Appendix A Arena Build Proposal Projected Costs: Demolition of Newville Centre Arena $65,000 Land for new arena $840,000 Fee for initial high level design (already paid) $58,000 Architectural fees $410,000 Municipal building fees $50,000 Cost to build arena (including seating, concessions, event rooms, etc.) $28,000,000 Equipment and furniture $1,000,000 Future Values*: Land Arena Equipment & Furniture Expected useful life NIA 30 years 10 years Expected value in 20 years $2,000,000 $5,000,000 nil CCA rate N/A 1% 20% * Assumes normal maintenance. Equipment and fumiture would require replacement every 10 years. The annual operating and administration costs of the new arena are expected to be $420,000 higher than the current costs, and the annual maintenance and repairs expenses would be 10% higher. DeVue's team has prepared the following estimates under two different pricing scenarios if a new arena is built: Scenario 1 Scenario 2 No Price Change Increase Prices Average ticket price Pre-season & season - single game tickets $25.00 $30.00 Season tickets $21.25 $25.50 Playoffs $25.00 $30.00 Box rental price per game (including playoffs) $1,500 $1,600 Number of boxes rented 36 36 Average attendance per game: Pre-season & season - single game (walk-up) 3,000 2,800 Pre-season & season - season tickets 3,000 2,600 Playoffs 7,420 7,420 Average concession sales per game: Pre-season & season $77,000 $70,000 Playoffs $96,000 $96,000