Page 1

Best Value comparison chart for the City of Ottawa at Lansdowne Park. Lansdowne Park Conservancy compared to OSEG Developers, May 22, 2012.

City/Conservancy Stadium South Stands North Stands/Arena Building Code Changes Total

Landscaping/Green Space Area Green Space and Grounds 80ft Beacon, Paving, Curling Rink 400ft Digital Wall, cement porch Horticulture Bldg Move Horticulture Building Renovations Coliseum Building renovation Infrastructure Retail Space upgrades Improvements to Aberdeen Total

City/OSEG

48,000,000 29,000,000 N/A $77,000,000

39,000,000 44,000,000 23,200,000 $106,200,000

NBBJ, Pro Sports Divison

Cannon Design

16,040,000 N/A N/A N/A, building remains 6,400,000 3,000,000 495,000 500,000 500,000 $26,935,000

16,000,000 5,000,000 3,000,000 10,000,000 3,500,000 N/A 5,000,000 N/A N/A $42,500,000

NBBJ, Landscaping Design

Phillips Farevaag Smallenberg


Hidden Cost to City of OSEG Condos Social Housing Fund ( Condo Cost ) N/A, park remains public

$2,800,000

(City pays developer cost for no social housing)

Parking Number of public parking spots

Underground Parking Soil removal and excavation

Recreation and Entertainment Concert Shell Olympic Swimming Pool/Pavilion Soccer Dome Move Outdoor hockey rinks Outdoor recreational skating Tobogganing hill Total Capital Cost of Project

Total Financing Cost

1,250

660 (balance reserved for towers,condos)

1,200,000 5,000,000 zero, building remains included included included $6,200,000

none none 5,000,000 none included included $5,000,000

N/A, half of existing N/A, soil remains sealed $0

22,523,000 3,500,000 $26,023,000

$110,135,000

$182,523,000

(Professionally costed by NBBJ)

(Confirmed by City Manager)

$169,219,412

$402,549,692

3.67% for 25 years Infrastructure Ontario

4.63% for 40 Years Average rate locked in open market


Revenue - General Operations Pool Revenue Catering, Concessions, Other Aberdeen Pavilion Rentals Parking - Revenue Lease Soccer Bubble Solar Revenue South Stands Concert Shell/Festivals Farmer's Market Summer Farmer's Market Winter Stadium Rental Fee CFL Arena Rental Fee OHL Stadium/Arena Total Revenue - Operations

75,000 100,000 250,000 2,142,000 300,000 642,702 250,000 300,000 100,000 300,000 100,000 2,536,000 $7,095,702

0

(no pool or pavilion) (Developer collects) (Developer collects) (Developer collects)

N/A N/A N/A

0 0 0

(soccer bubble removed) (no solar roof) (no concert shell)

N/A N/A N/A N/A N/A

(Developer collects) (Developer collects) (Developer collects) (Developer collects) (Developer collects)

$0

(City receives lump sum from developers)

Revenue - Lease Operations Total Retail/Office lease space ft² Net Lease space cost/ft² Annual Net Lease Revenue

110,000 $23.47 $2,581,700

339,000 $28.72 $9,736,080

Total Tower lease space ft² Net Lease space cost/ft² Annual Net Lease Revenue Towers Total – Net Annual Lease Operations Total – Lease Revenue to Park

0 $0.00 $0 $2,581,700 $2,581,700

90,000 $22.00 $1,980,000 $11,716,080 $1 (Developers pay $1 a year lease)

Total Annual Revenues

$9,677,402

$1


Expenses Annual Debenture Repayment Stadium/Arena Costs Park and Maintenance Costs Operations Expense Parking Annual Avoided Costs Total Annual Cost

6,768,776 3,702,000 1,500,000 200,000 -3,800,000

10,063,742 0 (developer assumes costs) 1,980,000 0 (developer assumes costs) -3,800,000 $8,370,776 $8,243,742 (Conservancy cost obligations)

(City cost obligations)


Calculations after year 1 Total Annual Revenues Total Annual Costs PROFIT/LOSS after year 1

City with Conservancy $9,677,402 -$8,370,776

City with OSEG $1 -$8,243,742

$1,306,626

Calculations after 40 years

-$8,243,741

City with Conservancy

City with OSEG

Total Capital Cost

$110,135,000

$182,523,000

Avoided costs over 40 years

$152,000,000

$152,000,000

Total Annual Direct Expenses

$5,402,000

$1,980,000

Total Annual Lease Revenue Total Lease Revenue after 40 years

$2,581,700 $190,274,586

$1 $74

Total Annual Operations Revenue Total Operations Revenue; 40 years

$7,095,702 $522,962,297

$0 $0

Condo Air Rights (OSEG only bidder) Tower rights ( OSEG only bidder)

$0 $0 $0

$11,365,000 $3,490,000 $98,000,000

Total Cost of Borrowing

Total Expenses after 40 years

Lease Revenue to pay off debt

Operations Revenue to pay debt

OSEG Capital contributions (Waterfall)

PROFIT/LOSS After 40 years

-$169,219,412

-$402,549,692

-$398,134,297

-$145,928,528

$190,274,586

$74

$522,962,297

($864M to OSEG developers)

$0

$297,883,174

-$283,623,146


Conclusions Net park and social benefits

City with Conservancy

City with OSEG

1. A public spacious heritage development 2. Sylvia Holden Park protected, maintained 3. Less density means less traffic 4. All Heritage protected 5. A reserve fund ensuring no taxpayer cost. 6. Greater tourism potential 7. Promoting local business, profits local 8. Swimming pool and pavilion 9. Concert Shell and promotion of arts 10. Outdoor winter skating, hockey, rinks 11. Works within original zoning 12. Competitive bid, ready for RFP 13. Stadium design, low maintenance steel 14. Use of Solar, follows City/Province plan 15. Large space for Farmers to expand 16. Profitable to City and Taxpayer 17. Less complicated, lower risk

1. A private highrise/shopping centre 2. Sylvia Holden park lost 3. Greater density means more traffic 4. Heritage ignored 5. No reserve fund, high taxpayer cost 6. Lower tourism potential 7. Promoting chains, profits removed. 8. No pool or public pavilion 9. No concert shell 10. Curling rinks 11. New zoning, contrary to good planning 12. Sole sourced bid, legal challenges 13. Stadium design, high maintenance wood 14. No use of solar 15. No room for Farmers to expand 16. Taxpayers must pay -$284M 17. Extremely complicated, higher risk

Conservancy generates $298M for the park

OSEG proposal costs taxpayers -$284M

No taxpayer costs, keeps park 100% public.

and Corporatizes the park.

New comparison financials Lansdowne Park May 22, 2012  

newly updated comparison financials