this DRAFT report to the City of Savannah that analyzes the

feasibility of developing a new multi-purpose baseball stadium that will also operate as a sports entertainment

venue. Our report includes market feasibility analysis, a recommended program and an economic and fiscal

benefits impacts analysis.

Johnson Consulting has no responsibility to update this report for events and circumstances occurring after

the date of this report. The findings presented herein reflect analyses of primary and secondary sources of

information. Johnson Consulting used sources deemed to be reliable, but cannot guarantee their accuracy.

Moreover, some of the estimates and analyses presented in this study are based on trends and assumptions,

which can result in differences between the projected results and the actual results. Because events and

circumstances frequently do not occur as expected, those differences may be material.

We have enjoyed serving you on this engagement and look forward to providing you with continuing service.

Sincerely,

DRAFT

C.H. JOHNSON CONSULTING, INC.


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SECTION II

INTRODUCTION


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Section 2: Introduction & League Overview |DRAFT September 2014

Multipurpose Stadium Market Feasibility Study Savannah, GA

PAGE 1

INTRODUCTION

Johnson Consulting was retained by the City of Savannah to provide market feasibility and an economic and

fiscal impact study for a proposed multipurpose minor league stadium. The City wanted to investigate themerit of renovating the aging Grayson Stadium versus construction of a new minor league ballpark, and, if

Grayson Stadium should prove to be obsolete, how it should be repurposed. Additionally, this study will

examine new downtown minor league stadium developments in nearby regions to assess whether they have

served as a catalyst for economic development in their areas. This study provides a straightforward analysis

that outlines the market opportunity and economic impact of the project to utilize as a tool when discussing

potential funding options for the proposed project.

OBJECTIVES OF THE STUDY

Johnson Consulting has undertaken a program of services designed to accomplish the following major

objectives:

To analyze the market viability of a proposed multipurpose minor league stadium in Savannah, GA.

To quantify the total economic and fiscal impact the proposed stadium will have on the local

community, as well as the ability of the stadium to be a catalyst for economic development.

In addition to this introduction and methodology review, the report contains the following sections:

Section 3 - Presents an economic and demographic overview of Savannah, GA and the regional

market. The information in this section is an essential component in understanding the economicand market framework that will support a new multipurpose stadium.

Section 4 Provides a site analysis of the current Grayson Stadium site and surrounding area as well

as best and highest use opportunities for the site, should a new minor league stadium come to

fruition. Our analysis utilizes a proprietary site analysis to rank each site based on a number of

important factors.

Section 5 Details the historical overview of the South Atlantic League, the Single-A baseball league

in which the Savannah Sand Gnats play. This section also includes market demographics of other

South Atlantic League teams to compare to Savannah.

Section 6- Includes a case study analysis of four minor league stadiums: NewBridge Bank Park in

Greensboro, NC; Fluor Field in Greenville, SC; Joseph P. Riley Jr. Park in Charleston, SC; and

Parkview Field in Ft. Wayne, IN. Each case study breaks down the history of the stadium, its funding

sources, event demand and, when applicable, program recommendations for the proposed stadium in

Savannah, GA.


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Section 7 Includes results from our survey used to generate projections of attendance, number of

events based on market potential, capture rate and comparable performance. This section further

provides our recommended program of amenities at a potential new multi-purpose stadium inDowntown Savannah.

Section 8 Provides the economic and fiscal impacts of a new multipurpose baseball stadium in

Savannah.

Section 9 - Offers multiple national funding options and mechanisms utilized for stadium

construction, as well as some local funding options.

APPROACH / METHODOLOGY

In order to accomplish these objectives, the program of analysis conducted by Johnson Consulting has

undertaken the following research tasks:

Interviewed stakeholders to gather information, obtain work performed to date, and understand the

expectations and objectives of this development

Examined regional economic and demographic data and projected regional economic trends relevant

to supporting the proposed development.

Interviewed industry participants and those familiar with the local market to identify specific market

opportunities

Launched a local survey to assess interest from the local population

Conducted an assessment of programming and utilization at peer facilities

Prepared an economic and fiscal impact analysis based on projected demand

ABOUT THE CONSULTING TEAM

C.H. Johnson Consulting (Johnson Consulting) is a nationally recognized authority on sports venues,

stadiums, arenas, and mixed-use development projects. The firm works nationally and internationally for

cities, counties, universities and private sector developers. Previous clients and work experience include thefollowing: the minor league/spring training stadium at Osceola County Heritage Park in Kissimmee, Florida;

the new Atlanta Braves Ballpark in Pearl, MS; the redevelopment of the Jerry Uht Ballpark in Erie, PA; a

minor league stadium in Ocala, FL for the New York Yankees Class A-Advanced affiliate; an economic

analysis for a Class AA baseball stadium in Biloxi, MS; and a market and feasibility analysis for a Frontier

League expansion team in Franklin, WI. We offer clients assistance with the development of creative and


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effective business plans for complex projects. We are able to integrate information from multiple parties into

a single tool for use by governmental agencies to help execute complex real estate projects.

TERMS OF ASSIGNMENT

This report is based on estimates, assumptions, actual operating data and other information obtained from

our research, our prior experience with similar assignments, and information received from the Client and

other sources. The sources of information and basis of estimates and assumptions are stated herein. Findings

presented within this report are based on Johnson Consultings assessment of various data, market

characteristics, discussions with project stakeholders, and documented assumptions. We cannot represent our

projections as results that will actually be achieved.

EXECUTIVE SUMMARY

A City has to provide an array of public amenities if it is of a certain size. Libraries, airports, museums, arenas,

convention centers and ballparks fall into this category of public amenities. Some will debate the merits of

each type of asset, but when residents, visitors, local corporations, and newly locating companies seek to visit

or reside in a certain market, such amenities are crucial to their interests. Multipurpose stadiums can be

catalysts for economic development, if the setting and motivations are aligned for success. Some markets

have performed poorly. In these few instances common characteristics are present a poor site is chosen,

political gain is sought, or all dollars are consumed by the project.

Savannah is a unique, robust market due to steady growth and a diverse employment base, as well as the

historical nature of the community. The population, median household income, rebounding employment

figures and expanding list of companies indicate that Savannah is capable of supporting a new multipurpose

stadium. Additionally, given the robust tourism industry, a newly constructed stadium should be able to

capture a percentage of that tourism market that Grayson Stadium currently does not have due to its location

and functionality. A well-located stadium especially should be able to generate additional demand from event

holders, concert promoters and local event holders for its event space. New stadium projects can also bring

about economic development in the immediate area to support the influx of residents and visitors to the area,

ultimately raising property values and tax revenues within Savannah.

Looking at the current stadium characteristics in Savannah compared to other South Atlantic League markets,

we see that the Sand Gnats currently play in the 2nd oldest stadium in Class A minor league baseball andcurrently ranks 26 out of 30 in total seating capacity. Grayson Stadium is also one of seven stadiums in Class

A that does not offer club or luxury seating. Case studies of comparable venues, as discussed in more detail

in latter sections of this report, suggest that the availability of specialty and group seating would create

additional revenue and community involvement.

A new multipurpose stadium in Savannah will ultimately rely upon local corporations and residents, whose

support and involvement will be critical to the teams ability to attract sponsorship support and corporate


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suiteholders from the local business community. A new stadium that will keep the Sand Gnats located in

Savannah will be most beneficial for local residents because it will provide family entertainment options,

seasonal employment and volunteer opportunities while also providing residents a facility for numerousspecial events outside of baseball. Graysons location and physical offerings do not have that opportunity,

even if renovated to first-class standards.

Site selection is a crucial decision, and a myriad of factors, both objective and subjective, influence the

potential performance and contribution of a facility. Poor site selection inhibits the ultimate success of a

project and affects its performance for generations. Far too often, communities locate a facility on a site not

because it is the most advantageous spot or in the location that will best contribute to the overall objectives

of the community, but out of immediacy, availability, cost or other factors that speak to convenience over

market strategy and product positioning.

