1 GUAM ECONOMIC DEVELOPMENT AND COMMERCE

Transcription

1 GUAM ECONOMIC DEVELOPMENT AND COMMERCE
GUAM ECONOMIC DEVELOPMENT AND COMMERCE AUTHORITY
ITC Bldg. Suite 511, 590 South Marine Dr., Tamuning, Guam 96911
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
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Table Of Contents
I.
II.
III.
IV.
V.
VI.
VII.
VIII.
IX.
PREFACE
EXECUTIVE SUMMARY
REVITALIZATION OBJECTIVES
DESTINATION DEVELOPMENTS
i.
Industry Overview
ii.
The Arts and Economics
iii.
Destination Examples
iv.
Industry Overview – Guam
PROJECT BACKGROUND
i.
Hagatna Master Plan
ii.
KOTTURA - Guam’s Cultural Destination Development
a. The Concept
b. The Features
c. Map - KOTTURA Layout A
d. Map - KOTTURA Layout B
e. KOTTURA Venues and Amenities
1. Infrastructure
2. Museum – Museum Guahan
3. Performing Arts Center - Heritage Center
4. Legislature - Legacy Hall (Capitol Building)
5. Hagatna Visitor Center
6. Chamorro Village
7. Paseo Point
8. Plaza De Espana
9. Skinner Plaza
PROJECT COSTS AND FINANCING
i.
Overall Project Costs
ii.
Funding Sources and Assistance
iii.
Revenue Sources and Sustainability
iv.
Economic Impact
a. Capital Investment
b. Economic Diversity
PROJECT DEVELOPMENT
i.
KOTTURA Primary Working Group
ii.
Phases
iii.
Flood Map
SWOT ANALYSIS
ADVANTAGES AND BENEFITS FOR GUAM
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PREFACE
What this document is not
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This document is not a Master Plan.
This document is not “Cure-All” for Guam’s economic recession, land and property issues, or social
ills.
What this document is
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The primary goal of this document is to provide a conceptual plan for the development of a
“Cultural Destination Development” to be known as “KOTTURA” (Chamorro word for Culture)
in the capital city of Hagatna, Guam. The concept is meant to be integrated into the economic
segment of the Hagatna Master Plan to assist with restoration, redevelopment and revitalization.
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What this plan proposes is a project that will address and offset socio-economic and political issues by
contributing to the growth, elevation and alleviation of some of those concerns.
WHAT THE RESULTS WILL BE
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This document shall serve to introduce an all encompassing, large scale, multi-faceted development
that will address Guam’s socio-economic needs by achieving three (3) key objectives:
o Economic Diversity
o Cultural Preservation
o Access to the Arts
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KOTTURA will also become a new brand for Guam. The project, when completed, will become
Guam’s second largest tourist attraction, a Cultural and Arts District, and a Commercial and
Government Center.
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KOTTURA will promote:
o Concentration of the Masses
o Economic Synergy
o Centralization of Culture
o Creation of a Unified Vision
o Quality of Life
o Education
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EXECUTIVE SUMMARY
GOAL: In two (2) years, GEDCA will assist the Hagatna Restoration and Redevelopment Authority
(HRRA) in the development and implementation of the Hagatna Master Development Plan by introducing
a “Cultural Destination Development” plan to be known as “KOTTURA”. KOTTURA (Chamorro
word for Culture) will be a culturally based economic zone concept that will be a core element in 1. The
Revitalization of Guam’s capital city of Hagatna, 2. The Preservation of the Chamorro Culture and
Arts and, 3. The Diversification and Expansion of Guam’s Revenue base utilizing existing
opportunities. KOTTURA will be a long-range plan that will be divided into phases over a period of
10 years.
DESCRIPTION: KOTTURA will focus primarily on the family market segment for visitors and
residents. The project will initially encompass renovation and development of major landmark locations
and facilities in a strategic geographical footprint of the Hagatna downtown area along with the
integration of economic incentives to develop various business opportunities. This project will become a
“Core Cultural District” that will focus on improving and developing the institutional infrastructure for
Guam’s Tourism Economic Initiative in the areas of Education, The Arts, and Commercial enterprise
working in compliment to the Hagatna Master Plan. The primary aim is to develop facilities that will
preserve and promote historical sites, artifacts, and the arts while creating new, non-competitive, revenue
streams that will support and maintain these facilities and ultimately provide additional revenue to the
government of Guam.
KOTTURA will become a new “Brand Image” for Guam that will become a highly marketable
commodity. The concept is culturally theme based destination reflecting Guam’s rich and diverse cultural
heritage. The project will act as a central, core cultural district and as the main attraction for the new
Hagatna development project. The project will contain multiple elements that will provide residents and
visitors with an experience unlike any other in the Pacific Rim.
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Commercial Zoning with Economic Incentives
Cultural Thematic Common areas
Unique Retail, Dining and Entertainment amenities
Museum and Gallery Facilities
Performing Arts Facilities and Venues
Market Place
Multipurpose Arena, Convention and Meeting Facilities
Historical Parks and Gardens
Family Gathering and Walking Areas
Government Office Facilities
REVITALIZATION OBJECTIVE
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Restore Historic and Cultural Icons
Stimulates Economic Activity and Expands Revenue Base
Improves Quality of Life
Creates Jobs and Entrepreneurial Opportunities
Creates Cultural Pride and Awareness
Promotes local Arts and Culture
Increases Marketing value overseas
Enhances synergy and commercial viability of a “Defined Zone”
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DESTINATION DEVELOPMENTS
Industry Overview
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Successful Destination Developments contain 3 key elements, Retail, Dining and Entertainment
experiences.
Newer developments now feature cultural centers that have initiated the revitalization efforts of
numerous community downtown areas throughout the United States.
These cultural centers contribute as Cultural Showcases, Arts Preservation Foundations, Economic
Stimulus for Business, Quality of Life Enhancers and as, Tourists Attractions.
Destination Developments are successful partnerships between the public and private sectors
consisting of Government Agencies, Downtown Associations and Development Partners.
The resurgence of main street developments in many city and town centers around the world has
increased dramatically over the past decade.
The Arts and Economics
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Important cultural artifacts and traditions must be protected and sustained to ensure that our heritage is
preserved for future generations.
Community life and development are enhanced by the presence and availability of the arts, artists, and
arts organizations.
The arts bolster our economy through expenditures by arts organizations and the participating public.
Artistic work and freedom of expression are a vital part of any democratic society.
The arts are universal, having the ability to cross all boundaries whether imposed by geography,
economic conditions, ethnic background, or disability.
