Pimlico Race Course Study Phase Two Final Report - December 2018 Pimlico — RACE COURSE STUDY PHASE TWO DECEMBER 2018 Table of Contents A - INTRODUCTION / 1 C - THE VISION / 19 D - NON-RACING LAND USE ANALYSIS / 54 STUDY PURPOSE / 3 PLANNING PROCESS / 20 LAND USE CONCEPT / 55 STUDY PROCESS / 6 THE SITE / 23 NON-RACING LAND USE ANALYSIS / 56 STUDY OUTCOME / 8 EXISTING CONDITIONS / 24 LAND USE SUMMARY / 57 THE PALIO INSPIRATION / 25 GATEWAY DISTRICT / 58 B - PREAKNESS PROGRAM / 12 TRACK ROTATION / 26 DISTRICT ONE / 61 PREAKNESS FACILITIES PROGRAM / 13 CONNECTIVITY / 27 DISTRICT TWO / 64 PRODUCT MATRIX / 14 INFRASTRUCTURE, TRAFFIC, & UTILITIES / 28 DISTRICT THREE / 67 SEATING PRODUCT TYPES / 15 EXISITING SYSTEMS / 29 INFIELD LAND USE POTENTIAL / 70 ECONOMIC AND FISCAL IMPACT ANALYSIS / 16 PROPOSED SYSTEMS / 31 CONCEPTUAL PLAN / 71 CONCEPT PLAN / 35 CONCEPT RENDERINGS / 72 CONCEPT RENDERINGS / 36 PERMANENT RACING COMPONTENTS / 37 E - APPENDICES / 74 PREAKNESS EVENT OVERLAY / 46 INFRASTRUCTURE ASSESSMENT / 75 ORDER OF MAGNITUDE COST SUMMARY / 49 COST ESTIMATE / 105 PRELIMINARY CONSTRUCTION SCHEDULE / 50 NON-RACING LAND USE ANALYSIS / 164 ALTERNATIVE CONSTRUCTION SCHEDULE / 51 ALTERNATE COMPONENT PRICING / 53 Pimlico — RACE COURSE STUDY PHASE TWO DECEMBER, 2018 —A— Introduction A — Introduction Pimlico aerial photo during the 2016 Preakness Stakes Pimlico — RACE COURSE STUDY PHASE TWO 2 DECEMBER 2018 A — Introduction Study Purpose Phase One of the Pimlico Race outlined in the Phase One considering year-round venue Course Study was issued in situational analysis were activity, and redevelopment of February, 2017. The purpose of focused on safety, security and the Pimlico site to better engage the Phase One Study was to building code related issues, the the surrounding communities provide information and analysis facility also lacks modern day and neighboring land uses to guide the City of Baltimore seating products, amenities and such as Sinai Hospital. In an (the City) and State of Maryland technology found in comparable effort to achieve these planning (the State) in determining the sports venues and, due to its goals, this study explores a extent of their potential support age and condition, is expensive combination of permanent and to renovate or rebuild Pimlico to operate and maintain. Its overlay (temporary) facilities Race Course to remain the long capacity and potential revenue to host the Preakness Stakes, term home for the Preakness are constrained by the type and evaluates the ability of the site Stakes. amount of seating products, to accommodate various non- as well as infrastructure and racing functions on a year-round Key questions addressed in the support. The situational analysis basis, and identifies potential Phase One Study were: suggested that these, and other, commercial, residential, and 1. Could Pimlico remain the long limitations restrict Pimlico Race entertainment development term home of the Preakness Course's ability to generate options or opportunities on Stakes? operating margins comparable portions of the site. 2. If yes, what improvements to more modern venues. The would be required? Phase One Study estimated that Conceptual planning and design 3. If no, what situational factors substantial renovation of Pimlico scenarios, real estate market could not be overcome? Race Course to overcome these evaluation, construction cost Renovation concept from Phase One Report challenges could cost between estimates and economic and The Phase One Report did not $248 million and $321 million. fiscal impact analysis were find situational factors that conducted as part of this study. It could not be overcome to As a result of the Phase One is intended that this information maintain Pimlico Race Course Study and the potential high be utilized by the stakeholders to as the host of the Preakness cost of renovation, the State consider potential public/private Stakes. However, as host venue requested that the consultant partnerships with the possibility for such a large and prominent team proceed with the Phase of redeveloping the Pimlico site public event, Pimlico Race Two Study. The Phase Two to better engage the surrounding Course is antiquated and in Study focuses on visioning communities and land uses, need of substantial renovations and concept development of havepositive economic value, and or complete redevelopment. an ideal venue for hosting the serve as an ideal venue for the While many of the concerns Preakness Stakes, while also Preakness Stakes in perpetuity. Pimlico — RACE COURSE STUDY PHASE TWO 3 DECEMBER 2018 A — Introduction This analysis is preliminary in Course. Due to quick changes The American Horse Council participate in horse activities but nature and does not constitute in the external