Agenda Item / Action Request

Transcription

OSCEOLA COUNTY BOARD OF COUNTY COMMISSIONERS
AGENDA REQUEST
DEPARTMENT:
COUNTY ADMINISTRATION
DIVISION/OFFICE:
CONVENTION & VISITORS BUREAU
DIRECTOR/MANAGER: SHELLY MACCINI
MEETING DATE:
MEETING TYPE:
REQUEST TYPE:
3/5/2012
BCC REGULAR
REGULAR
AGENDA REQUEST
Request to approve and adopt the Tourism Strategic Plan.
STRATEGIC PLAN
Economic Growth
Grow and Diversify the County's Economy: County Tourism Strategic Plan/Marketing Plan
FINANCIAL INFORMATION
TOTAL REQUESTED AMOUNT: $
APPROVING DEPARTMENTS
COUNTY ATTORNEY
ANDREW MAI
2/27/2012
BACKGROUND INFORMATION
Recommended for approval by the Tourist Development Council on February 21, 2012.
Stakeholder input led to creation of priority recommendations for the future of tourism in Osceola County.
Forward looking plan facilitated by CSL, with input from 120 tourism and community stakeholders.
Plan represents the consensus opinion on the top priorities over the next ten years.
DRAFT COPY
For Discussion Purposes
A forward-looking strategic plan
encompassing the full breadth and scope
of Osceola County’s tourism industry
February 13, 2012
Draft Copy
For Discussion Purposes Only
February 13, 2012
Ms. Shelley Maccini
Executive Director
Kissimmee Convention & Visitors Bureau
Osceola County Department of Tourism Development
1925 E. Irlo Bronson Memorial Highway
Kissimmee, FL 34744
Dear Ms. Maccini:
We have completed the process of facilitating the development of Destination Osceola 2022 (Destination Osceola), a forward-looking
strategic plan that encompasses the full breadth and scope of Osceola County’s tourism industry. The strategic plan, drawing from the
comments, opinions and suggestions of the broader tourism industry stakeholder population within the county, provides a vision for the
future, a set of realistically attainable goals, a timeline, and an assessment of the challenges in reaching those goals.
Over 100 representatives directly and indirectly involved in servicing the tourism industry were interviewed for this process, and
numerous stakeholder meetings were held to draw together and consolidate various directions for future tourism industry development.
Ultimately, Destination Osceola is structured to give definition to the specific steps necessary to improve the tourism industry product
within the county. The recommendations are highly tailored to the unique conditions that exist in the country, including the various
outdoor, cultural, historic and developed attraction assets that currently exist.
As part of the Destination Osceola process, the Kissimmee Convention & Visitors Bureau (KCVB) has provided useful base market
research and logistical assistance with the outreach and facilitation process. In facilitating the planning process, the input from
organizations and individuals throughout the county and region too numerous to mention here has been incorporated. This extensive
community participation helps form the basis for the findings and recommendations presented herein.
Very truly yours,
CSL International
Conventions, Sports & Leisure International
520 Nicollet Mall, Suite 440 • Minneapolis, MN 55402 • Telephone 612.294.2000 • Facsimile 612.294.2045
Draft Copy
Table of Contents
______
1.0
Destination Osceola 2022 Introduction, Background & Executive Summary .................................... 1
1.1 Introduction ............................................................................................................................... 1
1.2 Background................................................................................................................................ 2
1.3 Executive Summary of Recommendations ................................................................................ 3
1.4 Destination Osceola 2022 Implementation Timing .................................................................... 7
2.0
Current Osceola County Tourism Infrastructure ............................................................................... 8
3.0
Stakeholder Outreach ..................................................................................................................... 11
4.0 Summary of Primary Research ........................................................................................................... 15
4.1 KCVB Research Review .......................................................................................................... 15
4.2 Travel Writer Surveys .............................................................................................................. 17
4.3 Group Tour Operator Surveys ................................................................................................. 20
4.4 Demographic Review............................................................................................................... 21
4.5 Real Estate Development Evaluation ...................................................................................... 22
5.0
Recommendations for Future Tourism Industry Development and Growth .................................... 24
5.1 Enhancement to Highway 192 ................................................................................................. 24
5.2 Allocation of TDT Resources ................................................................................................... 34
5.3 Transportation Opportunities ................................................................................................... 38
5.4 Generating Demand in Specific Segments .............................................................................. 42
5.5 Summary ................................................................................................................................. 64
6.0
Specific Action Steps and Timeframe ............................................................................................. 65
Appendices ..................................................................................................................................... 72
Destination Osceola 2022
Strategic Planning for the Osceola County Tourism Industry
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1.0
DESTINATION OSCEOLA 2022
INTRODUCTION, BACKGROUND &
EXECUTIVE SUMMARY
Destination Osceola 2022 has been prepared in large part to address the
fundamental reality that the tourism industry is highly competitive, and major
tourism infrastructure investment in neighboring communities can and will
erode the economic impact of tourism in Osceola County if the quality of the
tourism product continues to deteriorate. Recent and on-going investment
outside Osceola County in hotels, theme parks, restaurant/entertainment
and other assets provides both an opportunity to draw from a larger regional
tourism base, and a threat in that competitively inferior visitor industry
infrastructure, or failure to invest sufficiently in destination sales and
marketing, will continue to erode visitor market capture.
1.1
Introduction
This document is designed to provide a long-term, forward-looking strategic
plan that encompasses the full breadth and scope of Osceola County’s
tourism industry. The strategic plan, drawing from the comments, opinions
and suggestions of the broader tourism industry stakeholder population
within the county, provides a vision for the future visitor industry
infrastructure planning, a set of realistically attainable goals and a broad
timeline for implementation. The Destination Osceola 2022 vision could be
expressed as follows:
Provide decision makers with a well researched consensus driven
roadmap for policy action that supports and enhances the tourism
industry infrastructure for Osceola County.
The plan recognizes the unique tourism conditions that exist within the
county, particularly the massive impact of area theme parks, combined with
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a set of outdoor, cultural and historic attributes that are highly unique to the
county.
The list of stakeholders that have had significant input into this effort
includes the Board of County Commissioners, County Manager, members of
the Tourist Development Council (TDC), the Marketing Advisory Committee
(MAC), Osceola Resort Area Council (ORAC), industry partners, advisory
boards and/or committees, Osceola County staff members, elected officials,
and a wide cross section of individuals that impact or are impacted by the
tourism industry.
1.2
Background
The current Mission Statement for the KCVB is “To promote Osceola County
as a premier travel destination, driving economic impact to our clients”. The
Destination Osceola 2022 plan is designed to support this mission, and
provides industry-generated, research supported findings and
recommendations on topics that include, but are not limited to:

Enhancement to key tourism areas within the county

Visitor industry transportation

Appropriate use of Tourism Development Tax (TDT) funds

Maximizing use of existing county-owned tourism facilities

Viability of specific tourism market segments including international
travelers, sports, meetings/conventions, outdoor/adventure travel
and festivals
Tourism is the largest industry in Osceola County, generating approximately
$2.4 billion per year in economic impact. The tourism industry supports
approximately 40,000 jobs for local residents, ranging from entry level jobs
to high-level management positions. Visitors to the county also contribute to
the overall tax base, with approximately $93 million annually in state and
local sales taxes and $31 million in Tourism Development Tax (TDT)
revenues. Tourism businesses pay approximately $70 million each year in
property taxes to Osceola County.
It is useful to note that TDT collection growth percentages have generally
tracked those in Orange County over the past 15 years. However, collection
levels in Osceola County increased by two percent in 2010, while Orange
County collections increased by nine percent. This pattern continued in
2011, and raises the concern that given the quality and general stagnation of
much of the visitor industry product in Osceola County, future tax collections
may plateau and even decrease in the future. The cumulative impact of a
one percent reduction in growth rate over a ten year period equates to a loss
of at least $15 million in TDT collections and approximately $35 million in
property taxes paid by the visitor industry.
Proximity to major theme parks and an international airport set the stage for
the significant tourism industry footprint in the county. As discussed
throughout this strategic plan, there is broad industry consensus that a
central focus of efforts to grow the tourism industry should draw from these
strengths, while emphasizing the unique and authentic attributes within the
county. These attributes include significant outdoor attractions, numerous
amateur sports venues; world class fishing, recognition as the headwaters to
the Everglades ecosystem, cattle ranching and agricultural heritage, large
state-maintained wildlife preserves, and a reputation as an affordable
destination.
There are approximately 47,000 overnight accommodations located within
Osceola County, inclusive of large convention hotels, family operated
motels, vacation rental homes, timeshares, and campgrounds. The county
hosts between five and six million overnight visitors each year, with
approximately 100,000 visitors staying in the county on any given night.
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Key elements of the study process include significant stakeholder outreach
and consensus-building within the community, stressing the uniqueness of
the Osceola County tourism product. Other research components used to
inform the creation of Destination Osceola 2022 include the following:

Extensive review and site tours of local market attractions.

Review of the visitor industry research and planning maintained by
the KCVB.

Surveys of national travel writers, event promoters, and
representatives in industries that are relevant to future growth of
Osceola County tourism.

Review of national and regional visitor industry trends.

Analysis of the efforts under way in competitive and comparable
markets to build a more attractive destination.
Throughout this highly collaborative process, the findings and
recommendations that form the core of Destination Osceola 2022 have
emerged. These highlight a set of specific steps to be taken by tourism
industry organizations, elected bodies and the private sector in order to draw
on the unique attributes of the county in growing the impact of the tourism
industry.
1.3
Executive Summary of Recommendations
Tier I Recommendation:
The power to create and empower such an agency rests with the county.
The Commission should approve a process to be undertaken by county staff
with direction from the West 192 Economic Advisory Committee and the
KCVB that will propose recommendations as to legal structure, board
structure, funding mechanism, staffing plan, mission and objectives, and
related aspects of a new 192 agency or authority. Formal planning should
begin within the next several months. Specific actions to be taken, as
identified within the body of this document, include the following:

Form a public development agency outside direct county departmental
control with a defined mission, means of public sector oversight, and
adequate funding. This entity could be formed as a Downtown
Development Agency, a Community Redevelopment Agency (CRA), or
a combined downtown development board and CRA.

Form a board for the agency with the requirement that some board
appointments be drawn from particular industry segments. The ideal
board will have a high level of strategic business focus, and will not be
focused on parochial or short term issues.

Periodic reporting to the county should be provided for, using a
consistent financial and operational reporting method. Goals set forth
by the organization should be identified, and progress towards
achieving these goals should be described.

Initiate a thorough inventory and analysis of existing parcels along 192,
identifying current ownership, status of tax and fee
payments/delinquencies, and physical description of the property and
business.

Incorporate and expand on the 192 Committee efforts by defining
specific areas along 192 that should be targeted for future visitor
industry development. This effort would generally focus on areas west
of Hoagland Boulevard, with some investment along areas further east.
A summary of the recommendations presented throughout this document,
highlighting their importance or priority in terms of a Tier I, II or III initiative, is
presented below.
Establish a Highway 192 Redevelopment Agency
or Authority
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
The authority should eventually remove numerous existing properties,
including older hotel stock, that have fallen into disrepair. Focus on
properties for which it is not economically viable to invest in significant
upgrades.

Demolished structures, and disparate parcels should be assembled in
areas defined as targets for future visitor industry development.

Address issues such as appropriate changes to the sign ordinances,
enforcement mechanisms, boulevard maintenance, future attraction and
other visitor industry development, and on-going strategic planning.
The County Commission, along with the TDC, should work with the KCVB
as lead staff to undertake the following actions:

A program of incentives, potentially using existing development tools
(tax increment, deferred payment for land, etc.) should be prepared. A
package of fees that can be marketed as “developer friendly” should be
created to counter a long-held perception that development can be
difficult in Osceola County.

Present a clear assessment of current and projected TDT funding
obligations and available resources over the next ten years.

Develop a plan for allocating available resources stipulating
percentages to be allocated to all areas, particularly destination sales
and marketing. The plan should be adopted by the County Commission
and the TDC.

Prepare for adoption by the County Commission and the TDC a formal
set of guidelines to help prevent a non-productive expenditure of TDT
funds.

Develop a means to increase overall KCVB funding over the next five
years, reaching a range of between $15 million and $20 million.

Support existing business owners to upgrade storefront, signage and
other visual aspects of their property by creating a forgivable loan
program, with loan balances forgiven after a period of several years of
continual operation.

Over time, Requests for Developer Interest should be issued to gauge
interest in a public/private partnership for future development consistent
with the approved plan.

Identify a funding source of approximately $10 million to $20 million,
potentially accumulated over several years, to provide the agency with
necessary start-up funds.


Work with other destinations throughout Florida to secure legislation
that allows for some form of assessment district, likely targeting a fixed
fee or percentage charged per hotel room.
The authority should pursue additional entertainment-oriented
development such as a new themed attraction on the magnitude of
LEGOLAND or the recently discussed roller coaster park; development
of public access and outdoor features on Lake Cecile; ensure that the
presence of the new Shingle Creek Visitor Center serves as a draw to
visitors; and encourage enhancements to Old Town, Fun Spot and
other existing attractions.
Create a Framework to Ensure Allocation of TDT
Resources to Room Night Generating Efforts
Tier II Recommendation: Adopt a Strategy for Improving Visitor Industry
Transportation
The recommendations presented herein focus on both a 192 transportation
corridor, and a tourism industry transportation hub or Destination Center to
provide improved access to area attractions. County staff, inclusive of
Economic Development, Planning Office, KCVB and representatives of
county management, should lead this effort. In addition, the Central Florida
Regional Transportation Authority should be actively involved. As the
transportation issue may be an important focus for the 192 Redevelopment
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Agency or Authority, representatives of this entity, as it is formed, should
also be directly involved. Further, as various elements of a potential
transportation solution will involve private sector entities, representatives
from relevant companies should also be included in the process.
system, with the certainty that their patrons will be satisfied with the
reliability of the system.