If a new stadium project is approved, the City will gain the most benefit by selecting the largest, most open

site to allow for adjacent mix-used development. This will create an entertainment district appeal which is

very important for a stadium. The Savannah River Landing site meets these criteria and would be able to host

multiple land uses, which will make for great mixed-use development and a true regional destination. In

previous studies conducted by Johnson Consulting there has been a positive correlation between the number

of event days held at an events facility and the proximity of hotel, retail and entertainment facilities. These

adjacent amenities are available at the River Landing Site but not at Grayson Stadium.

Based upon the various data points, Johnson Consulting recommends a capacity of 5,500 seats, including

fixed and berm seating, at a new multipurpose stadium in downtown Savannah. A stadium of that size willaccommodate an outdoor concert, and can adequately serve a number of other multipurpose functions.

Other recommended features include:

Field Turf

12-16 luxury suites

2-3 Premium Clubs offering all-inclusive ticket deals ranging in price-level

360 degree, walkable concourse to allow unobstructed sightlines of the field

Multiple group seating locations along the baselines to capitalize on the growing trend in minor

league baseball.

Although Grayson Stadium no longer remains a suitable venue for professional baseball, Johnson Consulting

is of the opinion that Grayson Stadium should be repurposed in order to remain a part of the many historic

facilities found throughout Savannah. The Stadiums configuration and location in Daffin Park lends itself to


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becoming a highly utilized amateur venue for high school and youth sporting events. The adjacent land in

Daffin Park can be transitioned and modified into baseball and softball fields with Grayson Stadium serving

as the championship site, giving the City the ability to lure more regional and even national tournamentevents.

Johnson Consulting feels strongly that the development of a new multipurpose stadium will be a successful

investment on behalf of the City of Savannah. It will keep the Sand Gnats from relocating and will likely

serve as a catalyst to spur new development and entertainment in the Downtown district. A new stadium also

offers a unique opportunity for the City of Savannah to further capitalize on its strong tourism base by

providing additional entertainment options to its existing visitors, while also attracting new tourists by hosting

events they were previously incapable of attracting due to a lack of adequate facilities.


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SECTION III

ECONOMIC & DEMOGRAPHIC OVERVIEW


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Section 3: Economic & Demographic Analysis | DRAFT September 2014


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6 East Monroe Street | Fifth Floor | Chicago, Illinois 60603 | Phone: 312.447.2010 | Fax: 312.444.1125

www.chjc.com | [email protected]

ECONOMIC AND DEMOGRAPHIC ANALYSIS

In order to analyze the market opportunity for a proposed South Atlantic League franchise, Johnson

Consulting undertook a comprehensive review of market conditions in the City of Savannah, relative to theCounty, as well as state and national averages. We then compared this data to other South Atlantic League

markets. The key objectives of this analysis are to identify structural factors, opportunities and weaknesses

that may affect the markets ongoing competitive situation, and to gauge the level of support that exists for

the franchise.

While characteristics such as population, employment and income are not strict predictors of the

performance of sports franchises, these metrics provide insight into the capacity of a market to provide

ongoing support for an organization. We can also use these metrics to determine whether an area is able to

capitalize on a new baseball stadium by adding new development, or revitalizing vacant retail/commercial

locations.

In addition, the size and role of a marketplace, its civic leadership, proximity to other metropolitan areas,

transportation concentrations, economic deal structure, management expertise, and the location of competing

and/or complementary attractions directly influence the scale and quality of what can be supported within

that particular market.

MARKET OVERVIEW

Savannah is a city that promotes its history. Residents of Savannah have gone to great lengths to restore

homes, public buildings and tree-filled squares to maintain the unique features of the city. This unique

atmosphere helps Savannahstourism industry, which has boomed dramatically since the mid-1990s and now

attracts over 12 million tourists per year.

This increase in tourism and other positive economic growth over recent years has enabled Savannah to take

advantage of its history past to grow for the future. The Historic Landmark District is undergoing

commercial revitalization that links it with the Victorian District and also reaches the eastside islands, the

Southside and the industrialized areas west of Savannah.

Savannah has the unique distinction of being Americas first planned city. Designed with 22 of its original 24

public squares, visitors are drawn to the citys representation of more than 8 prominent architectural styles of

the 18th and 19th centuries. With over 13 million visitors in 2013, Savannah has capitalized on its unique

history. With more than 50 companies providing guided tours in Savannah, visitors have various touring

options available to them, including walking, biking, Segway, boat, and trolley transportation.

Figure 3-1 provides a map of Savannah and the surrounding region.
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Figure 3 - 1

CURRENT POPULATION

In 2014 the City of Savannah had an estimated resident population of 143,363 persons, representing 38.8%

percent of the total population of the Savannah metropolitan area, with a total of 369,479 people. These

population figures do not include the transient student population at colleges and universities in the Savannah

MSA. Between 2000 and 2014, the population of Savannah increased at an average annual rate of 0.6

percent, which was slightly lower than the rate of growth observed throughout the Savannah MSA (1.7

percent per annum), Georgia (1.5 percent) and the U.S. as a whole (0.9 percent).


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Table 3-1

Since 2000, the population of Savannah has grown 8.2 percent which is less than the rates of growth

experienced over the same time frame in the MSA (24.9 percent), Georgia (22.2 percent) and the U.S. (12.5

percent). Looking at the annual growth rate from 2000-present, Savannah (0.6 percent) compares slightly

better to the County (1.4 percent), MSA (1.7 percent), State of Georgia (1.5 percent) and the Nation (0.9

percent).

PROJECTED POPULATION GROWTH

Population projections indicate that the population of the City of Savannah will reach 145,867 persons in

2019. Between 2014 and 2019, the population of the City is projected to grow at an average annual rate of 0.3

percent, for a total growth of 1.7 percent. These rates are lower than the rate of population growth forecast

throughout the Savannah MSA, Georgia and the U.S. as a whole. These projections are likely not taking into

account the Savannah Harbor Deepening Expansion project, which could add several hundred thousand

additional jobs statewide.

Table 3 - 1


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AGE CHARACTERISTICS

The age characteristics of Savannah are generally consistent with those of the Savannah MSA, Georgia, and

the U.S. as a whole. Savannah comprises a higher percentage of young adults aged 20-34 years (28.9 percent)than the MSA (24.2 percent), Georgia (21.1 percent), and the U.S. (20.6 percent) and also a lower proportion

of children aged less than 15 years, accounting for 18.8 percent of the population of the City compared to

20.1 percent of the metropolitan population, 21 percent of the State, and 19.5 percent of the national

population. Savannah comprises a lower proportion of adults over the age of 55 compared to the U.S.

average, accounting for 22.4 percent of the Citys population, compared to 25.8 percent throughout the U.S.

Although lower than the U.S. average, this age distribution is fairly consistent with the Savannah MSA (23.4

percent), and Georgia (22.7 percent).

