2. Aloha Stadium has stood for over 40 years and effectively
achieved its mission as a gathering place and as a first-class
facility.
Aloha Stadium is an iconic structure for the citizens of Hawaii, as
it has hosted hundreds of major events during its life.
Aloha Stadium is a community asset currently hosting
over 300 events per year.
Aloha Stadium is where the spirit of
achievement was nourished by the thrill
of healthy competition.
Aloha Stadium is where families gathered
to share their cultural diversity with pride
and a feeling of Aloha.
THE HISTORY OF ALOHA STADIUM
A Hawaii landmark since 1975
3. EXISTING vs. NEW STADIUM
Life cycle costs
● Aloha Stadium requires approximately $423M in critical
health and safety repairs, ADA and code compliance
(2017 dollars). Or, $30M/year for 25 years.
● $107M spent in health and safety repairs for Aloha
Stadium since 2005 but significant deferred
maintenance remains.
● A new stadium will be an improvement over the existing
stadium, and at a lower cost ($324.5M vs. $423M to
maintain the existing stadium).
● A new stadium will facilitate up to 2.6 million square feet
of ancillary development over a 25-year period. Ancillary
development potential is severely limited with the
existing stadium, even if renovated.
● A new stadium and property development will
generate significant revenue and up to $1.5B in
economic activity.
4. NEW STADIUM - POTENTIAL
Aloha Stadium’s failure to attract major events
• The current stadium cannot attract new events – it is too
big (with limited seating adjustment capabilities), it lacks
premium amenities and the field is too narrow for major
international soccer and rugby clubs.
• A new stadium with a properly dimensioned natural
playing field could attract 3-4 soccer exhibition games
and 1-2 rugby exhibition games each year.
• A new 30,000 seat stadium that can facilitate variable
sized events with proper staging equipment, seating bowl
and lighting and sound designed for concerts could
attract 4 major annual concert events each year.
5. New State of the Art Stadium
• Approximately 30,000-35,000 permanent seats;
expandable to 40,000 with temporary seating
• More seating options, increased concessions, improved
facility circulation
• Premium areas, including 22 private suites (18 private
16-seat suites and 2 30-seat party suites leased annually,
2 16-seat suites reserved for State/University use), 50 loge
boxes (4 seats per box; leased annually by box), 1200
club seats (leased annually by seat), and at least one
upscale lounge area (which can be rented on non-event
nights)
• Natural grass field with dimensions for international
soccer, rugby and baseball (120 yards by 80 yards)
• ADA compliant
• Decrease operational expenses (efficient building
systems)
• Designed to increase revenues
• Facilitate ancillary development, leading to a robust
return on investment unavailable by investing in
renovations to the existing stadium
ALOHA STADIUM 2.0
6. ALOHA STADIUM 2.0
Transit-Oriented Development
• Rail transit station is being built at the Aloha Stadium site.
• The station is only one stop from JPHHF Base and two stops from
HNL. Both will generate foot traffic to the station.
• Unique opportunity to leverage increased transit options for
stadium operations and transit oriented development.
• If new stadium is opened, the existing stadium would be
demolished, opening up land for ancillary TOD development
located in an optimal location next to the new HART station.
7. ALOHA STADIUM 2.0
Development Revenue Generating Opportunities
• Based on JLL’s development market study, the State’s $324.5 million investment in a new stadium could
generate private sector mixed-use development surrounding the stadium, potentially including:
• 350,000 SF Retail
• 150,000 SF Office (50% professional, 50% medical)
• 200 Room Limited or Select Service Hotel
• 500 Multifamily units (to include allocation of affordable housing)
• The above represents the initial phase of the conceptual development program, totaling approximately 1.2
million square feet.
• Subsequent phases could add an additional 1.4 square feet of development.
• Overall, based on an economic & fiscal impact analysis of a new stadium and ancillary development, Victus
Advisors estimates the $324.5 million investment in a new stadium could generate net new economic output
over the next 25 years with a net present value of nearly $1.5 billion.
8. 1
2
3
4
5
6
7
8
9
10
11
12
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15
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1920
21
22
CONCEPTUAL SITE PLAN
1. New Halawa HART station
2. Commercial buildings above parking deck & retail podium
3. Residential buildings above parking deck & retail podium
4. Retail-entertainment oriented “Main Street” & plazas
5. Aloha stadium gateway (with historic volcano monument)
6. Grand entrance to stadium plaza (extended roof canopy)
7. Aloha stadium plaza
8. Entertainment district (structured parking below)
9. Residential neighborhood
10. Existing surface parking (swap meet zone 1)
11. “Warriors Way” (or other name): Signature promenade designed to
accommodate various events, including swap meet (zone 2)
12. Hotel & conference center, with parking deck
13. Pedestrian bridges over creek, with local road access on both sides
14. District gateway: Elongated traffic roundabout with access to/from H3
and H201 via expanded Kahuapaani Street; direct access to Stadium
Loop Road.