The system will have to be aggressively marketed by existing visitor
industry establishments including hotels, restaurants, the KCVB and
other organizations. In addition, employees at retail stores, service
stations and other businesses along 192 will have to aggressively
market the route.

A park and ride “Destination Center” or “Transportation Hub”, likely at
some point along west 192, should be further explored from a cost
perspective. The system should include transportation to area
attractions such as the various dinner theaters, Forever Florida, air boat
operators, Gatorland, the new Shingle Creek Nature Center, Fun
Spot/Old Town, and other area attractions.

The attraction shuttles could be privately operated, and would be
financially supported by sponsorships and direct subsidies from the
various attractions that are served. Outreach to attractions and
transportation companies should be undertaken to further define the
options.
Specific action steps to be taken are presented below.

The upcoming transportation Alternatives Analysis should include a very
significant focus on creating a viable, well-used visitor transportation
system.

Experimentation with a visitor transportation link (primarily along 192
between Kissimmee and Disney) should be undertaken within the
existing LYNX system, or potentially using a private vendor.

Use existing LYNX equipment, however vehicles servicing a designated
192 tourism corridor route should be painted or wrapped in a themed,
attractive, even whimsical manner reflecting a “vacation” mindset. The
designated tourism route should stress the transportation needs
between attractions, hotels and other important amenities.

The visitor experience on the tourism route equipment should offer a
level of visitor appeal that goes beyond traditional busses used for
public transportation. The vehicles could be operated by uniquely
uniformed drivers that are trained to relay the visitor offerings, history,
culture and industry of the area in an entertaining manner, and music
could be introduced into the vehicles. On-board video monitors could
be used to highlight area attractions, and potentially generate additional
revenue.


Well-signed, landscaped, clean and safe points along the route(s)
should be developed or enhanced, and should provide amenities such
as visitor kiosks that offer interactive information on attractions, hotels,
restaurants, etc., and route information (maps, arrival/departure times,
etc.).
The system must run on a very consistent and reliable basis. It needs
to provide the rider, as well as the concierge and other staff in hotels,
restaurants and other establishments that recommend use of the
Tier II Recommendation: Identify Specific Segments to Pursue in order to
Increase County-Wide Room Night Generation
Various visitor industry segments have been identified in which potential
may exist to increase county-wide room night generation. Specific steps to
be undertaken, led by the KCVB with respect to these segments are
described below.
International Market

Continued and increased efforts on the part of the KCVB to target
international travelers are likely warranted.

The visitor industry limitations, including 192 conditions and
transportation issues, will have an impact on the ability to attract
international visitors and to secure return visits.
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
Efforts to improve the Osceola County visitor industry infrastructure
should be seen as critical to taking advantage of a growing segment of
high-spend international travelers.
Sports
 Heritage Park management should continue to work with the KCVB to
identify and attract sporting and entertainment events with significant
non-local participation and give precedence to these events over less
impactful events.




As the demand profile for county-wide facilities becomes clearer,
additional fields near Osceola Heritage Park (OHP) should be
considered. Any future development should be conditioned upon (1)
execution of utilization and/or room night guarantees from USSSA
and/or other organizations interested in using the new fields, (2)
demand estimates that support the occupancy and TDT generation
levels sufficient to justify project costs, (3) consideration of participation
(both financially and from a demand perspective) from Disney WWOS,
and (4) assurances that funding for any new development would not
detract from tourism sales and marketing funding. Should plans for a
largely private ballfield project near OHP materialize, with acceptable
return on investment guarantees for the public sector, county support
would be warranted.
Finalize the project costs for the proposed Austin Tindall project. If
costs are in line with current estimates, county staff should attempt to
secure a source of funding. Once funding is secure, this project should
commence. Work with Disney to develop (and potentially jointly fund) a
program of cosmetic upgrades to improve the participant experience.
Continue to support the construction of the proposed Wide World of
Sports (WWOS) bowling center, which would have the potential to draw
more than 100,000 visitors per year and host major USBC events
drawing participants from throughout the country.
The KCVB should continue efforts to package sport fishing as part of a
broader outdoor tourism infrastructure.

For any sports facility investment, ensure that funding for the project
does not negatively impact current county tourism sales and marketing
resources.
Outdoor/Adventure Tourism
 The KCVB should build on existing efforts to package and promote the
area as a unique destination for enthusiasts of outdoor and adventure
tourism.

Consideration should be given to partnering with a contract vendor to
facilitate attraction packaging. The packaging effort could be tied into
on-going social media and web-based initiatives being undertaken by
the KCVB.

The “Destination Center” or “Transportation Hub” concept could provide
a linkage to the area’s unique outdoor and adventure attractions.
Enhanced transportation options to these amenities could drive
additional attendance with little or no financial operating commitment
from the public sector (assuming an arrangement whereby the serviced
attractions split the cost of the shuttle service with each guest).
Festivals
 Encourage private sector efforts to create a marketable event, such as
the currently planned balloon festival scheduled to be held in 2012.
This type of event could form the opening or closing event for a largescale seven to ten day festival.

Explore opportunities to combine several existing festivals help support
the seven to ten day event period. The higher profile of these events
could comprise a festival opening or closing. Pairing a marquee festival
with some form of rodeo/western celebration would help introduce a
component unique to the history of the county.

This large scale festival should be viewed as both a community resident
asset and an economic impact driver. Public funding should be
secured, likely in the range of $150,000 to $250,000 annually over the
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next three years. As the festival matures, funding should be secured
from private sector sponsorship sources, with limited public funding
support.

The KCVB should provide various marketing support for the festival,
and should take a lead role in beginning the event. However, over the
next several years, a separate non-profit entity should be established to
manage overall event production and logistics.

Extensive private sector sponsorships should be secured to support the
financial needs of a large scale festival.
Tier III Recommendations:
Other Initiatives for Destination Development
A wide variety of other important comments were made during the
stakeholder interview and focus group process. While these did not
necessarily rise to the level of importance among stakeholders as compared
to the destination development initiatives described above, there are several
points that are important to consider, including the following:

Investment in tourism infrastructure supports the quality of life for
residents.
1.4
Destination Osceola 2022 Implementation Timing
The plan findings and recommendations should be approved and adopted
by the county as soon as possible, leading to a timeframe for implementing
Destination Osceola 2022 that should be considered as a multi-month/multiyear process. By the end of 2012, the agency in charge of 192
redevelopment should be approved, with a preliminary funding plan in place.
Within the next four to six months, a framework for allocating TDT resources
should be in place, along with a plan for increasing KCVB funding to
targeted levels.
Planning for future visitor industry transportation
alternatives should be underway within the next several months, with
implementation of recommendations beginning within the next six to twelve
months. Efforts to pursue room night generation within specific market
segments could begin immediately, and in some cases should be viewed as
an on-going effort.
The implementation timeframe presented herein should be considered in the
following context.

The process should begin with county approval and adoption of
Destination Osceola 2022.

The actual timeframe will change significantly as actual conditions
emerge.

The timeframe encompasses the forthcoming 18 months.
Implementation of Destination Osceola 2022 recommendations should
be considered a much longer term, even on-going, effort.

Efforts to draw visitors off the turnpike should be explored.

Consider targeting the pre/post cruise market.

Military and religious events could be attracted.

The sign ordinances along 192 need to be revised, updated and
enforced.

The schedule for the Transportation Alternatives Analysis will impact the
timing of the various transportation recommendations presented herein.

Improved signage to area attractions was mentioned as a need area.


Added training for individuals on the front lines of the tourism industry
(hotels, restaurants, convenience stores, gas stations, grocery stores,
etc.) was cited as a need area.
The West 192 Economic Advisory Committee will help establish the
final timeframe for important components of the destination
development process.

Additional input will be required from specialties that potentially
include finance, real estate, transportation, architecture and
hospitality.
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2.0
CURRENT OSCEOLA COUNTY TOURISM
INDUSTRY INFRASTRUCTURE
Osceola County has a long history of catering to the traveling public,
particularly subsequent to the opening of the theme parks. In the late 1960’s
and early 1970’s, the hotel infrastructure within the county began to develop,
primarily with a large series of exterior corridor hotels catering to the midscale price point. In 1994 and again in 1999, Disney completed construction
on All Star Resort properties, adding over 5,400 rooms to the Osceola
County hotel market. Given the volume of tourism traffic, several smaller
attractions within the county have come and gone over the years.
More recently, this base of hospitality infrastructure has evolved in various
ways, with numerous properties maintained in a highly serviceable and
customer friendly fashion, while many other independently owned properties
have fallen into a state of disrepair. These distinct development patterns
have created a highly inconsistent appearance along 192 that often lacks in
visitor appeal. At the same time, the county has experienced the
development of high-end convention hotel and resort properties (Gaylord
Palms and Omni ChampionsGate), the development of an extensive
inventory of vacation rental homes and the creation of the town of
Celebration. These first-class developments serve to elevate the level of
tourism and convention activity in the county, and also to highlight the “tale
of two cities” phenomena that currently exists with respect to the tourism
industry infrastructure.
Through this long term tourism infrastructure evolution, the theme parks
have continued to provide a massive base of potential demand for lodging,
entertainment and other venues. In addition, Osceola County is proximate
to attractions such as the Kennedy Space Center; beaches on either coast;
and numerous regional shopping, dining and entertainment options. The
tourism assets within Central Florida draw approximately 50 million visitors,
including day visitors, annually. Visit Orlando estimates that total visitation
to the metro Orlando area exceeded 53 million in 2011, with projections for
visitation at 54.3 million in 2012.
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Ind. Condos/Villas/Homes
Condo/Hotels
Source: KCVB
As demonstrated above, the inventory of hotel rooms within the county has
decreased over the past ten years, while vacation rentals and condo hotels
have emerged to fill the gap resulting in a nearly constant supply of overall
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2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
West 192 beautification and landscaping
2002

2001
Significant development of vacation home inventory
2000

Timeshare Resorts
1999
City of Kissimmee lakefront development on Lake Toho
Campgrounds
1998

Hotels/Motels
1997
Expansion of facilities at Disney Wide World of Sports
1996

1995
Current development of the 300 room Embassy Suites hotel
1994

0
1993
Development of the Disney All-Star Resorts
1992

1991
Development at the Omni Orlando Resort at ChampionsGate
1990

10,000
1989
Development of Gaylord Palms Resort & Convention Center
20,000
1988

30,000
1987
Development and expansion of Osceola Heritage Park
40,000
1986

50,000
1985
Several of the past and recent developments within the county that impact
tourism include the following:
Exhibit 2-1
Osceola County Lodging Inventory
1984
Given the magnitude of the tourism industry within the county, there has also
been a continual pattern of investment and development over the years,
largely private sector initiatives with occasional public sector support. It is
important that these conditions be carefully considered when seeking to
identify initiatives for future tourism investment.
Expansion of private sector attractions including Boggy Creek
Airboats and Forever Florida
The lodging inventory in Osceola County has also evolved over the past ten
years. In the mid to late 1990’s, timeshare resort room inventory increased
significantly. Since 2000, vacation rental homes have provided an
increasing percentage of overall county room inventory. The following
exhibit prepared by the KCVB highlights the diversification of the Osceola
County lodging inventory over the past 31 years.
1983
Today, the county provides several tourism amenities including attractions
such as world class golf courses and academies, Lake Tohopekaliga (Toho)
fishing, Old Town and Fun Spot, air boat rides, Forever Florida, Arabian
Nights and Medieval Times dinner theaters, ballooning, camping/hiking, and
rodeo/equestrian events.

1982
With on-going investment in major tourism generating assets (for example,
the Wizarding World of Harry Potter in recent years, the recently opened
LEGOLAND Florida, and the current development of the Avatar attraction at
Disney’s Animal Kingdom), the Central Florida brand will provide a
consistently large base of potential domestic and international visitors from
which Osceola County can draw for the foreseeable future.
Draft Copy
lodging inventory. Vacation rental properties, encouraged as part of tourism
and economic development efforts within Osceola County, result in
somewhat of a competitive distinction as compared to Orlando. This
advantage provides greater opportunity to accommodate higher spend
travelers, including a broader base of international visitors.
increase in the ability of the tourism industry to generate county-wide
economic impact and improve the quality of life for residents.
It is instructive to note that while overall lodging inventory in Osceola County
has remained relatively stable over the past ten years, inventory in
surrounding counties has increased more steadily. As previously noted,
TDT collections in Osceola County have plateaued over the past three
years, and combined with data as to stagnant hotel growth, there is a
concern amongst the stakeholder group that a more aggressive and even
dramatic approach to destination building is required to prevent erosion of
the county-wide visitor industry.
There are several planned projects that if developed would have varying
impacts on the Osceola County tourism sector, including the following.