Participating in the arts and engaging in creative endeavors are an essential part of human
development.
National support of the arts must rely upon partnerships that build on existing strengths and assets
within our communities.
Revitalizing the artistic culture of our Nation requires strengthening educational activity in the arts,
especially for the young.
Learning in the arts makes a positive contribution to our young people’s academic achievement,
interpersonal skills, confidence, motivation to succeed, and preparation for work.
Artists are among our Nation’s most important innovators and creators.
Destination Examples
Presented below are four 4 examples of downtown destination developments. These particular examples
have been chosen primarily because they are centered on cultural and historical restoration and projects
that have led to increased economic development in the same area.
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Downtown Denver
Denver has the tenth largest downtown sector in
the U.S. centered around a mile-long pedestrian
promenade that is lined with outdoor cafes and
flower baskets. Downtown Denver is home to
5,200 hotel rooms, three new sports stadiums,
300 restaurants, a restored historic district
filled with 90 bars and brewpubs, a collection
of museums, a variety of galleries and
shopping, the second largest performing arts
center in the nation, the city's convention
complex, three college campuses and even a
unique downtown amusement park
Denver has one of the highest educated
populations in America and a great love of the
arts. The Denver Performing Arts Complex
contains ten theatres seating 10,000 people for
theater, symphony, opera and ballet.
Lower Downtown ("LoDo") is on the northern
edge of downtown Denver and offers one of the
nation's greatest concentrations of Victorian
buildings and warehouses, many of which have
been refurbished to house restaurants, art
galleries, offices and shops.
Downtown San Jose, CA
San José, the Gateway to the Bay Area, is the
third largest city in California and the 11th
largest city in the nation. The city’s accessible
location, comfortable climate and affordable
amenities, make it an ideal destination for
meetings and conventions or the leisure visit.
San José is rich in history and cultural diversity,
and recognized as a city of innovation and
entrepreneurial success. San José offers worldclass cultural arts, nightlife and professional
sports (including the NHL's San Jose Sharks),
theme parks, shopping, nationally recognized
hotels and restaurants.
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San Antonio River Walk, Texas
San Antonio, Texas is the eighth largest city in
the United States. The city has retained its sense
of history and tradition, while carefully blending
in cosmopolitan progress. Amidst the busy
metropolitan downtown area, sequestered 20 feet
below street level, lies one of San Antonio's
jewels - the Paseo Del Rio. Better known as the
"River Walk," these cobblestone and flagstone
paths border both sides of the San Antonio River
as it winds its way through the middle of the
business district.
The River Walk has multiple personalities - quiet
and park-like in some stretches, while other areas
are full of activity with European-style sidewalk
cafes, specialty boutiques, nightclubs and
gleaming high-rise hotels. The River Walk
stretches for approximately two-and-a-half miles
from the Municipal Auditorium and Conference
Center on the north end to the King William
Historic District on the south.
The Paseo Del Rio Association
The Paseo Del Rio Association is a nonprofit
organization founded in 1969 to promote and
support the San Antonio River Walk, the number
one tourist attraction in Texas. The Paseo Del
Rio Association recognizes the River Walk as a
key element of the city's character, its visitor
industry and its economy.
City Place, West Palm Beach, Florida
City Place is the result of the revitalization of
downtown West Palm Beach Florida. Centered
around the arts and theater, this Tuscan themed
development offers great shopping, a multiplex
20-movie theater, performing arts and an
exciting nightlife. Since it’s inception and still to
this day is a great gathering point for families,
singles or tourists day or night. CityPlace is also
a residential development in downtown West
Palm Beach, offering 1, 2, and 3 bedroom
condominium real estate living, conveniently
located above shops and freestanding buildings.
CityPlace is the heart of it all and within walking
distance to the waterway.
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Industry Overview – Guam
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As Asia looks to the west for vacation and leisure destinations, Guam’s competitive edge is hampered
as it does not offer unique experiences particularly in terms of cultural identity and historical
attractions. This dilemma also relates to quality of life issues equating to the lack of family oriented
activities not only for travelers but also for the local populace as well.
Guam does currently offer a western style “Entertainment Destination”, known as “Pleasure
Island”, in a highly developed tourist area of Guam. This type of venue is highly complimentary to
Guam’s Tourism Industry but does possess limitations as other tourism destinations are offering the
same or similar style attractions and ammenities.
In order to separate and elevate itself from these other destinations, Guam must offer a new segment
to diversify its attraction portfolio. This new offering would be based upon Guam’s unique
cultural and art. If collectively presented, this new destination will attract new, diverse and repeat
visitor markets while simultaneously maintaining, promoting and developing Guam’s heritage.
The island currently does not have a centralized cultural district or any multi-functional cultural
facilities therefore; Guam cannot capitalize on revenue streams and opportunities that these
facilities would generate.
Because of Guam’s uniqueness, stand-alone facilities may not prove to be self-sustaining which is
why the “Cultural Destination Development” concept needs to be highly considered.
Pleasure Island Guam
PROJECT BACKGROUND
HAGATNA MASTER PLAN
The Hagatna Restoration and Redevelopment Authority was created in 1997 through passage of Public
Law 24-110. The law called for the creation of the Hagatna Redevelopment Authority, with seven
commissioners who would help restore Guam's capitol.
Governor Camacho originally named David Hanley as chair of the Board of Commissioners along with
former governor Paul Calvo, Paul Shimizu, Tony Leon Guerrero, Grace Bordallo, and Carlos Camacho.
The authority will create a master plan that will cover an area from Adelup to East Agana.
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KOTTURA - GUAM’S CULTURAL DESTINATION DEVELOPMENT
The Concept
KOTTURA has a threefold project focus; the first being Economic Development, the second is
Cultural Preservation and the third being Artistic Accessibility. The KOTTURA proposal will be the
first project of its kind for Guam and will be a flagship for The Guam Economic Development and
Commerce Authority as part of the Authority’s strategy for continued economic development and
economic diversity. Guam’s downtown area will be a cultural destination not only for our
community but for the millions of visitors who come to Guam seeking family friendly and
educational attractions, specifically for information about our unique heritage and history.
KOTTURA will be designed to integrate “economic zoning” in its layout. These economic zones will
provide incentives to entice businesses to locate or relocate to Hagatna creating and supporting a bustling
downtown district. This district will become an “architectural landmark” with facilities for hosting
events in the arts, culture, and commerce for educational outreach and community-wide involvement that
will support retail, dining, entertainment and commercial activities which in turn compliment and support
the cultural centerpiece. The project formula will be comprised of public/private partnerships and will be
the largest culturally based community development of its kind in this region of the Pacific that will
diversify our tourism economy.