Table 3 - 2

No. % No. % No. % No. % No. %

0-4 10,102 7.0% 19,786 7.0% 25,823 7.0% 690,237 6.9% 20,331,031 6.4%

05-14 16,904 11.8% 33,929 12.0% 48,319 13.1% 1,423,991 14.2% 41,634,820 13.1%

15-19 10,186 7.1% 18,848 6.7% 25,364 6.9% 712,405 7.1% 21,735,398 6.8%

20-24 16,588 11.6% 26,950 9.6% 32,074 8.7% 733,379 7.3% 22,712,390 7.2%

25-34 24,824 17.3% 45,748 16.2% 57,221 15.5% 1,392,851 13.8% 42,811,079 13.5%

35-44 15,816 11.0% 33,343 11.8% 46,111 12.5% 1,408,598 14.0% 41,174,682 13.0%

45-54 16,846 11.8% 35,105 12.5% 48,244 13.1% 1,420,959 14.1% 45,053,232 14.2%

55-64 15,245 10.6% 32,319 11.5% 41,972 11.4% 1,147,495 11.4% 38,892,217 12.3%

65-74 8,905 6.2% 20,156 7.2% 25,592 6.9% 678,966 6.7% 23,713,248 7.5%

75-84 5,312 3.7% 10,969 3.9% 13,282 3.6% 330,658 3.3% 13,379,604 4.2%

85+ 2,637 1.8% 4,717 1.7% 5,478 1.5% 123,551 1.2% 5,894,012 1.9%

TOTAL 143,363 281,870 369,479 10,063,090 317,331,714

Source: DemographicsNow, Johnson Consulting

Age Distribution - City of Savannah (2014)

Age Group

(Years)

City of Savannah Savannah MSA Georgia U.S.Chatham County

MEDIAN AGE

As of 2014 the median age of residents of the City of Savannah is 31.6 years, which is lower than figuresrecorded for the Savannah MSA (34.2 years), Georgia (35.6 years), and the U.S. as a whole (37.4). Between

2000 and 2014, the median age of residents of Savannah has decreased by 1 year, reflecting an opportunity for

population growth in the near future as young families emerge. Minor League Baseball presents an

entertainment option for young adults. The median age in Savannah indicates there is a large number of

young professionals who are likely to utilize the entertainment and nightlife that the City of Savannah has to

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Table 3 - 3

2000 2010 2014Growth in Years

2000-2014

U.S. 35.3 37.1 37.4 2.1

Georgia 33.4 35.3 35.6 2.2

Savannah MSA 34.2 34.4 34.2 0.0

Chatham County 34.4 34.1 33.9 -0.5

City of Savannah 32.6 31.6 31.6 -1.0


Median Age - City of Savannah (2000-2014)

EDUCATIONAL ATTAINMENT

In the City of Savannah approximately 16.7 percent of residents aged 25 years and older have earned a

bachelors degree. This is slightly lower than the percentage throughout the Savannah MSA where 18.9

percent of residents aged 25 years and older have a bachelors degree, and is comparable to the state and

national level, where 17.8 percent and 17.9 percent respectively have attained a bachelors degree.

Table 3 - 4

No. % No. % No. % No. % No. %

Grades K-8 2,620 2.9% 5,007 2.7% 6,523 2.7% 288,077 4.4% 9,941,166 4.7%

Grades 9-11 9,511 10.6% 15,536 8.5% 20,871 8.8% 631,363 9.7% 17,338,170 8.2%

High School Graduate 27,935 31.2% 50,870 27.9% 69,521 29.2% 1,877,105 28.9% 59,555,076 28.2%

Some College, No Degree 20,141 22.5% 41,896 23.0% 53,904 22.7% 1,362,908 21.0% 44,824,095 21.3%

Associates Degree 5,474 6.1% 12,425 6.8% 16,330 6.9% 444,827 6.8% 16,244,267 7.7%

Bachelors Degree 14,981 16.7% 35,931 19.7% 45,034 18.9% 1,160,039 17.8% 37,815,987 17.9%

Graduate Degree 7,336 8.2% 18,728 10.3% 23,540 9.9% 652,762 10.0% 22,398,532 10.6%

No Schooling Completed 1,586 1.8% 1,964 1.1% 2,175 0.9% 85,997 1.3% 2,800,781 1.3%

TOTAL 89,584 182,357 237,898 6,503,078 210,918,074

Educational Attainment - City of Savannah (2014) Age 25+ Population

U.S.GeorgiaSavannah MSACity of Savannah Chatham County


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UNEMPLOYMENT

The following table shows the annual unemployment rates for Chatham County, the Savannah MSA,

Georgia, and the U.S. from 2005 to 2014 according to the Bureau of Labor Statistics. The Savannah MSA,Georgia, and the U.S. have experienced similar fluctuations in unemployment, with the greatest increase

occurring in 2009 with a 2.8 percent increase in the County, 2.8 percent for the MSA, 2.3 percent for Georgia,

and 2.6 percent for the U.S. as a whole. Unemployment in Chatham County and the Savannah MSA has

decreased consistently with the state of Georgia, but remains 1.5 percent and 1.1 percent higher than the

national unemployment rate through July 2014, which is the most recent data available.

Table 3 - 6

Rate Change Rate Change Rate Change Rate Change

2005 4.5% - 4.3% - 5.0% - 4.9% -

2006 4.1% (0.4) 3.9% (0.4) 4.5% (0.5) 4.4% (0.5)

2007 4.1% - 3.9% - 5.1% 0.6 5.0% 0.6

2008 5.7% 1.6 5.5% 1.6 8.1% 3.0 7.3% 2.3

2009 8.5% 2.8 8.3% 2.8 10.4% 2.3 9.9% 2.6

2010 9.1% 0.6 9.0% 0.7 10.2% (0.2) 9.4% (0.5)

2011 9.2% 0.1 9.0% 0.0 9.5% (0.7) 8.5% (0.9)

2012 8.5% (0.7) 8.3% (0.7) 8.7% (0.8) 7.9% (0.6)

2013 7.7% (0.8) 7.5% (0.8) 7.4% (1.3) 6.7% (1.2)

2014* 7.8% 0.1 7.4% (0.1) 7.4% - 6.3% (0.4)

*June 2014 is most recent data available

Source: Bureau of Labor Statisti cs, Johnson Consulting

Unemployment Rate - Chatham County (2005-2014)

Chatham County Georgia U.S.Savannah MSA
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HOUSEHOLD INCOME

Income characteristics of the local market are a key indicator of the overall health and vibrancy of a market.

In general, higher income levels lead to greater amounts of disposable income that can be spent on non-

essential items, such as recreation and sports entertainment. In 2014, median household income in the City of

Savannah is estimated to be $31,758 per year. This is below the estimated figures for the County ($42,378),

MSA ($46,563 per year), Georgia ($48,202 per year) and the U.S. as a whole ($51,972 per year). This variance

is consistent with that of the year 2000, and is projected to continue into 2019 with median household

income in the City reaching $34,881, compared to the $47,555 for the County, $52,569 for the MSA, $55,155

throughout Georgia, and $60,447 for the U.S. as a whole.

Table 3 - 7

2000 2010 2014 2019CAGR*

2000-2014

CAGR*

2014-2019

U.S. $42,253 $51,362 $51,972 $60,447 1.5% 3.1%

Georgia $42,783 $47,973 $48,202 $55,155 0.9% 2.7%

Savannah MSA $39,675 $45,499 $46,563 $52,569 1.2% 2.5%

Chatham County $38,016 $42,686 $42,378 $47,555 0.8% 2.3%

City of Savannah $30,095 $32,442 $31,758 $34,881 0.4% 1.9%

* Compounded Annual Grow th Rate


Median Household Income - City of Savannah (2000-2019)

CORPORATE PRESENCE

A strong corporate and business presence can be an important factor in the success of sports organizations

because local businesses can attract residents and visitors to an area, provide disposable income, and support

facilities and/or teams through donations, advertising, and the leasing of premium suites, party decks or VIP

seating areas.

The following table shows the largest private employers throughout Metro Savannah as provided by the

Savannah Economic Development Authority. As shown, the largest employers are concentrated within the

aerospace equipment and healthcare industries.