WWOS Bowling Center

Expansion of sports facilities

Harmony Sports Complex

Potential new large scale attraction

Launching of large scale balloon festival

Veterans Museum

Shingle Creek Nature Welcome Center
Taken together, these projects show that investment in the tourism industry
continues, both from the public and private sector. The challenge, and an
important objective of Destination Osceola 2022, is to create more of a
strategic approach to the allocation of available tourism industry resources,
to present an action plan with specific initiatives designed to strengthen the
tourism industry infrastructure, and ultimately to lead to a sustainable
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3.0
STAKEHOLDER OUTREACH
A critical component of the strategic planning process included extensive inperson interviews and focus groups with Osceola County visitor industry
stakeholders. Representatives of visitor industry businesses, elected
officials, city and county staff, developers and other representatives were
interviewed throughout the process. Over 100 interviews were conducted
with industry stakeholders, and several focus groups were held to refine
stakeholder feedback and to identify areas of consensus as to issues that
must be addressed in order to grow the tourism industry.
Through the interview and focus group process, a wide variety of opinions,
concerns and suggestions for future action were put forth. The results of
this process form the basis for Destination Osceola 2022. The broad set of
information collected has been reviewed and categorized in order to better
define the priorities set forth by stakeholders as to advancing the impact of
the tourism industry. We have organized the various areas of action
suggested by stakeholders based on their perceived priority. Priority I
opinions received virtual unanimous consensus, and are strongly viewed as
issues to be addressed immediately. Stakeholders also had views on
several issues that were more directional in nature, with general agreement
that steps should be taken to ensure improvement, but with less specificity
as to specific courses of action. These are presented as Priority II opinions.
Finally, there were numerous opinions, comments and suggestions that
should be followed up on, but do not necessarily rise to the level of an
immediate need in terms of destination enhancement.
3.1
Priority I Opinions
Highway 192 Issues
The most significant need area for the tourism infrastructure in the county is
the improvement of Highway 192. The current aesthetics along much of 192
include deteriorated or abandoned physical structures, outdated signage
and other aspects that run directly counter to creating a desirable visitor
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industry atmosphere. It is clearly recognized that 192 has numerous distinct
zones, and each requires a specific plan for improvement. However, an
underlying concern was registered that regardless of how tourism assets
develop and evolve within the county, unless the experience of traveling
along 192 changes dramatically, it will be very difficult if not impossible to
markedly improve county tourism impact.
Allocation of TDT Resources
There was general consensus among stakeholders that TDT revenue should
be invested in projects and programs that help increase tourism levels and
improve the tourism product in the county. Concern was registered that
recent decisions to allocate TDT funds to projects such as the Veterans
Museum ($1.5 million), and various expenditures for arts, historical and
other initiatives against the advice of the TDC, run counter to efforts to
increase overall visitation and room night generation within the county. It
was suggested that creating a set of guidelines would protect and enhance
destination sales and marketing resources. Under no circumstance should
Target Markets for Increasing Visitor Impact
Industry stakeholders cited several sectors that may yield added room night
generation and associated tourism impact. These include amateur sports,
equestrian, eco/outdoor/adventure, golf/resort segments. Packaging of
existing assets such as air boats, balloon rides, vintage aircraft flying,
Forever Florida, Lake Toho and others was cited as a potential means of
creating a marketable and unique experience for the leisure industry. The
emerging base of vacation rental homes was cited as an important and
somewhat unique amenity that helps support visitation in many of these
segments. Segment specific stakeholder views are summarized as follows:

International – there is consensus among stakeholders that international
travel represents a growing potential for Osceola County, and that the
KCVB should continue to research opportunities to proactively increase
the exposure of the destination to the international market.

Sports – there is a concern that allocation of TDT funds on a large
sports facility project may not provide a significant return in terms of
room night generation. It is widely held that absorption of existing
sports facility projects should take place prior to consideration of any
significant public sector investment in new facilities.

Outdoor/Adventure – It is widely recognized that this segment
represents a unique asset for Osceola County. There is also general
agreement as to the need to package these assets and provide more
convenient access for visitors. However, as the overall base of visitors
that seek these experiences was viewed as somewhat limited,
allocation of public sector resources should be carefully considered.

Festivals – The concept of a large-scale, seven to ten day festival is
generally supported within the industry. Combining new events with
one or several of the existing county-wide festivals to form such a
sufficiently marketable, room night generating event was seen as an
appropriate step for the KCVB to pursue. A partial focus on the
equestrian and cattle heritage of the county was viewed positively.
the current tourism industry sales and marketing budget be reduced
further.
3.2
Priority II Opinions
Transportation
The need for improved visitor transportation within the county was
discussed, both in terms of transportation along 192 and to/from various
county attractions. Given the costs and challenges associated with a robust
visitor industry transportation amenity, there were diverse opinions on the
subject. The concept of a 192 trolley system (ranging from rubber tire to
guided rail) is supported by many, while others suggest that visitors are not
avoiding Osceola County due to lack of public transportation. The notion of
a modest initial investment in some form of transportation link, potentially
integrated into the current LYNX system or managed by a private sector
vendor was discussed as a viable, cost-effective initial effort.
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
Conventions – There is a consensus in the industry that a large,
publically funded convention center would not generate significant event
demand for the county, and should not be a priority for the KCVB or the
county.
Development of Additional Attractions
The inventory of attractions in the county can be considered mid-tier, and in
some cases (Forever Florida and air boats, for example) somewhat unique
to the central Florida area. There was general agreement among
stakeholders that county efforts to attract more of a large-scale attraction
would be highly beneficial. The recent development of LEGOLAND Florida
in Winter Haven was cited as an example of a project well suited for Osceola
County. In addition, a large scale shopping experience (major outlet mall,
for example) was cited as a potentially viable attraction for the county.
3.3
Priority III Opinions
Impact of Disney and the Theme Parks
It was uniformly recognized that the base of visitation to the Central Florida
area generated by the theme parks forms the basis for tourism in Osceola
County. The visitor industry infrastructure (hotels, attractions, etc.) in
Osceola County should be positioned in such a way as to maximize the
share of theme park visitation and impact that resides in the county. Also, it
was generally believed that Disney investment in mid-priced hotels has had
an impact on lodging properties along 192 (particularly the lower quality
properties), and this was met with both some concern as well as an
entrepreneurial spirit of needed hospitality industry change to respond to this
reality. Stakeholders also noted that the Disney properties are not direct
competitors to lodging along 192, and in fact Disney was viewed as playing
an important and productive role in the future success of 192 and tourism
infrastructure development throughout the county.
Tourism and Economic Development Relationships
Stakeholders are aware of the fact that there are various room night
generators that are not directly linked to tourism. In any community,
economic assets that serve to generate room nights can include medical
facilities, colleges and universities, and the general corporate base. In
Osceola County, entities such as the Nicholson Center/Florida Hospital
Celebration, the Regional Medical Centers and various educational
institutions can provide for a potential base of room night generation. For
example, the notion of medical tourism (travel to a destination for a medical
procedure, potentially combining a leisure component) has been linked to
room night generation. In central Florida, the various aspects of destination
appeal combined with high-end medical facilities suggest opportunities to
both support business development in medical sectors, and to generate
room nights.
In these and other ways, stakeholders strongly suggest that any effort to
diversify the local economic base should always take into consideration the
ways in which the tourism industry benefits from and intersects with virtually
any economic sector. In effect, tourism can be seen as a broad overlay that
can benefit, and benefit by, efforts to attract businesses across all economic
sectors, as opposed to simply a vertical industry with little indirect effect.
Other Topics
necessarily rise to the level of importance among stakeholders compared to
the views described above, there are several points that are important to
consider.

residents.


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

enforced.


A more extensive summary of stakeholder comments is provided as an
appendix to this document.
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4.0
SUMMARY OF PRIMARY RESEARCH
It is important that research form the backbone of any strategic plan.
Guidance provided by industry stakeholders provides critical direction, and
visitor industry research can help to validate or in some cases refine
stakeholder direction. As part of the Strategic Planning process, primary
research was conducted in several areas, including review of past KCVB
analysis, interviews with national travel writers and group tour operators,
promoters of events that could be held in the county, and case study
analysis focusing on a variety of issues pertinent to increasing Osceola
County tourism impact. Within this section, we provide a brief summary of
these and other relevant research components conducted as part of the
Destination Osceola 2022 process.
4.1 KCVB Research Review
The formulation of Destination Osceola 2022 draws in part from the research
that has been conducted by the KCVB over the past several years, including
recent interviews with thousands of visitors to the destination and potential
visitors. Important KCVB visitor industry research efforts that have been
conducted include the following:

In-Market Ad Survey, March to July, 2011 – evaluating the effectiveness
of KCVB marketing initiatives.

Studies of Travelers from Mexico, Argentina, Brazil and the UK to
Florida, 2009.

Visitor Intelligence Survey, August 2011 – online surveys of 3,000
individuals.

Ad Awareness / Perception Study, March to September 2011 – online
surveys of 2,400 individuals.

Canadian Travel Planning Focus Groups, June 2011 – Four consumer
Focus Groups in Toronto, ON and London, ON
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
Brazilian Travel Planning Focus Groups, July 2011 – Eight Groups
containing consumers, wholesalers and travel agents in San Paulo and
Rio de Janeiro.

Vacation Planning Research, 2007 and 2008 – Utilized stakeholder
interviews, online surveys, focus groups and email surveys of
consumers, travel agents, wholesalers, meeting planners and event
planners for leisure, meetings and sports markets.
The results of this research, and the variety of other past and on-going
KCVB research efforts, are designed to evaluate opportunities to increase
non-local visitation to county, and to evaluate the effectiveness of marketing
expenditures. We have worked with KCVB staff to evaluate the implications
of key research findings for Destination Osceola 2022, and to generate
additional research elements that may be informative.

First time visitors are significantly less likely to visit 192 attractions such
as the Dinner Shows, Old Town and Fun Spot. Visitors that have been
to the destination multiple times show a greater likelihood to have
visited these types of attractions.

Thirty-five percent of visitors surveyed stay seven or more days in the
destination. Forty-two percent of first time visitors stay seven or more
days. Given the significant length of stay, these data suggest that there
are opportunities for non-theme park attractions and activities to benefit
from visitors, even those whose primary purpose is to visit theme parks.
Destination Satisfaction

A summary of specific research pertinent to this Strategic Plan is presented
below.
Travelers to Osceola County are largely satisfied with their
accommodations/lodging. Overall, 65 percent of surveyed travelers
indicated that they were “very satisfied”, and 24 percent “somewhat
satisfied” with their Kissimmee lodging.

Results for first time visitors were only slightly lower, further supporting
the general satisfaction with existing lodging properties.
Domestic Leisure – Travel Motivation and Osceola County Attraction
International Travel

Leisure travelers represent 83 percent of the overall visitation to the
greater Orlando/Kissimmee area. Of these, 61 percent indicated that
the theme parks were the primary motivation.


Sixty-eight percent of respondents cite Theme Parks as very or
extremely important motivator to visit the destination. This increases
somewhat to 74 percent for first-time visitors.
Nearly 27 percent of total visitors to Osceola County originate
internationally, primarily from Canada, the UK and Brazil. Other
originating countries include Columbia, Mexico, Argentina and
Germany.

Seventy-four percent of leisure travelers attend a major theme park, 57
percent participated in shopping, and 48 percent in entertainment
centers (Downtown Disney, City Walk, Old Town, Fun Spot, etc.).
Twelve percent participated in nature activities, seven percent in golf,
and six percent in heritage/historical activities. These data reinforce the
power of theme parks to draw visitors to the destination, and the
challenges in defining marketable experiences in other sectors.
The majority of UK visitors that plan to travel to central Florida have not
visited the destination in the past. However, only just over one-half of
these visitors have heard of Kissimmee. These data suggest an
opportunity to increase international visitation through targeted
marketing efforts.

Statistics for other originating countries indicate that the theme parks
and shopping are primary motivating factors, and that there is a
significant lack of familiarity with the Kissimmee destination and brand.

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KCVB efforts to draw fair-share or greater of the international leisure
segment are being researched.
Research results highlighting the prevalence of theme parks in terms of
visitor generation are consistent with stakeholder views. Stakeholder
positions relative to attracting theme park visitors for a portion of their stay,
and with respect to the growing potential of the international market were
also supported by past KCVB research.
Relatively little research has been conducted to date with respect to
suggested visitor industry infrastructure improvements within the destination,
focusing on transportation, signage, look and feel issues, etc.
4.2 Travel Writer Surveys
Representatives from a total of 42 travel publications responded to an
Internet-based survey conducted in October to gauge opinions as to the
Osceola County tourism product and image (a list of participants is included
in an appendix to this document). Fifty-eight percent of respondents have
visited Osceola County in the past.
Among other questions, respondents were asked “What characteristics do
you feel define the Kissimmee/Osceola County destination?” Results are
segmented into responses for those that have and have not visited Osceola
County in the past.
Travel writers that have not visited the destination (relying more on
perceptions) refer to descriptors such as ranches, airboat rides, nature,
fishing, golf, close to Disney, headwaters of the Everglades, Native
American heritage, family activities, vacation homes, nice lake and Walt
Disney World. These results, seemingly capturing many of the amenities
that distinct Osceola County, indicate that there is a fairly well defined and
generally accurate impression of the county’s tourism assets within the
travel writer industry.
Responses for travel writers that have visited the destination are not
significantly different, however they provide a more direct focus on
descriptors such as recreation, history, families, value, outdoor activities,
green, wildlife, quiet and outdoor recreation.
The influence of Disney and the theme parks is clearly registered, with some
of the other more relevant or directional comments regarding Osceola
County including:

Convenience – when visitors want something other than Disney

Fun, theme parks, educational activities, family and intergenerational
location

Great for families

History, fun

Near Disney, away from the rat race, nice outdoor activities, less
expensive accommodations
The elements of convenience, affordability, outdoor, family and even
educational correspond in many ways to the emphasis that the stakeholder
group placed on using the theme parks as the overriding draw to the
destination, and then using attributes unique to Osceola County to maximize
the share of theme park visitors attracted to the county.
The current brand positioning for the destination incorporates the tag line
“Kissimmee… the heart of Florida”, and emphasizes several themes,
including:

Access to theme parks and other central Florida attractions

Dining

Golf

Outdoor fun

Osceola County attractions
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
Access to nearby beaches

Shopping

Family vacation/family fun
These assets are wrapped in the context of affordable vacations and
affordable fun. This approach is very consistent with feedback provided by
the national travel writer community.
Travel writers were also asked how leisure travelers perceive the
destination, and whether this perception is accurate. Two responses may
accurately capture the strengths and challenges of the destination:
Most probably see it as a gateway to Disney, which is accurate but not
complete.
Doubt that the majority of travelers see Kissimmee/Osceola County as a
destination in and of itself, rather, as adjacent to a destination.
The tourism industry strengths of the destination, tied in some ways to the
unique outdoor /adventure assets, are not well known by the traveling public,
nor are they packaged for the convenience of the visitor who is conditioned
to rely on a Disney level of convenience.
Other responses relative to defining Osceola County characteristics are
summarized as follows.

