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City of Lake Elsinore 130 S CITY OF LAKE ELSINORE 130 S. Main Street, Lake Elsinore, California 92530 REQUEST FOR QUALIFICATIONS (Date of Issuance: September 2013) DEVELOPMENT & CONCESSION OPPORTUNITY LA LAGUNA RESORT & BOAT LAUNCH Deadline for SOQ Submission: December 16, 2013 0 | Page v.130925 RFQ – Concession for La Laguna Resort EXECUTIVE SUMMARY Lake Elsinore is the largest natural freshwater lake in Southern California. Lake Elsinore is nestled at the foot of the Ortega Mountains and Cleveland National Forest in the County of Riverside, California. The Lake provides a wide range of recreational activities and events, including pleasure & power boating, fishing, wading, kayaking, jet skiing, waterskiing and drag boat racing. The area surrounding the Lake is renowned for extreme sports. On any given weekend thrill seekers can be seen hang gliding from the nearby cliffs, skydiving from the local airport and racing motorcycles at the motocross park. Visitors to the City can also enjoy the challenging “links” style golf course, nature walks and taking the entire family out to the ball game to watch minor league baseball at the Diamond Stadium. Nearby regional attractions include Casino Gaming and world class wineries. Over 8.6 million people live within a 60 mile radius of Lake Elsinore. The close proximity to large urban population centers in the neighboring counties of Los Angeles, Orange, San Diego and Riverside facilitate the development of Lake Elsinore into a tourism hub and a resort destination. The City of Lake Elsinore owns fee title to 85 acres of shoreline property named La Laguna Resort, consisting of partially developed and undeveloped parcels. The property includes 175 partially developed campsites, 180 primitive campsites, several group campsites and a new six lane boat launch facility. The grand opening day for the new $8-million boat launch facility was June 30, 2012. At final build-out it is estimated the Resort could accommodate 500 RV/campsites. The City of Lake Elsinore issues this Request for Qualifications (RFQ) to locate an investor with the vision, experience and financial wherewithal to develop and operate the La Laguna Resort. Following the selection process, the City intends to enter into an Exclusive Negotiating Agreement with the qualified investor for a long-term Concessions Agreement. Investor selection is anticipated to occur in August 2013. CONTACT INFORMATION Grant Yates, City Manager Pat Kilroy, Director 130 S. Main Street Lake, Parks & Recreation Department Lake Elsinore, CA 92530 130 S. Main Street [email protected] Lake Elsinore, CA 92530 951-674-3124 Ext-204 [email protected] 951.674.3124 Ext-265 1 | Page v.130417 RFQ – Concession for La Laguna Resort PROPERTY INFORMATION The La Laguna Resort & Boat Launch is located on State Highway-74 at 32040 Riverside Drive, Lake Elsinore, California, 92530. VICINITY MAP Lake Elsinore Recreation Area 2 | Page v.130417 RFQ – Concession for La Laguna Resort ASSESSOR PARCEL NUMBERS (APN) Ave State Hwy‐74/Riverside Drive Lincoln APN 379‐100‐002 APN 379‐120‐007 14.6 Acres 13.25 Acres APN 379‐100‐015 37.83 Acres APN 379‐120‐008 20.25 Acres HISTORY OF PROPERTY Development of the La Laguna Resort property began with the transfer of title in 1957 to the State of California of 2,900 acres of land, which primarily consisted of the Lake and various shoreline properties. Formal dedication of the property as a State Park, known as the Lake Elsinore Recreation Area (LERA) & Campground, occurred in 1962. Watkins Development Company, the State’s Concessionaire, began developing the campground, marina and boating channel in 1964. At the peak of operations, the LERA Campground had 394 campsites and 200 picnic sites. In addition, the Concessionaire developed and operated a twelve (12) lane boat launch and 150 slip boat marina, food 3 | Page v.130417 RFQ – Concession for La Laguna Resort stands, fuel dock and equipment rental. The City of Lake Elsinore acquired title to the property through a Transfer Agreement and Quitclaim Deed with the State of California in 1993. NEW BOAT LAUNCH FACILITY Grand Opening Day for the City’s new $8-million Boat Launch Facility at La Laguna Resort was June 30, 2012. This project features a six lane boat ramp, two pile- anchored boarding floats (each 400 feet long), ticket kiosk, 270 pull through vehicle- trailer parking spaces, picnic area, restroom facility, security lighting and a fish cleaning station. Over 100,000 cubic yards of material was placed at the project site to elevate the boat launch facility approximately 15-feet above existing grade, making the boat ramp functional under a wide range of Lake water elevations, from 1,235’ to 1,255’ above Mean Sea Level (aMSL@NGVD29). RESORT ATTRACTIONS Lake Elsinore is the largest natural freshwater lake in Southern California, with over 3,000 surface acres and 14 miles of shoreline. The Lake provides a wide range of recreational activities and events, including pleasure & power boating, kayaking, fishing, wading, jet skiing, kite boarding, waterskiing and drag boat racing. The area surrounding the Lake is renowned for extreme sports. On any given weekend thrill seekers can be seen hang gliding from the nearby cliffs, skydiving from the local airport and racing motorcycles at the motocross park. The rising air currents formed by the unique geographic features are known throughout the world by hang-gliders. This rare air is also highly valued by the skydiving community. The City of Lake Elsinore is host to Skylark Airport (FAA CA89), which caters to skydivers through “Skydive Elsinore”, a local business. Elsinore Motocross Park is a 180 acre premier motocross track that features five (5) race tracks, including a state-of-the-art Off-Road Stadium Truck Track. The Park is 4 | Page v.130417 RFQ – Concession for La Laguna Resort open to the public and is built to accommodate all skill levels. The Motocross Park has become a family destination point for all motorsports enthusiasts. Visitors to the City can also enjoy the challenging “links” style golf course, nature walks, shopping at the Outlet Stores and taking the entire family out to the ball game to watch minor league baseball at the Diamond Stadium. NEARBY REGIONAL ATTRACTIONS Nearby regional attractions include the Temecula Valley Wine Country, Pechanga Casino, Santa Rosa Plateau Ecological Reserve and Glen Ivy Hot Springs Spa. In addition, the City of Lake Elsinore is within a 90 minute drive of Disneyland, Knotts Berry Farm, San Diego Wild Animal Park (Safari Park), San Diego Zoo, Seaworld San Diego and the Palm Springs Aerial Tramway. 5 | Page v.130417 Gillman Springs Perris Reservoir Lake Mathews San Jacinto Lake Perris Perris San Jaciintto TToomm '' ss FF aa rr mm ¦¨§215 ¦¨§15 Corona Lake Hemett Sun Ciitty Lake Ellsiinore Canyon Lake Diamond Valley Lake Canyon Lake Lake Elsinore SSttoo rr mm SS ttaa ddii uumm Riverside EEll ss ii nnoorr ee MM oott oocc rr ooss ss TTrr aacc kk Orange County County Wiilldomar SSaanntt aa RR ooss aa PPll aatt eeaauu Lake Skinner Murriietta ¦¨§215 Cleveland National Forest TTeemm eecc uull aa WWii nn ee CC oo uunntt rr yy Temeculla Vail Lake PPeecc hhaann ggaa San Diego CCaa ssii nn oo County Golf Courses Source: Lake Elsinore GIS 951-674-3124 - www.lake-elsinore.org Southwest California Regional Attractions ©2009 ESRI Phone: 888-377-4575 - www.esri.com RFQ – Concession for La Laguna Resort LOCAL & REGIONAL POPULATIONS Over the past decade, the City of Lake Elsinore has consistently been one of the fastest growing cities in the State of California. City Demographic Snapshot Description Number Growth Rate % Population 2012 (DOF) 53,024 83.3% 2000 (US Census) 28,928 45.2% 1990 (US Census) 19,918 7 | Page v.130417 RFQ – Concession for La Laguna Resort RV & CAMPGROUND INDUSTRY Recreation vehicle owners are a highly prized segment of outdoor enthusiasts for destination resorts across the country. RVs are largely self-contained, with built-in toilets and showers, thereby requiring less staff and facility resources. RV owners tend to have greater disposable income and pay higher daily rates for overnight stays. According to the Recreation Vehicle Industry Association (RVIA)…”The largest number of U.S. households ever recorded owned an RV at the close of the first decade of the 21st century”. In 2011, the number of U.S. households that owned a recreation vehicle was 8.9 million. The “Great Recession” affected all industries; however the recreation vehicle industry is experiencing a recovery in sales, with wholesale shipments of all RV products showing a 4.1% increase in 2011, indicating a positive cyclical change. SALES OF TOWABLES & MOTORHOMES In a recent survey (RV Consumer 2011) by the University of Michigan, the authors attribute the resilience of the recreation vehicle industry to the allure of engaging in 8 | Page v.130417 RFQ – Concession for La Laguna Resort outdoor activities with family members. Furthermore, it was found that RV owners were much more active in taking weekend getaways, vacationing repeatedly at the same destination, and attending outdoor concerts or sporting events. These key findings favor La Laguna Resort as a weekend getaway for RVers living in nearby urban population centers. 9 | Page v.130417 RFQ – Concession for La Laguna Resort DESIGNED FOR RVers The sales trend in the recreation vehicle industry is toward increased sales of towable travel trailers. According to the RVIA Consumer Survey (2011)… “The recent dominance of conventional and fifth‐wheel travel trailers was also reflected in industry shipments, which accounted for 82% of all shipments, up from 59% in 2000”. Given this trend, the La Laguna Resort should be designed to meet the demand for towables, which includes space for parking a 40-foot trailer and tow vehicle. 10 | Page v.130417 RFQ – Concession for La Laguna Resort TYPES OF RECREATION VEHICLES Depiction Class or Type Description Class A 21 to 45 feet.
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