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Table 3 - 8

Employer Industry Employees

Gulfs tream Aerospace Corporation Jet Aircraft, Aerospace Equipment 9,663

Memorial Health University Medical Center Hospital 5,000

Savannah-Chatham County Board of Education Public Schools 4,808

Ft. Stewart/Hunter Army Airfield Civilian Personell 4,637

S. Joseph's/Candler Health System Hospital 3,304

City of Savannah Government 2,795

Savannah College of Art & Design Education 1,750

Chatham County Government 1,600

Georgia Port Authority Ship Terminal Operation 988

Colonial Group Oil & Gas Operations 900

Armstrong Atlantic State Universi ty Education 602SouthCoast Medical Group Medical Care 601

International Paper Paper Products, Chemicals, Corrugated Containers 600

US Army Corp of Engineers Civil Engineering 600

Savannah State University Education 586

Goodwill Industries of the Coastal Empire Adult Vocational Rehabilitation 560

JCB Americas, Inc. Construction Equipment 558

Georgia Power Company-Coastal Region Electric Utility 473

Imperial Sugar Refined Sugar 450

Brasseler USA, Inc. Dental Instruments 420

Mitsubishi Power Systems Americas, Inc. Gas/Steam Turbines 420

The Landings Club Private Club 400

CSX Railroad Line 308TMX Finance Financail 302

Derst Caking Company Bakery 273

Dollar Tree Assundry Product Distribution 271

Source: Savannah Area Chamber of Commerce, Johnson Consulting

Largest Employers - Savannah

UNIVERSITY AND COLLEGE PRESENCE

The following universities and colleges located within the Savannah area could offer unique partnerships for a

South Atlantic League team, and/or the baseball stadium:

Savannah State University:As the oldest public historically black university in the State of Georgia,Savannah State offers graduate and undergraduate studies including nationally accredited programs

in the liberal arts, the sciences and the professions. The Universitys program offerings include the

College of Business Administration, the College of Liberal Arts and Social Sciences, College of

Sciences and Technology and the School of Teacher Education, which lead to baccalaureate and

master's degrees.


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Savannah College of Art and Design:A private University with locations in Savannah and Atlanta,

Georgia as well as two international locations in Lacoste, France and Hong Kong, China. SCAD

opened in 1979 with approximately 500 students and now has over 10,000 students. SCAD hasworked with the City of Savannah to preserve its architectural heritage, which included repurposing

and restoring historic building into college facilities. The college owns two historic theaters, the

Trustees Theater and the Lucas Theatre for the Arts; both are utilized for the highly attended

Savannah Film Festival, which has annually averaged approximately 40,000 in attendance. SCAD

Athletics is a member of the National Association of Intercollegiate Athletics (NAIA), SCAD athletic

teams have ranked consistently among the nations top 25 teams, in mensand womens swimming as

well as mens equestrian.

South University:The University traces its heritage to 1899, when Dr. John Draughon established

Draughon's Practical Business College in Savannah, Georgia. Since that time, South University hasexperienced continued growth transforming from a two-year college into a University offering four

year degree programs - undergraduate and graduate - with campus locations in several cities

nationwide, including Savannah, Georgia. South University is accredited by the Commission on

Colleges of the Southern Association of Colleges and Schools to award associate, baccalaureate,

masters and doctorate degrees.

SAVANNAH TOURISM

Overview

According to a 2013 Visitor Report conducted by Longwoods Travel USA, 40 percent of overnight visitors

were in Savannah visiting friends and family, slightly below the U.S. norm of 44 percent. More unique to

Savannah, 19 percent of overnight visitors claimed that touring was the main purpose of their leisure trip,

more than doubling the national norm of 7 percent.

Although Grayson Stadium plays into the historical feel of Savannah, a location more accessible to the

downtown area would add to the visual appeal of the city and provide a change of pace for the visitors

exploring the cities historical district. It would also attract other demographics of visitors who would not

otherwise visit Savannah for its historical sites. It is important to consider ways to incorporate promotional

efforts of the Sand Gnats through these avenues, as well as tap into what this demographic of people value in

other leisure activities.

Another benefit Savannah provides is the consistency in which people travel to the city throughout the year.

According to Savannahs 2013 visitor report, overnight trips to Savannah are slightly higher during the

months that overlap with the Sand Gnats season. 27 percent of all overnight trips occur between April and

June, while 25 percent occur between July and September. The remaining months of the year (January-March

and October-December) see 24 percent of the overnight stays in each of these quarters. This consistent influx


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of people throughout the year will allow for a fairly consistent market size to pull from when the stadium

looks at hosting events, even after the baseball season is over.

Looking at the regional tourism industry as a whole, hotel receipts are 7.4 percent ahead of the first quarter of

2013, and first quarter 2014 economic analysis for the region shows the leisure/hospitality sector increased by

800 jobs to an all-time high of 24,100. The tourism-related sector now represents the largest major

employment sector in the Savannah economy.

Local Attractions

Table 3-9 lists a sample of local attractions for tourists in Savannah. Please note that this is only a small

example of entertainment options in the City of Savannah.

Table 3-9

Category Location

2 Car Garage Contemporary Art Gallery

Chroma Gallery

Brown's Reel 'Em N Deep Sea Fishing Charters

Coastal River Charters

Marshland Inshore Fishing Adventures

Miss Judy Charters

Sweet Lowland Charters

Tybee Is land Charters

Skidaway Island State Park

Old Fort Jackson

Forsyth Park

Savannah's Historic Squares

Tybee Is land Beach

Fort Pulaski National Monument

Oatland Island

Wilderness Southeast

StarCastle Family Entertainment Center

The Mighty Eighth Air Force Museum

SCAD Museum of Art

Ships of the Sea Museum

Jepson Center for the Arts

Telfair Academy of Arts & Sciences

Numerous His toric Home Museums

Island Miniature Golf & Games

Ogelthorpe Speedway Park

19 Golf Courses

Trustee's Theatre (SCAD)

Lucas Theatre

Savannah Theatre

All In One Destinations , Inc.

Architectural Tours of Savannah, LLC

Dolphin Magic Tours, LLC

Ginny Howell Tours

Golden Isles Touring Co.

Greenfeet Walkabouts

Hearse Ghost Tours

Mikki's Tours by Taste

Personal ized Tours of Savannah

Plantation Carriage Co.

Savannah Movie Tours

Tour Buddy

Tours by BJ

Source: Savannahmeetings, Johnson Consulting

Tourist Attractions - City of Savannah (2014)

Eco-Tourism

Charters and Marinas

Art Galleries

Tours

Sports and Recreation

Theatre

Museums

Family Entertainment


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ACCESSIBILITY

Savannah is easily accessible via numerous modes of transportation, and as such can draw visitors from a

wide catchment area:

Airport: Savannah is well-positioned and located less than ten minutes from the Savannah/Hilton

Head International Airport. This airport serviced approximately 1.6 million passengers in 2013, with

approximately 823,500 enplanements and 818,600 deplanements. Over $1 billion has been invested

since 2006 to renovate and expand airport infrastructure to accommodate the large number of

tourists visiting the region.

Road:Savannahs highway transportation network includes the Jim Gillis Historic Savannah Parkway

(I-16) which branches off from I-75 in Macon, GA and connects to Savannahs historic districtfrom

the west. I-95 runs along the west side of Savannah and interchanges with I-16 on Savannahs westside. U.S. Highway 17 runs parallel to I-95 and veers off in Hardeeville, SC to enter Savannah from

the northwest corner on Hutchinson Island. Transportation within Savannah is facilitated by

Veterans Parkway which runs north and south on the citys west sideand Harry S. Truman Parkway

which runs north and south along the east side of Downtown Savannah. Highway 80 runs east and

west through Savannahs Midtown and ends at the Atlantic Coast on Tybee Island. Figure 3-2

provides a detailed look at the roadways.

Figure 3-2


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HOTEL INVENTORY

There are 84 lodging properties within Savannah offering a total of approximately 14,000 rooms. There are 67

properties within the same radius offering at least 100 roomsthe largest properties are the 400-room WestinSavannah Harbor Golf Resort and Spa and the 391-room Savannah Marriot Riverfront Hotel. The average

size for properties with at least 100 rooms is 167 rooms.

Table 3-10 lists a sample of the properties with at least 100 rooms within the closest proximity to Grayson

Stadium.

Table 3-10

Property Distance fromGrayson

Stadium (Miles)

Distance from

proposedRiverfront site

(Harbor St.)