Affordable accommodations, family oriented, major attractions.

Affordable lodging near theme parks.

As a more affordable option to staying in Orlando and in my personal
experience that is true.

As a sidekick to Disney, Universal and SeaWorld. Something to help
"break up" a week at the parks.

Families with small children are there for theme parks but others are
there for vacations that may not include Disney (or other parks).

Inexpensive hotels close to Disney.

Primarily theme parks. I think they're still not aware of the extensive
outdoor recreation opportunities, except perhaps for air boating.

Friendly natives and good accommodations and restaurants, wide
variety of activities, history and entertainment.

I don't think they are aware of much more than Orlando as a whole. I've
tried to get the word out on alternative, cheaper and more nature-based
activities, but it's a tough sell with so many other Florida-based stories
in the hopper with editors. They can only take so many, and there's
usually something splashy, expensive and new grabbing headlines.

They feel it's part of the Orlando metro area.
Travel writers were also asked to describe authentic characteristics or
experiences associated with the Osceola County destination. Responses
were weighted towards outdoor attractions, perhaps summarized by the
following comment:
The natural side of Florida should be a focus - the lakes, the wildlife, the zip
lines and other similar experiences. The area's best accommodations
(including the better budget-minded properties on up to the Gaylord Palms)
and all they have to offer should be a focus too.
Other comments as to authentic characteristics or experiences include:






Airboat rides
Parks
Agri-tourism opportunities (ways to teach the real Florida)
Natural, beautiful
Baseball spring training
Everglades, airboat rides, nature tours
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
In the shadow of the big parks--too much of 192 is "mini-parks". Need
to promote alternatives to "rides".

Lack of familiarity.

Lack of name recognition, sense of a distinctive place.

Maybe people would rather be at Disney, rather than close.

No real identity of their own.

Traffic and billboards...congestion in some areas.

Not enough highlight on fishing & golf.

Over-shadowed by Orlando's attractions...since those are in the top 5 in
the U.S., you'll need to find some unique selling points while still utilizing
your proximity to Orlando to attract visitors.
Respondents were asked to comment on the characteristics of the
destination that are viewed as weaknesses. The weight of responses
tended towards poor conditions on 192, traffic/toll roads, tacky or run-down,
and a lack of familiarity. Generally, these comments tie closely to those
registered by industry stakeholders, thereby reinforcing the set of findings
and recommendations that should be considered as part of Destination
Osceola 2022. Specific concerns registered by travel writers are
summarized below.

Over-the-top tourism, ticky-tack places.

People traveling without children may not see it as a popular
destination.

Perception as cheap...in shadow of Disney...not scenic....overbuilt.

The fact that one must have their own transportation or rent a vehicle is
something that must be understood when visiting the area...whether
they stay in Kissimmee or in Orlando, Lake Buena Vista, etc.


Too darn hot from late spring to late fall.

Adjacent to mega parks. Hard to spell and thus, potentially, hard to find
on Internet.









Fishing
Golf
Kayaking
Natural
Lakes
Gators
Wildlife
The real Florida Experience
The natural side of Florida
Comments also included family experiences, inexpensive hotels, historical
attractions, and vacation rental homes.

U.S. 192 is awful at any time of day but Osceola County Parkway is
good alternative -- too bad about tolls.
Commercialism, traffic, too many toll roads, not enough nice places to
eat.

Perception of the US 192 corridor as cheap and sometimes sleazy /
dangerous / bottom-of-the-barrel motels.

Proximity to tacky tourist attractions.

Some run-down commercial areas.

Distance to some attractions.
These comments very directly demonstrate the detrimental effects on
tourism infrastructure caused by conditions along much of 192. Stakeholder
views as to the importance of improving 192 in a fundamental way are fully
consistent with national travel writer opinions.
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4.3 Group Tour Operator Surveys
Group tour operators can provide useful insight into the strengths and
weaknesses of a destination, and offer suggestions for destination
improvements. These individuals book flights, ground transportation,
lodging, entertainment, dining and other aspects associated with travel to
Central Florida. Given their first-hand experience with visitors, as well as
their relationships with attractions, hotels and other important stakeholders
in the visitor industry, their feedback is important. As part of the Destination
Osceola 2022 process, interviews were conducted with tour operators
including All Tour America, Galaxy Vacations, Inc., Receptively Yours,
Super Holiday Tours and Supreme Travel.
These responses clearly demonstrate the value orientation of the Osceola
County visitor industry product. Stakeholders generally agree with this
position, however there is also an understanding that higher end resort
properties and vacation rental homes are a critical and growing segment of
the Osceola County lodging inventory.
Tour operators were also asked to identify weaknesses of the destination in
terms of attracting/hosting visitors. A majority of comments focused on the
following:

The distance to some attractions in Orlando (not including Disney
World).

The lack of evening entertainment options compared to Orlando.

Poor quality of some of the hotel inventory. We prefer recognizable
brands. Disney hotels are more expensive and offer challenging
contracts.
When asked to characterize the strengths of the destination, tour operators
referenced the following:

Quality of hotels.

Not that many upscale accommodation options.

A large inventory of affordable lodging properties.


The hotel price points available in Kissimmee work well with student
groups. Good variety of properties available.
Several inferior hotel properties along 192. These are not considered to
host our groups.

Not enough quality, name brand hotels.

Variety of economic/touristic hotel options.


Close proximity to Disney World.
Too many low budget hotels with exterior corridors. We only use
interior corridor hotels and some could use a renovation.

Good proximity to where people want to be.

The 192 tourist area is too spread around, guests need a car to move
around.

Different types of restaurants with a variety of cuisines.

Inventory of vacation homes.

Affordability. If the group is not concerned with a name brand hotel, but
wants a nice, clean hotel with a continental or full American breakfast
buffet, Kissimmee is the place.
Although Disney and the major theme parks are the primary attractions
visited, a number of attractions and amenities within Osceola County are
often included in a group’s itinerary. These can include airboat rides,
Arabian Nights, Medieval Times, outlets malls, Fun Spot, Old Town and
balloon rides.
Research conducted by the KCVB has demonstrated a general satisfaction
with the hotel quality in Osceola County. The frequent reference of poor
hotel quality by group tour operators suggests that there may be a sizeable
segment of the leisure market that Osceola County is losing given the nature
of the existing hotel stock.
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Recommendations and suggestions provided by group tour operators for
improving the destination included the following:

Consider bringing in more attractions to the area, as well as high-end
hotels.

Revitalize the area, especially the US-192 and Old Town/Fun Spot
area.

The Disney brand outshines everything else in the area. It’s hard to get
other assets the attention they need to bring them to the forefront.

Renovate some of the larger hotels and make sure they keep their
brand/flags.

We believe that Kissimmee has a lot to offer, and the CVB has been
doing an excellent job on promoting the destination, especially in Brazil.

The CVB should work in connection to Visit Orlando to improve
destination awareness and bring more business to the area.

Try to host more tourism-related conventions in Osceola County again.
Getting travel companies to the area makes a huge difference. We use
to book about 300 room nights in Kissimmee each year. Now we book
1,000.

25 to 30 percent of our total hotel bookings take place in
Kissimmee/Osceola County. Continue to add to and improve the
product.

We try to keep our groups that are doing multi-day Disney ticketing
closer to Disney; however, the hotels need to stay on top of their room
quality and we could probably do more business at those properties.

We have decreased our hotel bookings in Kissimmee by nearly 60
percent (more than 3,000 room nights) between 2010 and 2011. This
major decline was due to management changes and hotels needing to
be renovated.
Tour operator comments as to destination weaknesses focus on the quality
of many properties along 192, and the comments are consistent with
stakeholder opinions.
4.4 Demographic Review
Visitor industry infrastructure in any community includes restaurant, retail
and various entertainment establishments. In Osceola County, this includes
the various dinner theaters, the many restaurants particularly along west
192, and to a lesser degree shopping. These businesses survive based on
both tourism demand and local resident patronage. This section presents a
brief review of selected demographic statistics for the market area, with
comment as to ability to support future visitor industry infrastructure
development.
A significant market area population and corporate base can also provide
critical workforce inventory and can support air access into the destination
that benefits the visitor industry. The following chart highlights population
growth in various central Florida counties since 1990 and projected to 2016.
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Exhibit 4-1
Central Florida Population Trends
1,400,000
6%
2000
1990
1,200,000
2011
4.8%
2016
5%
4.7%
1,000,000
4%
An important element of the vision for Destination Osceola 2022 is not to
facilitate a “more of the same” or a slow, steady visitor impact growth
pattern, rather it is to put forth a plan for significant improvement to the
visitor industry infrastructure that yields markedly superior increases in
visitation as compared to the overall region. To accomplish this, Osceola
County will have to (1) attract a larger share of a slow growth regional visitor
base, and (2) provide necessary improvements to the visitor industry
infrastructure that facilitates this growth.
3.2%
800,000
3%
600,000
2.1%
2%
1.6%
400,000
1.3%
1%
200,000
0%
Population
Annual Growth Rate ‐ Osceola County
Orange County
Polk County
Lake County
Seminole County
Osceola County
Orange County
Polk County
Seminole County
Lake County
Osceola County
Orange County
Polk County
Lake County
Seminole County
Osceola County
Orange County
Polk County
Seminole County
Lake County
Osceola County
0
It is important to recognize that the opportunity exists through investment in
the initiatives developed by the Destination Osceola 2022 process for the
tourism sector to outpace other areas of the Osceola County economy in
terms of tax generation and economic impact. In fact, unlike markets
throughout the country with significant population, income and corporate
growth, the ability to support added restaurant, retail, entertainment and
other assets that benefit both the visitor and Osceola County residents, will
have to be supported largely by growth in the tourism sector.
4.5 Real Estate Development Evaluation
Annual Growth Rate ‐ Ave. All Counties
As presented above, population growth rates for Osceola County (4.8
percent in 1990 to 2009 and 4.7 percent between 2000 and 2011) have
exceeded growth rates in other areas of central Florida since 2000.
Between 2011 and 2016, population growth rates in Osceola County still
exceed those in central Florida, while dropping to 3.2 percent. Income in
Osceola County is projected to increase annually by only 0.4 percent
through 2016. Similarly, we expect that corporate development in the
county will grow modestly over the next five to ten years.
We also note that projections for overall visitor growth in Central Florida
show a 1.8 percent increase from 2011 to 2012, and assuming slow but
steady improvement to the national economy, visitation could be expected to
exhibit a corresponding modest growth trajectory.
Another important component of Destination Osceola 2022 relates to future
real estate-oriented development, particularly along various sections of
Highway 192.
We have conducted interviews with real estate
representatives within the market area, and the various important points
raised that are relevant to the Destination Osceola 2022 process are
summarized below.

Significant development of mid-priced hotels outside Osceola County
has negatively impacted demand for low to mid-scale properties along
192.

The economic health of Osceola County visitor industry businesses
depends on Disney. County officials should actively work with Disney
on any major redevelopment initiative.
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
While west 192 has been improved significantly, many of the existing
hotels further east along 192 are struggling economically, and many will
not likely survive, with properties being turned over to the lender. There
are also struggling properties along I-Drive in Orlando.

A significant share of the existing 192 hotel inventory (focused on lower
end properties) will need to be taken out of inventory in order for the
remaining stronger properties to drive rate and occupancy.

Osceola County, particularly along 192, is not viewed as a primary
opportunity for future projects within the development community.
There are simply too many other regions in which development may
provide less risk and greater opportunity for a necessary return on
investment.

Real estate along 192 is segmented into too many small parcels,
making land assemblage much more challenging for the development
community.

In past years, Osceola County instituted a set of impact fees that may
have discouraged development within the county. While efforts have
been made recently to mitigate this impact (through postponing or
waiving fees in many cases), there is still a perception that development
is challenging in Osceola County.

The county needs to aggressively put forth some form of public relations
campaign, backed up by concrete economic tools, aimed at the
development community. These tools include greater assistance with
permitting, infrastructure development support, tax/fee abatements, and
assistance with land assemblage.

Developers are increasingly looking to deploy their capital and lenders
are considering more projects to finance, so the timing for such an
approach is very favorable.

