Development of Snow Park in Bangalore

Transcription

Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA
INITIATIVE
DEVELOPMENT OF SNOW PARK IN
BANGALORE
PROJECT REPORT
Detailed Project Report
TOURISM PROJECTS FOR INVESTMENT
OPPORTUNITIES
INVEST KARNATAKA 2016
January 2016
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Table of contents
1. Introduction ....................................................................................................... 4
1.1
Background .............................................................................................................................. 4
1.2
Objectives ................................................................................................................................ 4
1.3
Approach and Methodology .................................................................................................... 5
2. Overview of Bangalore City ........................................................................... 8
2.1
Advantage of Bangalore........................................................................................................ 10
2.2
Demography & Population Growth ....................................................................................... 12
2.3
Rise of the Middle Class ......................................................................................................... 13
2.4
Regional Connectivity ............................................................................................................ 15
2.5
Weather and Climatic Influence ............................................................................................ 15
2.6
Infrastructure Initiative.......................................................................................................... 16
2.7
Tourist Footfall....................................................................................................................... 17
2.8
Need of the Project ................................................................................................................ 17
3. Amusement Parks Scenario ........................................................................ 18
4. Project Concept ............................................................................................... 23
4.1
Tourism Policy........................................................................................................................ 23
4.2
Project Component ................................................................................................................ 23
4.3
Project Drivers ....................................................................................................................... 25
5. Suggested Project Location ......................................................................... 26
Road Infrastructure: .......................................................................................................................... 26
Proposed Development: ................................................................................................................... 28
6. Project Implementation Structure ........................................................... 26
5.1
Proposed Implementation Framework ................................................................................. 31
5.2
Types of Private Sector Participation Framework ................................................................. 31
5.3
Recommendation .................................................................................................................. 36
7. Project Financial Viability Analysis ......................................................... 38
2
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
List of Tables
Table 1: Overview of Bangalore City ....................................................................................................... 9
Table 2: Urban Branding of Cities ......................................................................................................... 12
Table 3: Urban Household Annual Household ...................................................................................... 13
Table 4: Urban Branding of Cities ......................................................................................................... 14
Table 5: Weather & Climatic Influence in Bengaluru ............................................................................ 16
Table 6: Annual Tourist Footfalls (2014 Tourist Data) .......................................................................... 17
Table 7: Categorization of Amusement Parks in India .......................................................................... 21
Table 8: Comparative analysis of Project Implementation Options ..................................................... 30
Table 9: Base Construction Cost ........................................................................................................... 38
Table 10: Project Cost ........................................................................................................................... 39
Table 11: Details of Snow World Hyderabad ........................................................................................ 39
Table 12: Entry Fee Details of Snow Park ............................................................................................. 40
Table 13: Utilization of Games Facility.................................................................................................. 40
Table 14: Revenue from FEC ................................................................................................................. 41
Table 15: Retail area details .................................................................................................................. 41
Table 16: Capacity of Snow World ........................................................................................................ 45
Table 17: Pricing considerations ........................................................................................................... 46
Table 18: Facilities at Mall of Emirates, Dubai ...................................................................................... 48
Table 19: Admission Prices ................................................................................................................... 52
List of Figures
Figure 1: Approach to the study ............................................................................................................. 6
Figure 2: SEC Share across Cities........................................................................................................... 12
Figure 3: Income Groups across Major Cities in India .......................................................................... 14
Figure 4: Proposed Project Implementation Plan ................................................................................. 31
Figure 5: Location of Snow World, Hyderabad ..................................................................................... 43
Figure 6: Location of the Mall of Emirates ............................................................................................ 47
3
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
1. Introduction
1.1 Background
Department of Tourism (DoT) Government of Karnataka (GoK) is determined to boost
the tourism industry in the state. The Tourism Sector has been identified as one of the
key sectors propelling the country’s economic growth. Karnataka State has been
ranked as the 3rd preferred destination among domestic tourists in the tourism sector.
Karnataka’s thriving economy has created many opportunities across the State in the
last decade.
For GoK, the tourism sector constitutes a real priority because it is an important sector
for the generation of employment, therefore various initiatives are been undertaken
with the involvement of all stakeholders, both public and private, that will foster a
more favourable environment for the development and consolidation of the tourism
sector. One of the initiatives in this direction is the formulation of Karnataka Tourism
Policy for 2015-20.
GoK intends to encourage the investors to invest in the tourism sector. A host of
incentives and concessions are provided to the investors in tourism sector, in the New
Tourism Policy for 2015-20. A large emphasize has been laid on enhancing hospitality
services and standards, promoting innovative developments and rejuvenation of older
tourist attractions, with the aim of offering visitors the experience that will
commensurate with higher expectations.
With this background, DoT has prepared a shelf of Project Reports of potential tourism
projects which could be undertaken for development along with collaboration with the
Private sector. Development of Snow Park in Bangalore is one of the projects identified
for development.
Games offered at snow parks provide a unique experience which people living in
tropical climates (Karnataka) do not experience. Snow Parks offer snow setting for
skiing, snowboarding and tobogganing or just playing in the snow. Snow Parks are
present in Dubai, Singapore, Malaysia and in India at Delhi and Hyderabad.
1.2 Objectives
GoK intends to develop the Snow Park in Bangalore to:
i.
Provide an unique experience to the tourists
4
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
ii.
iii.
iv.
Attract footfalls, encourage extended stays and provide a wholesome
experience to the tourists.
Encourage entrepreneurship and livelihood opportunities for the locals.
Encourage and promote Private Sector Participation in the development of
tourism sector.
Department of Tourism, Government of Karnataka, the agency responsible for
promoting tourism in Karnataka has been at the forefront in attracting large number
of tourists to the state and branding Karnataka as a tourist destination.
The Unique Selling Proposition of Karnataka Tourism is that it is a “Mini Incredible
India” in its tourism offerings. One state encompassing the spectrum of many worlds
of tourist interest in one state – be it the heritage and pilgrim centres of the old world,
or the Hi-tech IT and Bio-tech of the modern world or the adventure sports of the new
world. At one end it is recognized as the “Cradle of stone architecture” of the old
civilization and contrastingly on the other, as the “Silicon Valley of India” of the
modern e-civilization.
The Tourism Policy 2015-20 would act as a catalyst to promote development of
tourism infrastructure and related facilities without straining the budget of the state.
The utmost importance would hence be given to the developments under Public
Private Partnership (PPP) framework. One of the thrust areas of the afore-mentioned
policy is the development of Theme and Entertainment Parks/ promoting adventure
sports and creating high-end accommodation through various public-private
partnership (PPP) frameworks in Bengaluru and other places in Karnataka.
One of the key initiatives of DoT in the regard is to explore the possibility of setting up
of a large, multi-attraction, integrated theme park in a suitable location near
Bengaluru on a Public Private Partnership (PPP) basis on the lines of large international
theme parks like Disneyland, Six flags, Universal Studios etc.
1.3 Approach and Methodology
The Approach to the entire assignment is depicted in the flow chart below. The
detailed analysis and inferences drawn at each stage have been covered in detail in
the each of the following sections.
5
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
The overall framework for the assignment is explained in the chart below. The
assignment would involve five key activities
Case studies of snow
parks & theme parks
in the region
Assessment of the Amusement
Park Industry in India /
Bangalore
Activities,
components,
footfalls, price points
& key learning points
Profiling of target population &
quantification
Assessment of demand,
infrastructure & support facilities
Design Standards &
Development Control
Regulations
Preparation of tender documents
for inviting tenders on a PPP
framework
Discussions with key
amusement park
operators
Technical Specifications
6
Bid process management for
selection of a private developer /
operator for the Project
Figure 1: Approach to the study
i. Assessment of the amusement park industry would involve the following tasks:

Overall trends, analysis, key drivers and market share analysis including key subsectors.

Economic advantage, key infrastructure requirement, revenue spinner effect, etc.

SWOT analysis for ‘leisure & entertainment’ sector

Existing and proposed investments in the sector.

Review of case studies of similar snow parks established in India and abroad, to
arrive at the activities, components, footfalls, prices points and other key success
drivers for the Project.
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
ii.
iii.
Profiling of target population & quantification would involve the following tasks:

Identification of target population for the proposed Project.

Definition of criteria for quantification of target population for mid-term (7-10
years) and long term (10 years and above).

Profiling of target population according to an appropriate system (including SEC).
Assessment of demand, infrastructure & support facilities would involve the
following tasks:

Identification of various normative standards for quantifying the demand.

Demand estimation, scenario analysis and indicative pricing points.

Infrastructure support required to realize the demand.

Potential market share for the proposed Project.
iv.
Preparation of tender documents for inviting tenders on a PPP framework would
involve the following tasks:

Listing of key development regulations applicable for amusement / theme parks.

Minimum design and safety standards.

Preparation of technical schedules.
v.
Bid process management for selection of a private developer / operator for the
Project would involve the following tasks:

Marketing of the Project to potential developers / operators of amusement parks.

Assistance in conducting the pre-bid meeting including drafting clarifications to the
queries raised by the bidders.

Evaluation of the bids received.

