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0 EXECUTIVE SUMMARY
<br />DRAFT COPY
<br />The exhibit below presents a summary of projected annual financial operating results associated with a potential Youth and
<br />Amateur Sports Complex in Mounds View, as previously outlined herein. Based on the preliminary analysis, upon stabilization
<br />(assumed fourth full year of operation), a Youth and Amateur Sports Complex in Mounds View is estimated to generate a net
<br />operating profit of approximately $16,500, before debt service and capital repair/replacement funding. This projected level of
<br />operating profit is consistent with other comparable indoor sports facilities throughout the country.
<br />OPERATING REVENUES
<br />Rental Income
<br />Camps/Clinics
<br />Concessions
<br />Advertising/Sponsorship
<br />Subtotal
<br />OPERATING EXPENSES
<br />Salaries, Wages and Benefits
<br />Utilities
<br />Maintenance and Repair
<br />Materials and Supplies
<br />Insurance
<br />Concessions
<br />General and Administrative
<br />Subtotal
<br />NET OPERATING INCOME
<br />$154,400
<br />$175,500
<br />$208,800
<br />$232,200
<br />$5,609,200
<br />$10,400
<br />$13,200
<br />$21,800
<br />$22,200
<br />$543,600
<br />$103,700
<br />$132,700
<br />$157,400
<br />$177,000
<br />$4,246,100
<br />$6,600
<br />$7,600
<br />$8,700
<br />$9,900
<br />$237,400
<br />$275,100
<br />$329,000
<br />$396,700
<br />$441,300
<br />$10,636,300
<br />$160,000
<br />$166,900
<br />$174,900
<br />$184,100
<br />$4,507,500
<br />$65,900
<br />$67,900
<br />$69,900
<br />$72,000
<br />$1,860,500
<br />$27,500
<br />$28,300
<br />$29,100
<br />$30,000
<br />$775,000
<br />$16,500
<br />$17,000
<br />$17,500
<br />$18,000
<br />$465,000
<br />$1,600
<br />$1,700
<br />$1,700
<br />$1,800
<br />$45,500
<br />$57,000
<br />$73,000
<br />$86,600
<br />$97,400
<br />$2,335,400
<br />$15,000
<br />$17,500
<br />$19,000
<br />$21,500
<br />$519,400
<br />$343,500
<br />$372,300
<br />$398,700
<br />$424,800
<br />$10,508,300
<br />($68,400)
<br />($43,300)
<br />($2,000)
<br />$16,500
<br />$128,000
<br />It is assumed that the additional courts consistent with a Youth and Amateur Sports Complex would share important operating
<br />synergies with existing Mounds View Community Center operations including shared management and staffing, supplies and
<br />equipment, support space and other such elements. Should the City of Mounds View or another entity seek to independently
<br />develop a multi -court indoor youth sports complex elsewhere in the area, that complex would be expected to operate with a
<br />significantly higher expense budget and much lower cost coverage ratio.
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<br />.,,iS Feasibility Study of a Potential new Youth and Amateur Sports Complex in Mounds View, Minnesota • Page g
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