Land directly proximate to Disney will become increasingly scarce,
creating opportunities for the county. However, the future of Osceola
County will likely be tied to mid-tier travelers versus those seeking
luxury properties.
Given the importance of redeveloping 192 in support of the Osceola County
visitor industry infrastructure, and recognizing the challenges inherent in
such redevelopment initiatives, it will be important to take an aggressive,
proactive development approach involving both the public and private
sector.
The research results presented throughout this section serve to support and
in many cases add clarity and definition to the findings presented by the
industry stakeholders. Throughout the following section, recommendations
are presented which draw from the general direction provided by
stakeholders; research results presented above; and additional case study,
financial, trend and other visitor industry analysis conducted as part of the
Destination Osceola 2022 process.
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5.0
RECOMMENDATIONS FOR FUTURE
TOURISM INDUSTRY DEVELOPMENT
AND GROWTH
The results of the stakeholder analysis, existing KCVB research and other
primary analysis steps have been used to define a set of specific action
steps that should be pursued in order to increase the magnitude of the
tourism industry in Osceola County. The recommendations presented
herein draw from the primary issues identified through the stakeholder
outreach process. While there are differences in some cases as to
approach, there is general consensus as to the challenges that have to be
addressed in order to increase the tourism impact within the county.
The specific areas of recommendation are as follows:

Enhancement to Highway 192

Allocation of TDC Resources

Transportation Opportunities

Generating Demand in Specific Segments
Strategic Plan findings and recommendations for each of these areas, as
well as other specific issues, are presented throughout the remainder of this
section.
5.1 Enhancement to Highway 192
The research conducted as part of Destination Osceola 2022 clearly
indicates that the current condition of Highway 192 (referred to herein as
192) is a primary, if not the most significant challenge facing the effort to
grow the Osceola County tourism industry. Stakeholder interviews, focus
groups and our own review suggest that even if amenities in the county are
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developed and enhanced, the conditions along the majority of highway 192
will continue to diminish the desirability of the destination from a visitor
perspective.
Beyond the significant challenges faced by the development community
given current economic and capital market conditions, there are challenges
unique to future private sector development along 192 that can include:


Difficulties in assembling parcels of suitable size. Currently, it may
require identifying and contacting numerous property owners located in
various regions of the country and reaching agreement on acquisition.
Need to demolish properties, address any environmental issues, ensure
proper zoning and secure necessary permits in order to develop a
sizable project.
Exhibit 5-1
Estimate of Osceola County TDT Generation by Property
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000

There may be roadway improvements needed to provide for vehicle
ingress/egress.
$500,000

Actual and/or perceived challenges in working with the county including
impact fee costs.
$0
In a national development market where capital is scarce, and numerous
options may exist for deploying this capital, there are simply too many
reasons for the development community to bypass a project along 192.
We also note that the tax generating impact of a sizable share of smaller,
more out of date properties is very small, as summarized in the following
exhibit.
• Lower one-third of existing room
inventory generates only 1% of
total TDT collections
• Lower two-thirds of existing room
inventory generates only 5% of
total TDT collections
Hotels
Source: KCVB, Smith Travel Research and CSL International
As shown above, relatively few properties generate the significant majority of
overall TDT collection. In fact, the lower one-third of the 192 hotel inventory
generates approximately one percent of the overall county-wide TDT
generation. In other words, removing a sizable share of the existing (and in
many cases underperforming) hotel inventory from 192 could have the effect
of improving rate and occupancy for the stronger properties thereby
increasing TDT collections without added inventory, improving the ambience
along key stretches, and potentially improving the likelihood of attracting
new hotel development within the county.
The West 192 Economic Advisory Committee is currently studying potential
strategies for redeveloping 192. In doing so, they have focused on three
distinct segments or zones stretching between the areas west of I-4 to
Hoagland Boulevard. This approach recognizes the diverse nature of the
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Highway, with a distinct tourism focus in the west, transitioning into more of
a mixed use environment as 192 approaches Hoagland.
It should be noted that important challenges existing along areas east of
Hoagland, including the Vine Street section in Kissimmee, transitioning into
a thoroughfare through various assets including OHP and into more rural
landscape to the east. A separate CRA exists that encompasses eastern
portions of 192 (including OHP).
The research and findings presented by the West 192 Economic Advisory
Committee will help define a future course of action for the county to pursue
in terms of overall 192 redevelopment.
significant state of disrepair,
as indicated in the adjacent
image. Efforts to eliminate
urban
blight
around
Disneyland began in 1990.
In 1995, the City of Anaheim
adopted
the
Anaheim
Resort Area Plan. The
Anaheim Resort Area is a
1,100-acre district that includes Disneyland, the Anaheim Convention
Center, restaurants, entertainment and many large hotels.
Recognizing the significant importance that 192 has on the future of Osceola
County tourism, and given the numerous challenges that exist in soliciting
private sector developer investment that can improve the visitor industry
product, it is important that the tourism industry heavily inform any 192
planning effort, and that this Strategic Plan directly address 192
redevelopment issues.
Funding for the plan was provided from a combination of general fund
allocations and a 3 percent increase in the Transient Occupancy Tax. The
City of Anaheim issued a $500 million bond offering in 1996, and the 35-year
bonds are fully backed by Disney. The total public and private investment in
the Resort Area has exceeded $4 billion over the initial five years of District
operation. It has been estimated that Disney’s portion of this total has
exceeded $1.0 billion.
5.1.1
Over a 5-year period, improvements included adding landscaping and
lighting, burying overhead power cables, widening streets (and sidewalks),
adding medians, removing neon signs and other aesthetic and infrastructure
improvements. From an aesthetic perspective, the objective of the plan was
to create a “Disney-type feel”, differentiated from other commercial areas
within the city.
Case Studies
It is always useful to consider the experiences in other markets when looking
to make substantial changes to any component of visitor industry
infrastructure. This Strategic Plan therefore takes a brief step away from
conditions in Osceola County to consider boulevard redevelopment and
economic development projects in two markets, and economic development
authorities in two other markets. Other comparable market summaries are
presented in an appendix to this document. This information is drawn from
publically available sources and conversation with local officials.
Boulevard Redevelopment – Anaheim, California and Katella Avenue
The project required collaboration between city, the Anaheim CVB and
business owners (including Disney). The plan included a “buy down” or
incentive program to accelerate replacement of neon signs. Palm trees,
jacarandas and other landscaping helps to “mask” the varied architecture of
the area. The naturally landscaped environment creates a sense of quality
and safety in the minds of visitors.
Katella Avenue is a major east-west road through Anaheim that serves as
the southern boundary of Disneyland. The Avenue had fallen into a
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The Plan has made
Anaheim a more attractive
destination
to
event
planners and tourists, and
results of the plan have
exceeded
expectations
every
year
since
completion in terms of
impact and visitation
associated
with
the
project.
In fact, the
Anaheim Resort District encompasses only five percent of the land area in
the city, but generates more than 50 percent of the City of Anaheim’s tax
revenues.
Very importantly, a Landscape, Lighting and Maintenance District was
created to provide ongoing support to maintain the high level of quality. For
on-going funding, businesses within the District voted to self assess based
on linear road frontage and overall square footage. The annual District
budget is approximately $6.0 million, and a Board of Directors oversees the
area maintenance and planning. The Resort Area is maintained at a very
high level.
•
•
•
•
Sidewalks are power washed weekly.
Plants are serviced frequently.
Trash is collected several times daily.
Common areas (benches, etc.) are painted up to twice each year.
The City of Anaheim regularly updates and amends the Anaheim Resort
Specific Plan and the Disneyland Resort Specific Plan.
Boulevard Redevelopment – Aurora, Colorado and Colfax Avenue
Colfax Avenue runs 26 miles east-west along U.S. 40 through the Denver
metro area (including the cities of Aurora, Denver, and Lakewood). It is the
longest continuous commercial street in the United States and is known as
the "Gateway to the Rockies", stretching from the plains to the mountains.
When Interstate 70 was completed, tourists no longer used Colfax as a
routine thoroughfare, and as a result, the customer base and associated
business and residential community declined. Colfax lost much of its
vibrancy and became noted for abandoned properties, large parking lots,
prostitution and drugs.
The city's Urban Renewal Division works in partnership with property
owners, developers, investors, stakeholders, and the community to plan,
promote, and coordinate development and redevelopment projects.
Revitalization of the commercial corridor has included visual and performing
arts, ethnic restaurants, retail shops and quality, affordable housing.
The first large scale redevelopment project was the Martin Luther King, Jr.
Library and Municipal Services Center, which opened in 2004. The second
part of the redevelopment strategy is the $33 million Florence Square
project. This 4½-acre mixed-use project calls for 240 apartment units, at
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least ten artist live/work studios, retail space, commercial office space, and
an Artists Walk area. The Arts District is being planned as the core that will
bring people to the Aurora area.
The city has created loan and grant fund programs to help owners and
businesses update their building. A one-mile stretch of Colfax in Aurora is
undergoing a complete transformation. The 578-acre former Fitzsimons
Army Medical Center is being redeveloped as the Fitzsimons Life Science
District and Anschutz Medical Campus, a high-tech health care, research,
and business campus. The combined medical campus is expected to have
18.5 million square feet of space and support 44,000 jobs, as well as
millions of dollars in property taxes.
Two light-rail stations are expected as part of the I-225 light-rail line. This
transit investment has spurred other investment on the site’s perimeter,
particularly the south side of Colfax. Older motels, a mobile home park, and
other underused sites have been purchased, and are being redeveloped into
mixed-use projects.
Economic Development Authority – Bellingham, Washington
Created in 2008, the mission of the Bellingham Public Development
Authority (BPDA) is to develop and promote the use of City-owned property
for the financial, social, and environmental well being of the community. The
BPDA is an independent legal entity created by city ordinance for the
purpose of developing public properties together with private investment,
focusing on Bellingham's Waterfront, Old Town, and Downtown Districts.
The BPDA is led by an executive director and governed by seven civic and
business leaders from the community who serve as the Board of Directors.
The board oversees and guides the activities of the BPDA. The BPDA
reports regularly to the Bellingham City Council. Board members represent
the fields of finance, corporate management, real estate development,
industrial development, law, technology, and construction management.
The BPDA may partner with profit and/or non-profit entities, or undertake
projects on its own, renovating, restoring, maintaining, managing,
developing, owning, and/or selling city properties. There is approximately
$354,000 in the fiscal 2011 budget, which will cover general and
administrative expenses. Capital budgets for specific BPDA projects are
prepared and approved on a case-by-case basis.
The BPDA has a goal of eventually generating sufficient net revenues from
owned or managed projects to underwrite future operating expenses and
capital funding for development of BPDA properties, with no or minimal
reliance on city funding. This requires that prior city investment in the BPDA
and BPDA properties be recovered from project sales, development and
operations as early as possible.
Once city investment is recovered, net revenues may be retained and
reinvested by the BPDA. This requirement shapes several of the goals,
objectives, evaluation criteria, and project development strategies and
priorities.
Projects undertaken by the BPDA include the Army Street Project, a planned
mixed-use development totaling approximately 1.5 to 2.0 million square feet
of development on approximately 25 acres of land. Privately developed
uses would include multi-family rental and condo residential, specialty retail,
commercial services, class A office, a destination hotel and other amenity
services. Publicly developed uses are proposed to include institutional uses
(e.g. new central City Library, a WWU campus integrated into the project), a
multi-purpose performing arts and events center, and public plazas. The
project is designed to draw regional visitors and residents of the larger
community to the area. These visitors, together with a significant day-time
and full-time population of businesses and residents, represent a center of
economic activity with benefits to business activity and future development
beyond the Army Street boundaries.
The BPDA also assumed management of a local 43,000 square foot federal
building. A Historic Preservation Plan and Program was completed in 2005,
guiding future restoration of the building. The estimated cost of building
renovation and restoration per that plan was $18.4 million. The BPDA has
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undertaken an Adaptive Reuse Study to define, evaluate and rank
alternative uses meeting the preceding criteria and to select a preferred
alternative for the conversion of the building to productive uses.
Lastly, responsibility for the management, sale and redevelopment of a 2.2
acre vacant property (located within the Old Town District) is being
conveyed to the BPDA under a management agreement between the City
and the BPDA. The costs for acquisition, environmental clean-up, and
management costs invested in this property are approximately $2.7 million
through 2010. Approximately $1.5 million of this cost was funded by various
federal grants including Community Development Block Grant funds.
Conditions of the these funds, which are primarily for housing or job
training/economic development purposes, require that a sale of the property
or redevelopment of the property must comply with defined, eligible uses.
This represents a constraint on a sale or redevelopment alternative uses for
the property in the foreseeable future.
Redevelopment Authority – Milwaukee, Wisconsin
The Redevelopment Authority of the City of Milwaukee (RACM) is an
independent corporation created by state statute in 1958. The mission of
the Authority is to eliminate blighting conditions that inhibit neighborhood
reinvestment, to foster and promote business expansion and job creation,
and to facilitate new business and housing development. Functions of the
RACM include the following:
•
•
•
•
preparing and implementing redevelopment plans;
assembling real estate for redevelopment;
borrowing money, issuing bonds and making loans; and
condemning property (eminent domain) to facilitate redevelopment
objectives.
The RACM has issued more than $500 million in industrial revenue bonds to
leverage and support private development and redevelopment investments.
The Authority/city essentially acts as a conduit, facilitating the loan process.
Bonds are repaid through revenues associated with the project/development
and are often secured by a bank letter of credit or by the moral obligation of
the city. These municipal bonds are tax exempt, which is an important
selling point to investors.
The RACM has participated directly in the planning, design and
development of retail and cultural centers, business parks, residential
subdivisions and stand-alone commercial ventures. The Authority has an
annual cooperation agreement with the City of Milwaukee, with operating
funds provided through the City's Community Development Block Grant
Program for:
•
•
•
•
•
•
management of financial affairs;
land use planning and urban design guidance;
real estate acquisition and disposition;
relocation assistance for displaced families and businesses;
property management and environmental investigation; and
housing and economic development project management.
The RACM has assets totaling over $153.5 million; however, it has an
equally corresponding liability (outstanding loans, bonds and other
obligations). This includes an inventory of real estate being held for
development with a gross value of approximately $4 million. The RACM is
governed by seven board members, which are appointed by the Mayor and
confirmed by the Common Council. Examples of the types of projects and
activities administered by the Redevelopment Authority include:
•
•
assemblage and sale of land, Tax Increment District loan administration
and the issuance of bonds for the construction of offices and
institutional facilities, affordable rental and owner occupied housing, and
for catalytic commercial projects;
issued a $25 million in revenue bonds to help Milwaukee World Festival,
Inc. finance a two-year, two-phased renovation project for Henry Maier
Festival Park (home of the annual Milwaukee Summerfest, which
attracts 1 million people over 11 days);
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•
•
•
•
publication of Requests for Proposals for the purchase and renovation
of historic structures in neighborhoods such as King Drive, Brewer's Hill,
Walker's Point, Concordia and Cold Spring Park;
capital investment and continued participation in the Housing
Partnership Corporation revolving loan fund for below-market rate loans
to non-profit organizations for affordable housing production;
preparation of comprehensive plans to guide future development in the
Menomonee River Valley, Midtown and Beerline areas; and
miscellaneous bond transactions for business recruitment, retention and
expansion in locations throughout the city for real estate purchase,
facility construction and equipment.
The Takeaways
The projects and authorities summarized herein, as well as others reviewed
as part of the strategic planning process, highlight several important issues
that will have to be considered as planning for 192 redevelopment
continues. These include the following.