Assistance in negotiations and signing of contractual documents with the selected
bidder
7
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
2. Overview of Bangalore City
Karnataka State comprises of 30 districts and has been classified into four divisions
namely Bangalore, Belgaum, Gulbarga and Mysore Divisions.
Bangalore, the capital city and the largest city of Karnataka State is popularly known as
the ‘Silicon Valley of India’ and has come to be one of Asia’s fastest growing cities since
emergence of the IT-ITeS industry. Karnataka itself is globally known for its vibrant
economy and investment potential.
Being a major industrial and commercial center of the country, Bangalore is also the
nerve center of India’s software industry and is well connected domestically and
internationally, thus attracting people from all over the country and beyond for
meetings, seminars, conferences and exhibitions. It is home to some of the most high
tech industries, IT organizations and some of India’s premier scientific establishments.
Bangalore is regarded as a high-tech city with offices or development centers of a
number of mega software companies having wholly owned subsidiaries or joint
ventures including IBM, Hewlett-Packard, Texas Instruments, Oracle, Novell, Fujitsu,
and Digital Equipment. Bangalore is also headquarters to a large number of Indian
software companies. Bangalore produces more than 35 percent of all software that
India currently exports. In a short time, Bangalore has experienced rapid growth and
international recognition in the field of software development. This has resulted in
placing the city at a promising position in the international market for software.
Bangalore is home to over 688 multinational companies, out of which 87 are from the
Global Fortune 500 companies. Sustained efforts of both the Government of India and
the Government of Karnataka in the last five decades have resulted in Bangalore
becoming a major industrial and commercial hub in Asia.
With over 103 Central and State research and development institutions including the
Indian Institute of Science (ranked as the 18th globally), National Law School of India,
69 Engineering Colleges, world class health care facilities/medical colleges and
institutions, and a host of other institutional infrastructure, Bangalore is a much
sought after destination for trade, commerce and industry. Bangalore is even gaining
the status of the ‘Floriculture Capital’ due to the present boost of the flower export
from the city. Due to the rich stone resources Bangalore is also known as the ‘Stone
City’, especially for its granite deposits. The salient features of Bangalore City are
presented in the table below.
8
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Table 1: Overview of Bangalore City
Aspect
Details
City
Bangalore
Population (2011 Census)
8.52 Million
Area



Municipal Area (BBMP): 741 sq. km
Planning Area (Bangalore Development Authority): 1,307
sq. km
Development Area (Bangalore Metropolitan Regional
Development Authority): 2,190 sq. km
Geographic Location


770 37’ E Longitude and 120 8’ N Latitude.
Elevation: 920 m above the mean sea level.
Connectivity and Linkages

Air: The city has an international airport with regular flights
from & to important destinations both in India and abroad.
Bangalore International Airport started its operations of
Phase 1 in April 2008.
Road: The city is strategically located on NH-4 (ChennaiBangalore-Pune), NH-7 (Bangalore-Hyderabad), NH-48
(Mangalore), NH 207 (Chikaballapur), & NH-209
(Coimbatore) and State Highways to other cities in the
State.
Rail: The city has three railway stations, viz. Central,
Cantonment and Yeshwantpur. The city is well connected
to all major Indian cities by rail network.


Climate





Tropical climate
March to May (warmest months)
December to February (coldest months)
July to September (rainy - southwest monsoon)
November to December (rainy - northeast monsoon)
Temperature


Highest maximum temperature of 33o C
Lowest minimum temperature of 14o C
Languages


Regional language: Kannada
English, Hindi, Telugu and Tamil are widely spoken and
understood.
9
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Aspect
Details
City Administrator
Greater Bangalore Municipal Corporation (Bruhat Bangalore
Mahanagar Palike)
City Functions
Administrative Capital, IT capital of the country
Distance of International
Airport from CBD
35.0 km
Key Advantages of
Bangalore









Availability of world class skilled manpower
Location advantage - good connectivity and linkages
Salubrious climate
Reform oriented governance
Cosmopolitan culture
Excellent social, education & health facilities
Telecom connectivity
Presence of multinational companies
Fastest growing city in Asia and availability of ‘Grade A’
properties
Source: Jones Lang LaSalle Report 2010
Apart from the industrial importance, Bangalore city also has few other characteristics
such as a cosmopolitan culture, higher spending capacity, large percentage of young
population and existence of International airport all of which together promote
Bangalore as an idyllic place to develop entertainment and amusement parks.
Developing a snow park will be very constructive to attract more domestic and
international tourists in the city. Snow Park will also act as a weekend destination for
the city – dwellers.
2.1 Advantage of Bangalore
Karnataka has one of the highest per capita (Rs 5,217) plan expenditures in the
country and there has been a continuous increase in the share of plan expenditure (42
per cent) in total expenditure in the state. The Economic Survey of Karnataka
estimated its Gross Domestic Product (GDP) at constant prices to grow by about 8.2
per cent during 2010-11, driven by higher growth in primary and tertiary sectors. The
per capita Net Income (per capita NSDP at factor cost), at current prices, is estimated
at Rs 60,000 for 2010-11 as against Rs 51,858 for 2009-10, which brings the growth in
10
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
per capita net income at 15.7 percent during 2010-11 as against 12 per cent during
previous year.
Karnataka has been repeatedly show-cased as:








Manufacturing hub for leading Auto & Auto components
Global outsourcing hub for IT & ITES
Preferred destination for outsourcing of IT projects/product design & development
Home for Drug discoveries & Biotech clusters
Leader and pioneer of BT Revolution
Base for several international apparel brands for various international brands like
Tommy Hilfiger, NIKE, GAP, Wal-Mart
Aero-space hub and base (Bengaluru) for aviation majors such as HAL, NAL, GE,
Honeywell, Rolls Royce
Base for oil and gas majors – MRPL (ONGC), excellent connectivity to Ports
The state has had many pro active developments indicating willingness of the
governance in showcasing Karnataka as the preferred state. Some of the statistics
which support this understanding are listed below;