# Guest Rooms MeetingSpace

(sq.ft)

Savannah Marriot Riverfront 4.0 0.2 391 36,000

Brice-Kimpton Hotel 4.1 0.4 145 5,518

Hampton Inn Savannah Historic Dis trict 4.4 0.7 144 -

Holiday Inn Express Savannah His toric District 4.4 0.7 143 4,130

Hyatt Recency Savannah 4.6 0.9 351 33,000

The Bohemian Hotel 4.7 0.9 75 8,500

AVIA Hotel 4.7 1.0 151 7,962

Inn at Ellis Square 4.7 1.0 252 6,239

Andaz Savannah 4.7 1.0 151 9,362

DoubleTree Hotel His toric Savannah 4.8 1.1 150 5,160Hilton Garden Inn His toric Savannah 4.8 1.1 133 2,988

Hilton Savannah DeSoto 3.3 1.2 162 21,512

SpringHill Suites by Marriott Savannah Historic Dis trict 3.5 1.3 162 1,200

Courtyard Savannah Downtown/Historic Dis trict 3.6 1.6 156 -

Country Inn & Suites 3.6 1.6 102 1,000

Hampton Inn & Suites Savannah Historic District 3.9 1.6 154 -

Mansion on Forsyth Park 2.7 1.7 126 13,000

The Westin Savannah Harbor Golf Resort & Spa 6.7 5.1 403 35,000

Homewood Suites by Hilton 3.7 7.4 106 1,008

Hilton Garden Savannah Midtown 4.3 7.4 132 7,850

La Quinta Inn 4.6 7.8 154 -

Quality Inn Midtown 4.2 7.9 170 2,784

Total - - 3,913 202,213

Note: Hotels w ithin 10 mile radius of Grayson Stadium

Source: Savannahmeetings, Johnson Consulting

Sample of Hotels with 100+ Rooms - City of Savannah (2014)
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CONCLUSION

Savannah is a unique robust market due to steady growth and a diverse employment base. The population,

median household income, rebounding employment figures and expanding list of companies indicate thatSavannah is capable of supporting a new multi-purpose stadium. Additionally, given the robust tourism

industry, a newly constructed stadium should be able to capture a percentage of that tourism market that

Grayson Stadium currently does not. A well-located stadium especially should be able to generate additional

demand from event holders, concert promoters and local meeting holders for its meeting space. New stadium

projects can also bring about economic development in the immediate area to support the influx of residents

and visitors to the area, ultimately raising property values and tax revenues within Savannah.

A new minor league stadium in Savannah will ultimately rely upon the support of corporations within the

area, as well as local residents. Their involvement will be critical to the teams ability to attract sponsorship

support and corporate suiteholders from the local business community. A new stadium that will keep theSand Gnats located in Savannah will be most beneficial for local residents because it will provide family

entertainment options, seasonal employment and volunteer opportunities while also providing residents with

a facility that can host numerous special events in addition to baseball.


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SECTION IV

SITE ANALYSIS


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Section 4: Site Analysis |DRAFT September 2014

Multipurpose Stadium Market Feasibility StudySavannah, GA

PAGE 19

6 East Monroe Street| Fifth Floor| Chicago, Illinois 60603| Phone: 312.447.2010| Fax: 312.444

www.chjc.com|cjohnson@chjc

SITE ANALYSIS

In this section we present an assessment of the current Grayson Stadium site and an alternative site at

Savannah River Landing for a proposed multipurpose baseball stadium location. This evaluation process uses

our teams experience with similar projects and results in a site analysis according to best practices for urban

planning and economic development. This is critical to establishing a hierarchy for more detailed technical

analyses of individual sites and provides a framework to assess other sites, if they are identified. It is also a key

process in determining, and then confirming, the development goals and sensitivities for completing a

potential multipurpose stadium project.

Site selection is a crucial decision, and a myriad of factors, both objective and subjective, influence the

potential performance and contribution of a facility. Poor site selection can inhibit the ultimate success of a

project and affect its performance for generations. Far too often, communities locate a facility on a site notbecause it is the most advantageous spot or in the location that will best contribute to the overall objectives

of the community, but out of immediacy, availability, historical context, cost or other factors that speak to

convenience over market strategy and product positioning.

The following site parameters are necessary considerations for the successful development of a new stadium

in todays modern baseball era:

Provision of a site large enough to allow for not only a multipurpose stadium, but also subsequent

expansion and adequate parking.

A site that has destination appeal to patrons for pre- and post-event activities, and is visible and

convenient to access.

A site that leverages tourism dollars and other visitor positive impacts, rather than wastes them.

Consideration of zoning, streetscape, transit connections, design standards, and land use around the

facility that is conducive not just to the proposed Stadium, but to the development of a region-wide

identity.

Furthermore, when considering potential sites for a new multi-purpose stadium, there are a number of civic

goals that should be identified and pursued in selecting the most advantageous site. Some of these goals are

subjective in nature and may appeal to intuition or emotions in a way that cannot be quantified. The act of

defining common goals of various stakeholders helps to build familiarity and consensus for the project.

Ultimately, the preferred site is the one that exhibits the best overall mix of attributes, with broad recognition

by all stakeholders that trade-offs are required as it is highly unlikely that a single site embodies the best of

each attribute. In todays market, goals and attributes to be prioritized include:


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The primary goal should be to make the Stadium environment a recognized district, a unique

destination, regional draw, and a necessary part of the Savannah experience for stadium attendees

and tourists alike. Sites within the downtown area that are situated closest to the vast majority oftourists and the City hotel clusters will have the greatest benefit to the City.

A Stadium should be highly visible and easily accessible from the major approaches into the city.

The economic purpose of building a stadium is to maximize the amount of economic impact gained

from collateral development or expansion of existing support businesses.

A multipurpose stadium is built as an economic development tool, for entertainment, and as a

community investment in the tourism, recreation, hospitality, and entertainment businesses. While

the notable and ongoing direct benefits of bringing visitors (and their related spending) to Savannah

is well established, there are also benefits associated with the construction of adjacent businesses,

including new jobs. Such a project can also enhance the image of the community as a potential

corporate location because it provides a premier source of affordable entertainment to the

community.

Each of the goals and attributes outlined above are implicit in Johnson Consultings evaluation of the

potential sites.

INITIAL SITE REVIEW

The Consulting Team was provided an extensive tour of Grayson Stadium, which included a walk-through ofthe grandstands, club house, concession area and the surrounding land outside of the stadium. Additionally,

the Consulting Team review the Savannah River Landing site as a potential location for a new multipurpose

stadium.


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GRAYSON STADIUM SITE

The current location of Grayson Stadium in Daffin Park offers several advantages, as the location of a multi-

purpose stadium:

First and foremost, there are real and obvious cost savings, including land acquisition and

construction that would result from not building a new stadium.

Restoring and preserving the historic nature of Grayson Stadium as one of the oldest functioning

ballparks in baseball is consistent with the Citys dedication to historic preservation.

Grayson Stadium is currently interlaced with the surrounding residential and retail commercial

community and has become part of the fabric of Daffin Park and the local neighborhood.

As with any site, there are also disadvantages, some of which are prohibitive as it relates to a desirable site for

a Single-A Baseball stadium:

Parking has been maximized on site and is still not sufficient for the desired attendance. In addition

there is little la land available for additional parking

Limited access to the site from the local road network results in insufficient egress and ingress to the

site

The distance from historic downtown Savannah significantly limits the opportunity for tourists to

attend games at this site.

The lack of amenities found in modern facilities and the increasing capital improvement cost of

maintenance has rendered the existing facility obsolete as the home stadium for a Single-A Baseball

franchise. Therefore, significant investments would need to be made in the existing facility to make

this site a viable location for a multi-purpose Minor League Baseball stadium.

An aerial view of the existing site is shown below for reference.


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Figure 4-1

SAVANNAH RIVER LANDING

For the purposes of a site analysis and comparison to the existing Grayson Stadium location, the Consulting

Team chose a site location at Savannah River Landing. The Savannah River Land site is located on the eastern

edge of downtown, adjacent to the Marriot Hotel and along the Savannah River. Please note that other sites

within the Savannah River Landing or in other locations within the City of Savannah have not been included

in this analysis, but may have similar advantages and/or disadvantages. The Savannah River Land site offers

the following advantages:

The sites proximity to the Historical Riverfront District is its primary advantage. Approximately 12

million tourists visit this area annually. A new multipurpose stadium at the River Landing site

presents an opportunity to capture a large portion of Savannahs visitors. Coupled with the proximity

of nearby hotels, restaurants, and parking, a new multipurpose stadium could enhance the existing

tourism base in Savannah.

