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Convention Centers: Losers or Producers

by Freda Parker

"A convention center can be a loser or a producer, and it doesn't matter how big it is or where it's located," -- David B. South

David's not alone in this thinking. In March 2001, Ronald A. Wirtz, editor of the fedgazette published by the Federal Reserve Bank of Minneapolis, wrote, "It's easy to love shiny new buildings, and even easier when they are believed to be harbingers of local economic development. (But) little attention is paid to the profitability of the superstructures themselves. Facilities (stadiums and convention centers) rarely repay their construction costs, still many are fortunate to simply cash-flow in a given year...."

In another article, David Greusel, AIA with HOK Venue wrote, "In cities that are not first-tier convention destinations, center managers and governing boards are often required to bring something extra to the table when developing support for expansion or new buildings." Greusel calls this "something extra" a "combo platter -- a convention center paired with some other type of assembly use." (http://www.iaam.org)

Referring to the Wirtz and Greusel articles, South said, "I agree with both. Economically, a convention center can be a big disappointment -- a big money-loser. But I believe it has an equal potential to do the opposite: develop a new economic base or rejuvenate a sagging one. Good planning is the key."

According to South, three planning factors play a critical role in the success or failure of a convention center:

  1. Multi use
  2. Affordable construction or first costs
  3. Affordable operational costs

South said that Monolithic Domes work well for each of these factors and shared his thoughts on each:

Multi use:

Monolithic Domes make great convention centers. They can be designed as single domes with huge diameters of 300 or 400 feet and several levels or as a series of interconnected, smaller domes. Their inner space, open and uninterrupted by supporting posts, is equally versatile. That space can be easily divided into rooms and areas with flexible perimeters so that both large and small events can be accommodated. But while a Monolithic Dome convention center can be designed in virtually any size, to increase its earning potential, thought must be given to how the center will be used.

Unless they are in a big city with a variety of attractions for visitors, convention centers designed for only one kind of event, such as trade shows and conferences, usually fall into the loser category. That's because in mid-size cities and small towns there's simply not enough demand for what single-use centers supply.

But smaller communities can stimulate demand by designing a convention center that can accommodate more than one activity, with some running simultaneously. For example, a center could host a business conference, a banquet celebration and a theater performance, each in its own suitably designed area but at the same time. Such multiple events reduce or eliminate sitting-idle time and increase profits.

A community that wants a convention center (and who doesn't?) must analyze what it already has that attracts out-of-towners and what its local people want and need. The less there is to attract visitors, the more is needed for local consumption.

But bigger or grander doesn't always translate into better. If a community is to economically profit from a convention center, the center must provide income-generating opportunities that aren't already there. For instance, a town with enough theaters doesn't need another one in its convention center. Instead of generating new income, such planning results in stealing from Peter to pay Paul.

Then too, bigger often is not better for entertainment and sporting events. When locals know that a facility usually has more than enough seating, it's virtually impossible to sell advance or season tickets -- sometimes despite the popularity of a performer or team. The smarter plan could be a center that would occasionally turn people away rather than be too big and lose money.

These days, convention centers, especially those in small towns that will depend on local patronage, can include just about anything: conference and banquet rooms, restaurants, sports and rodeo arenas, movie and live performance theaters, a shopping mall -- even an amusement park. A community's decision on just how big and how inclusive its convention center should be is best decided by carefully analyzing its particular economy and the interests of its people.

Affordable Construction or First Costs:

Monolithic Domes usually fit nicely into any community's budget for such a structure. In fact, the larger or more complex the center, the more a community usually can save by going Monolithic.

There are several reasons for this and not one of them includes cheap materials or shoddy workmanship. The main ingredients of a Monolithic Dome are an inflatable Airfom made of PVC coated nylon or polyester fabric that gives the structure its shape; polyurethane foam for superior insulation; steel-reinforced concrete for strength, durability and disaster survivability. (click here for more information about the Monolithic Dome.)

Once the Airform is inflated, most of the construction process takes place inside, unhampered by weather or time. Costly delays are avoided since construction can continue in rain, snow or sleet and even at night.

And as part of its service, Monolithic offers professional construction management and design/build plans that help keep construction costs down and insure quality work and satisfaction.

Affordable Operational Costs:

Monolithic Domes usually not only cost less to build but cost less to run. They are energy-efficient. Because they are so well insulated with polyurethane foam sandwiched between the Airform and the concrete, Monolithic Domes require less energy for heating and cooling, smaller heating and cooling systems, and less maintenance of those systems.

The domes have a life span measured in centuries and the ability to provide what FEMA (Federal Emergency Management Agency) calls near-absolute protection from natural disasters, such as hurricanes, tornadoes and earthquakes. Because of this quality, many Monolithic Domes already in use as schools and churches have been officially designated as community disaster shelters. A Monolithic Dome convention center can be so designated and provide that kind of protection for its townspeople.

Their construction materials also make Monolithic Domes fire-resistant, and safe from termites, mold and mildew. That results in lower insurance premiums and less structural maintenance.

After sharing these thoughts, South concluded, "It's true -- any convention center can be a loser. But with realistic planning that includes a Monolithic Dome, it has a far better chance of being a producer."

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