The State Level Single Window Clearance Committee approved 378 industrial
projects with an investment of Rs 6,087.37 crore with an employment potential of
1.03 lakh. The High Level Clearance Committee cleared 130 mega projects with an
investment of Rs 1,46,566.89 crore, which has potential to create 4.63 lakh jobs.
The Global Investors Meet held on June 3-4, 2010 attracted investment of about Rs
4, 73, 000 crore and with an employment potential of 85,000 new jobs.
Karnataka's exports in 2009-10 amounted to about Rs 1,42,871.41 crore, which
accounted for 13.3 per cent of the country's exports indicating the increased
inflows
During 2010-11, Karnataka created 283.72 lakh person days employment
compared to 278.22 lakh person days in the previous year indicating the improved
employment levels in state.
The tourist flow into the state has steadily increased from 2.52 crore in 2005 to 3.32
crore in 2009, which indicates a growth of 16 per cent. There are various measures by
DoT to further enhance the tourism sector as discussed earlier. There have been
various initiatives such as Master Planning of Heritage areas, creation of Tourism
circuits, focus on improving infrastructure and encourage entrepreneurs for
construction of hotels with concession on loans and VAT exemption provided.
11
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
2.2 Demography & Population Growth
One of the most attractive employment destinations in the country over the last
decade, Bengaluru's population has grown by 46.68 per cent between 2001 and 2011,
up by nearly 12% over the growth rate of 35 per cent in the previous decade. The
City’s decadal growth rate is the highest among all the metros in the country. Indeed,
at 36.35 per cent, over a third of Karnataka’s population increase in the last decade
has happened in Bengaluru.
Bengaluru city's population is growing faster than ever before and by the end of the
year its head count is likely to cross the one-crore mark. The city's population stands at
9,588,910, according to provisional Census 2011 data released. (Source:
censusindia.gov.in)
Bengaluru also has one of the highest SEC A & B population (33%) across the major
cities in India. The graph illustrates the socio-economic categorization carried out by
City Skyline.
100%
90%
% of Urban Households
80%
70%
60%
12
50%
40%
30%
20%
10%
SEC B
SEC C
SEC D
Pu
n
e
ai
mb
Mu
ata
Ko
lk
rab
Hy
de
Ch
SEC A
ad
lhi
en
De
na
i
e
lor
ga
Ba
n
Ah
m
ed
ab
ad
0%
SEC E
Figure 2: SEC Share across Cities
Table 2: Urban Branding of Cities
Cities
Ahmedabad
SEC A
14%
SEC B
16%
SEC C
28%
SEC D
26%
SEC E
16%
SEC A&B
29%
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Cities
SEC A
SEC B
SEC C
SEC D
SEC E
SEC A&B
Bengaluru
18%
15%
29%
24%
14%
33%
Chennai
16%
15%
27%
26%
16%
31%
8%
20%
23%
24%
25%
28%
Hyderabad
15%
18%
22%
26%
19%
33%
Kolkata
16%
15%
19%
23%
27%
31%
Mumbai
15%
20%
28%
25%
12%
35%
Pune
11%
14%
29%
28%
18%
25%
Delhi
Source: City Skyline
2.3 Rise of the Middle Class
Bengaluru also has a significant population (68%) across the major cities in India, who
have income levels more than INR 150,000 per annum. The graph illustrates this
categorization carried out by City Skyline.
Table 3: Urban Household Annual Household
13
INR
75k- INR 150kINR150k
INR 300k
> INR 300k
Above 150k
Ahmedabad 0.3%
12%
37%
50%
87%
Bengaluru
10%
23%
37%
31%
68%
Chennai
5%
18%
30%
47%
77%
Delhi
2%
7%
46%
46%
91%
Hyderabad
3%
19%
48%
30%
78%
Kolkata
8%
25%
26%
40%
67%
Mumbai
1%
6%
42%
52%
93%
Pune
11%
30%
23%
36%
59%
Cities
< INR 75k
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
100%
90%
% of Urban Households
80%
70%
60%
50%
40%
30%
20%
10%
< INR 75k
INR 75k- INR150k
INR 150k- INR 300k
e
Pu
n
ai
mb
Mu
ata
Ko
lk
ad
rab
Hy
de
lhi
De
na
i
Ch
en
e
lor
ga
Ba
n
Ah
m
ed
ab
ad
0%
> INR 300k
Figure 3: Income Groups across Major Cities in India
The table below shows the broad urban branding of Indian Cities. Interestingly no city
has entertainment tagged and Bengaluru could take first mover advantage and
capture the title of entertainment capital of India, if it decides that it would like to
establish itself as a major tourism destination in Asia.
Table 4: Urban Branding of Cities
Urban Branding
Cities
Bhubaneshwar
Emerging IT Hub
New Delhi
Financial and
Entertainment Capital
Political Capital
Guwahati
Education Hub
Bengaluru
Silicon Valley of India
Jamshedpur
Industrial Hub
Chennai
Established IT Hub &
Detroit of India
Established IT Hub
Ludhiana
Industrial Hub
Nashik
Emerging Industrial Hub
Gurgaon
Established IT &
Industrial Hub
Patna
Emerging Education &
Agriculture Hub
Noida
Established IT Hub
Kochi
Emerging IT Hub
Kolkata
Gateway to East
Nagpur
Education Hub
Pune
Established IT &
Indore
Commercial & Industrial
Cities
Mumbai
Hyderabad
Urban Branding
14
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Cities
Urban Branding
Cities
Automative Hub
Ahmedabad
Chandigarh
Coimbatore
Urban Branding
Hub
Commercial Hub in the
West
Emerging IT Hub
Jaipur
Tourism Hotspot
Surat
Diamond Capital of India
Emerging Industrial
and IT Hub
Vishakapatnam Emerging IT & Logistics
Hub
2.4 Regional Connectivity
Bangalore city is well – connected via Air, Rail and Road way. Bangalore city railway
station and Yeshwantpur Railway Station are the main railway stations serving the city
– dwellers, connecting the city with the rest of the country. Bangalore comes under
the South – Western Railways section of the Indian Railways.
Presently the State owned run buses as well as private tour operators also run buses
and luxury buses to all parts of the city and connecting Bangalore to other cities like
Bijapur, Hubli, Dharwad and Belgaum. The main bus depots are Kempegowda Bus
Station, Shantinagar Bus Depot and Shivajinagar Bus Depot. The NICE ring road which
is intended to connect Bangalore with Mysore, is also connecting the city with other
major towns namely Srirangapattana, Pandavapura, Mandya, Maddur,
Channapattana, Ramanagara, Kengeri etc. As mentioned earlier, the city is
strategically located on NH-4 (Chennai-Bangalore-Pune), NH-7 (Bangalore-Hyderabad)
and NH-48 (Mangalore). Many state highways connect the State Capital City to other
cities in the State.
Bangalore is vey well – connected to all major global destinations via air transport
services. The city has an international airport with regular flights from & to important
destinations both in India and abroad. BIA started its operations of Phase 1 in May
2008.
Considering the inflow of tourist population in Karnataka and especially in Bangalore,
developing a snow park with high entertainment value will attract high revenue.
2.5 Weather and Climatic Influence
Weather is a major influence factor in any entertainment destination across the world.
The following table indicates the advantages of Bengaluru on this factor.
15
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Table 5: Weather & Climatic Influence in Bengaluru
Climatic Zones
Basic Wind
Speed (Based
on the 50 years
Return Period)
Average
Thunderstorm
days in a year
Seismic Zone
It is seen that the state has a warm climate. Bengaluru
has a pleasant climate owing to the elevation over sea
level
It is seen that the state and Bengaluru has moderate
wind speeds. This is of great importance particularly
in the design and safety of high rides.
It is seen that Bengaluru has a few number of thunder
days in a year. This is of particular importance for
large amusement parks with a significant number of
outdoor rides.
Bengaluru and the majority of Karnataka fall in Zone
1. Thus the chances of major earthquakes are minimal
and design parameters would minimal.
2.6 Infrastructure Initiative
There are various proactive measures taken up by the GoK in augmenting & expanding
the region in terms of physical infrastructure and developing major infrastructure
projects to encourage overall economic development.
The under – construction NICE road is 111 km long and connects two important cities
of Karnataka i.e, Bangalore and Mysore, touching various cross sections of state and
national highways. The NICE road is expected to impact the city connectivity scenario
majorly as it connects Electronics City, Bannerghatta Road, Magadi Road, Madiwala
and other strategic locations. The Bangalore – Mysore Infrastructure Corridor is also
getting developed along NICE and is expected to bring in various commercial and
tourism zones along it.
One of the largest infrastructure projects which will be witnessed by Bangalore city –
dwellers in the upcoming years is completion of construction of Bangalore Metro
Project. This is another project which is expected to impact the city transportation
majorly. Apart from these, widening of Sarjapur Outer Ring Road connecting it to the
peripherial ring road and several elevated expressway at various junctions of the city
will definitely improve the connectivity further.
The completion of the above mentioned projects will have significant impact on the
regional and economic development of the region as well as it will induce more no. of
tourist population.
16
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
2.7 Tourist Footfall
Tourist destinations in Bangalore together experience nearly 1.75 crores of annual
tourist footfalls throughout the year.
Table 6: Annual Tourist Footfalls (2014 Tourist Data)
District
Bengaluru
(Rural)
Tourist Destinations
Domestic
International
Total
Ghati Subramanya
10,86,257
0
10,86,257
3,78,914
0
3,78,914
Shivagange
8,18,449
0
8,18,449
Lalbagh
36,85,517
14,148
36,99,665
21,99,195
576
21,99,771
48,69,395
591
48,69,986
Iskcon Temple
39,00,879
35,000
39,35,879
Tippu Palace
3,91,365
20,000
4,11,365
Bangalore Palace
1,55,192
3,942
1,59,134
Tippu Birth Place &
Fort Devanahalli
Viveshwaraiah
Museum
Bengaluru
Bannerughatta
(Urban)
National Park
Total
1,75,59,420
Thus, the average tourist footfall in Bangalore will be 11 lakhs. Taking into account
that nearly 50% of the total number of tourists would visit the newly developed snow
Park, the annual tourist footfalls of the project would be nearly 6 lakhs.
2.8 Need of the Project
i.
Lack of entertainment parks in and around the city meeting the increased demand.
ii.
Need to boost up the Tourism Industry in Karnataka through designing such
medium and large scale entertainment parks.
iii.
Rising middle class & Increased Affordability throughout the state.
iv.
Providing a new and unique experience to the visitors.
v.
Expected Increase in Tourist Footfalls in the city.
vi.
Encourage livelihood opportunities for the local population.
17
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
3. Amusement Parks Scenario
Amusement Park and Theme Park are terms
for a group of rides and other
entertainment attractions assembled for
the purpose of entertaining large numbers
of people. An amusement park is more
elaborate than a simple city park or
playground, usually providing attractions
meant to cater to children, teenagers, and
adults alike.
Amusement parks evolved in Europe from fairs and pleasure gardens which were
created for people’s recreation. The oldest amusement park in the world (opened
1583) is Bakken, at Klampenborg, north of
Copenhagen, Denmark. In the United
States, world's fairs and expositions were
another influence on development of the
amusement park industry.
Most amusement parks have a fixed
location, as compared to traveling funfairs
and carnivals. These temporary types of
amusement parks are usually present for a
few days or weeks per year, such as funfairs in the United Kingdom, and carnivals
(temporarily set up in a vacant lot or parking lots) and fairs (temporarily operated in a
fair ground) in the United States. The temporary nature of these fairs helps to convey
the feeling that people are in a different place or time.
In common language, Theme Park is often used as a synonym for the term
'Amusement Park'. A 'Theme Park' is actually a distinct style of amusement park, for a
theme park has landscaping, buildings,
and attractions that are based on one or
more specific or central themes.
Like any other developing country, India
has also undergone rapid urbanization
resulting in higher population and high
income levels in urban areas. Due to
increase in income levels, the consumers
18
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
have more disposable income, part of which they would like to spend on recreational
and leisure activities. With more people traveling abroad and experiencing theme
parks like Disneyland, a need for India’s own amusement park was felt in 1980’s. As a
result of this, Appu Ghar, India’s first amusement park was set up in 1984 that tried to
fulfill the latent demand for entertainment and theme parks.
With the success of Appu Ghar, more amusement parks started coming-up mainly in
the outskirts of the cities like Essel World in Mumbai, Fun ‘n Food in Delhi and Nicco
Park in Kolkata. But today after around twenty-five years since its inception, the
industry is still not at par with its global counterparts. The amusement parks in India
still lack the driving force to attract visitors on a standalone basis. Also, in some
growing cities, despite the willingness to pay for the entertainment destinations, no
significant products have been introduced. Thus there is a tremendous scope for
amusement and theme park industry in India.
Family Entertainment Center (FEC) is another developing concept in the entertainment
industry which started coming up in India with the advent of Mall and Multiplex
culture. Providing for wholesome indoor entertainment experience to kids and adults,
FECs can be seen both as a standalone entity and as part of malls, multiplex and
amusement parks. They target indoor amusement like video games, simulators,
miniature golf, bowling alley, pool/snooker, bumping cars, kids play stations etc.
3.1
Evolution of Amusement Parks – Globally
Global amusement park industry has had a long evolutionary history. Tracing its origin
to pleasure gardens of medieval Europe which provided line entertainment using
rides, games, music and fireworks, the industry got its modern form in US in the late
19th century. The formation of Disneyland in 1955 led to the start of the theme park
era, which changed the landscape of global amusement park industry.
The global amusement parks can be categorized into destination resorts, regional
parks and local parks, based on their target audience and products:
i. Destination Resorts
These include themed dry & wet
rides and other attractions along
with
facilities
for
on-site
accommodation. These parks act
as resorts attracting both
domestic and international tourists and command high ticket prices. Examples of such
19
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
resorts include Disneyland Resort, Sentosa Resort and Genting Resort.
ii. Regional Parks
These parks offer rides and
attractions
and
on-site
accommodation facilities on a
smaller
scale.
The
visitor
catchment area of such parks is
normally 300-400 km and the
ticket prices are usually less than
the destination resorts.
iii. Local Parks
These parks offer rides and attractions but do not provide accommodation facilities.
They mostly target providing entertainment for a day’s trip. In terms of footfalls,
amusement and theme parks in North America record the highest visitors, followed by
Asia-Pacific, Europe and Latin America. In 2008, the top 25 amusement parks in the
world accounted for a total footfall of 186 million. The amusement and theme parks
across the world offer ancillary services including hospitality, restaurants, retail malls,
souvenir shops, shopping outlets, live entertainment like cinemas/concerts, sports like
gym/golf course and conveniences like parking/ATMs etc.
3.2
Evolution of Amusement Parks – Indian Scenario
The domestic amusement park industry is estimated to grow at 10% per annum.
Currently the Indian amusement industry is approximately Rs. 4,000 crore and the
leisure industry expects fresh investment of Rs. 10,000 crore by the year 2020. Global
leaders in entertainment parks and attractions are mulling over investments of billions
of dollars in India considering the vast potential in the region. Appu Ghar in New Delhi
was the first amusement park to be set up in India in 1984. Since then, the industry
has grown to more than 120 parks across the country (about 70% being amusement
parks and the remaining being water parks).
The amusement park industry in India is dominated by parks operated by
corporations. After Appu Ghar, opened by International Amusement Limited (IAL),
several other players have entered the market. These include Essel World, Nicco Park,
Veegaland by V-Guard Industries etc. Several more amusement parks have been
opened by IAL also that include Adventure Island - the first integrated amusement
park and Mall - and Worlds of Wonder.
20
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
The industry has also seen the emergence of amusement park equipment
manufacturers and suppliers like Hindustan Amusement Machines, Arihant
Amusement Manufacturers, Bombay Amusement Rides, Wonderla Rides etc.
Since the inception of India’s large amusement parks like Essel World, several theme
parks have also opened. These include Kishkinta, Ramoji Film City and Ocean Park. The
number of theme parks is still considerably low. There has also been development of
integrated resorts with several ancillary facilities like hotels, retail outlets and
convention centers along with the theme park rides. Some of these resorts include
Worlds of Wonder in New Delhi, VGP Universal Kingdom in Chennai and Ramoji Film
City in Hyderabad.
India has also witnessed growth in Family Entertainment Centers (FECs). This segment
gained momentum in mid-2000s with the mall revolution. Today, FECs have become
an integral part of the malls, multiplexes & amusement parks across the country.
Average size of these FECs is around 2000 to 10000 sq ft which is lower as compared
to global FECs. The leading operators of FECs in India remain few. These include
Timezone, PVR Blue-O, Jammin Creations and Orama.
Amusement parks and theme parks in India can be categorized into three major
groups namely, large parks, medium parks and small/local parks. This categorization is
done on the basis of the park’s size and target segment. Examples of these include
Essel World, Worlds of Wonder as large parks; GRS Fantasy Park in Mysore & Fun n
Food Village in Delhi as medium park and Fun n Food Kingdom in Dehradun and Snow
World in Hyderabad as small/local parks.
Table 7: Categorization of Amusement Parks in India
Parameters
Large Parks
Medium Parks
Small Parks
Capex
Above Rs.150 crores
Rs.20 crores - Rs.150
crores
Less than Rs.20 crores
Area
Above 40 acres
10- 40 acres
Less than 10 acres
Annual Footfall
Above 5 lakhs
3- 5 lakhs
Less than 3 lakhs
Average Ticket
Price
(per person)
Above Rs.400
Rs.250 - Rs.400
Less than Rs.200
Attractions /
Rides, live shows,
Rides, live shows,
Rides, food court, live
21
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Parameters
facilities
Large Parks
accommodation,
convention centers,
food court, retail,
theatres, etc in
metropolitan cities &
outskirts
Medium Parks
food court, retail, etc
in tier 1cities &
outskirts of metros
Small Parks
shows, etc Mainly Tier II
cities & small towns.
Also in Tier I cities &
outskirts of metros
Of all the parks in India, only 15% classify as large parks, 30% as medium parks while
the remaining 55% are classified as small parks. Amusement parks can also be
classified on the basis of their concepts.
General trend in the industry shows that amusements parks in India target kids and
youth from middle income segments with occasional promotional offers for the low
income groups. The parks receive visitors mostly from local/primary market with few
visitors from tertiary market as well. The parks get their revenue mainly from entry
tickets and F&B with other, less contributing, sources being rentals and merchandizing.
The amusement park industry in India has grown significantly since its inception.
However, the size, footfalls and revenues are still very low as compared to their global
counterparts. The challenges in front of the Indian amusement park industry still
remain: low per capita income, low consumer willingness to spend, inefficient
infrastructure support, non availability of land and financing issues.
22
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
4. Project Concept
Travel and tourism, the world’s largest industry, is a key driver of economic growth.
Given this background the development of appropriate infrastructure facilities for
promoting tourism would go a long way in developing the state’s economy.
This Section discusses the concept of a Snow Park in the context of the Tourism Policy
of Karnataka and other similar facilities established in India and abroad.
4.1 Tourism Policy
Karnataka Tourism Policy 2015 – 2020 also emphasizes upon undertaking an effort for
developing Projects such as golf courses, cruise tourism, large entertainment studios,
entertainment parks (small, medium and large), cable cars, tourism trains, filmcity,
etc. to cater to different user segments. As per the Policy, various concessions are
incentives are also offered by the GoK for developing projects in tourism sector.
4.2 Project Component
Based on the review of similar snow parks in India and abroad and analysis of the
amusement park industry, the following components are suggested at the proposed
Snow Park in Bangalore:
Components
Indicative size / area
Snow Park
20,000 sq.ft
Food Court
3,000 sq.ft
Family Entertainment Center
Retail
35,000 sq.ft

