Title
Phoenix Convention Center Market Feasibility Study Update
Description
This report provides the Economic Development and Education Subcommittee an update on the Market Feasibility Study for the Phoenix Convention Center (PCC) and surrounding hospitality assets.
THIS ITEM IS FOR INFORMATION AND DISCUSSION AND POSSIBLE ACTION
Report
Summary
In June 2019, the Phoenix City Council directed staff to undertake a market study in conjunction with the Phoenix Convention Center South Building community engagement process. The consulting firm of Conventions, Sports & Leisure International (CSL) was retained to conduct the study including the following scope of work:
1. Assess current hotel inventory, availability, and implications on market capture.
2. Conduct historical operations assessment of the PCC
3. Prepare a comparable and competitive facility analysis.
4. Assess convention industry trends.
5. Conduct market demand research.
6. Provide recommendations for future Phoenix convention industry development.
The findings and recommendations contained within the study were based on comparable convention facilities, local market assessments, interviews with key visitor industry stakeholders and survey feedback from PCC clients. In January 2020, the Workforce and Economic Development Subcommittee was provided an overview of the findings by CSL. Key takeaways and priorities consisted of:
1. In order to increase market capture and occupancy, an additional 800 - 1,200 room full service convention hotel is needed near the PCC.
2. Advancement of trend enhancements such as open space learning areas, production focused outdoor spaces, and incorporating emerging technologies.
3. Initiate convention/entertainment district planning to develop walkable restaurants, retail, and hospitality density near the PCC.
4. Plan for the future expansion of up to 150,000 square feet of additional exhibit space on the South Building site.
Staff will provide the Economic Development and Education Subcommittee an update to the 2020 Market Feasibility Study and discuss how the COVID-19 Pandemic has affected PCC convention bookings, post-COVID convention industry trends, competitive landscape, and guiding principals for Phoenix' convention industry future.
Department
Responsible Department
This item is submitted by Deputy City Manager Inger Erickson and the Phoenix Convention Center Department.