15. Expanded Salt Lake Blvd (“complete street”) with linear park and
dedicated pedestrian/bike pathways
16. Garden forecourt (and limited VIP parking) for Aloha Stadium
17. Service access on south side of Stadium (lower elevation, below
concourse level)
18. RR/concession blocks on east and west side concourses
19. Surface parking lot and event space
20. North end zone berm, able to accommodate temporary seating, with
double-sided video board to both Stadium and plaza
21. Parking garage and two residential buildings
22. Multi-use recreational field and neighborhood park
9. ALOHA STADIUM 2.0
Projected Stadium Utilization
Victus Advisors conservatively estimates that a new Aloha Stadium could host approximately 321 events per
year, with an estimated annual attendance of 1,440,558 people. With a new Aloha Stadium, the Honolulu
market could capture at least 8 new major sports and entertainment events each year.
Notes:
- Represents a stabilized year of operations.
- Estimates are intended to represent a conservative, base-case scenario.
Event Type
Event
Days
Average
Attendees
per Event
Total
Attendees
Existing Events
Runs 4 7,743 30,972
Football Games 53 6,249 331,197
Swap Meet 155 5,771 894,505
Other Events & Shows (Graduations, Parties, etc.) 101 484 48,884
Annual Total 313 20,247 1,305,558
New Events
Concerts & Entertainment Acts 3 20,000 60,000
International Soccer & Rugby Exhibitions 5 15,000 75,000
Annual Total 8 35,000 135,000
10. ALOHA STADIUM 2.0
Projected Financials
In a stabilized year of operations, Victus conservatively
estimates that the operations of a New Aloha
Stadium could generate approximately $5.2 million
in net income, which represents $5.0 million of
incremental revenue, after funding of a capital
improvement reserve, but prior to any primary tenant
revenue sharing.
Note that we have exercised extreme caution in
coming to this conclusion, making assumptions
which make the net income estimates lower than
they otherwise would be.
Current
Aloha
Stadium
Increment
from New
Aloha
Stadium
New Aloha
Stadium
Operations
Revenues:
Swap Meet1
$4,175,578 ($835,116) $3,340,462
Parking (net)2
$874,689 ($874,689) $0
Food & Beverage (net) $989,980 $389,311 $1,379,291
Rent $250,669 $200,000 $450,669
Stadium Naming Rights (net)34
$0 $1,088,000 $1,088,000
Advertising & Sponsorships (net)3
$305,032 $2,958,968 $3,264,000
Interest $25,951 $0 $25,951
Luxury Seating Premiums (net)3
$0 $2,249,984 $2,249,984
Stadium Tours $2779 $0 $2779
Miscellaneous $274,896 $0 $274,896
Total – Net Revenue: $6,899,574 $5,176,458 $12,076,032
Expenses:
Personal Services $4,115,021 ($700,506) $3,414,515
Supplies $216,677 ($65,003) $151,674
Utilities $962,090 ($288,627) $673,463
Repairs & Maintenance $216,446 ($64,934) $151,512
Services on a Fee Basis $508,311 ($152,493) $355,818
Central Services Assessment $441,249 ($132,375) $308,874
Miscellaneous $218,502 ($65,551) $152,951
Total – Expenses: $6,678,296 ($1,469,489) $5,208,807
Net Operating Income8
: $221,278 $6,645,947 $6,867,225
Less: Annual Capital Reserve: ($1,622,500)
NOI After Capital Reserve Funds: $5,244,725
Notes: Represents a stabilized year of operations. Shown in 2017 dollars.
1
To reflect the uncertainty at this stage of planning, we have discounted
existing Swap Meet revenue by 20%
2
If parking is privatized, it is assumed that there will be no parking
revenue for the Stadium Authority
3
Conservatively discounted at 15% to account for sales commissions
4
Represents new naming rights for the entire stadium, not just the field
11. Foley & Lardner recommends urgent legislative action to
fund the next stage of planning.
Immediate Requests:
• State funding needed to invest in master planning,
programmatic environmental study, market study, and
stadium design.
• This investment will:
○ Provide deeper understanding of revenue-generating
potential for development activity
○ Minimize the effect of future cost escalation
○ Inspire interest and confidence from private sector
partners
○ Reduce financial risks for future development
○ Explore financing options available to the state
NEXT STEPS
12. Stadium
● $423M - Aloha Stadium (repair and
renovation)
● $324.5M - New Stadium
Development
● 2.6 million sq ft of mixed-use development
● Up to $1.5B in economic activity
Revenue Generation
● $5.2M annual revenue increase from new
stadium alone
● Significant revenue potential from
development
Legislative Action Needed
● State-funded master plan, development
financial analysis, environmental review and
design for stadium
● This investment to yield detailed data for
lawmakers and attractive conditions for
investors
SUMMARY