Construction of a multi-purpose stadium at Savannah River Landing would serve as a potential

catalyst for future and additional development in this area which has sat vacant and underutilized for

many years.

Good ingress and egress to the site due to its proximity to the Truman Parkway. Site access will also

improve after the capital improvements planned for Presidents Street Extension are completed.

There is one primary disadvantage to construction of a multi-purpose stadium at this site:


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The cost for land acquisition, design, permitting, and construction of a new multi-purpose stadium

would be significant when compared to utilization of an existing facility. However, if the City

Council deems construction of a new multi-purpose stadium to be a priority for the citizens of thiscommunity, and the necessary funding exists, then this ceases to be a major concern.

It will also be important for the City to consider the best possible use for a particular site when choosing a

location for a future multi-purpose stadium. Once built, the facility will likely determine the character of

adjacent development for years to come.

Figure 4-2

EVALUATION

In order to evaluate the strengths and weaknesses of both the Savannah River Landings site and the existing

Grayson Stadium site, Johnson Consulting created an evaluation matrix that examines critical factors related

to market considerations, project development, site access, site development costs. Site selection factors are

rated as excellent, good, fair, or poor. Please note that site development costs rated on an alternate scale as

high, mid, low or none.

For the purposes of this comparison, please be aware that an assumption has been made that the Grayson

Stadium facility would be upgraded to be consistent with the proposed design of a new multi-purpose

stadium. These factors will be critical for the City Council to consider when making the decision to construct

a new multi-purpose stadium, and if so, where it should be located. Should the City Council elect to move


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forward with construction of a new multi-purpose stadium, then this same process could be utilized to assess

the advantages and disadvantages of other potential locations. .

The comparative matrix appears in Figure 4-3 below.

Figure 4-3

Grayson

Stadium

Savannah

River Landing

Visibility from highway and supportive land uses Fair Good

Leverage adjacent land uses Fair Excellent

Ability to yield a distintive project Good Excellent

Proximity to retail & restaurants Good Excellent

Proximity to existing parking Fair Poor

Hotels within walking distance Poor Excellent

Historical Significance Excellent Poor

Site ownership and control Excellent Fair

Ability to construct appropriate parking Poor Excellent

Vehicle Fair Good

Pedestrian Fair Excellent

Transit Fair Good

Site acquisition None High

Infrastructure Low Mid

Design, permitting and construction Mid High

Financing Options Mid High

Site Development Costs

Source: Ecological Planning Group, Johnson Consulting

Savannah Multi-Purpose Stadium

Site Analysis

Market Considerations

Project Development Considerations

Site Access


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The Savannah River Landing site holds a competitive advantage against the existing Grayson Stadium site in

many of the key elements listed in the matrix above. The Citys ownership of the existing Grayson Stadium

site is more economically appealing than the Savannah River Landing site, where the potential acquisition costremains unknown at this time. The Savannah River Landing site proximity to the downtown core, and its

ability to leverage the existing 12 million visitors on an annual basis, makes this site most attractive in terms of

creating a customer base for a new multipurpose stadium. As shown in Figure 4-4 below, the current site is

located approximately 3.3 miles from the historic downtown district; however the Savannah River Landing

site affords fans the ability to walk to and from the historic riverfront and downtown central business district.

Additionally, the River Landing site resides within the boundaries of the East Downtown Tax Allocation

District (TAD), which affords the project additional resources to finance construction and operations of a

future multi-purpose stadium. The proposed multi-purpose stadium would also provide a benefit to this

struggling TAD; as shown in our case studies for similar minor league developments, because such projectsoften serve as economic catalysts for new development in to their surrounding community.

Figure 4-4


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CONCLUSION

After touring the sites and performing the analysis summarized above the Consulting Team considers the

Savannah River Landing site to be more attractive than the Grayson Stadium site for the location of amultipurpose stadium.

If a new stadium project is approved, the City will gain the most benefit by selecting a site that will also allow

for adjacent mix-use development. This will create an entertainment district appeal which is can be important

for the success of a future multi-purpose stadium project. The Savannah River Landing site meets these

criteria and would be able to host multiple land uses, which will make for a true regional destination. In

previous studies conducted by Johnson Consulting, our team has noted that there is a positive correlation

between the number of events, and attendance at those events, and the proximity of the facility to hotel, retail

and entertainment facilities.


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SECTION V

HISTORICAL OVERVIEW & PEER REVIEW


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Section 5 Historical Overview & Peer Review |DRAFT September 2014


PAGE 27



CLASS A & SOUTH ATLANTIC LEAGUE TRENDS

MINOR LEAGUE BASEBALL

Minor League Baseball, which consists of 240 teams, was founded in 1869. These teams are predominately

located in warm weather climates and range over 6 countries. In addition, they capitalize on small cities where

there is a demand for baseball in particular. This League is a proving ground for athletes to get to the next

level, Major League Baseball. The Minor Leagues also serves as a place for Major League players affected by

injuries, in which they can rehabilitate with the benefits of still playing legitimate competition. Minor League

Baseball is categorized into sub leagues from single A to AAA.

MINOR LEAGUE BASEBALL CLASSIFICATIONS

Class AAA- This level of baseball usually consists of either older players who have had some Major League

experience or younger players who are on their way to the Major League level of play. Often times the Major

League parent club will bring an (AAA) player to fill in for an injured player for a short period, before

returning to the (AAA) team.

Class AA- This is the most competitive level of play for Minor League baseball. It has often been said that if

you can compete in (AA) baseball, then you can most likely play at the highest level (Major League). Younger

and more talented players characterize this level of play.

Class A-Advanced- This is just a step above the rookie league and is known as more of a hitters league.

Pitchers are usually learning how to pitch, in terms of location and velocity/control, while hitters are more

likely to perform well (pitching is not at the highest competitive level yet).

Class A (Full Season)-Class A League baseball consists of two leagues, the South Atlantic and Midwest

Leagues. All 29 teams are affiliated with a major league organization. These leagues consist mostly of players

moving up from Short-Season Class A and Rookie leagues. Rarely do experienced first-year players remain in

(A) baseball for extended periods of time.

CLASS A MARKET DEMOGRAPHICS

There is no direct correlation between the location of teams and the size of their market. Cities are more

often selected because of their location and financial terms, rather than the size of their population. In the

South Atlantic League, populations range from 31,000 in Salisbury, MD to over 310,000 in Lexington, KY. In

the Midwest League, city populations range from approximately 18,500 in East Lake, OH to over 255,000 in

Fort Wayne, IN. The average size of a city with a South Atlantic team is 112,000 residents, slightly higher

than the Midwest League average of approximately 80,000 people per city. In addition to population size not

being a key determinant of the location of teams, cities with higher populations do not always achieve higher
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Section 5 Historical Overview & Peer Review |DRAFT September 2014


PAGE 28



attendance. Rather, attendance is most heavily influenced by the physical location of the stadium, its

surrounding support offerings, branding, management, and the age and condition of the facility.With that

said, attendance and community engagement projections must be realistic in correlation to the size of eachmarket. Demographic information will be explored in this section and the data will be used to give a better

picture of Savannahs position as a market for minor league baseball.

Table 5-1 provides a summary of key demographic information of Class A cities relative to Savannah.


