University of Illinois, Champaign, Illinois
CSL International was engaged by the University of Illinois to provide a preliminary market and financial analysis related to various Assembly Hall renovation and new arena construction options. The intent of this analysis was to conduct the necessary market research in order to reach general conclusions regarding the potential market and financial parameters of various arena development options, including the potential impact of a new 4,000 to 6,000-seat ice arena operating in the marketplace.
Arena development options reviewed as part of this analysis included: (a) renovation of Assembly Hall, under several design schemes, assuming Division of Intercollegiate Athletics (“DIA”) basketball remains as a tenant; (b) construction of a new basketball arena and the renovation of Assembly Hall assuming DIA basketball is no longer a tenant in the building; and, (c) construction of a new multi-purpose arena and the demolition of Assembly Hall.
In order to assess the market and financial potential of various arena development options, CSL conducted preliminary market research and analysis including a review of the historical operations of Assembly Hall, an assessment of local market demographic and socioeconomic characteristics, an analysis of competitive and comparable facilities, interviews with event promoters, meetings with students, and preparation of financial models for various renovation and new construction options that were developed by national sports architecture firm. Research and analysis results were used to estimate potential demand for a renovated Assembly Hall and a new arena, define general building program elements necessary to accommodate demand and estimate potential financial operating results.