KOTTURA will create and develop venues for the preservation of the Chamorro Heritage. By creating
fusion between culture and commerce, KOTTURA will become recognized as a “cultural tourist
attraction” that will welcome hundreds of thousands of patrons each year – tourists and visitors,
established stars of the stage, emerging artists, students in the arts, and vibrant cultural and arts
organizations. The project will serve our residents, students and visitors as a place for artistic
enlightenment, personal reflection and cultural enjoyment in a picturesque public setting designed for
gathering as well as a place of public resource.
KOTTURA will also provide centralized community access to all local arts and arts organizations
and will also serve as a “cultural community center”. Research has shown that community life and
development are enhanced by the presence and availability of the arts, artists, and arts organizations.
Focusing on the Arts is one of the key components of this project and is also a key factor that allows for
access to numerous funding opportunities. The quality of life will be improved for all.
The Features
KOTTURA will reflect detailed design concepts combining elements of “Old World Spain” and
“Chamorro Heritage” themes mixed with a Tropical Island setting throughout the area also to be known as
“Old Downtown Hagatna". The KOTTURA development will involve substantial expansion and
development of existing and new facilities reflecting this highly sought after aesthetic scheme creating
continuity and ultimately an independent “brand image”.
The destination will exude the essence of a flourishing downtown district fused with energy and
excitement emanating from an array of entertainment, retail, dining, commercial and residential facilities.
The project will highlight various displays of cultural entertainment through out the development.
Entertainment facilities will include historical sites, museums, galleries, a performing arts center,
convention and meeting facilities, sports facilities, live music clubs, botanical gardens, performance
stages, and community gathering areas. Retail facilities will consist of an array of vendors to include gift
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shops, thematic retail stores, all of which will compliment the destination. Dining facilities will feature a
collection of new and fun restaurants, stand-alone thematic restaurants, concessions and fun food vendors.
Architectural design will promote open-air amenities for sidewalk cafés and picnicking. In order to
maximize property use, building codes will encourage new multi-functional structures i.e., 1st floor retail
or dining activity; 2nd floor commercial or office space; and 3rd floor and above commercial or residential
use.
Economic Zoning will offer to new and existing businesses attractive opportunities to relocate or remain
in Hagatna by offering an array of incentive packages. The Destination Development will aim at
consolidating complimentary commercial enterprises in support of the cultural district to promote synergy
for KOTTURA. Additionally, private companies will be sought to engage in partnerships with the
Government of Guam for various development projects.
KOTTURA will consist of an area approximately 1-mile long starting from Latte Stone Park to the Paseo.
The width of concentration will be an area approximately 3 to 5 city blocks wide. Site selection was based
on several variables:
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Hagatna Revitalization movement
Highly visible, central location that will provide optimum access
Existing historical sites, parks, facilities and amenities.
Existing cultural importance.
Synergy of elements create a high potential for a destination development
KOTTURA's common area amenities will include: area lighting, paths and walkways, landscaping,
waterscapes, picnic and seating areas, UV covered areas, restroom facilities, parking structure, ambient
area music, security.
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Infrastructure
o Underground Utilities,
o Storm drains, Sanitary and Water Lines
o Street and Pedestrian Lighting
o Landscape and Waterscape Design
o Signage
o Increased Parking areas
o Parking Facilities
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Common Area Amenities
o Restroom Facilities
o Covered walkways and seating
o Colored concrete sidewalk accented with pavers and granite banding
o Gardens
o Waterfalls and Water Fountains
o Concert and Performance stages
o Statues and Monuments
o Designated walking paths
o Picnic Areas and Play Areas
o Outdoor Furniture and Accessories
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KOTTURA Venues and Amenities
KOTTURA will need to develop infrastructure and amenities that will facilitate the realization of its
threefold focus of Economic Development, Cultural Preservation and Artistic Accessibility.
Economic Development will be realized through business incentive packages that will assist with the
construction of new facilities and the development of economic zones. Cultural Preservation will be
achieved through the restoration of key landmarks and historic sites. Additionally, the sheltering of
Guam’s cultural artifacts to a safe centralized location is a key consideration. Artistic Accessibility will
be realized by providing a centralized location for culture and art facilities integrated with community and
outreach programs for Creation and Promotion of the Arts, Enhanced Learning in the Arts and Partnership
Development.
A combination of existing facilities and newly constructed facilities in Hagatna will form the synergy
necessary to create the foundation for KOTTURA. KOTTURA identifies eight proposed venues that
would create the core of the development.
1.
2.
3.
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5.
6.
7.
8.
Guam Museum
Historic Park
Central Park
Capitol Building
Performing Arts
Visitor Center
Local Arts Commercial Center
Multi-use Arena
Museum Guahan – Parking Structure
Plaza De Espana
Skinner Plaza Park
Legacy Hall - Legislature Offices, Session Hall / GIMAC
Heritage Center
Hagatna Visitor Center
Chamorro Village Market Place
Paseo Point
Existing and additional venues and attractions
Cathedral Basilica
Latte Stone Park
Serena Bridge Park
Chief Quipuha Park
Paseo Liberty Park
Triangle Park
Government House
Fort Apugan
Each project will be discussed briefly in terms of on the following topics:
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Venue Name
Venue Use
Suggested Location
Goal
Description
Attraction and Displays
Financing Sources
Estimated Costs
Projected Income
Notes:
• Each project will have varying financing sources due to the different nature and scope of the
project and respective objectives.
• Total Project Costs are based on a current conditions, scalable projects and debt service
managability.
• Numerous grant sources are available that may decrease finance capital.
Guam Economic Development and Commerce Authority
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KOTTURA LAYOUT – Proposal A
LIBERTY PARK
PARKING
STRUCTURE
PASEO POINT
Agana Bay
East Agana Bay
Bus and Car
Bus Terminal
Chief
Quuipuha
CHAMORRO VILLAGE
W. MARINE CORPS DRIVE
W. SOLEDAD AVENUE
Moylan's
Sirena
Park
ECON.
ZONE
Moylan's
LEGISLATURE
ECON.
ZONE
ECON.
ZONE
CHALAN SANTO PAPA
HAGATNA
VISITOR
CENTER
A
S
P
I
N
A
L
L
HERITAGE
CENTER
M
U
R
R
A
Y
B
L
V
D
.
SKINNER
PLAZA
S
E
A
T
O
N
B
L
V
D
.
ECON.
ZONE
ECON.