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Section 5: Historical Overview & Peer Review | DRAFT September 2014


PAGE 29

Table 5-1

Team/Market City2014 MSA

Pop

Rank

1-30

2014 City

Pop

Rank

1-30

2019 MSA

Pop

Rank

1-30

Est Growth

2014-2019

Rank

1-30

Number of

Establishments

Rank

1-302014 HH

Rank

1-302019 HH

Rank

1-30

Est Growth

2014-2019

Rank

1-30

L ake wo od Bl ue Cl aws L akewo od , NJ 1 9,99 3,3 87 1 5 6,44 4 1 6 2 0,35 0,8 03 1 1 .79 % 2 3 8 50 ,98 1 1 7 ,36 4,2 64 1 7 ,5 38 ,8 30 1 2 .37 % 22

Ka ne Co un ty Co urga rs Ge neva , IL 9 ,5 82 ,8 72 2 2 1,95 2 2 7 9 ,8 51 ,5 27 2 2 .80 % 1 9 3 42 ,33 3 2 3 ,54 1,2 19 2 3 ,6 62 ,7 70 2 3 .43 % 18

Ka nn ap ol is In ti mi da to rs Ka nn ap ol is , NC 2 ,3 53 ,7 84 3 4 4,32 7 1 8 2 ,5 58 ,3 96 3 8 .69 % 1 8 5,56 7 3 9 02 ,41 6 3 9 85 ,9 37 3 9 .26 % 1

Lake Couty Captains Eas tlake, OH 2,062,945 4 18,487 29 2,076,617 4 0.66% 27 79,902 4 850,402 4 861,924 4 1.35% 27

West Michigan Whitecaps Comstock Park, MI 1,018,027 5 10,493 30 1,056,177 5 3.75% 14 33,870 5 379,616 5 395,471 5 4.18% 14

Greenville Drive Greenville, SC 855,834 6 61,674 14 896,873 6 4.80% 10 28,547 7 334,249 6 352,126 6 5.35% 11

Dayton Dragons Dayton, OH 802,294 7 141,459 6 813,139 7 1 .35% 24 28,004 8 329,072 8 335,644 7 2.00% 25Gr eens bo ro Grass hopper s Gr eens bo ro , N C 744 ,672 8 279,560 2 779 ,252 8 4 .64% 11 29,566 6 299 ,708 5 316 ,118 8 5 .48% 10

Charleston RiverDogs Charleston, SC 719,421 9 127,248 8 776,793 9 7.97% 2 25,618 9 282,518 9 307,104 9 8.70% 2

Augusta GreenJackets Augusta, GA 581,427 10 198,832 4 607,881 10 4.55% 12 18,353 12 222,214 24 234,106 10 5.35% 12

Lexington Legends Lexington, KY 494,880 11 3 11,889 1 523,661 11 5 .82% 6 20,345 10 199,804 9 212,548 11 6.38% 6

Lansing Lugnuts Lansing, MI 466,505 12 1 14,792 1 0 479,145 12 2 .71% 17 16,390 14 184,691 13 191,146 13 3.50% 17

Asheville Tourists Asheville, NC 435,030 13 85,626 13 457,518 13 5.17% 8 19,128 11 184,509 11 195,984 12 6.22% 7

Fort Wayne TinCaps Fort Wayne, IN 425,178 14 258,931 3 439,065 14 3.27% 15 14,959 15 165,901 15 171,985 14 3.67% 15

Delm arva Shorebirds Salis bury, MD 387,040 15 30,566 24 411,520 15 6 .32% 4 16,186 13 153,428 14 164,602 15 7.28% 3

Qu ad Ci ty R ive r Ba ndi ts Da ve np ort, IA 3 83 ,6 90 16 1 02 ,65 9 1 1 38 8,8 37 1 7 1 .34 % 2 6 1 3,53 9 1 7 1 57 ,05 1 1 6 1 60 ,1 38 16 1 .97 % 26

Peoria Chiefs Peoria, IL 379,881 17 115,509 9 387,086 18 1.90% 21 12,695 18 1 52,310 17 156,132 17 2.51% 21

Sa vanna h Sa nd Gna ts Sa va nnah, GA 3 69 ,4 79 18 1 43 ,36 3 5 3 92 ,2 51 1 6 6 .1 6% 5 1 4,08 3 1 6 1 40 ,44 8 1 5 1 50 ,3 44 18 7 .0 5% 4

Hickory Crawdads Hickory, NC 362,534 19 40,496 21 373,141 19 2.93% 16 11,803 19 143,298 18 148,377 19 3.54% 16

So uth Ben d Si lve rh awks So uth Be nd , IN 3 18 ,7 56 20 1 00 ,94 2 1 2 32 3,4 08 2 0 1 .46 % 2 5 1 0,60 9 2 0 1 23 ,72 6 1 9 12 6,4 04 20 2 .16 % 23

Cedar Rapids Kernels Cedar Rapids, IA 262,088 21 128,484 7 271,917 2 2 3.75% 13 10,028 21 106,388 21 111,098 21 4.43% 13

Hagerstown Suns Hagers town, MD 257,813 22 40,642 20 274,881 21 6.62% 3 8,551 22 97,945 22 104,839 22 7.04% 5

Wi scon si n Ti mb er R attl ers Gra nd Ch ute , WI 2 30 ,1 97 2 3 2 0,98 6 2 8 24 2,1 38 23 5 .19 % 7 7 ,3 86 2 4 9 0,19 3 2 3 9 5,3 52 24 5 .72 % 9

West Virginia Power Charles on, WV 225,167 24 50,940 17 222,356 24 - 1.25% 30 8,471 23 97,083 22 96,421 23 -0.68% 30

Bo wl ing Gre en Hot Rod s Bo wl in g Gre en , KY 1 65 ,0 35 2 5 6 0,60 4 1 5 1 73 ,1 91 25 4 .94 % 9 5 ,8 50 2 5 6 4,10 7 2 4 67,8 25 25 5 .80 % 8

Beloit Snappers Beloit, WI 160,423 26 36,869 22 164,776 26 2.71% 18 4,745 26 63,022 26 65,108 26 3.31% 19

Rome Braves Rome, GA 96,348 27 36,373 23 98,593 27 2.33% 20 3,307 27 35,996 26 37,103 27 3.08% 20

Great Lakes Loons Mindland, MI 84,042 28 42,033 19 85,256 28 1.44% 22 2,717 28 33,706 28 34,410 28 2.09% 24

Clinton Lum berKings * Clinton, IA 48,351 29 26,387 2 6 48,200 29 -0.31% 28 1,883 30 19,824 30 19,886 30 0.31% 28

Burlington Bees* Burlington, IA 47,270 30 25,645 25 46,744 30 -1.11% 29 2,026 29 20,003 29 19,906 29 -0.48% 29

Average 1,477,146 91,140 1,519,038 3.41% 57,581 557,970 577,321 4.08%

* Reside within Micro MSA not Metro

Source: Johnson Consulting, Demographics Now, Facility websites

Class A Population MSA
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As shown in Table 5-1, the MSAs with the highest populations are home to the Lakewood BlueClaws in the

South Atlantic League and the Kane County Cougars of the Midwest League. Lakewood is able to draw from

the New York-Newark-Jersey City MSA while the Kane County Cougars benefit from their location withinthe Chicago-Naperville-Elgin MSA. Savannah ranks 18th out of 30 Class A baseball markets in terms of

population and fifth in terms of projected population growth at 6.16 percent. The Savannah market looks to

grow at almost twice the five-year average rate of growth for a Class A minor league market (3.4 percent).

Savannah also ranks fourth in projected growth in number of households at 7.05 %. Although the Savannah

MSA population ranks in the bottom 50 percent of Class A baseball markets, the city of Savannah is the fifth

largest of the Class A markets (and this estimate does not include the 12 million tourists that visit Savannah

annually.

SAVANNAH AND THE SOUTH ATLANTIC LEAGUE

The South Atlantic League, which was founded in 1904, is part of the Class A (full season) minor league

baseball league. It is composed of fourteen teams all of which are affiliated with their respective Major League

Baseball counterpart. After undergoing several changes to the league name and its members in the early years

of operations, the league has remained in its current format since 1980 and operates out of Clearwater,

Florida.

The Savannah Sand Gnats were founded in 1984. The Sand Gnats play at Grayson Stadium in Savannah.