Games Arcade
40 units

Bowling
5 alleys

Pool
6 tables
32,000 sq.ft
The proposed Snow Park would include snow slides, ice bumper cars, snow skiing, ice
skating, ice volleyball, snowboarding, ice carving, tobogganing among other rides.
To make the project financially viable for a private developer / operator, in addition to
the Snow Park a FEC, food court and other entertainment activities such as bowling,
pool, etc are also proposed. For improving footfalls to the proposed park, it is
23
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
suggested that new rides / games / packages and innovations are introduced
periodically and the Snow Park be developed in a phased manner. This would ensure
repeated visits from customers who would like to revisit for newer rides and
entertainment.
The Project could be developed on a land parcel of approximately 5 acres. The facilities
proposed to be developed are detailed out in the table below:
Sl. No
1.
2.
Facility
Components
Snow Park with a built-up Would comprise:
area of 20,000 sq.ft
 Skiing

Snowboarding

Tobogganing hills

Snow caverns

Play area
Family
Entertainment Would comprise:
Center (FEC) with a built-up
 Games arcade- 40 units
area of 35,000 sq.ft

Bowling – 10 alleys

Pool and snooker tables- 6 tables

Console games- 5 units

Merchandise sales
3.
Food court with a built-up Easily accessible from the Snow Park and FEC, the food
area of 3,000 sq.ft
court should have sufficient capacity to manage the
number of visitors.
4.
Retail Area with a built-up Would include multiplexes, retail stores etc.
area of 32,000 sq.ft
5.
Infrastructure
Would include landscaping of the Project Site, parking
etc.
Annexure-1 attached gives complete details of the two case studies on similarly
themed Snow Parks in Dubai and Singapore.
24
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
4.3 Project Drivers
The following issues are critical in ensuring the implementation and success of the
Project:
i.
Land
The minimum land requirement for the Project would be 5 acres. During preliminary
discussions with KIADB officials, it was indicated that 5 acres in the proposed
Hardware Park in Devanahalli could be assigned for development of the Project. DoT
would need to pursue with KIADB for assigning the required land in the Hardware Park
for development of the Snow Park Project. Availability of land is critical for
commencing the Project development activities.
ii. Location
Location of the Project and its proximity to the city is a key factor for driving footfalls
to the park. A potential site with proper connectivity, closer to the city centre needs to
be identified by DoT.
iii. Infrastructure
The physical infrastructure including roads, water supply, power, etc for the Project
site need to be in place for operationalising the Project facilities and is a key concern
for the private developer / operator as well as for the public intending to visit the
Project. DoT / GoK would need to plan for the basic infrastructure facilities at the
identified Project site prior to commencing the bid process for selection of the private
developer / operator.
iv. Facilities / components
The facilities offered by the Snow Park would need to be carefully planned to provide
something of interest to all age groups. The success of the Project would depend on
the capability of the Park to attract visitors on a continual basis. This would mean that
new rides / products would need to be introduced periodically to sustain the interest
of the visitors to the Park. Attractive package offers, seasonal / non-seasonal offerings
and pricing would be important drivers for the success of the Park.
v. Transportation
To facilitate commute of visitors to the Park, it may be required to provide
transportation facilities to and from the Project site at periodic intervals through the
day.
25
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
5. Suggested Project Location
Considering all the factors mentioned in the earlier chapters, the ideal location for
developing a Snow Park in would be North Bangalore. The supporting analysis of
identifying North Bangalore as the project location is discussed below.
Advantages of North Bengaluru:

Easily available Landbank only in the city.

Airport Connectivity to Kempegowda International Airport.

A cumulative investment of close to Rs. 1,15,000 Cr. worth would develop
northern part of Bengaluru booming with activities.

413 MoUs were signed during Global Investors Meet (GIM) 2010.

With all these investments and proposed development by Government and
Private sector, the required consumer base will be created without difficulty.

Average Tourist Footfalls of Bengaluru City is 89.9 Lakhs (2014 Tourist Statistics).

Thus, the apt location for developing a Snow Park will be North Bengaluru.
IT & ITES
Finance &
Business
Districts
Medical
Hub
26
SEZs
Proposed Development
in North Bengaluru
Residential
Aero
Industry
Hospitality
&
Entertainm
ent
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Road Infrastructure:
As the airport is 40km (25 miles) outside the city, a new high‐speed rail link, is being
planned to connect the city to the airport. The various road and rail connectivity
means are as follows:
Figure 4: Existing and Proposed Transit Corridors
NH‐7 to BIA is 6‐lane divided carriageway. NHAI is in the process of widening the NH‐7
from existing 6‐lanes to 8‐lanes, which can sustain higher traffic due to airport
expansion and expected real estate developments on either sides of the NH‐7.
Bangalore Metro Rail covering a length of around 33 kms spread over the North‐ South
and East‐West Corridors is under construction by Government of Karnataka at an
estimated project cost of INR 64 billion (US$ 1.5 billion).
In order to ensure fast and easy connectivity from Bangalore City Centre to the
International Airport, Hi‐Speed Airport Rail link of around 34 kms from CBD to the
Airport is under development, which will enable passengers to reach the Airport
around 25 minutes. Monorail is also planned for development to serve as feeder lines
to metro lines. Commuter rail system enabled to connect Devanahalli with
Yeshwantpur via Yelahanka.
27
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Figure 5: Bangalore International Airport Planning Area - Outline Development Plan
28
Proposed Development:
The airport is expected to act as regional hub for global connectivity and would
accelerate infrastructure & real estate development in and around the airport. As part
of BIA project, a Special Economic Zone and commercial developments are proposed
within the Airport.
The proposed growth of population and economy as per CDP is expected to generate
high travel demand.
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Figure 6: North Bangalore Map
29
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
6. Project Implementation Structure
The mode of implementation of the Project could be either through the conventional
Engineering Procurement Contract (EPC) or through Private Sector Participation. The
choice of the mode of implementation depends on the risks involved in the project
and its sustainability. A conceptual analysis of the two options is set out in matrix
below:
Table 8: Comparative analysis of Project Implementation Options
Parameter
EPC Contract
Financing
To be entirely mobilized by DoT
Time and cost
over-runs
Typically, plagued by time and
cost over-runs due to



