Turf sale makes way for additional revenue
Last Tuesday, the City Council approved the sale of the ice arena turf as we continue to seek ways of generating revenue through our Parks and Recreation programs.
The city purchased the turf in 2017 to provide Shakopee’s youth sports associations a high-quality experience to begin their seasons earlier than spring thaw typically allows. Unfortunately, the turf story is not what everyone imagined or hoped for. Turf revenues were lower than expected ($23,604 in 2018 and $13,825 in 2019), while the expense of ice-turf-ice conversion is higher than expected ($13,592). Our turf bookings dropped from 262.3 hours in 2018 to 153.6 hours in 2019. It seems baseball, softball, lacrosse and soccer teams have chosen to book other venues, e.g., Shakopee High School Fieldhouse, Savage Sports Center and Soccer Blast of Burnsville, which are larger and give them a better sports experience than the confines of an ice arena.
Also, as our turf often sits empty, ice customers leave the arena to book somewhere else. For example, we had one ice customer request 216 hours of ice time this spring, which would have totaled $36,720 in additional revenue - much higher than our turf revenue. The fact is, ice is a bigger revenue generator since an hour of ice rents at nearly twice the rate of an hour of turf. Turf simply is not paying off for us.
However, by selling our turf and recouping $60,000 in costs, we plan to use the proceeds to convert a portion of our ice arena lobby into an appealing, easy-to-access rental space that can be used for ice-skating and hockey parties, as well as meetings and tournament check-in. We expect this space will increase our rental revenues and make the arena even more attractive for ice customers. We are excited by the opportunities to continue making the ice arena the premier ice facility in the southwest metro.
- Updated: 04/19/2019
- Updated: 04/18/2019