Initially built in 1926, Grayson Stadium was rebuilt in 1941 after significant damage by a hurricane in August

of 1940. The team began playing in the South Atlantic League as the Savannah Cardinals in 1984 and

remained an affiliate of the St. Louis Cardinals until 1996. Since 1996, the Sand Gnats were given their

current nickname and have been affiliated with the Los Angeles Dodgers, Texas Rangers, Montreal

Expos/Washington Nationals, and currently are the Class A affiliate of the New York Mets. The Sand Gnats

have won four South Atlantic League titles, including a league championship in 2013.

SOUTH ATLANTIC LEAGUE DEMOGRAPHICS

Johnson Consulting conducted a demographic analysis of each market in the South Atlantic League. This

analysis focused on each MSA that is home to a South Atlantic League team. The following table provides a

summary of the demographics for Savannah and where it ranks in comparison to other South Atlantic League

markets.


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PAGE 31

Table 5-2

Demographic Variable Savannah

Rank out

of 14 Average High LowPopulation 369,479 10th 1,991,291 19,993,387 96,348

*Median Age 34 1st 38 43 34

Median Household Income $46,563 7th $47,131 $63,396 $37,964

Total Spending - Sports Admissions $2,864,792 13th $41,128,446 $456,489,118 $684,252

Corporate Inventory 14,083 10th 81,395 850,981 3,307

* Ranked from youngest to oldest

Demographic Variable Savannah

Rank out

of 14 Average High Low

Population 143,363 4th 104,074 311,889 30,566

*Median Age 34 3rd 34 42 17

Median Household Income $31,758 13th $39,246 $48,702 $31,260

Total Spending - Sports Admissions $927,892 6th $2,381,256 $21,288,850 $234,059

Corporate Inventory 7,375 4th 5,299 13,931 1,362

*Ranked from youngest to oldest

Source: Demographics Now, Johnson Consulting

South Atlantic League Markets (City)

South Atlantic League Markets (MSA)

Table 5-2 displays key demographic indicators of the Savannah MSA. As shown, the MSA ranks seventh out

of twelve teams with respect to median household income, tenth with respect to population, and tenth for

corporate inventory. Savannah represents the youngest demographic in the South Atlantic League, with a

median age of 34 years old. The City of Savannah fares better when comparing the demographics of each city

in the South Atlantic League, with the exception of median household income. The lower-than-average

income in the Savannah area correlates in part to a younger overall population. Although this may indicateless available discretionary income for local residents, minor league baseball offers an affordable form of

entertainment.

As a whole, Savannah is a strong market for minor league baseball. Two things that these demographics do

not take into account are the approximately 12 million visitors to Savannah each year and the lack of

competition from other professional sport teams in the area. Additionally, the Savannah Harbor Deepening

Expansion Project should have an enormous impact on the demographics in Savanah, especially population,

income, corporate inventory and spending.

CLASS-A STADIUM CHARACTERISTICS

Johnson Consulting performed a comparative analysis of all Class-A team stadiums. This analysis includes the

South Atlantic and Midwest Leagues, and draws comparisons between the populations of the relevant MSAs,

the capacity of the stadiums, attendance, and potential revenue streams through single game ticket pricing and

luxury suites. The following table outlines these stadiums.


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PAGE 32

Table 5-3

Stadium Team MSAPopulation

Year Capa city 5 Year AvgAttendance

Low High LuxurySuites

ClubSeats

South Atlantic League

McCormick Field Ashe ville Tou ris ts 435 ,030 192 4 3,500 2,374 $8.00 $30.00 - -

Lake Olmstead Stadium Augus ta Gree nJac kets 581 ,427 199 5 4,822 2,910 $8.00 $12.00 - -

Joseph P. Riles , Jr. Park Charles ton RiverDogs 719,421 1997 6,000 3,991 $8.00 $18.00 8 -

Arthur W. Pe rdue Stadi um Delm arva Shorebirds 387,040 1996 5,200 3,307 $13.00 $30.00 6 258

NewBridge Bank Park Greensboro Grasshoppers 744,672 2005 7,499 5,598 $6.00 $9.00 16 -

Fluor Field Greenville Drive 855,834 2006 5,700 4,889 $7.00 $10.00 18 -

Municipal Stadium Hagerstown Suns 257,813 1930 4,600 1,710 $6.00 $9.00 14 -

L.P. Frans Stadium Hickory Crawdads 362,534 1993 5,062 2,040 $7.00 $9.00 4 -

CMC-Northeast Stadium K an na po li s In ti mi da to rs 2 ,3 53 ,7 84 1 99 5 4,700 2,003 $7.00 $9.00 6 -

FirstEnergy Park L akew ood BlueC law s 19 ,9 93,38 7 2 00 1 6,588 6,150 $6.00 $9.00 20 -

Whitaker Bank Ballpark Lexington Legends 494,880 2001 6,994 4,634 $10.00 $24.00 26 750

State Mutual Stadium Rome Braves 96,348 2003 5,105 2,765 $6.00 $10.00 14 1,269

William L. Grayson Stadium Savannah Sand Gnats 369,479 1926 4,000 1,949 $6.00 $9.50 - -

Appal ach ian P owe r Park West Virginia Power 225,167 2005 4,500 2,526 $7.00 $9.00 14 -

South Atlantic League Average 1,991,201 5,305 3,346 $7.50 $14.11 13 759

Midwest League

Harry C. Pohlman Field Beloit Snappers 160,423 1982 3,501 1,068 $7.00 $9.00 - -

Bowling Green Ballpark Bowling Green Hot Rods 165,035 2009 5,229 3,427 $10.00 $26.00 10 177

Cummunity Field Burlington Bees* 47,270 1970 3,500 914 $5.50 $8.00 - -

Ve te ra ns Me mo ria l Sta diu m C ed ar Ra pi ds K ern els 262,088 2002 5,300 2,509 $7.00 $10.00 12 -

Ashfo rd Un ivers ity Field Clin ton L um berK ing s* 48,351 1937 3,000 1,728 $7.00 $8.00 - -

Fifth Third Field Dayton Dragons 802,294 2000 7,230 8,451 $9.75 $13.75 30 1360

Parkview Field Fort Wayne TinCaps 425,178 2009 8,000 5,663 $5.00 $12.50 16 135

Dow Diamond Great Lakes Loons 84,042 2007 5,200 3,840 $6.00 $8.50 12 -

Fifth Third Bank Ballpa rk Kan e Cou nty Cou gars 9,582,872 1991 5,800 6,452 $9.00 $13.00 - -

Classic Park Lake County Captains 2,062,945 2003 7,273 3,793 $7.00 $9.00 20 -

Thomas M. Cooley Law School

StadiumLans ing Lugnuts 466,505 1996 10,000 5,284 $10.00 $22.50 26 1052

Dozer Park Peoria Chiefs 379,881 2002 7,500 3,035 $10.00 $10.00 20 -

Modern Woodm en Park Quad City River Bandits 383,690 1932 5,500 3,519 $8.00 $14.00 20 252

Four Winds Field South Bend Silverhawks 318,756 1986 5,000 2,511 $9.00 $11.00 10 -

Fifth Third Ballpark West Mich igan Whi tecaps 1,018,027 1994 10,700 5,385 $6.00 $14.00 24 -

Neuroscience Group Field at Fox

City StadiumWisconsin Timber Rattlers 230,197 1995 5,500 3723 $6.00 $18.00 3 72

Midwest League Average 1,027,347 6,140 3,728 $7.64 $12.95 17 595

* Resides w ithin Micro MSA

Source: Revenues from Sports Venues, Bureau of Economic Analysis, Respective Teams, Johnson Consulting

Single Game Tickets

Characteristics of Class A Baseball Markets

Class A (Full Season) baseball only consists of 30 teams in the U.S. The average MSA market within the

Midwest League is 1,027,347 people, while the average MSA market for South Atlantic league teams is

1,991,201. The Savannah Sand Gnats rank 26 out of 30 in average attendances for Class A teams over thepast five years. The 4,000 seat capacity at Grayson Stadium as well as the average ticket price is below average

for organizations competing in Class A.

Table 5-4 compares six organizations that are closest in market size to Savannah.


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