Private Sector Participation
Responsibility
for
mobilizing
finances for implementation of the
Project would be entirely taken up
by the Developer.
The Developer is incentivized to
complete the Project execution as
early as possible, since the
Procedural inefficiencies
Developer can collect rentals from
Financial
constraints tenants only after completion of
resulting in delays in the Project.
payment leading to frequent
Scrutiny and negotiation of unitstoppages in work
Time over-runs would result rates not necessary as entire risk of
in changes in the unit-rates Project execution (in terms of
quoted thereby necessitating variations in quantities and price)
protracted negotiations for is taken by the Developer.
finalising revised rates
Maintenance of
the Project
As the construction contractor is
paid the entire amount upon
completion (or in some cases
after the maintenance period,
which is usually one year after
construction), there is no
financial penalty on him for poor
quality
construction
which
becomes apparent only after a
period of 1-2 years
The Developer is responsible for
the maintenance of the facility
over the agreement period
(including
construction
and
operations periods).
30
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
5.1
Proposed Implementation Framework
To undertake development of the Project under the PPP mode, there is a need to
have access to financial resources and expertise in development and operations of
such a facility. DoT intends to utilize such resources available with the private sector
with a view to further its main objective of providing world class family
entertainment destination for the citizens and tourists in Bangalore.
The Project encompasses unique challenges in terms of development risk and
Project sustainability. Considering the factors involved like the requirement of
upfront finances, manpower and associated risks, it is proposed to develop the
Project under Design – Build – Finance – Operate – Transfer (DBFOT) Concession
framework.
The concession period for the Project has been assumed to be 30 years including a
construction period of 2 years. As DoT proposes to develop the Project under a
DBFOT framework, the design, construction, financing and operating responsibilities
would rest with the private developer selected through a bid process. The
implementation structure for the Project would be as indicated in the figure below:
31
Figure 7: Proposed Project Implementation Plan
5.2
Types of Private Sector Participation Framework
A PPP is a partnership between the public and private sector for the purpose of
delivering a project or a service traditionally provided by the public sector. The
benefits of a PPP are that both parties bring to the project different strengths, and
these strengths can be exploited so as to deliver a superior project in the most
economical and efficient manner. There are various contractual forms of PPP and the
same is explained in the sub-sections below:
i. Lease Contract
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
The selected Developer would be responsible for raising finances and carrying out
the construction and development activities and subsequently enter into a lease
agreement with DoT, the tenure of which is determined based on the project
viability. The Developer would pay an upfront ‘premium’ and subsequently lease
rentals to DoT. However, the Developer would be allowed mortgage rights on the
facilities developed (and not on the land). In the event of non-performance in
accordance with the conditions set out under the Lease Contract, DoT could revoke
the lease and re-enter the property.
Merits

The commercial / social space requirement/ objective of DoT fulfilled.

Assured Lease rentals from Developer

Land ownership remains with DoT
Demerits

Lease for long period and success dependent on Developer's commitment

Longer time for development

Mortgaging rights rest with the Developer and the property can be mortgaged to
raise finance. Hence lender can enforce encumbrance on the property.

The bid parameter in this case could be any of the following;
 Highest ‘premium’ offered by the Developer
 Highest annual lease rental
 Lowest lease tenure
ii. Joint Venture Contracts
Joint Venture Contracts is another type of PPP framework by which the Developer is
given ownership rights over a portion of DoT property in return to develop a portion
for DoT which is handed back to DoT after completion of construction.
The Developer is selected for the purpose of developing a specific project and a
development agreement is entered into between DoT and the selected Developer.
The development agreement would be an agreement for the Developer to develop a
specific project for DoT in consideration for a title of the portion of land. Subsequent
32
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
to signing of the agreement, the portion of land to be developed by Developer for
DoT is handed over to Developer for construction. After construction of the project
in accordance with the development agreement, the project reverts back to DoT and
simultaneously the title of the portion of land is transferred to the Developer.
DoT may take possession and manage its portion of the property or can decide to
permit the Developer to manage its portion of the land and may enter into a
management contract with the Developer and seek periodic payments from the
Developer during the period of the management contract. This contract is commonly
found in projects for development of shopping complexes involving rehabilitation of
existing shopkeepers, convention centers, bus terminals, houses for economically
weaker sections etc.
Merits

DoT could develop its portion of the land as per its plan

Higher returns to DoT
Demerits

DoT loses ownership over part of the site area

DoT has no control over the development plans over the area belonging to the
Bidder

Collection of rent and parking fee has to be done by DoT and should employ
additional personnel to ensure no siphoning of funds

Some portion of O&M responsibility and marketing responsibility transferred to
DoT

Variable revenue streams to DoT

DoT has to share the risks of the project (revenue, operational and maintenance)
iii. Joint Venture Arrangement
A minor variant of the Joint Venture Contract is the Joint Venture Arrangement
wherein a Joint Venture Company between DoT and the Developer is set up. In a JV
arrangement, both DoT and Developer bring their resources such as assets,
knowledge, personnel etc. DoT would transfer assets in return for a share of equity
33
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
in JVC. The said assets could include both tangible (i.e. land, building, equipment and
finance) and intangible i.e., Intellectual Property.
After incorporation of a JVC between DoT and the Developer, a shareholder’s
agreement is entered into between DoT and the Developer which sets outs the
ownership and management of newly formed JVC. The JVC is formed for a special
task i.e., development of the project and after completion of the project JVC could
be wound up. The shareholders agreement would include the following:

Percentage of shareholdings of DoT and Developer

Number of directors each shareholders can appoint to the board of directors

Frequency of board meeting

How profit and loss to be shared between the shareholders

Management and supervision of JVC

Change in shareholders permitted or not

Provisions for management disputes

Details of specific task for which JVC being set up

Method of winding up of JVC
Merits

JVC would be a separate legal entity and a limited liability company

Projects by virtue of greater access to resources, skills and expertise of private
sector compared to other PPP options.
Demerits

Asset may need to be transferred to the JVC as equity to the project.

Project being under public scrutiny in the event of failure, DoT’s reputation may
have an impact for partnering with an unsuccessful private party.

Government/DoT would have control and power over the project to the extent
of share in the JVC
34
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
The bid parameter in this case could be the highest percentage share of revenue by
the Developer to DoT.
iv. Concession Contracts
Concession Contracts are Design, Build, Operate and Transfer contract except that
the Developer recovers its investment through direct user charges or through a
mixture of direct user charges and DoT payments.
a.
Build, Operate and Transfer (Annuity)
Build, Operate and Transfer (Annuity) contracts are where the Developer is
responsible for designing, building, operating and financing of the asset. The
Developer recovers its costs out of annual payments from DOT and after a
predetermined period the facility commonly reverts back into DOT
ownership.
Merits

Bidder is allowed flexibility to develop the area in accordance with DoT
plans

Ownership of the asset remains with DoT.

Length of concession period is fixed
35

Bidder would develop, operate and maintain the area over the length of
the concession period

The land and the facilities developed on it would be transferred back to
DoT at the end of the concession period

Risk of time bound completion is transferred to the Bidder

Revenues stream assured and fixed.
Demerits

Technical proposals of the Bidders would need to be evaluated

Time for development may increase slightly due to Bid Process &
Financial Closure

Revenue risk is transferred to DoT
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE

All risk borne by bidder and may require higher returns
b. Design, Build Operate and Transfer
Design, Build Operate and Transfer contracts are where the facility is
financed and owned by the Developer. The Developer designs and builds the
facility to meet certain DoT specifications and is also responsible for
operating and maintaining the facility for a predefined period, at the end of
which the facility is transferred back to DoT.
Merits

Bidder is allowed flexibility to develop the area in accordance with DoT
plans

Ownership of the asset remains with DoT.

Length of concession period is fixed

Bidder would develop, operate and maintain the area over the concession
period

The land and the facilities developed on it, would be transferred back to
DoT at the end of the concession period