ZONE
BOG
LEGACY
HALL
PLAZA DE ESPANA
A
V
E
.
PARKING
STRUCTURE
A
R
C
H
B
I
S
H
O
P
F
L
O
R
E
S
Church
MUSEUM de GUAHAN
ECON.
ZONE
R
O
U
T
E
M
A
R
T
Y
R
4
S
T
.
ECON.
ZONE
ECON.
ZONE
AOL
Bus and Car
W. O'BRIEN DR.
LATTE STONE PARK
JUDICIARY BUILDING
HOTEL / RESIDENTIAL ZONE
FORT
APUGAN
ALTERNATE PARKING STRUCTURE
GOV. HOUSE
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PARK
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KOTTURA LAYOUT – Proposal B
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Infrastructure
Project Name:
Use:
Location:
Description:
KOTTURA Infrastructure
Prepare and upgrade infrastructure for future development projects.
KOTTURA Footprint (See KOTTURA Proposed layout.)
Infrastructure improvement would consist of the following:
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Flood and Storm mitigation, Sewer and Drainage
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Power, Water, Cable, Telephone enhancement
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Lighting, Signage
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Sidewalk and Roadway
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Landscape and Waterscape
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Outdoor Furniture and Accessories
The KOTTURA “Footprint” must be delineated from the rest of Hagatna’s developments. This will be
primarily accomplished through the use of architectural elements, signage and a thematic commercial mix
of businesses. The theme, based on Old World architecture and Tropical Island elements, must be adopted
and enforced in order to preserve the historical and cultural identity of the district.
The infrastructure must be upgraded first in order to handle the future growth and magnitude of the
project. Aesthetic cover-ups will only be detrimental to the success and the future of the “Footprint”.
Financing Sources
• Government of Guam
 Various Bond tools, Municipal Sources
 Reprogrammed Excess Bond or Municipal Funds if available.
 Real Property Tax (Hagatna properties)
 Business License Fees
• Federal Government
 Office of Insular Affairs ($1.39M)
 USDA Rural Development
 USDUD Community Development Block Grant (CDBG) – Fund Availability
 USDHSS Community Services Block Grant - Fund Availability
Infrastructure Example
The following are estimated costs for infrastructure for KOTTURA Footprint.
Total project cost:
Construction Costs:
Amenities Capital:
$4 Million
$3.5 Million
$0.5 Million
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Museum Guahan
Venue Name: Museum Guahan
Use:
Multi-use Museum – Guam Historical, Fine Arts, Modern Art and Children’s Museum
Location:
Department of Administration Site
Goal:
To develop in two (2) years, a state of the art museum facility and tourist attraction that
will feature Guam historical components targeting “family-oriented” entertainment.
Description: Museum Guahan shall serve the community by providing a multi-use facility that will
house 4 museum entities. This facility will alleviate the need to construct various museums scattered
throughout the island. This project will erect a new, state of the art facility on the Department of
Administration Site. The Museum Guahan concept aims to preserve Guam’s diverse cultural heritage,
enlighten and expose the community to the arts, enhance alternative and continued learning, develop
government and community partnerships and to promote Guam as a world-class destination.
The Museum’s History wing will be dedicated to the history and artifacts of Guam. The Fine Art and
Modern Art wings will showcase regional and internationally recognized works of art. The Children’s
Museum wing provides an interactive, learning environment for children. The end result will be the first
core component of the KOTTURA footprint that will showcase our heritage, contemporary and classic
artwork and a children’s learning center under one secure roof.
Additionally, a multi-story parking structure will be erected in the adjacent parking lot to
accommodate car and bus parking and visitor drop-off.
Attractions and Displays
• Ancient Chamorro Life
• Discovery of Guam
• Spanish Missionaries to the Spanish American War
• Japan Occupation to Guam’s Liberation
• Hall of Leaders – Prominent political and community leaders
• Unique to Guam Displays - Marianas Trench, Typhoon Center, Animals, etc.
• Fine Art and Modern Art displays – Regional and International Artists and Treasures
• Children’s Museum – Interactive learning center
• Gift Shop
• Food Concession and Guam product vendors
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Financing Sources
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USDUD Community Development Block Grant (CDBG) – Fund Availability
USDHSS Administration of Native Americans Grant – Up to $1.5 Million
USDHSS Community Services Block Grant - Fund Availability
USDA Rural Development – Direct Loans and Loan Guarantees up to $25/$30 Million
National Endowment for the Humanities, NEH, OPO –Grants
Institute of Museum and Library Services – Grants from $25,000 - $1 million
National Endowment for the Arts - Save America's Treasures
National Science Foundation
Local – Various Bond tools, Municipal Sources
Corporate Partnerships
Tourist Attraction Fund
Museum Guahan Example
The following table illustrates an example of a simplified Projected Annual Income Statement for the
proposed Museum Guahan. The revenues and expenses are estimated for 1-year operation utilizing the
factors listed in the key.
The variables are based on:
Total project cost:
Construction Costs:
Interior Design / Working Capital:
$30 to $35 Million
$25 Million - Financed
$5M to $10M - Grants, private funding
Note:
This is a hypothetical model.
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Museum of Guahan Example
Annual Income Statement
REVENUE
Admission
Tour Pax $1,440,000.00
School
$52,500.00
Walk-up $300,000.00
SUBTOTAL $1,792,500.00
(1)
(2)
Other Revenue
Vendor
$21,600.00
Giftshop $216,000.00
Food Concession Vendor
$30,000.00
Municipal Budget $550,000.00
Grants $100,000.00
Corporate Sponsorship
$50,000.00
Endowments
$20,000.00
Fund Raising
$50,000.00
SUBTOTAL $1,037,600.00
TOTAl REVENUE $2,830,100.00
EXPENSES
Financing
Debt Service $1,798,651.58
SUBTOTAL $1,798,651.58
(3)
(4)
(5)
(6)
Assumptions
Tourists Annually
6% Visitor Target
$20(USD) Avg. Adm. after Comm.
School Groups
35% Student Target
$5(USD) Avg. Adm.
Walk-up (10% of populas of 150K)
$20(USD) Avg. Adm.