Public/private partnerships can help facilitate funding and create more
of a financially sustainable project. The presence of several large
property owners on or near 192 may help spur a viable partnership.

A formal governing body, with some form of a board of directors, is
needed to keep focus on redevelopment and maintenance. Left to a
solely city or county department, focus can drift to other public priorities.

The ability of an authority to issue bonds, supported by project revenue
and backed by the full faith and credit of the public sector, can be a very
powerful development tool.

A public redevelopment authority should undertake careful strategic
planning, even on a property by property basis, before initiating a
development program.

Financial components can range from “assistance for private business
owners with signage and other aesthetic improvements, to large scale
public infrastructure improvements (bury power lines, road
improvements, landscaping, etc.). Funding sources may include tax
increment tools, assessment districts and tax increases. Aggressive
use of state and federal grant and tax credit programs should also be
made.

A public development authority should be viewed as self sustaining from
a financial standpoint, with net revenue from real estate transactions
supporting future development initiatives. However, it is important to
provide the initial capital necessary to initiate a cycle of redevelopment.

Any plan must take into consideration the distinct characteristics of
specific areas or zones along a boulevard or within a specific area.
Zoning (increasingly considering form-based zoning in mixed use
development areas) should reflect these differences.

Redevelopment is not a one or two year effort. Short term can be
considered five years, and the long term development horizon can be
considered at 20 years.

Routine update to the master planning document is required to remain
current and relevant.
It should be noted that a large-scale redevelopment and beautification effort
along west 192, primarily west of Hoagland Boulevard, was successfully
implemented using funds from assessments on property owners.
As the 192 Committee and various county and city economic development
officials continue to evaluate the future of 192, it may be beneficial to more
carefully consider the particular components of the case studies identified
herein.
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5.1.2
192 Renaming
There has been discussion, amongst the stakeholder group and throughout
the community, regarding potential renaming of 192. Currently, various
sections carry differing names, including Irlo Bronson Memorial Highway,
Vine Street and County Road 532.
Given the tourism nature of much of the development along the western
stretches of 192, many in the industry have suggested renaming all or a
portion of the highway in more of a visitor-themed manner. Naming
suggestions such as Vacation Boulevard, Vacation Highway and Sunshine
Boulevard have been made.
Throughout the country, there are districts, boulevards and other specific
geographic areas that have been given names that often tie to branding and
marketing efforts. Michigan Mile in Chicago, Sunset Boulevard in Los
Angeles, and the French Quarter in New Orleans are all examples of
internationally known labels. More generically, communities often label
particular areas as “historic downtown” or “arts district”. These names are
designed to highlight a particular feature of the area that is seen as
marketable to residents and in many cases to visitors.
It is important that the name of a boulevard or district relate directly to the
character of the area. If a community brands a particular area as an arts
district, it is naturally critical that a vibrant arts community operate within. If
there is a disconnect between the name of an area and its true character, it
can have the effect of a broken promise, which can be particularly damaging
when marketing to the visitor industry.
The western portions of 192 do offer a relatively high proportion of
businesses that cater to the leisure traveler, however as noted herein, there
are significant deficiencies that negatively impact the visitor appeal of the
area. As a result, renaming the highway with very direct references to the
visitor industry (i.e. vacation boulevard) could run the risk of overpromising
in terms of the experience offered the visitor. Rather than making an
immediate decision as to a name change, we suggest undertaking the
destination development recommendations presented herein.
Once
significant development progress has been made, a renaming of the
highway (or a portion of it) in a highly visitor oriented manner could be part
of a larger boulevard “re-launching”, along with an aggressive advertising
and public relations effort.
5.1.3
Recommendations
Identify a Structure to Address Broad 192 Issues
The challenges inherent in transforming 192 from a significant tourism
industry deterrent to into an asset in growing the impact of tourism within the
county are significant. These challenges include creating a specific plan for
redevelopment of various parcels, creating public/private partnerships for
development, growing the number and quality of visitor industry assets,
encouraging development of mixed use housing, retail and other commercial
activities in non-visitor corridors, and finding a means of financing these
initiatives.
In many communities, including many throughout Florida, the public sector
will form independent public agencies with the authority to lead development
efforts within a specific geographic region. While not directly part of a city or
county department, these public agencies do operate under the scrutiny of
elected officials, with elected officials generally serving with private sector
representation on the agency board. The 192 Committee is currently
exploring this concept as part of their research, and this tourism industry
strategic plan supports these efforts.
In Osceola County the issues to be faced when addressing the
redevelopment of 192, and the magnitude of the effort involved, will likely
require the formation of such a redevelopment entity that is outside direct
county departmental control. Formation of a public development agency
with a defined mission, means of public sector oversight, and adequate
funding, will provide for the greatest probability of success for large scale
192 redevelopment that addresses the needs of the visitor industry, and
creates a more desirable environment for residents.
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How the board of directors for such an entity is ultimately structured will
have a direct and long lasting impact on success. In forming the board, the
following suggestions should be considered:

Consideration should be given to requiring that some board
appointments be drawn from particular segments and positions. For
example, we suggest consideration of appointing a Disney
representative, ideally at a very high level; ownership representation
from the hospitality industry; local developers, and representation from
key county planning, development, visitor industry and other appropriate
departments. Ultimately, the ideal board will have a high level of
strategic business focus, and will not be focused on parochial or short
term issues.

To appoint board members, it would be beneficial to have a nominating
committee of the board propose suitable members for full board vote.
Some mechanism for County Commission appointment or approval
should also be provided for.

Board members should serve on staggered terms to avoid significant
turnover.

The Authority could be organized as a public agency, either as a Downtown
Development Authority (as is the case for the Miami DDA and numerous
other entities throughout the state), a Community Redevelopment Agency,
or a linked downtown development board and CRA (as in Orlando). In some
cities, a not for profit corporation (501 type entity) is formed.
Under any of these legal structures, the entity could have a mission defined
as:
Redeveloping the land along 192 to initiate public/private
development partnerships, to secure additional visitor industry
density, and to create a more desirable atmosphere for residents
and visitors.
Define the Scope of the Issue to be Addressed
A newly formed Authority should first initiate a thorough inventory and
analysis of existing parcels along 192, identifying current ownership, status
of tax and fee payments/delinquencies, and physical description of the
property and business. Incorporating the results of Destination Osceola
2022, as well as input from the 192 Committee report, the development
community, and county and city economic development officials, several
specific areas along the more visitor industry oriented sections of 192 should
be targeted for future development. Consideration should be given to
conducting a workshop with representatives from these sectors to help
define the visitor industry development targets appropriate for the future of
192, including hotel, restaurant, natural attraction, developed attraction and
other such assets. The Authority should incorporate and expand on the 192
Committee efforts, generally focusing on areas west of Hoagland Boulevard,
with some investment in areas to the east extending to and beyond OHP.
Once this planning exercise has been completed, there are several distinct
issues that will have to be addressed in remaking key areas of 192. In the
western zones, there are numerous businesses with a direct bearing on the
tourism industry, and the consensus of the Osceola County tourism industry
stakeholders is that many of these currently contribute to the negative or
detrimental impact on tourism. Improving the ability of the corridor to
support tourism will require significant, well planned and ultimately far
reaching efforts. These include the following:
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
Remove numerous existing properties, including older hotel stock, that
have fallen into disrepair. This effort should focus on properties for
which it is not economically viable to invest in significant upgrades.

Once these properties have been acquired, the structures should be
demolished, disparate parcels should be assembled in areas defined as
targets for future visitor industry development.

(CRA, for example) should be prepared. A package of fees that can be
marketed as “developer friendly” should be created to counter a longheld perception that development can be difficult in Osceola County.

A fund should be established to support existing business owners
upgrade storefront, signage and other visual aspects of their property.
The new Authority could provide matching funds, low/no interest loans
or some combination of both. We suggest emphasizing a forgivable
loan program, with loan balances forgiven after a period of several
years of continual operation. This would prevent a property owner from
taking a grant and selling a property, thereby receiving an unearned
financial benefit from the public support.

Identify a location for transportation hub (discussed in greater detail in a
later recommendation section).

Be highly responsive to opportunities to secure a large scale attraction
of the magnitude of a LEGOLAND. The county appears to have given
such projects a high priority in the past, however a more direct and
consistent focus, as could be provided by a new 192 development
entity, would be beneficial.

Over time, and consistent with a coordinated 192 redevelopment plan,
request for Interest could be issued to specific private sector
development entities to gauge interest in a public/private partnership.
This would include feedback on the type of development that could be
appropriate, level of public support needed, and other key
characteristics.
The 192 Authority should also address issues such as appropriate changes
to the sign ordinances, enforcement mechanisms, boulevard maintenance,
future attraction and other visitor industry development, and on-going
strategic planning.
This type of Authority will likely require significant funding. For example,
costs to acquire lower end hotel properties can range between $10,000 and
$20,000 per room, depending on location. A 50 room property could require
a $500,000 to $1.0 million investment. Acquiring a broader inventory of
older, less viable properties could potentially cost between $10 million and
$20 million. Costs for acquiring other less viable non-hotel properties would
also need to be incurred. In addition, costs to demolish, landscape and
provide for various site improvements would also have to be incurred.
Enhance the Visitor Industry Attractions Along 192
The 192 Authority should have a distinct focus on the tourism industry, and
creating and supporting viable visitor demand generators. There are several
existing visitor-oriented attractions along 192 including Arabian Nights,
Medieval Times, Old Town and Fun Spot. While these are generally
successful as individual establishments, they do not create a critical mass of
entertainment that can be aggressively marketed to visitors. The 192
Authority should pursue additional entertainment-oriented development such
as:

A new themed attraction on the magnitude of LEGOLAND or the
recently discussed roller coaster park.

Development of public access to Lake Cecile. This could include
contracting with an outfitter to provide amenities such as jet ski and
other water vehicle rental, zip lines and play areas.

Ensure that the presence of the new Shingle Creek Visitor Center
serves as a draw to visitors.
Providing canoe/kayak rental,
interpretative services and visitor information could provide a very
distinct and unique amenity.
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
Enhancements to Old Town and Fun Spot. Currently under separate
ownership, it appears that greater coordination between operations,
improved street presence/appeal and general enhancements to the
product would improve the assets.

Support for other existing establishments.
The objective should be to create a diverse and attractive string of visitor
industry assets along 192, primarily (but not exclusively) west of 535. In this
way, the long term potential exists to transform 192 into an attraction itself,
as opposed to simply a thoroughfare bringing visitors to Disney. The land
acquisition initiatives described above could represent a critical component
to achieving greater entertainment development.
Identify Potential Funding Mechanisms
As shown in the various case studies, the long term costs to redevelop a
boulevard or main vehicular artery can run into several hundred million
dollars. Recognizing that it can be difficult to attract significant private
investment, and that developers have various options as to how to deploy
their capital, it is critical that potential development along 192 provide an
attractive opportunity to generate a superior return on investment. While
financial support can include various public/private partnerships, there will
need to be a significant public sector financial commitment.
In Osceola County, methods of funding have included Community
Redevelopment Agencies, drawing from future tax increment generated
within a particular district. While perhaps a source of long term funding,
such a district may not provide funding in the near term necessary to support
future development. Various assessment districts such as the Municipal
Service Benefit Unit used for portions of west 192 have been successful in
providing landscaping and other boulevard beautification, however revenue
generation would not be sufficient to initiate large scale development as
called for herein.
To achieve the level of capital funding needed to acquire parcels, initiate
aesthetic improvements, and to approach the development community,
other sources of funding should be considered. Based on funding
mechanisms used in other markets, options to consider for Osceola County
include the following:

Ad valorem tax assessment for properties within the defined district.

Gross sales tax assessment for properties within the defined district.

Potential tourism improvement district allowing for imposition of a fixed
fee per room sold (enabling legislation is currently being discussed at
the state level).

Proceeds from land sale and other project fees as part of public/private
partnerships.

State and federal grants, tax credit and other programs.