factors, actual (AHC) Foundation commissioned do not own a horse (16.0%) or a comprehensive master plan of results may vary significantly from a study in 2016 to estimate the attend horse events as a spectator Pimlico Race Course. Although estimates presented in this report. economic impact of the horse but do not own or participate the report includes high level industry. Approximately 20,000 (13.2%). While ownership tends design concepts, it does not The consultant team does horse owner/industry suppliers to be skewed toward older age include detailed architectural not express an opinion or any participated in the survey process groups, 38% of horse participants or engineering services, other form of assurance on the with 8,400 individuals providing are minors. environmental assessments, noise information presented in this complete and usable surveys. Within Maryland, the horse analysis, or transportation/traffic report. As with all estimates Additional surveys were received industry was estimated to directly impact studies. In addition, this of this type, results cannot be from horse show organizers contribute over $747 million study does not include detailed guaranteed, nor is any warranty and racetrack representatives and 15,700 jobs to the State’s geotechnical engineering, intended that they can be including the four largest economy. When including indirect hazardous materials testing, achieved. operators – Churchill Downs, New and induced effects, the horse and other specialty engineering York Racing Association, Penn industry’s total added value to the services. The analysis is intended to be National, and The Stronach Group Maryland economy was estimated read and used in its entirety. (TSG). at $1.3 billion and 21,500 total jobs. The findings and assumptions Separation of any portion from Total output (or the total value contained in the report reflect the main body of the report The AHC reports that despite the of industry production including analysis of primary and secondary is prohibited and negates the decline in the horse population value-added) associated with the sources. The consultant team analysis. This report is restricted due to the recession of 2008- horse industry in Maryland was utilized sources that are deemed to internal use by the MSA and 2009, the horse industry remains estimated at nearly $2.1 billion. to be accurate but cannot may not be relied upon by any a stable and vibrant force in the guarantee their accuracy. No party for any purpose including U.S. economy. The economic As noted in the recent AHC study, information provided by others any matter pertaining to financing. activity generated by the horse racehorses require significant was audited or verified and was Reproduction or publication industry contributed over $50 expenditures on breeding, assumed to be correct. by other parties are strictly billion in direct value to the U.S. maintenance and training such prohibited. Gross Domestic Product (GDP), a as costs associated with jockeys, Multiple external factors total contribution of $122 billion to trainers, grooms, veterinarians, influence current and anticipated Economic Importance of the the U.S. economy, and 1.7 million farriers, insurance, specialized market conditions. Although Horse Industry total jobs. feed for horses, specialized the consultant team has not equipment to maintain, train, knowingly withheld any pertinent Any development project is The AHC study estimated there and transport equine athletes, facts, it cannot be guaranteed somewhat dependent on the were more than 7.2 million horses entry fees and stalling, and that the consultant team has attributes of the industry(s) in the U.S. in 2016. Approximately travel expenses. Various other knowledge of all factors which that it is anticipated to serve. 31% of U.S. households (or 38 specialized service costs related might influence the future Multiple studies demonstrate million) contain horse enthusiasts to wagering, broadcasting, track operating potential of the that the horse industry generates which are defined as people maintenance, security, etc. are also Preakness Stakes at Pimlico Race significant economic activity. who either own horses (1.3%), necessary. The AHC study states Pimlico — RACE COURSE STUDY PHASE TWO 4 DECEMBER 2018 A — Introduction that the racing sector of the horse being the Maryland Income Tax to attract extensive viewership industry was estimated to add ($18.2 million), Sales Tax ($16.5 and maintain their popularity. $218 million in direct value to the million) and Property Tax ($15.5 These races equate in caliber State economy which increases to million). to sporting events like the $365 million and 5,200 jobs when Super Bowl, World Series, The including indirect and induced Racing