Risk of time bound completion and revenue risk is transferred to the
Bidder

Revenues stream assured and fixed.
Demerits
5.3

Technical proposals of the Bidders would need to be evaluated

Time for development may increase slightly

All risk borne by bidder and may require higher returns
Recommendation
Based on the evaluation of various options for implementation and the Financial
Analysis carried out for the Project, it is recommended to adopt the ‘concession’
structure for successful implementation of the Project. The concession contract
under a Design, Build, Finance, Operate, Transfer framework would be the preferred
36
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
option, as DoT would receive higher returns from the Project, with no investment or
revenue risk of the Project.
In lieu of the land being offered by DoT along with the Development rights for the
setting up of the Snow Park, DoT can seek a Concession Payment on Annual/half
yearly basis with an escalation of 5% every year as discussed in the Financial Viability
Report. Based on the Financial Viability Report, it is recommended that the annual
concession payment payable by the Developer be the bid parameter.
The concession period, based on the Financial Analysis carried out for the
assignment, is 30 years, including the construction period of 2 years. The summary of
the financial viability carried out for the Project is presented in the next chapter.
37
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
7. Project Financial Viability Analysis
The financial viability assessment has been carried out for the Pro ject.This Chapter
provides a summary of the Financial Viability of the project.
6.1
Project Cost
The base construction cost of the Project has been estimated at Rs. 43.6 Crores. The
details of the same are presented below.
Table 9: Base Construction Cost
Sl.
No
Item
Area/
Number
Total Cost
(Rs. Crores)
1
Snow Park (sq.ft)
20,000
12.6
2
Food Court (sq.ft)
3,000
4.4
3
FEC
12.7
Construction (sq.ft)
35,000
8.8
Arcade Games (No.)
40
0.6
Bowling (No. of alleys)
10
3.1
38
Pool/Snooker Tables (No.)
6
0.1
Console+TVs (No.)
5
0.0
32,670
10.3
4
Retail Area (sq.ft)
5
Infrastructure (acres)
4
2.5
6
Buses
5
1.2
Total Base Cost
43.6
The base cost is as per estimations carried out for the current year i.e 2015. Assuming
a 2 year construction period, the cost has been escalated at the rate of 5% per annum
to estimate the landed project cost. The landed construction cost could be of the
order of Rs. 43.6 Crores.
Considering contingency, preliminary & pre-operative expenses and interest during
construction (IDC) the total Project Cost has been estimated at Rs. 53.75 Crores.
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Table 10: Project Cost
Sl. No
Item
Amount (Rs. Crores)
1.
Construction Cost
46.9
2.
Contingency (4% of construction cost)
1.9
3.
Preliminary expenses (1.5% of construction cost)
0.7
Thus, considering all components, the total project cost is estimated to be around Rs.
53.75 Crores.
6.2
Estimation of Revenues
The revenue income for each of the facilities in the Project has been estimated and
the details of the assumptions made therein are presented below.
i. Snow Park
The details of Snow Park developed in Hyderabad as indicated below:
Details of Snow World, Hyderabad:
Table 11: Details of Snow World Hyderabad
Sl. No.
Description
1.
Built-up area
2.
Capacity (8 sessions with a capacity of 300 people
each)
Value
17,000 sq.ft
2,400 people/day
As the built-up of the snow park proposed in Bangalore is about the same as the park
in Hyderabad, the capacity for the proposed park has also been limited to 2400
people per day. Further, it is assumed that this capacity will be met in full only on
weekends.
The snow park would have 8 sessions with a maximum of 200 visitors per session on
weekdays and 300 visitors per session on weekends. The total number of working
days has been assumed as 300 with 100 weekends and 200 weekdays.
It has been assumed that in the first year of operations, 4 lakh people would visit the
snow park and the number of visitors would increase at 8% year on year and reach a
39
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
maximum of 5.6 lakh visitors in the 6th year of its operations and stabilize thereafter
for the rest of the concession period.
The estimated number of visitors in to the snow park in the first year is almost 50% of
that recorded in Wonderla in 2009 and is hence these footfalls are likely to be
generated.
Table 12: Entry Fee Details of Snow Park
Description
Value
Entry fee for snow park (Rs. per person per day)
250
Price escalation - % every 3 years
10%
Number of days of non-operation
65
ii. Food Court
The number of visitors to the food court has been estimated to be the same as those visiting
the snow park. As the FEC and retail area proposed would also have a separate food court,
the footfalls in the FEC and retail area have not been considered to estimate the revenue
from the food court.
Description
Value
Average amount spent by a visitor to Snow Park
150
Price escalation - % every year
5%
iii. Family Entertainment Centre (FEC)
The utilization of games facilities in the FEC and the price for each is set out below:
Table 13: Utilization of Games Facility
Games
No. of
Average number of
units
games/unit
Number of games
Weekday
Weekend
Weekday
Weekend
Arcade games
40
15
50
600
2000
Bowling
5
3
6
15
30
Pool Table
6
1
1
6
8
Console games
5
2
3
12
16
40
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Games
No. of
Average number of
units
games/unit
Increase in utilization- %
Number of games
5%
every 3 years
Table 14: Revenue from FEC
Revenue components
Weekday
Weekend
Weighted
Average Price
Arcade games (Rs. /game)
Bowling (Rs./ game)
Pool Table (Rs. /hour)
Console games (Rs. / half hour)
Price escalation-% every 3 years
20
80
125
92
100
150
114
75
80
75
5%
Revenues from food and beverages
10% of revenues from games
Merchandise sales
10% of revenues from games
iv. Retail Area
The assumptions for revenue from the retail area are provided in the table below:
Table 15: Retail area details
Sl. No
Description
Value
1.
Built-up area
2.
Area rented
3.
Rent (Rs./sq.ft/month)
4.
Price escalation-% every 3 years
10%
5.
O&M Charges (Rs./sq.ft/month)
10
6.
Price escalation-% every year
5%
32670 sq.ft
100% of built-up area
30
41
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Annexure-1
Details of Case Studies
42
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Case 1: Snow World, Hyderabad (Standalone Development)
Snow World is an amusement park located in Hyderabad, Andhra Pradesh (India) within an
area of about 2 acres (0.81 ha). It is located beside Indira Park and along the Hussain Sagar
Tank bund. The park inaugurated on January 28, 2004 is India’s first snow theme park where
one can experience snow fall and polar climate. Snow World is filled with over 200 tons of
snow, temperature of minus five degree centigrade, owned by Ocean Park Multitech Ltd in
2004. The snow is made of safe elements as mineral water quality water and there will be no
harmful effects of this snow.
A few months after its inauguration, a snowfall feature was added. Said to be the first of its
kind at any show theme park or snow dome in the world, the visitors are exposed to snowfall
for ten minutes for every hour. A 40,000 square feet (3,700 m2) kart racing, built at a cost of
INR 2.5 crore (US$555,000), was open to public. The indoor resemble a cave that was
uniquely designed using plaster of Paris.

Location
Snow World is India’s first Snow Theme Park. Spread over 17,000 square feet area, on Lower
Tank Bund Road, behind Indira Park, it is a landmark place in Hyderabad
43
Figure 8: Location of Snow World, Hyderabad

Accessibility
APSRTC buses and trains make Hyderabad easily accessible to the rest of Andhra Pradesh.
Further, Hyderabad is well connected to the rest of India by air, train and road.

Operator
Ocean Park Multitech Ltd. took the 2 acres (0.81 ha) plot on a 33 year lease from the
Government of Andhra Pradesh at the rate of 36 lakh (US$79,900) per year. The lease
amount was to go up by 5% every year. Constructed at a cost of 2 crore (US$444,000), the
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
17,000 square feet (1,600 m2) facility. The facility, which was built in collaboration with the
Andhra Pradesh tourism department, is India's first snow park.