Proceeds from land contributed to the entity from the city and/or county.
5.2 Allocation of TDT Resources
As previously noted, there is industry consensus as to the need to enhance
the current level of destination sales and marketing funding for the county
and to carefully consider the value of each dollar of TDT funds spent.
5.2.1
Funding Levels and Mechanisms
The majority of funds for the KCVB are received through allocation of TDT
collections. The TDT collections have increased by a total of 64 percent
from FY 2002 to FY 2008, an annual average increase of 8.4 percent. Over
this same period, the KCVB budget has decreased by a total of 33 percent.
Between 2008 and 2010, both TDT collections and the KCVB budget have
dropped a total of 16 percent.
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We have also evaluated the destination marketing organization (DMO)
budgets for the KCVB and many other such organizations throughout the
country. A summary of budget data for a selected set of Florida and several
large market DMO’s is presented in the following exhibit.
These data are presented in the following exhibit.
Exhibit 5-2
TDT Collections and KCVB Budget - FY 2002 to FY 2010
TDT Collections
Exhibit 5-3
Comparison of DMO Budget Levels and Allocation
KCVB Budget
$40,000,000
$35,000,000
Convention Sales
$30,000,000
Leisure Sales
Other Sales/Marketing
Other Expenses
Orlando, FL
$25,000,000
Miami, FL
$20,000,000
Atlanta, GA
$15,000,000
$10,000,000
Fort Lauderdale,
FL
$5,000,000
New Orleans, LA
$0
FY
2002
FY
2003
FY
2004
FY
2005
FY
2006
FY
2007
FY
2008
FY
2009
FY
2010
Kissimmee, FL
Tampa, FL
Note: tax rate increased from 5% to 6% in 2005.
In effect, as new investment (public and private) in Osceola County tourism
product has been made, and as competitive destinations continue to focus
on increasing visitor market share, the destination sales and marketing
resources for Osceola County have dropped significantly. This is not a
sustainable funding approach if the objective is to remain competitive in the
visitor industry.
$0
$10,000,000
$20,000,000
$30,000,000
$40,000,000
$50,000,000
As presented above, the KCVB operates with a relatively low annual budget
as compared to other major Florida and selected large market destinations.
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Finally, the tourism industry is reported to be the single largest generator of
economic impact within Osceola County, and the return in terms of impact
and tax revenue for resources spent on destination sales and marketing is
significant. Destination sales and marketing budget increases should be
viewed as an investment in protecting and enhancing the level of economic
impact, employment and tax revenue generated by the visitor industry within
the county.
We have also calculated the CVB budget per available hotel room in each
market. To the extent data is available, vacation rental, time share and
other properties have been included in the inventory.
Exhibit 5-4
DMO Budget Per Available Room Night
Tampa, FL
$460
Miami, FL
$456
Orlando, FL
$436
New Orleans, LA
$399
Kissimmee, FL
$263
Atlanta, GA
Average = $367
Median = $436
$220
$0
$100
$200
$300
$400
$ Per Hotel Room
As presented above, the current KCVB budget equates to $263 per
available lodging room, somewhat below the average and median for the
markets reviewed. Applying the median DMO budget per room to the
Osceola County room inventory yields a target budget of approximately $17
million. While not a perfect indicator of appropriate funding, it is apparent
that an annual budget in the range of $15 million, and potentially up to $20
million to approach the higher tier of DMO budgets, could be supported.
Efforts to secure funding within this range should be undertaken over the
next five years.
$500
A challenge as identified by the tourism industry stakeholders is to create a
method to better control the expenditure of TDT funds, ensuring their use on
industry-supported, room night generating initiatives. In several markets
throughout Florida, a well-controlled process of allocating TDT funds has
been established.
This challenge is faced by tourism industry
representatives in markets throughout Florida. Outside the broad definition
for allocation of specific TDT collections, there is no legislatively mandated
control mechanism that allows for the visitor industry to set spending
decision parameters. In many cases, elected bodies make spending
decisions viewed unfavorably by the visitor industry.
One example of a more formalized approach to TDT allocation can be found
in Hillsborough County. Total TDT revenues in Hillsborough County (for all
five percent collected) have ranged from $17.5 to $21.8 million over the past
seven fiscal years and will exceed $20 million in fiscal year 2012. These
funds support the promotion of Hillsborough County as a tourism and
convention destination, as well as helping to provide tourism/sports facilities.
Of the five cents on each dollar spent on lodging, the initial three cents are
available to the Tampa Bay Convention and Visitors Bureau, the City of
Tampa Convention Center and other sports, cultural and events
organizations that compete for the funding every two years. The remaining
two percent portion, the “fourth” and “fifth” cents, are used primarily for the
payment of debt service on bonds issued in connection with the
development of professional sports facilities.
Based on fiscal year 2011 expenditures, it is estimated that approximately
46 percent of all TOT collections support public event facilities (both
operations and debt service), while 42 percent of collections are directed to
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funding the operations of the CVB. An additional 12 percent supports other
activities (zoo, aquarium, sports commission and special events). The fact
that the market includes a large publically owned convention center and an
NFL stadium contributes to the level of funding dedicated to public assembly
facilities.

Special events planned to be conducted during this market's peak
season (January through March).

Advertising and marketing within a 50-mile radius of Hillsborough
County. Other sources of funding should be used for local area
advertising.
The guiding principle of the TDC strategic plan is "Growth of the Fund,"
which is best accomplished through the proper reinvestment of this resource
in ways that provide the most benefit to the visitor industry (thereby creating
added TDT) and the community at large.

Return on Investment - Although it is not a mandate that an organization
directly produce the number of room-nights required to generate the
amount of tax funding received, this factor is considered by the TDC in
the selection process.
Based on policies adopted in their 2011 Guidelines, factors used by the TDC
to ensure an industry approved allocation of TDT collections include the
following:

Research which demonstrates or documents the impact of the event or
program on the generation of visitors and room-nights;

An organization's ability to demonstrate that TDT support will be needed
only on a short-term basis, in order to enable it to build into a larger,
long-term profitable event.

Willingness of an organization to refund some or all of the allocated
TDT funds when the event is concluded.

Events/programs that fulfill a special need within the tourism industry
(i.e. Super Bowl, National Tour Association, and National Coalition of
Black Meeting Planners).

Events/programs that enhance the overall tourism product by increasing
the number and quality of tourist activities, thereby encouraging return
visits.
In some cases, organizations or projects are not approved for reasons that
include the following:

5.2.2
Recommendations
In many communities throughout Florida, there is a culture or standard
operating procedure that can facilitate or frustrate visitor industry input
through the TDC into the allocation of TDT funds. In Osceola County, the
TDC and county should agree to a specific percentage allocation for KCVB
and other funding priorities using TDT funds. In addition, a formal set of
guidelines and allocation structures for future TDT collections should be
adopted. The current process of allowing the TDC to take a position on
potential expenditures prior to County Commission vote is useful in allowing
for important industry input into spending decisions. It may be useful to
adopt formal guidelines (similar to Hillsborough County) to further help
prevent a politically influenced or non-productive expenditure of TDT funds.
With respect to future funding of the KCVB, it has been stated numerous
times herein that the current funding level has suffered as a result of
allocation of TDT funds to various capital projects, and that added funds to
support Osceola County sales and marketing efforts should be secured over
the next several years. To begin to replenish KCVB funding, a careful longterm planning assessment should be conducted with respect to current TDT
funding commitments, timing of pledged dollars, and the timeframe under
which added funds may become available.
Organizations with a financial surplus in excess of the amount of
funding being requested.
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Exhibit 5-5
Primary Area Attractions, Amenities & Hotels
A five-year plan should be developed to increase KCVB funding. Revenue
sources to be evaluated further include reallocation of existing TDT
collections, securing added funds as existing debt obligations expire, and
potentially imposing added industry fees or surcharges.
9
15
8
7
5.3 Transportation Opportunities
Concerns regarding the difficulty in accessing Osceola County (as well as
other area) attractions and visitor assets (including Disney, hotels, airport,
Fun Spot, etc.), have been clearly demonstrated as part of the stakeholder
outreach and primary research process. Comments collected during the
process include, but are not limited to the following:

6
Transportation within the county is terrible.

Transportation is lacking in Kissimmee. This is a problem for visitors.

International visitors often do not want to rent a vehicle.

Improve public transportation, particularly to and from airports.

There is an overall lack of public transportation in Kissimmee.

Buses are not used by tourists.
The following map depicts the location of a variety of attractions, visitor
amenities and primary hotel properties available within both Osceola County
and the surrounding region.
5
14
3
10 11
13
One must have their own transportation or rent a vehicle, and this is
something that must be understood when visiting the area.

4
2
1
16
12
Attractions, Amenities & Hotels
1
2
3
4
5
6
7
8
Omni Orlando Resort at ChampionsGate
ESPN Wide World of Sports
Celebration
Arabian Nights Dinner Attraction
Gaylord Palms Resort & Convention Center
Walt Disney World Resort
SeaWorld Orlando
Orange County Convention Center
9
10
11
12
13
14
15
16
Universal Orlando Resort
Medieval Times Dinner & Tournament
Fun Spot Adventure Land / Old Town
Lake Tohopekaliga
Osceola Heritage Park/Silver Spurs Arena
Gatorland
Orlando International Airport
East Lake Tohopekaliga
As shown, the visitor attractions, hotels and other amenities available within
and surrounding Osceola County are dispersed in nature, spread over an
area encompassing more than 125 square miles. Although there is public
bus service connecting many of these assets (including several LYNX
routes), the traveling public is not a major component of their ridership. The
lacking connectivity between these important community offerings has
become a county-wide issue, stretching from the west at Omni Orlando
Resort at ChampionsGate, eastward to Forever Florida (a distance of nearly
50 miles by vehicle).
The lack of transportation connectivity contrasts poorly with the ease of
circulation provided at Disney and other theme parks. Visitors, particularly
to central Florida, seek convenience, and a viable visitor transportation
network can be an important component of this convenience.
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Osceola County and LYNX were recently awarded a grant by the Federal
Transit Administration to consider increasing transit options along 192. The
Transportation Alternatives Analysis study will begin in early 2012 and will
gather input from users of the LYNX system and area business owners to
identify potential solutions. The options will then be evaluated based in part
on increased ridership potential and financial feasibility. Given the
importance of transportation to the growth of the tourism industry in Osceola
County, significant participation in this effort on the part of the tourism
industry should be ensured. The Transportation Alternatives Analysis
should not simply be viewed as a local population transportation study, but
should include a very significant focus on creating a viable, well-used visitor
transportation system. Recommendations presented later in this section
should be fully incorporated into the Transportation Alternatives Analysis
study process.
5.3.1
Potential Transportation Options
There are a number of potential solutions to this issue, ranging widely in
terms of cost, scope of service, etc. Options could include simply
maintaining the current public transportation system (i.e., bus service), to the
development of a new, permanent guided rail system. We have focused our
research on four transportation alternatives that could in some fashion
address visitor transportation needs.
LYNX Bus Service
The LYNX bus system serves greater
Orlando and is run by the Central Florida
Regional Transportation Authority. LYNX
provides public transportation services for
Orange, Seminole and Osceola counties.
Small portions of Lake, Polk and Volusia
counties are also served. Daily fixed-route
local bus service provides more than 85,000 passenger trips each weekday
spanning an area of approximately 2,500 square miles. Service consists of
270 vehicles traveling 65 routes and nearly 5,300 individual stops.
LYNX bus service connects many of the attractions, hotels and other visitor
assets in and around Osceola County, including routes 55, 56 and 10 (which
served a combined 866,000 passengers in fiscal year 2010). However, as is
the case in many popular visitor destinations, vacationers, business
travelers and other non-locals are often hesitant to use public bus service for
personal transportation. As such, at least in its current state, the existing
LYNX bus service is not seen as a viable option for enhancing visitor
industry transportation capacity.
Private Transportation Vendors
Given the existence of the LYNX system along key visitor industry routes, it
may be difficult for a private sector entity to provide the necessary regular,
consistent level of service. However, there may be a potential for private
sector participation in the recommended tourism oriented transportation
capacity along 192. Various local/regional transportation companies have
expressed interest in providing this service. Consideration could be given to
issuing a formal Request for Proposals to provide some component of visitor
industry transportation within the county. It will be very important to clearly
establish the objectives and expectation of the county with respect to
tourism industry transportation in order to allow the private sector to prepare
a fully informed financial framework.
Rubber-Tire Trolleys
Rubber tire trolleys (often made to
resemble an old-style streetcar or
tram) offer a visitor friendly experience
with respect to transportation
connectivity, and are widely used in a
number of large U.S. markets,
including San Antonio, Oklahoma City,
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Austin, Providence and Louisville. In many cities, tourist trolleys are used as
circulators, operating a simplified route limited to popular destinations on a
fixed schedule with a reduced or free fare. Tourist trolleys are also
sometimes run by private operators to carry tourists to popular destinations.
These vehicles operate on one of three potential fuel types (compressed
natural gas, diesel fuel and propane) and cost between $200,000 and
$350,000 per vehicle to purchase. Costs to operate and maintain rubber tire
trolleys approximate $70 to $80 per hour (including fuel, labor, insurance,
repairs/maintenance and other related costs). For purposes of comparison,
the private operator of Orlando’s I-Ride Trolley system charges more than
$53 per operating hour to the I-Drive Master Transit & Improvement
Authority for each of its 14 trolley cars, which does not include repairs or the
initial purchase of the vehicle.
Rubber tire trolley fleets in other markets range from two to 20 vehicles
depending on the geographic scope and frequency of travel. Assuming
three vehicles operating year-round at 15 hours per day, at $75 per hour,
results in more than $1.2 million in annual operating costs. This is not
inclusive of purchase costs, which could total in excess of $1 million. As has
proven very successful in Orlando, revenues generated from advertising,
sponsorships and ticket sales could offset a large portion of these costs.
Public support for the operation of the trolley system will be critical.
Advantages of such a system are the relatively low startup and operating
costs, ease and speed of implementation, as well as the flexibility to quickly
and inexpensively adjust routes and/or schedules. As with any new system,
it may be difficult to immediately create the critical mass of ridership on a
consistent basis for a rubber tire trolley to be successful in this market. This
is particularly true given the dispersed nature of the hospitality assets
located along 192.
Guided Rail / Streetcars
Guided rail or streetcar transportation systems are popular throughout the
world and are making a comeback in many U.S. markets (including Little
Rock, Memphis, Charlotte, Dallas, New Orleans, Philadelphia and Tampa).
There are several options
with regard to the cars
themselves, as well as the
tracks they operate on.
Several systems operate
with original vintage vehicles,
while many are using
replicas of historic vehicles.
Some systems make use of
surviving older streetcar
lines/tramways,
others
construct newly installed lines, while others make use of an existing, usually
unused, freight railway, by installing overhead wires and passenger stops.
In all cases, they operate on actual rail lines and are not simply buses made
to resemble a streetcar.
Rail guided trolleys or streetcars can cost upward of $1 million per car to
purchase. Costs to operate and maintain rail guided trolleys approximate
$130 per hour. Additionally, it is not uncommon for development and
infrastructure costs to total $20 million to $50 million per mile.
Development of a guided rail streetcar transportation system in Osceola
County would require significant roadwork and infrastructure development
and would likely interfere with the recent upgrades taking place along
western portions of Highway 192. There are few if any existing tracks in the
area, resulting in the need for all new construction. Given the high costs
associated with developing and operating such a network, the permanent
nature of this option (difficult to add or subtract routes), and the significant
amount of time it would take to plan and develop the necessary
infrastructure, a guided streetcar system is not recommended for Osceola
County at this time.
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5.3.2
drivers that are trained to relay the visitor offerings, history, culture and
industry of the area in an entertaining manner, and music could be
introduced into the vehicles. On-board video monitors could be used to
highlight area attractions, and potentially generate additional revenue.
Recommendations
With respect to visitor transportation in Osceola County, one can easily
define the shortcomings. At the same time, the dispersed nature of 192
assets (as well as attractions throughout the county) introduces significant
uncertainties as to potential ridership, particularly in the short term. The
current conditions along 192 as discussed previously also raise concerns as
to the demand for visitor themed transportation.
The start-up costs associated with fixed rail or even dedicated rubber tire
trolley networks can be significant. At the same time, existing traditional
LYNX bus service is not viewed as a viable visitor industry transportation
solution, and is not used currently by any significant share of the traveling
public.
As part of Destination Osceola 2022, there are two primary transportation
oriented recommendations.
192 Transportation
It is recommended that experimentation with a visitor transportation link
(primarily along 192 between Kissimmee and Disney) be undertaken within
the existing LYNX system, or potentially using a private vendor. Guidelines
for implementing such a system should include the following:

designated tourism route would service local riders, but would also
stress the transportation needs between attractions, hotels and other
important amenities.