Giftshop - $18,000/Monthly
Food Concession Vendor - $2500/month
Vendors - 6 @ $300/month
1,200,000
72,000
$1,440,000.00
30,000
10,500
$52,500.00
15,000
$300,000.00
$216,000.00
$30,000.00
$21,600.00
Loan Amount:
Annual Interest Rate:
$25,000,000.00
6.00%
Length of Loan (in Years):
Number of Payments Per Year:
30
12
Total Number of Periods:
360
Payment Per Period:
Total Interest Paid:
Total Payments:
$149,887.63
$28,959,547.26
$53,959,547.26
Fixed Expenses
Utilities
Maintenance
Salary
SUBTOTAL
$120,000.00
$18,000.00
$675,000.00
$813,000.00
Utilities @ $10,000/month
Maint. @ $1500/month
Salary (15) @ $56,250/month
$120,000.00
$18,000.00
$675,000.00
Inventory
Supplies
Marketing
SUBTOTAL
$84,000.00
$12,000.00
$120,000.00
$216,000.00
Inventory @ $7,000/month
Supplies @ $1,000/month
Marketing @ $10,000/month Yr. 1
$84,000.00
$12,000.00
$120,000.00
Variable Expenses
TOTAl EXPENSES $2,827,651.58
TOTAL INCOME
$2,448.42
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
15
The Heritage Center
Venue Name: The Heritage Center
Use:
Center for the Performing, Galleries, Office and Meeting spaces, Concessions
Location:
Hagatna Post Office Site
Goal:
In three to five years, construct and operate a multi-purpose Performing Arts Center
Description: The Performing Arts Center will be a unique public/private partnership that will serve as a
cultural community center for the arts, culture and education. The Center will be an architectural
landmark hosting professional performances, emerging artists, established stars of the stage, educational
outreach, students in the arts, and vibrant cultural and arts organizations. The Heritage Center will be also
feature office space and meeting rooms that will contribute to revenue streams. In addition, rental space
for food and retail concessions, positioned adjacent to the Skinner Plaza, will also contribute to revenue
streams.
Attractions and Displays
•
•
•
•
Performing Arts Theaters
o Theater 1 – 1500+ seating capacity
o Theater 2 – 500+ seating capacity (optional)
Office Space and Meeting Rooms
Food Service and Retail Concessions
Galleries, Gift Shop
Facility Use
•
•
•
•
•
•
Shows – Plays, Performance Art, Comedy, Premiers
Concerts – International and Local Artists, Symphony, Recitals
Special Events – Awards, Ceremonies, Graduations
Gallery/ Exhibit Hall featuring Local Art and Artifacts
Meeting Functions
Dining
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
16
Financing Sources
•
•
•
•
•
•
•
•
National Trust for Historic Preservation
National Park Service – Dept. of the Interior
USDUD Community Development Block Grant (CDBG) – Fund Availability
USDHSS Community Services Block Grant - Fund Availability
National Endowment for the Humanities, NEH, OPO –Grants
National Endowment for the Arts
Local – Various Bond tools, Municipal Sources
Corporate Partnerships
Heritage Center Example
The following table illustrates an example of a simplified Projected Annual Income Statement for the
proposed Heritage Center for the performing arts. The revenues and expenses are estimated for 1-year
operation utilizing the factors listed in the key.
The variables are based on:
Total project cost:
Construction Costs:
Interior Design / Working Capital:
$20 to $25 Million
$16 Million - Financed
$4M to $9M - Grants, private funding
Note: This is a hypothetical model.
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
17
Heritage Center Example
Annual Income Statement
REVENUE
Admission
Main Stage
Second Stage
SUBTOTAL
$607,500.00
$120,000.00
$727,500.00
(1)
Other Revenue
Office Space $115,200.00
Meeting Rooms
$19,200.00
Vendors
$63,000.00
Giftshop $216,000.00
Municipal Budget $600,000.00
Grants $150,000.00
Corporate Sponsorship
$75,000.00
Endowments
$50,000.00
Fund Raising
$50,000.00
SUBTOTAL $1,338,400.00
(2)
(3)
(4)
TOTAl REVENUE $2,065,900.00
Assumptions
PERFORMING ARTS CENTER
MAIN STAGE - Avg. Rental / Per Show
Annual Income ( 3 shows/ week x 45 wks.)
SECOND STAGE - Avg. Rental / Per Show
Annual Income ( 3 shows/ week x 40 wks.)
OFFICE SPACE
Office Rentals $2sf, 1200sf, 4 rms
Annual for full occupancy
MEETING ROOMS
Room Rentals $200, 1000sf, 4 rms
8 rentals per month for 1 year
VENDOR(S)
Food Concession Vendor - $2750/month
Retail Space - $2500/Monthly
EXPENSES
Financing
Debt Service $1,151,137.01
SUBTOTAL $1,151,137.01
(5)
GIFTSHOP
Giftshop - $18,000/Monthly
$4,500.00
$607,500.00
$1,000.00
$120,000.00
$727,500.00
$115,200.00
$19,200.00
$33,000.00
$30,000.00
$63,000.00
$216,000.00
Fixed Expenses
Utilities
Maintenance
Salary
SUBTOTAL
$120,000.00
$18,000.00
$540,000.00
$678,000.00
Inventory
Supplies
Marketing
SUBTOTAL
$84,000.00
$12,000.00
$120,000.00
$216,000.00
Variable Expenses
Loan Amount:
Annual Interest Rate:
$16,000,000.00
6.00%
Length of Loan (in Years):
Number of Payments Per Year:
Total Number of Periods:
30
12
360
Payment Per Period:
Total Interest Paid:
Total Payments:
$95,928.08
$18,534,110.25
$34,534,110.25
TOTAl EXPENSES $2,045,137.01
TOTAL INCOME
$20,762.99
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
Utilities @ $10,000/month
Maint. @ $1500/month
Salary @ $45,000/month
$120,000.00
$18,000.00
$540,000.00
Inventory @ $7,000/month
Supplies @ $1,000/month
Marketing @ $10,000/month Yr. 1
$84,000.00
$12,000.00
$120,000.00
18
Legacy Hall
Venue Name: Legacy Hall
Use:
Guam’s Territorial Capitol – Legislative Offices and Session Hall, Meeting Rooms
Location:
Old Legislature Site
Goal:
To develop in three (3) years, a facility that will become our Territorial Capitol Building
that will centralize the Legislative Branch of government.
Description: The Government of Guam has made many attempts to consolidate offices and operations
to decrease cost and to provide easier, centralized access to government services. Although this has not
materialized, the opportunity now exists to centralize the Legislative Branch of government into a
“Capitol Building” to be known as “Legacy Hall”. The Old Legislature Site has been designated as a
historic site, the site of the first Guam Congress. It would be fitting to erect Guam’s territorial capitol on
this site to pay homage to the past government “legacies” and future leaders of Guam.
The Government of Guam will decrease costs, as senatorial satellite offices and the current legislative
session hall are leased properties with no equity and asset growth.