Attractions at Snow World
The attractions of Snow World have been listed below:
Table 0: Facilities at Snow World, Hyderabad
Sl no
Facilities
1.
Snow World, Hyderabad
2.
Signature Attractions at
Snow World
3.
Other facilities
Description
India’s first snow park with attractions like snowfall.
 Snow Dancing
 Snow Dining
 Snow Wars
 Snow Mountaineering
 Sleigh Slide
 Merry Go Round
 Snow Volley Ball
 Snow Fun Basket Ball
 Snow Sculpturing
 Karting (Kart Kave)
 Scary House (Living Dead)
Snow World is a snow theme park that helps
experience snow fall and polar climate. Temperature
within the snow area is in between -5 and 0 degrees
centigrade. A snow session duration is about one hour.
In the snow world, there is a “Cryo Zone” which
includes igloos, alpine forest, some figures of polar
bears, penguins and some other attractions made with
the help of artificially produced snow. The snow is
made of safe elements as mineral water quality water
and there will be no harmful effects of this snow. A
person can come outside only after one complete
snow session. Snow World authorities will provide a
snow wear for each individual.
200 tonnes of artificial snow was laid on the layered
flooring which was specially prepared to avoid seepage
44
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
or melting. Every day, the top layer of snow is cleaned and an additional two to three tonnes
of snow, which is generated within the facility, is used
to top the snow spread. The artificial snow is made
using a patented technology from Australia.
All these snow wonders will be made possible by
artificially producing snow using state of the art
technology supplied by Woomera Snow Guns Ltd.,
Australia. The snow thus produced almost matches
with that found in nature and doesn’t contain any
harmful chemicals and substances. The snow is produced using quality mineral water and is
harmless even if consumed.
The park can accommodate a total of 2,400 visitors in a day on weekdays. Every visitor gets
acclimatized to lower temperatures in a step-wise manner – 20 °C (68 °F), then 0 °C, and then
a sub zero temperature. This method is approved internationally. In addition, visitors are
given protective clothing and a steaming cup of soup to help them acclimatize to the
temperature change. The internal area, also called as the Cryo Zone, maintains a constant
temperature of - 5 °C. For 1 hour, a maximum of 300 visitors at a time can explore the
different facilities such as kid’s snow play area, snow wars, snow tube slide, sleigh slide, icebumping cars, merry-go-round and an ice skating rink.
Capacity of Snow World is presented below:
45
Table 16: Capacity of Snow World
Footfalls
Capacity
per Show
No of
Shows
Visitors per
day
Cumulative
Total Visitors per show weekdays
200
8
1600
417600
Total Visitors per show weekends
300
8
2400
249600
Total
667200
Other Attractions
Snow slide, Merry go round, Ice Bumper Car are some of the rides. Snow fall is major
attraction here. Cryo Zone includes igloos, alpine forest, some figures of polar bears,
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
penguins and some other attractions made with the help of artificially produced snow.
Other interesting activities are ‘Ice Carving’ and Snow war.
Pricing
Table 17: Pricing considerations
Ticket
One Day Pass
Price
Description
Adult
Child
360
240
Entry Ticket covers cost of games
There are eight snow sessions each day and a half hour interval is provided between two
consecutive sessions. Each snow session is for duration of about one hour. Visitors should
report at the venue half-an-hour before the session time.
Competitive Strategies
A public-private partnership venture, Snow World is the first ever snow theme park in
Hyderabad and is located in the Himayatnagar. The location opposite the Hussain Sagar Lake
is extremely favourable due to its easy accessibility from the rest of the city.
Snow World has been developed keeping in mind the visitors of all age groups. There is a
separate kids' snow play area.
The facility has the ‘first-mover’ advantage in terms of experience as there no similar
parks in South India and number of residents of Hyderabad have never experienced snow
prior to the opening of this park.
46
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Case 2: Ski Dubai, Mall of Emirates, Dubai (Mixed Use Retail Development)
Background
Mall of the Emirates, the ultimate leisure, entertainment and shopping resort opened in
September 2005. Strategically located in the heart of what is now deemed ‘New Dubai’, this
223,000 square meter centre offers a full range of shopping, leisure, and entertainment.
Mall of the Emirates features 520 international brands, including department, fashion,
lifestyle, sports, electronics and home furnishing stores and the largest Carrefour in the city.
The compelling family leisure offerings include a Magic Planet family entertainment area, a
14-screen multiplex cinema, the world-renowned Ski Dubai, a five star Kempinski Hotel, The
Pullman Dubai Hotel, the Mall's 500-seat DUCTAC community theatre and accompanying arts
centre, and over 85 coffee shops and restaurants.
Location
Ski Dubai part of the Mall of the Emirates, is just off the Sheikh Zayed Road, Dubai's main
thoroughfare and located in the Al Barsha area in Dubai
Accessibility
The mall is located within the city of Dubai can be easily accessed through public transport –
bus or metro rail and by road. The map below shows location of Mall of Emirates in Dubai.
47
Figure 9: Location of the Mall of Emirates
Operator
Mall of the Emirates is a landmark development within the Majid Al Futtaim (MAF) Holding.
This development saw over 31.3 million visitors in the calendar year of 2010.
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Mall of Emirates
The Mall of Emirates is one of the biggest shopping malls in the world. Being a mall it has the
usual mall features including a fourteen-screen multiplex, a gaming arena, and a plethora of
brand stores all in one mall.
However, the biggest reason for its popularity does not rest in its size, or in the facilities it
offers, but for the very unique presence of the Middle East's first indoor ski slope, Ski Dubai,
inside the shopping mall. The Ski Dubai has a skiing area that is third largest in the world and
this helps to differentiate the Mall of Emirates from the avalanche of malls that have
descended on Dubai.
The attractions of Snow World have been listed below:
Table 18: Facilities at Mall of Emirates, Dubai
Sl.
No.
1.
Facilities
Description
Mall of Emirates, Dubai
The Mall of the Emirates features the biggest indoor ski facility
- The Ski Dubai Dome. The Mall of the Emirates has been
positioned the worlds first Shopping Resort.
2.
Signature Attractions at
Mall of Emirates
Ski Dubai
Dubai Community Theatre & Arts Centre
Magic Planet
Dining
Cinestar
48
3.
Other facilities
Themed restaurants; St Moritz Café and Avalanche Café
Magic Planet is the largest indoor family
entertainment centre in Dubai, featuring several
international award-winning rides and games.
Spread over two levels, this centre will appeal all
age groups.
Magic Planet has an incredible range of fun rides,
games and attractions. Racing simulators, XD
Theatre - 4D theatre and the state-of-the-art
RoboCoaster, a 2-person thrilling ride are some of the signature rides at magic planet.
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
CineStar is wholly owned by Majid Al Futtaim, the largest developer and operator of
Shopping Malls in the MENA region of the Middle East. Cine Star’s 14-cinema complex
offers the latest in technology and comfort. Cine Star cinemas have introduced a giant
Extreme
Screen - 20 meter wide screen with crisp, bright 100% digital images ensuring a stunning
realistic and fully immersive entertainment experience. Extreme Screens can screen
35mm films, digital films, RealD digital 3D movies and alternative content supplied in a
Digital format, such as concerts and sporting events.
DUCTAC has been incorporated for art lovers of all ages and cultures. It provides the
facilities for a myriad of subjects within a fun and artistic environment. It has a 550 seat 2level theatre, 150 seat studio theatre, rehearsal spaces, large and small art galleries, 16
general and specialized classrooms/studios for activities such as painting, sculpture and
photography, a music school, lending library and a café.
Ski Dubai
Ski Dubai has five runs of varying difficulty, height, and steepness. The longest run is 400
meters with a fall of 60 meters. There are gentler slopes for beginners and indoor black
runs for more experienced skiers. Skiers and snowboarders are equally likely to enjoy Ski
Dubai with snowboarders getting to perform their stunts on a 90 meter long quarter pipe.
Ski Dubai also features the interactive Snow Park spread over 3,000 square meters
making it the biggest indoor snow park in the world. Ski equipment and clothing is
available for hire inside Ski Dubai. You can go up in the quad-chairlift with your
equipment and come down on the skis or snowboard.
There are also many themed restaurants like the St. Moritz Café located at the very
entrance to Ski Dubai and the Avalanche Café at mid-station with views of the artificial
slope.
The Ski Dubai is 22,500 square meters in size and covered with real snow throughout the
year. The temperature is kept between -1 and -2 degrees Celsius. The slope itself is 35
meters high and 80 meters wide. The entire place can accommodate 1,500 visitors at any
given time.
1. The highlights of Ski Dubai have been listed below:




22,500 m2 covered with real snow all year round - (equivalent to 3 football
fields)
Temperature maintained at a comfortable -1º to -2º
85 meters high (approximately 25 stories) and 80 meters wide
5 different runs of varying difficulty and length, longest run of 400 meters
49
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE












Full capacity of 1500 guests
Freestyle zone
3,000 m2 Snow Park with a snow cavern
Quad chairlift, tow lift and flying carpets
Mountain resort theme
Rental of quality equipment and clothing included in the ticket price
Qualified professional instructors
State of the art ticketing system
Changing areas with locker rental
Private kids party rooms
Exclusive retail shop - Snow Pro
St Moritz Café and Avalanche Cafe
Using technology similar to that found in the air-conditioning units, the temperature have
been lowered to -80C for this initial period of snowmaking. With the temperature at rock
bottom, liquid water is atomized to create a cloud inside the building which is then sprinkled
with tiny ice particles, forming snow that falls from the cloud as flakes - driven snow at its
very purest.
50
View of the Snow Park
View of Ski Dubai
Pricing
The various price points at Ski Dubai have been listed below:
Ticket
Snow Park
Price
AED 120 - Adult
Remarks
Access to the snow park
AED 110 - Child
Snow Slope (2 hours)
AED 180 - Adult
Extension – AED 50 per hour
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Ticket
Price
Remarks
AED 150 - Child
Ski Slope Day Pass
AED 300 - Adult
One day access to the park
AED 275 - Child
Group Lessons
Discovery Lesson
AED 150 per hour
60 minute duration
Adult Group Lesson
AED 220 per hour
90 minute duration
Adult Group Lesson
AED 190 per hour
90 minute duration
Adult Group Lesson
AED 160 per hour
90 minute duration
Private Lesson
AED 595 per hour
Competitive Strategies:
Location
Sky Dubai is part of the Mall of Emirates which attracts huge footfall. It is one of the L&E
options within the Mall and due to unique experience it offers it is one of the most sought
out option by the visitors.
Strategic Partnerships
A new and exciting partnership between Wild Wadi UAE and Ski Dubai, located inside the
Mall of the Emirates, marks the beginning of both surfing and snowboarding competitions.
Similarly, Burj Al Arab offers complimentary admission to Wild Wadi Water Park while the
Madinat Jumeirah and a host of other Dubai hotels offer discounted rates and up to one hour
early admission to beat the crowds. With ticket prices, pick-up and drop-off are also included;
it is an attractive option for all travelers.
51
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Case 3: Snow City – Singapore
Snow City is the only permanent indoor snow
centre in Singapore. Wholly owned by the Science
Centre Board and operated by Snow Venture Pte
Ltd, it has a three -storey high and 60-metres long
snow slope for visitors to ski, snowboard and
snow tube.
Snow City opened in 2001 and has been regularly
attracting visitors with its unique winter
wonderland concept. It underwent a revamp,
especially of the snow chamber, in October 2007.
This snow destination is popular among Singaporeans, particularly those learning how to ski
or snowboard before they embark on overseas ski resort holidays. Snow City is also popular
among tourists, especially from Asia, who are unable to experience sub zero temperatures at
home.
Key facilities at Snow City include the
Snow Chamber, function rooms, phototaking services, a Hot Chocolate Bar, our
Minus Zero Ice Bar. Snow City offers
skiing and snowboarding lessons,
Sub-Zero Disco Parties, and a variety
of special events throughout the
year. It also serves as a wedding venue
for couples looking for a truly white
wedding.
Snow City is open Tuesdays to Sundays, from 9.45am to 6.15pm. It is open on Mondays
during school and public holidays. Admission: adults, 1 hour $16, 2 hours $27; children, 1
hour $14, 2 hours $22; group package of 2 adults and 2 children is $49 for 1 hour. Snow City
rents skiwear and offers on-site photo services.
Table 19: Admission Prices
1 hour Snow Play time
Adult $16/pax
2 hours Snow Play time
Adult $27/pax
Child $14/pax
3yrs – 16yrs
Child $22/pax
3yrs – 16yrs
52
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Snow City is a 3,000 square-metre centre with its facilities spread over 2 storeys. Of this,
1,200 sq-metres is covered with snow, called the Snow Chamber. You can snow tube,
snowboard or ski your way down this 'giant snow slide'. The Snow Chamber is constantly
maintained at -5°C.
Given below are details of other facilities available:
Level 1
Snow Chamber
Ice Bar
Snow Gifts Shop
Pictureworks (Photo Services)
53
Snow Line (Retail shop and snow sports
school)
Snow Cafe
Stroller Parking Area
Locker Rental Area
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Level 2
Function Room
The 160 sq.m Function Room is a multi-purpose room, which can be used to conduct our
educational programmes, seminars, meeting place and other fun ideas to conduct games for
family days and corporate functions.

