Youth sports complex growth up 20% in the past three years

Youth sports complexes are showing no sign of slowing down nationally, according to an April 2016 industry report from the National Association of Sports Commissions.

In the past three years, the segment has grown by more than 20%. Annually, cities are investing in the billions of dollars, something Fort Smith knows something about with the city agreeing to invest $1.6 million in the River Valley Sports Complex at Chaffee Crossing as part of the national trend.

Evan Eleff, Executive Vice President and a Partner at The Sports Facilities Advisory, said determining “proper” spending depends on four factors.

“The first is the client’s definition of success. If a community is seeking to fill hotel rooms by attracting overnight tournaments – like the $12.5 million Myrtle Beach Sports Center – the investments have huge returns to the taxpayer base.”

Secondly, Eleff urges cities to do extensive market research including analysis of competition in their region.

“New facilities will need to be highly differentiated with recreation options and cutting-edge technology to help tournament organizers put on great events,” he said.

Thirdly, Eleff said, “You can’t just build a great building and expect it to fill itself. The business of sports facility management has become sophisticated and customers’ expectations are high. … Communities need to consider all of their options including outsourcing management to a qualified, experienced operator.”

Finally, there is the funding mechanism. “If the only source of funding is through a city’s general obligation funds the project scope will be limited,” he said. “Models which utilize hotel bed tax revenues, public private partnerships, public-public partnerships, and/or the creation of special taxing districts have proven to be effective in helping communities with larger scale developments.”