Amenities, Attractions and Displays
• Senatorial Offices
• Legislative Session Hall
• Legislative Administration, Library and Archives, Legislative Museum
• Conference, Meeting Rooms and Reception Facilities
Financing Sources
• Government of Guam Municipal Budget
• Local – Various Bond tools, Municipal Sources
• USDUD Community Development Block Grant (CDBG) – Fund Availability
• USDHSS Community Services Block Grant - Fund Availability
• USDA Rural Development – Direct Loans and Loan Guarantees up to $25/$30 Million
• USDHSS Administration of Native Americans Grant – Up to $1.5 Million
• National Trust for Historic Preservation
• Dept. of the Interior
Legacy Hall Example
The following are estimated costs for the Legacy Hall structure.
Total project cost:
$25 Million
Construction Costs:
$20 Million
Interior Design / Working Capital: $5M
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
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Plaza De Espana
Venue Name: Plaza De Espana
Use:
Historical Park, Botanical Garden
Location:
Plaza De Espana
Goal:
To restore and upgrade in three (3) years, the historic Plaza grounds for use as a
community-gathering place. As a direct result, the Plaza will once again be an integral part
of the Hagatna downtown experience and will again become the number one visited tourist
site on island.
Description: For over two hundred years, the Plaza de Espana served many purposes. This included the
location of Guam’s seat of Government, the main residence for the leaders of three separate and distinct
nations and as an entertainment complex. Today, three principal Spanish structures remain standing in the
Plaza. There is a three-arch gate that was the threshold to the Almacen or Arsenal, the Azotea or back
porch, and the Chocolate House. The latter was a popular location for meriendas. The Plaza was the
traditional place for the U.S. Navy band to perform weekly concerts, inducing villagers to swarm to the
Plaza to enjoy the music and to spend a leisurely day in the park.
Restoration of the Plaza de Espana will feature restored historical monuments, public gathering
facilities incorporating a botanical garden feature.
Attractions and Displays
• Chocolate House, Almacen or Arsenal, the Azotea
• Botanical Gardens
• Water Fountains
• Plaza Musicals
• Family Picnic and Play area
• Gift Shop merchandise located in the Museum Guahan
Financing Sources
• Local – Various Bond tools, Municipal Sources
• Government of Guam – Real Property Tax (Hagatna properties)
• Government of Guam – Business License Fees
• Government of Spain – Pledge made to GovGuam.
• National Trust for Historic Preservation
• National Park Service – Dept. of the Interior
• USDUD Community Development Block Grant (CDBG) – Fund Availability
• USDHSS Community Services Block Grant - Fund Availability
• National Endowment for the Humanities, NEH, OPO –Grants
• Institute of Museum and Library Services – Grants from $25,000 - $1 million
• Corporate Partnerships
Plaza De Espana Example
The following are estimated costs for the Plaza De Espana.
Total project cost:
$3.5 Million
Construction Costs:
$2.5Million
Design and Landscaping / Working Capital: $1Million
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
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Skinner Plaza Park
Venue Name: Skinner Plaza Park
Use:
Community Park and Economic Zone
Location:
Skinner Plaza
Goal:
To restore and develop in two (2) years, a community park in which the surrounding
properties offer retail, dining, entertainment, and commercial and residential features as
part of economic zoning.
Description: The Skinner Plaza Park project will be a landmark project. The introduction of an
“Economic Zone” associated with this new attraction will assist with the facilitation of the Park’s
development. This development will be the link and centerpiece for KOTTURA.
Attractions and Displays
•
•
•
•
•
•
•
Economic Zones offering Incentive Packages to commercial enterprises.
o Architectural Design Assistance
o Improved Infrastructure
o Marketing
o Adjacent attractions
o Residential variances
Performance Venue
Covered Pedestrian Areas
Waterscapes and Landscapes
Monuments and Statues
Restroom Facilities
Concessions
Facility Use
•
•
•
Live Performances
Community Gathering
Special Events
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
21
Financing Sources
•
•
•
•
•
•
•
Local – Various Bond tools, Municipal Sources
Corporate Partnerships
Government of Guam – Real Property Tax (Hagatna properties), Business License Fees
National Trust for Historic Preservation
National Park Service – Dept. of the Interior
USDUD Community Development Block Grant (CDBG) – Fund Availability
USDHSS Community Services Block Grant - Fund Availability
Skinner Plaza Park Example
The following are estimated costs for Skinner Plaza Park.
Total project cost:
$5 Million
Construction Costs:
$4 Million
Design and Landscaping / Working Capital: $1 Million
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
22
Hagatna Visitor’s Center
Venue Name: Hagatna Visitor’s Center
Use:
Offices for HRRA, Chamorro Affairs and CAHA, Tourist Information Center, and
Security Headquarters
Location:
Hagatna Police Station (Agana Lock Up)
Goal:
To construct in two (2) to four (4) years, a visitor’s center that will address the needs of
KOTTURA’s visitors, tenants and properties.
Description: The Hagatna Visitor’s Center will house three (3) supporting venues for the Hagatna
Master Plan and the KOTTURA project. They are the offices for the Hagatna Restoration and
Redevelopment Authority (the government project leader), Chamorro Affairs and CAHA. The Center will
also contain a Tourist Information Center, which will be a Visitor’s staging area where guests will be able
to obtain useful information about the Hagatna area and Guam. Also located in the complex will be
Security Headquarters for the entire destination, which will incorporate the Guam Police Department or
private security service.
Attractions and Displays
•
•
•
•
Visitor Interactive Information Desk
Transit Station
Box Office
Gift Shop
Facility Use
•
Government Offices
•
Information Center
•
Ticket Outlet
•
Security Headquarters
Financing Sources
• Local – Various Bond tools, Municipal Sources
• Corporate Partnerships
• Government of Guam – Real Property Tax (Hagatna properties)
• Government of Guam – Business License Fees
• USDA Rural Development – Direct Loans and Loan Guarantees up to $25/$30 Million
• USDUD Community Development Block Grant (CDBG) – Fund Availability
• USDHSS Community Services Block Grant - Fund Availability
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
23
Hagatna Visitor Center Example
The following are estimated costs for the Hagatna Visitor Center.
Total project cost:
Construction Costs:
Interior Design / Working Capital:
$16 Million
$14 Million
$2 Million
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
24
Chamorro Village Market Place
Venue Name: Chamorro Village Market Place
Use:
Retail and Dining District, Galleries, Economic Zone 2
Location:
Chamorro Village
Goal:
To reorganize and develop in two (2) years the Chamorro Village to the Chamorro Village
Market Place, a facility that will allow guest of Hagatna and KOTTURA to experience
Guam’s diverse cultural heritage through dining, entertainment and retail of locally made
products from tenants participating in the Economic Zone.