Rental rate per hour at $220 (before GST)
Programs to choose from:







1 hour Enrichment Program
1 hour Snow Play Session
30min "Winter Olympics" session
30min "Snowy Treasure Hunt" session. Rentals
Gloves @ $1.60/child $2.10/adult
Waterproof pants @ $3.20 for children below 16 years old, $4 for adults
Function room @ $220/hr
Corporate Package A
Corporate Package B

1 hr of snow play + 1 program

1 hr of snow play + 2 programs

Min no. of 30 pax

Min no. of 30 pax

$25/pax

$38/pax

Includes jackets and boots

Includes jackets and boots
Corporate Package C

2 hours of EXCLUSIVE free &
easy snow play session
Corporate Package D
Option 1

(includes jackets & boots)

1hr of snow play + Science Centre
+ 1/2 hr winter olympics
2 sessions of 30mins Winter

Min. 30 pax
Olympics

$30 (adult), $25 (child)
54
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE

Snowy Treasure Hunt

Professional Emcee to host the

1hr of snow play + Omni-Max
function

Min. 30 pax
Professional Entertainer to

$20 (adult), $16 (child)

entertain the children
Option 2
Option 3

Rental of function room


30mins Mascot Appearance

Complimentary game prizes for

Min. 30 pax
Winter Olympics and Games

$24 (adult), $196 (child)
1hr of snow play + Science Centre
+ omni-Max
activities

Free parking

Maximum 200 pax

Cost: $12 375
Programs to choose from:




1 hour Enrichment Program.
1 hour Snow Play Session.
30min “Winter Olympics” session.
30min “Snowy Treasure Hunt” session.
Rentals



Gloves @ $1.60/child $2.10/adult
Waterproof pants @ $3.20 for children below 16 years old, $4 for adults.
Function room @ $220/hr
Winter Olympics
A compulsively enjoyable programme fit for anyone who just want to have a roaring good
time. Conducted exclusively in our very own Snow Chamber, Winter Olympics is a
culmination of carefully tailored activities that challenge the mind while testing your physical
agility. It is a program catered to the young and the young at heart because afterall, there
are absolutely no age limits to having fun!
After all, having fun has absolutely no age limit. Winter Olympic is a specially designed
programme that effectively incorporates team building into its host of activities with light-
55
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
heartedness and exhilaration. For any game planner, it is an extremely versatile programme,
as it allows the planner to mix and match from its pool of activities based solely on his/her
objective.
Activity
Category
Synopsis
Speedo
Adults and
Children (above 8
years old)
Each player from each team will slide down the
slope one by one. Every team will be timed.
Timing starts at the point when the first player
slides down and ends when the last player of the
group completes the slide. The team with the
fastest time recorded will be the winner
Breakage
Adults and
Children (above 8
years old)
Everyone in a team will log his or her arm to form
a chain, with different formation, and slide down
the slope together. The chain should not break.
The team with no breakage will win the game.
The Mad Ball
Adults and
Children (above 8
years old)
Each player from each team will use his or her
mouth to hold a plastic cup, containing a ping
pong ball. They will slide down the slope one by
one. Once he or she reaches the bottom of the
slope, he or she will place the ping pong ball into a
big container. Whichever team has the most
number of ping pong balls in the big container
wins the game.
Balloon
Hurray
Adults and
Children (above 8
years old)
2 players from each team will hold each other's
hands with a balloon in between them. They will
slide down the slope together. Upon reaching the
bottom of the slope, they will place the balloon
into the big container. Whichever team with the
most balloons in the big container wins the game.
Puzzles Frenzy
Adults only
To search and solve puzzles. The puzzles are
placed in the tug of snow. Each player will slide
down from the slope and search for the puzzles
(they must dig using both hands). Each player can
only take one puzzle at a time. Once all the
puzzles are collected, all the team players will get
together to solve the puzzles. Whichever team
solves the puzzles first wins the game.
56
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Musical
Chairs (Adult
version)
Adults only
Rubber tubes will be arranged in a circular form.
In pairs, they have to walk round the rubber tubes
once the music starts, holding hands. Once the
music stops, they have to quickly sit down on a
rubber tube and must keep holding each other's
hands. The pair who is unable to find a rubber
tube to sit down will be penalized once. They are
given up to 3 chances. If they are penalized thrice,
they will have to perform for the rest of the
groups.
Musical
Chairs
(Children
version)
Adults only
Rubber tubes will be arranged in a circular form.
The children have to walk round the rubber tubes
once the music starts. Once the music stops, they
have to quickly sit down on a rubber tube. The
one who is unable to find a rubber tube to sit
down will be penalized once. He or she is given up
to 3 chances. If he or she is penalized thrice, he or
she will have to perform for the rest of the
children.
Bursting
Balloons
Adults only
Each player from each team will slide down one
by one. Once he or she reaches the bottom of the
slope, he or she will have to burst a balloon with
both hands. Only when he or she has burst the
balloon, will the next player able to slide down
and repeat the process. There is a time limit of 10
mins. The team, which is able to burst the most
balloons within the time limit, wins the game.
Dress Me Up
Adults only
One player from each team will be dressed to the
minimum, for example, in only T-shirts and jeans,
and stands at the bottom of the slope. Several
items will be given to the other team players,
which are the hat, jacket, waterproof pants, ski
boots, ski and poles. They will then slide down
one by one, carrying one item at a time, and dress
up the player standing at the bottom of the slope.
The objective is to dress him or her up as a skier.
The team, which finishes first, wins the game.
57
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
58
Snowy Hunt
Adults and
Children (above 8
years old)
All the team players will slide down to the bottom
of the slope. Once they reach the bottom of the
slope, they will have to start searching for white
envelopes, containing one poker card, which is
being cut into 2. They will have to try to join the
poker cards with their other halves. For example,
if a player finds half of spade queen, he will have
to look for the other half of spade queen. The
team with the most number of joined poker cards
will win the game.
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Corporate Subzero Building Package
Ice Bar
1) Ice Bar Package
Price: $70 per pax
* Only available from 7pm onward.
* Min 2 hours booking
* Min 30 paxs
Package Include
• 2 hours exclusive use of ice bar
• 7 bottles of Vodka (42 below brand) served with ice shot glasses
• Free flow of beer (Heineken/Tiger) maximum 100 bottles (350ml)
• Bartender Service
• Jacket, boots and gloves included
2) Blizzard Party Package
Price: $100 per pax
* Only available from 7pm onward.
* Min 3 hours booking
* Min 100 paxs
Package Include
• 3 hours exclude use of snow chamber
• Free flow of beer (Heineken/Tiger) maximum 500 bottles (350ml)
• 20 Complimentary Vodka (42 Below brand) served with ice shot glasses
• Bartender Service
• Professional Emcee
• Sound system/lightings
• Dance floor
• Jacket, boots and gloves included
• Subsequent hour: $500 per hour (Subject to GST charges)
Ice Bar Rental
3) Booking rate for Ice Bar
59
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
* Only available from 7pm onward.
* Min 2 hours booking
* Min 30 paxs
Time
Rates:
Weekday
7.00pm - 12.00am
$500 per hour
Weekend/Public Holiday
7.00pm -12.00am
$750 per hour
Education Packages
Snow City adheres to the above educational mantra. Hence it developed various educational
programs, which caters to both visual and experiential learners and enthusiasts. The park
offers a new team-building ‘Winter Olympics’ program. Conducted by Game Masters, ‘Winter
Olympics’ aims to foster group dynamics and cohesiveness while having a ball of a time at it.
Below is the list of carefully planned programs that focus on learning, fun, and team-building.
Min 30 pax: Inclusive of boots & jackets.
Function room @ $220/hr
Education
Package A
Teacher
$10
Education
Package B
Teacher
$10
Education
Package C
Teacher
$10
Education
Package D
Teacher
$15
Student
Student
Student
Student
$13
$15
$23
$30
Birthday Form
Birthday Party @ Snow City!
Be the cool kid who has everything, including your birthday in Sub-zero temperature! Hold
your party in snow and at our Party Room, which promises lots of fun and games. Have a
snowball of a time, tubing down our slope and playing with snow at our snow play area;
explore the igloo with your gang of friends or have simply have a snowball fight! After all
the snowy cool fun in our -5 degree Celsius chamber, proceed to Party Room for food and
more games to celebrate your birthday!
60
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Snowy Birthday Package at a glance!
Snowy Birthday Party
Package A
Price: $35 per pax
For Children age between 312 years old
Package Includes
• 1hr of snow play + 1hr of
party
• Inclusive of jackets & boots
• Min 20 pax
• 1hr use of party room
• Inclusive use of sound
system
• Inclusive of Party Host
• Face painting for kids
• Door gifts for kids
• Buffet reception
• No outside food
Snowy Birthday Party Package B
Price: $50 per pax
For Teenagers only(12-18yrs old)
Package Includes
• 30mins Winter Olympic + 30 mins
Free & Easy Snow play + 1hr of party
• Inclusive of jackets & boots
• Min 20 pax
• 1hr use of function room
• Inclusive use of sound system
• Inclusive of Party Host
• Dance Floor
• Door gifts
• Buffet reception
• No outside food
Rental of gloves: Adult - $2.10, Children (below 16 yrs old) - $1.60.
Rental of waterproof pants: Adult - $4, Children (below 16 yrs old) - $3.20.
Cost of per ticket is SGD 38 (minimum 20 tickets)
Similar Concepts From Across the World
Traditionally, snow sports have been associated with ski resorts located in mountainous
regions. Snow sports have traditionally been an expensive sport limited to a certain periods
of the year. Most of these ski destinations are located in places that require people to fly or
travel for a few hours. In addition, once at the ski resort one has to pay for lift passes, rent ski
equipment, stay at a hotel, ski lessons, meals, snow gear, and other miscellaneous expenses.
This is certainly an expensive proposition for a family that has never been to a ski resort or
ever tried skiing.
61
Development of Snow Park in Bangalore
GOVERNMENT OF KARNATAKA INITIATIVE
Dry Ski Slope
Dry ski slopes are artificial slopes that mimic the
attributes of snow and allow people to ski where
natural slopes are inconvenient or unavailable.
These slopes are lubricated using a mist or jet
system to increase speed and prevent damage to
equipment. These dry ski slopes are ideal to
introduce skiing to beginners, but at the same
time they also provide an opportunity for more avid and learned skiers to keep their skills
sharp year round.
The technology related to dry slopes has evolved over the past several decades. Dry slopes
offer 365 days of skiing on artificial material that mimics the attributes of snow. Prices at
facilities located in Europe range from $9 to $24 per hour including equipment rental.
Unlike traditional ski resorts, where the slope conditions depend on the snowfall and
weather, a dry ski slope offers a consistent skiing experience. The most popular activity on
dry slopes is freestyle skiing and snowboarding.
Dry ski slopes present an opportunity for developers, resorts and existing amusement park
operators that are considering expansion to add a unique new feature to the list of amenities.
With improvements in dry slope technology, such facilities can now be built in major
urban areas as stand-alone facilities with an attached family entertainment center and in
resort destination locations with an attached hotel. The lower cost of building and
operating such a facility compared to a typical ski resort makes snow sports more
affordable and brings the slopes to the masses.
62