Sarasota City Commission Workshop on Performing Arts Center Concept Design and Implementation Plan - February 11, 2025

The Sarasota City Commission held a workshop on February 11, 2025, from 10:00 AM to 1:01 PM, with a 10-minute recess, to discuss the Sarasota Performing Arts Center (SPAC) concept design and implementation plan. The meeting focused on design updates, budget, funding, parking, business planning, and the partnership agreement. No formal votes were taken; the discussion aimed to provide clarity for the upcoming implementation agreement approval scheduled for March 31, 2025.

Design Concept Presentation

• Tania Castroverde Moskalenko (CEO, Sarasota Performing Arts Foundation – SPAF) and Alex Stokes (HR&A Advisors) presented the vision, emphasizing the project's alignment with the Bay Park Master Plan (adopted 2018) and climate adaptation goals. The Van Wezel Hall site was noted as the most vulnerable to climate impacts, with a risk score of 76%.
• Mark Carroll and Kerry Joyce (Renzo Piano Building Workshop) and John Bryant and Jerry Sparkman (Sweet Sparkman) presented the concept design. Key elements:
  • Two buildings: a 2,700-seat large theater and a 300-seat multi-purpose room, moved north of the 10th Street Canal to free 3.5 acres of park space and avoid the view corridor easement (90-foot height limit south of the canal).
  • Design principles: resiliency (elevated structures above projected storm surge), sustainability (photovoltaic shading canopy), transparency, and integration with the park.
  • The future possibility of a medium theater was discussed but not promised.
• Commissioners questioned the view corridor easement's impact on building location and height. Vice Mayor Trice asked about eliminating the medium theater and negotiating the easement. Commissioner Ahearn-Koch sought clarification on the easement's flexibility for building south of the canal.
• Tania Castroverde Moskalenko stated that in the concept phase, location and height could change; the request for approval in March would be for two buildings.

Budget and Co-Funding Plan

• Cortez Crosby (Paratus Group) presented the Total Project Cost (TPC) of $365 million (2024 dollars), with a hard cost of $250 million. Escalation to construction midpoint (late 2028) at 4% per year could add $42 million to hard costs, increasing TPC by up to $47 million.
• Jennifer Jorgensen (City Governmental Affairs Director) and Kelly Strickland (Finance Director) presented the city's co-funding plan:
  • City's 50% share: $182.5 million (TPC) plus parking ($20-30 million) and site-ready costs ($4.1-10 million) – total city range $207.5-220.5 million.
  • Funding sources: TIF district funds (city portion $146.2 million – net of Phase 2 debt), penny sales tax ($6 million), revenue bonds (ticket surcharge of $5/ticket estimated at $27 million), and potential state/federal grants.
  • Interest on borrowing could add approximately $160 million over the life of the bonds.
• Commissioner Ohlrich noted the $365 million TPC is a low-ball figure and questioned whether all TIF funds would be consumed, leaving nothing for Bay Park Phases 3 and 4. Commissioner Ahearn-Koch stressed conservative estimates and uncertainty from recent flooding impacts on property values.

Parking and Mobility

• Steve Cover (Planning Director) presented a parking demand analysis assuming 5,891 total seats/uses (Van Wezel 1,741, new PAC 3,000, orchestra, Bay Park users, etc.) at 75% occupancy, 10% non-car arrivals, and existing parking credits. Unmet demand estimated at 1,385 spaces.
• On-site solutions: 600-space underground parking (under park, not excavated) at $30-50k/space (~$18-30 million) and 200 spaces at boat ramp (~$1 million) – total ~$31 million.
• Off-site options: FPL lot, 9th St/41, Boulevard of the Arts, Quay, Hyatt – but costs for land acquisition or lease not included. Unmet demand after on-site: 585 spaces.
• Commissioner Ohlrich opposed using 200 parking credits from Palm Avenue and State Street garages. Commissioner Ahearn-Koch questioned maintenance costs and EV charging. Mayor Alpert noted parking trends may reduce demand. Commissioner Battie raised concerns about logistics and compared to Orlando venues.

Business Plan

• Emily Harney (AEA Consulting) presented projections for the new PAC's operations:
  • Year 3 stable budget: $42.1 million total; earned income $38.7 million (84% from ticket sales); contributed income gap $3.4 million (8.1% of budget – lower than benchmarks).
  • Annual attendance: over 500,000 from 179 events in the large theater and 93 in the multi-purpose room.
  • Average ticket price in large theater: $79.76 (including commercial touring at $101 average). Accessible prices from $20 to $200. Facility fee includes $5 capital surcharge for bond repayment.
• The foundation currently raises ~$2.5 million annually plus $1.3-1.4 million from a gala.

Partnership Agreement and Van Wezel Operation

• Tania Castroverde Moskalenko stated the foundation is open to re-examining non-compete language in the partnership agreement and would be willing to consider operating the Van Wezel Hall as a performing arts venue if the Purple Ribbon Committee recommends and the Commission agrees, under certain conditions (city ownership retained).

Key Outcomes

• The Commission will receive updated cost projections for Bay Park Phases 3 and 4, the updated SPAC parking demand analysis, and a copy of the economic impact report.
• Staff and SPAF will provide more detailed information on parking maintenance costs, EV charging infrastructure, and land acquisition costs for off-site parking options.
• The design team will continue user group sessions and provide quarterly updates to the Commission.
• The implementation agreement is scheduled for approval on or before March 31, 2025. Commissioners encouraged the team to refine cost estimates to obtain the lowest and best projections.
• Commissioner Ohlrich urged expediting resiliency efforts for the Van Wezel Hall in conjunction with the PAC planning.
• Agenda Item I.2 (City Commission Rules of Procedure) was continued to a future meeting without discussion.