Description: The Chamorro Village Market Place will be reorganized and remodeled to reflect a place
to experience Guam’s diverse cultural heritage in an open-air setting. The project will feature the second
Economic Zone promoting various incentives that will promulgate entrepreneurial activity. Entrepreneurs
will be allowed to use the facility the way it was designed, as an incubator for commercial enterprises.
Some of the cabanas and spaces will be used for local agriculture and local art displays. The strength of
this project will be its link with the KOTTURA footprint.
Renovation will include giving the Village a “Face”, a formal entrance to invite guest in and provide
them loading and unloading options. Other amenities will include improved facilities for the night market
activities, overhead canopies, seating, landscaping, lighting and signage.
Attractions and Displays
•
Dining
•
Retail of Local Products and Gifts
•
Entertainment – Galleries, Live Music and Dance Performance Venue
•
Vendor Swap Meets
•
Local Produce
Facility Use
•
Economic Zones offering Incentive Packages to commercial enterprises.
o Entrepreneurial Incubator
o Marketing
•
Gallery
•
Community Gathering
Financing Sources
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
25
•
•
•
•
•
•
Local – Various Bond tools, Municipal Sources
Corporate Partnerships
Government of Guam – Real Property Tax, Business License Fees (Hagatna properties)
USDA Rural Development – Direct Loans and Loan Guarantees up to $25/$30 Million
USDUD Community Development Block Grant (CDBG) – Fund Availability
USDHSS Community Services Block Grant - Fund Availability
Chamorro Village Market Place Example
The following are estimated costs for the Chamorro Village Market Place.
Total project cost:
Construction Costs:
Working Capital:
$3 Million
$2 Million
$1 Million
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
26
Paseo Point
Venue Name: Paseo Point
Use:
Sports and Meeting Complex, Parking Structure and Transit Terminal
Location:
Paseo Stadium
Description: The Spanish definition of Paseo is: from pasear – a. to take a leisurely stroll, b. a public
walk or boulevard. The current facilities has been neglected and severely underutilized. The vision would
be to construct a multi-use complex that would allow events for:
•
•
•
•
•
•
•
Special Event - Concerts, Car Shows, Home Shows, Conventions and Meetings, etc…
Baseball and Softball
Football, Soccer and Rugby
Basketball and Lacrosse
Track and Field
Tennis and Volleyball
Xtreme Sports
Most of the sports organizations listed above have received funding from their perspective national
organization. For example, The Guam Rugby Association recently receives $2,000,000 last year for
facilities.
Paseo Point would be an open-air structure that could be closed, with multiple artificial turf options
allowing for various configurations and mix uses. Also located in the complex would be meeting rooms,
concessions and retail shops. Additionally, the existing northeast parking area could be utilized as a Bus
Terminal and Parking Structure. The surrounding area would be developed to maintain the current
walk/run activity and picnic grounds.
Financing Sources
• Local – Various Bond tools, Municipal Sources
• Corporate Partnerships
• Government of Guam – Business License Fees, Real Property Tax (Hagatna properties)
• USDA Rural Development – Direct Loans and Loan Guarantees up to $25/$30 Million
• USDUD Community Development Block Grant (CDBG) – Fund Availability
• USDHSS Community Services Block Grant - Fund Availability
Paseo Point Example
The following are estimated costs for the Paseo Point.
Total project cost:
$45 Million
Construction Costs:
$35 Million
Interior Design / Working Capital:
$10 Million
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
27
PROJECT COSTS and FINANCING
OVERALL PROJECT COSTS
Project Name
Infrastructure
Low Cost Estimate High Cost Estimate Average Cost Estimate
$3,000,000
$5,000,000
$4,000,000
Museum Guahan
$30,000,000
$35,000,000
$32,500,000
Heritage Center
$20,000,000
$25,000,000
$22,500,000
Legacy Hall
$20,000,000
$25,000,000
$22,500,000
Hagatna Visitor Center
$14,000,000
$16,000,000
$15,000,000
$2,000,000
$3,000,000
$2,500,000
$40,000,000
$45,000,000
$42,500,000
Plaza de Espana
$3,000,000
$4,000,000
$3,500,000
Skinner Plaza Park
$4,000,000
$5,000,000
$4,500,000
$136,000,000
$163,000,000
$149,500,000
Chamorro Village
Paseo Point
FUNDING SOURCES AND ASSISTANCE
The development of the destination and its components will require a creative financing scheme that will
need to be custom tailored for each phase and venue. Funding will be combinations of various sources as
outlined below.
1. Public Sources
a. Federal Funding
i. Loans (examples)
1. Administration for Native Americans
2. USDA Programs
ii. Grants, Other
1. National Endowment for the Arts
2. HUD-CDBG – Community Block Grant
3. National Preservation Trusts
4. National Historical Preservation
5. National Parks Service
b. Local Funding
i. Bond Financing
ii. Highway Funds
iii. Tobacco Funds
iv. Government General Fund
v. Tourist Attraction Fund
c. Tax Incentives
d. Enterprise Zones
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
28
2. Private Sources
a. Corporate Sponsorship
b. Foundations and Associations
c. Endowments
d. Philanthropy
e. Private Membership
f. Grants
g. Fund Raising
REVENUE SOURCES AND SUSTAINABILITY
Revenue streams created by the attractions will be the primary source of income. As outlined below,
combination of sources is a key element to the success of the project.
1. EXTERNAL
a. Federal Program Funding
b. Organization Support
c. Municipal Budget Item
d. QC Program and Tax Sources (Real Property)
e. Philanthropy
f. Non-Profit Organization(s) (Fundraising)
2. INTERNAL - Facility Revenue Centers
a. Events Admission
b. Facility Rental(s)
c. Concessions - Gift Shop, Vendors
d. Box Office Service
e. Parking Charges
Economic Impact
The economic impact of this project begins prior to the first ribbon cutting ceremony. During the planning
and development stages, commerce is already being conducted, as various firms will be contracted to
initiate developmental plans and strategies. As construction begins, synergy will be created and will
increase activity in surrounding areas as money for on-going projects flows into the economy.

