The Charlottetown Civic Centre is a poorly designed, money-bleeding facility in need of replacement, urges a new report.
"The opportunity exists for a new multi-use sports and entertainment centre (MUSEC) to serve the needs of the city and province as a whole,'' IBI Group recommended in its report released on Monday.
"The facility should include a maximum of 5,000 fixed seats within the arena bowl.''
The estimated cost of such a facility, assuming a "moderately-high level of quality and functionality,'' is $40 million excluding land.
The report was commissioned by the Charlottetown Area Development Corporation (CADC) to undertake an assessment of the existing and prospective market for the Charlottetown Civic Centre (CCC) acting as a multi-use sports, entertainment and trade show venue.
The report determined the existing arena has a number of deficiencies and the main drivers of revenue will continue to be jeopardized without significant capital investment in the facility.
With municipal and provincial subsidy, the arena and trade centre create a deficit of over $600,000, excluding any debt payments.
The report concludes that investment into the CCC is required. Adopting the status quo is not an option.
"Our analysis suggests very strongly that maintenance of the facility in its current condition, with no plan of action in place to develop the strategic asset of the CCC, and the Civic Centre Arena in particular, is an option which undervalues the potential associated with the facility,'' according to the 16-page executive summary.
The report offered as alternative to building a new $40 million facility several options for major renovation/expansion of the existing Civic Centre Arena with costs ranging from $25 million to $34.4 million depending on the option.
Charlottetown Mayor Clifford Lee doesn't anticipate council to be in a big hurry to pump money into any option put forward in the report.
He says council needs to sit down and discuss the report. He hopes the report doesn't gather dust. He would like to see a business plan developed among partners like the CADC, Tourism Charlottetown, and provincial and federal government.
"I think there are a lot of questions that need to be answered,'' he said.
Lee says he would need assurances that a major investment into a new multi-use sports and entertainment centre would pay dividends for the city. He did concede that the Charlottetown Civic Centre falls short on several fronts.
"We've recognized for quite some time it was not able to attract large types of conventions and entertainment, not only because of the number of seats but because of the design of the building,'' he said.
Still, Lee says a decision on the Civic Centre's future will need to await the development of the larger so-called gateway plan.
The mayor noted a lot of effort had gone into the development of festival and events space on the former Imperial Oil lands at the eastern end of Grafton Street and that there would be potential for other development possibilities.
"We are looking on this exercise as one of the exciting pieces of a puzzle that eventually will become a redeveloped gateway for the eastern end of the city and the eastern anchor for ongoing development of the city's waterfront,'' he said.
"I hope this report, and the information it contains, will generate some positive stakeholder and public discussion that will continue to inform the ongoing planning process.'