Capital Investment for KOTTURA and Facilities
o Feasibility studies and A&E plan development
o Construction Dollars
o Business Synergy - Revitalization of Capital City
 Commercial Improvement
 Relocation to Hagatna
o Federal Grants and Subsidy
 Historic Restoration
 Cultural Preservation
 Arts and Education
 Commercial Development
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
29

Economic Diversity
o Tourism Growth
 Tour Attraction Growth and Expansion
 Expanded Visitor Market
 Hospitality Industry Growth
o Government General Fund Growth
 KOTTURA Facilities Revenue streams
 Business Economic Zones
 Increased Jobs and Wage Levels
 Increased Tax Base
o Civic Growth
 Arts and Events Organization and Development
 Promotion of Local Art
PROJECT DEVELOPMENT
KOTTURA WORKING GROUP
Essential to project development will be the creation of the KOTTURA Working Group. The initial
working group will be comprised of lead agencies GEDCA and HRRA. Primary focus of this group will
be the creation of a Conceptual Plan. The Conceptual Plan will be integrated into HRRA’s Master Plan,
which will have already addressed 1. Community Needs, 2. Feasibility Study and 3. Strategic Planning.
The Conceptual Plan will cover the economic footprint, thematic concepts and project development and
promotions.
Stakeholders of the KOTTURA development include:
GOVERNMENT
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Hagatna Restoration and Redevelopment Authority
HRRA Board - David Hanley Chairman, Paul Calvo Sr., Paul Shimizu, Tony
Grace Bordallo, Carlos Camacho
Guam Legislature
Governor’s Office
Guam Economic Development and Commerce Authority
Guam Visitors Bureau
Dept. of Parks and Recreation - Historical Resource Division
Department of Public Works
Department of Chamorro Affairs
Guam Council on the Arts & Humanities Agency
Guam Housing and Urban Renewal Authority
Department of Land Management
Office of the Congresswoman
UOG and GCC
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
Leon Guerrero,
30
PRIVATE SECTOR
•
•
•
•
•
•
•
•
•
•
•
•
Guam Chamber of Commerce
Guam Hotel and Restaurant Association
Archdiocese of Hagatna
Guam Humanities Council
Guam Contractor’s Association
PEALS
PATA
Guam Women’s Club
Gef Pago
TaoTao Tano
Various Sports Organizations
Various Art and Civic Organizations
THE PHASES
KOTTURA will essentially focus on the economic downtown model. After HRRA and affiliates complete
the Hagatna Master Plan and finalize A&E designs, implementation of KOTTURA phases will take
effect.
Assumptions:
• Funding source secured.
• Floodway mitigation is approved.
• Historical Sites are registered.
PHASE 1 – INFRASTRUCTURE – Year 1 and 2
• Phase 1 will primarily focus on Hagatna’s infrastructure.
• This is inclusive of utilities, sewer, sidewalks and roadways, lighting, signage, etc…
• This project should work concentrically from the center of KOTTURA outward in order to
prepare for consecutive KOTTURA phases.
• * Complete Flood Zone Analysis
PHASE 2 – FACILITY DEVELOPMENT (In Chronological Order)
• MUSEUM GUAHAN / Parking structure
• PLAZA DE ESPANA and SKINNER PLAZA
• CHAMORRO VILLAGE
• LEGACY HALL
PHASE 3 – FACILITY DEVELOPMENT (In Chronological Order)
• HAGATNA VISITOR’S CENTER
• HERITAGE CENTER
PHASE 4 – FACILITY DEVELOPMENT (In Chronological Order)
• PASEO POINT
• SHORELINE
• FORT APUGAN
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
31
FLOODWAY MAP
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
32
SWOT ANALYSIS
Strengths
 Visitor market segments are not being fully tapped. KOTTURA would provide Guam with a new
alternative “Tourism Attraction” that would compliment Tumon’s Development.
 KOTTURA will bring to realization the wants, needs and interest of tourist for Guam’s culture as
indicated by Visitor Exit Surveys.
 KOTTURA project is in line and supports the Government of Guam’s economic initiative of
Tourism.
 New destination will assist in attracting large corporations and industry professionals to Guam.
 Promotes the educational development and appreciation for the Arts
 Existing infrastructure and historical significance give the project viability.
 Guam’s unique culture and community partnerships are key assets that will make this project
attractive and successful.
 The authority of the Hagatna Restoration and Redevelopment Authority.
Weaknesses
 Government and private sector resources have not been formally organized to form a collaborative
effort.
 No “existing” government incentives for the development of this industry.
Opportunities
 Capitalize on increasing outbound visitor markets and expand exiting markets i.e. Military
numbers.
 To organize the movement to revitalize a dilapidated area into a thriving economic center.
 To centralize cultural entities in one of the most histories location on Guam.
 To recover and return national treasures and artifacts to Guam.
 Creation of new commercial enterprises and business opportunities.
 Maximize the utility of prime real estate to serve as a socio-economic project.
 Reestablish a sense of community.
Threats
 Ability of the Government of Guam to work in partnership with the Private Sector on a unified
vision.
 Infrastructure – Because of the current state of Guam’s infrastructure, this condition adds
additional cost to operations disrupts business operations and deters new business investments into
Guam.
 Unstable Economy.
 Property issues – Flood Zone, Property title and ownership, landowners, etc.
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 011/22/05 Print 1/30/06
33
ADVANTAGES FOR GUAM
This project shall serve the community by contributing to the:
1. Economic Diversity
a. Providing a New Attraction Segment to Guam’s portfolio.
b. Creating New, Non-Competitive, Complimentary Revenue Streams
c. Revitalization of Guam’s capital city
d. Development of Economic Zones
2. Cultural Preservation
a. Preservation and Promotion of our diverse cultural heritage.
b. Restoration of historical landmarks.
3. Development of the Arts
a. Creation and Promotion of the Arts.
b. Enhanced Learning in the Arts
c. Greater Accessibility to the Arts
d. Partnership Development for the Arts
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Preservation of culture by providing direly needed facilities to house artifacts and historical
memorabilia.
Fosters an understanding and appreciation of our culture in our young people; helps to bring our
heritage to the masses of all ages and backgrounds; assists those who create, share, and yearn for the
arts.
Supports works of artistic excellence, learning in the arts, and strengthening the arts in communities
throughout the region
Introduction of new economic activity on Guam. Expanded economic growth in the areas of Tourism
and Education for the territory.
Centralized cultural and arts center that will enhance the revitalization of Guam’s Capital City of
Hagatna.
Creation of jobs and numerous employment opportunities.
Provides access and better conditions for the community to utilize for special events.
R. Gregory Sablan
Industry Development Specialist
Guam Economic Development and Commerce Authority
Industry Development Division
Guam Economic Development and Commerce Authority
R. G. Sablan, Revised 11/22/05
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