The experience on the tourism route equipment should offer a level of
visitor appeal that goes beyond traditional busses used for public
transportation. The vehicles could be operated by uniquely uniformed

There needs to be well-signed, landscaped, clean and safe points along
the route(s). Much more than a bus stop (and drawing from the well
designed stops currently located along west 192), the new points could
have interesting architectural appeal, landscaping, Disney-esque music,
while providing amenities such as visitor kiosks that offer interactive
information on attractions, hotels, restaurants, etc., and route
information (maps, arrival/departure times, etc.).


Of critical importance, the system will have to be aggressively marketed
by existing visitor industry establishments including hotels, restaurants,
the KCVB and other organizations. In addition, employees at retail
stores, service stations and other businesses along 192 will have to
aggressively market the route.
Hub and Spoke Transportation
Even though some form of public transportation may be useful in supporting
the Osceola County visitor industry and improving the overall tourism
infrastructure, most visitors will have a personal or rental vehicle while in the
destination. Considerations should therefore be given to creating a park and
ride “Destination Center” or “Transportation Hub”, likely at some point along
west 192, that would allow the visitor to park and access the transportation
system. Further, the system could not only include the 192 link, but some
form of transportation to area attractions such as the various dinner theaters,
Forever Florida, air boat operators, Gatorland, the new Shingle Creek
Nature Center, Fun Spot/Old Town, and other area attractions.
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The attraction shuttles could be privately operated, and would be financially
supported by sponsorships and direct subsidies from the various attractions
that are served. The concept is to provide a convenient, one-stop station for
the visitor to leave a vehicle and choose an attraction or attractions to visit.
Similarly, visitors staying at area 192 hotels could access the station via the
tourism themed route discussed above. Outreach to attractions and
transportation companies should be undertaken to further define the options.
the average spending by an international visitor can be greater than a
domestic visitor, the KCVB is researching opportunities to deploy added
resources towards the international market. Recommendations focused
on improving 192 and adding transportation options will support efforts
to create a more desirable destination and thereby drive additional long
term domestic and international visitation.

5.4 Generating Demand in Specific Segments
There is clear consensus among stakeholders that by far the most
significant base of tourism within Osceola County is generated by the theme
parks, and efforts should be undertaken to draw as much of this demand to
the county as possible. While the general leisure traveler, both domestic
and international, will continue to represent the significant majority of travel
to Osceola County, there are various specific market segments that
stakeholders believe should be considered further.
The evaluation of these specific market segments is important for two
reasons:
1) It may be possible to generate added room nights directly related to
segments including sports, meetings, eco and other sectors.
2) Even more importantly, support for amenities in individual sectors
(outdoor/adventure, for example), can create better product for
attracting the broader central Florida leisure visitor.
The KCVB has conducted research as to the value and cost to attract room
nights in specific market segments, and these data are also useful in guiding
decisions as to future investment in specific market segments. This
research suggests that:

The costs to secure a typical domestic leisure room night (inclusive of
sales/marketing and allocation of staff costs) approximates $7.80, while
the costs to attract an international room night approximates $7.40. As
KCVB research indicates that it is significantly more expensive to attract
room nights within specific market segments as compared to general
leisure visitors. For example, costs to attract room nights in the sports
and meetings sectors can range between approximately $27 and $32
per night. Even though the per-visitor spend in these sectors can be
significant, it is important to again reiterate that the theme parks and
other entertainment drive the vast majority of travel to central Florida
and will continue to provide the primary base of potential visitors to
Osceola County.
The market segments suggested for further exploration during the
stakeholder process were as follows:

International Travelers

Sports

Outdoor/Adventure

Festivals

Meetings and Conventions

Non-Traditional Segments
The evaluation for each of these segments is presented below, with the
objective of realistically assessing the potential for added room night
generation, the potential costs and resulting return associated with
investment in each segment, and the ability of investment in a specific
segment to aid in the effort to maximize capture in the broader domestics
and international leisure sectors.
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5.4.1
International Travelers
According to published reports, there were 3.67 million international visitors
to the Orange County/Osceola County metro area in 2010, increasing to
3.82 million in 2011. KCVB research indicates that compared to domestic
travelers, these international visitors:

stay longer in a destination, and

have a higher per-day spending total.
At the same time, while Osceola County attracts a significant number of
international visitors, the large majority of the broader international market
has a very limited understanding of, or exposure to the county and
Kissimmee leisure brand.
The international travel market is a growing segment. Residents in
developed countries continue to travel, and the population in developing
countries is becoming more likely to travel. The World Travel Monitor
reports that international travel increased four percent in 2011 with a
forecast of three to four percent growth in 2012. International travel
spending increased by eight percent in 2011. Travel to the U.S. from
Europe increased by six percent in the recent year; and while international
travel by Americans increased by three percent in 2011, international travel
originating from South America increased by 15 percent.
Given that TDT collections in Osceola County have remained relatively flat
for the past three years, the fact that the international travel segment is
growing at a significant rate is an indication of this segments potential.
The KCVB has budgeted to spend approximately $1.97 million in sales and
marketing efforts (including corresponding salary costs) targeting the
international market. Room night generation associated with these efforts is
estimated at 265,000. Although sales and marketing resource allocation is
not a specific focus of Destination Osceola 2022, continued and increased
efforts on the part of the KCVB to target international travelers is likely
warranted.
At the same time, it is important to recognize that the visitor industry
limitations described above (primarily 192 conditions and transportation
issues) will not only negatively impact domestic travel, but will also impact
the room night potential for Osceola County hotels from the international
segment. World Travel Monitor data indicate that only four to six percent of
international travelers stay in budget hotels (as opposed to 3, 4 and 5 star
hotels, vacation rentals or family/friends). Therefore, efforts to broadly
improve the Osceola County visitor industry infrastructure should be seen as
critical to taking advantage of a growing segment of high-spend international
travelers.
It is not uncommon for a community to offer a concentration of visitor
industry infrastructure that caters to a particular country or international
region. Ethnic restaurants, shopping and entertainment amenities can in
some cases help facilitate international visitation to a particular market. As
the redevelopment authority for 192 becomes operational, opportunities to
develop these types of businesses should be pursued. However, it is
important to note that the significant draw of the theme parks and other area
attractions have been and will continue to be more than sufficient to create a
significant base of international visitors. It will be more important to address
the broad infrastructure challenges identified herein as a priority before
focusing significantly on encouraging development of specific types of
businesses.
5.4.2
Sports
Sports-related tourism represents a significant and growing segment of
Osceola County’s tourism industry. From Major League Baseball spring
training at Osceola County Stadium and the ESPN Wide World of Sports
complex to a wide variety of youth and amateur sporting events at venues
throughout the county, sports tourism draws thousands of visitors to Osceola
County on an annual basis. This mirrors national trends in the sports
industry, as increasing specialization and the growing role of elite club teams
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Exhibit 5-6
Primary Osceola County Sports Facilities
in youth sports have led to increases in the number of traveling sports
participants across many sports and age groups.
We have evaluated sports tourism in Osceola County and have identified
programs, initiatives and targeted investments that could facilitate the
continued growth of this segment while providing the county with suitable
returns on any required public investments.
Osceola County is home to several indoor and outdoor sports venues, most
of which focus primarily on the youth and amateur sports segments.
Planned sports complex development at ChampionsGate and the Town of
Harmony will further add to the county’s sports field inventory in the near
future. The following map illustrates the locations of Osceola County’s
primary existing and planned sports facilities and the distance (in miles) and
drive time (in minutes) between each complex.
ESPN Wide World of Sports Complex
Osceola County Softball Complex
Austin Tindall
Regional Park
Heritage Park/ Osceola County Stadium
Future ChampionsGate
Sports Complex
Future Harmony Sports Complex
Driving Distance (in Miles)
Austin Tindall Regional Park
Heritage Park/Osceola County Stadium
ChampionsGate
21
10
15
32
11
21
10
13
13
8
19
25
5
22
18
Heritage Park/ Osceola County Stadium
15
8
5
17
20
Champions Gate
32
19
22
17
11
25
18
20
36
36
Drive Time (in Minutes)
Heritage Park/Osceola County Stadium
ChampionsGate
28
28
19
29
48
18
18
15
30
27
19
18
11
31
21
29
15
11
23
29
48
30
31
23
48
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18
27
21
29
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While Osceola County is home to high quality sports complexes, they are
scattered across a wide area of the county. Despite the distances between
the facilities, many tournaments utilize fields at multiple complexes for a
single event. However, as will be discussed further, future sports field
development beyond the planned complexes at ChampionsGate and the
Town of Harmony, should focus on building a critical mass of fields at a
limited number of locations.
revenue or room night generation. No sports franchises have served as
tenants of the building since 2007.
The following presents an overview of each of Osceola County’s primary
existing and planned sports venues.
The rodeo-focused design of the arena includes a 34,000-square foot event
floor, which is significantly larger than what is typical in an arena designed
primarily for more traditional sports tenants such as basketball or hockey
(approximately 20,000 square feet is typical). This provides advantages for
certain sports events, such as motorsports, that require a large floor.
However, it can serve as a disadvantage for events that prefer a more
intimate setting.
Heritage Park - The County-owned Heritage Park is a 120-acre complex
consisting of five primary event venues:
Several other factors impact the arena’s ability to attract certain types of
events:



Relatively low level of finish compared to many mid-sized arenas built
within the last 10 years.

Relatively low ceiling height of 43 feet. As an illustration, indoor football
leagues typically require at least 50 feet of clearance from the playing
field to the ceiling or the bottom of a center-hung scoreboard.

High level of competition for concerts in the Central Florida region.

Contractual obligation to block eight weeks each year for Silver Spurs
Rodeo events.



The 10,500-seat Silver Spurs Arena;
The Exhibition Building, which offers 47,850 square feet of clear-span
space;
The Kissimmee Valley Livestock Show (KVLS) Pavilion, which includes
a livestock holding/exhibition area, show ring and conference room;
The Multipurpose Pavilion, which accommodates 208 livestock stalls
and can host open-air exhibits; and
The University of Florida Extension Services Building, which consists of
a 5,040-square foot conference room and three 1,680-square foot
meeting rooms.
In addition to these venues, Osceola County Stadium is located adjacent to
Heritage Park. Additional discussion related to Osceola County Stadium
can be found later in this section.
As a result of these factors, the Arena has historically attracted a unique mix
of events relative to more typical mid-sized arenas. Exhibit 5-7 summarizes
the events held at the arena during the 2010 fiscal year, excluding the
Osceola County Fair.
Silver Spurs Arena opened in 2003 and was designed to host the Silver
Spurs Rodeo, along with other sports, entertainment and spectator events.
During its early years of operations, the Arena was home to hockey and
indoor football tenants. These types of tenants tend to require significant
high-demand dates and provide relatively little in terms of facility operating
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Exhibit 5-8
Silver Spurs Arena Event Comparison
Exhibit 5-7
Silver Spurs Arena Events – 2010 Fiscal Year
Comparison of Mid-Size Arena Event Levels
Events
Event
Days
Rodeo
Other Sports
Concerts
Community/Religious
Other
4
12
9
12
8
10
25
9
31
13
31,000
38,300
12,100
203,900
8,700
3,100
1,500
1,300
6,600
700
Total
45
88
294,000
3,300
Event Type
Total
Attendance
Average
Per Day
Facility
Location
Laredo Entertainment Center
American Bank Center
Mid-America Center
US Cellular Coliseum
Resch Center
Budweiser Events Center
Pershing Center
Ford Arena
Silver Spurs Arena
Tyson Event Center
Laredo, TX
Corpus Christi, TX
Council Bluffs, IA
Bloomington, IL
Green Bay, WI
Loveland, CO
Lincoln, NE
Beaumont, TX
Kissimmee, FL
Sioux City, IA
Average (Excl. Silver Spurs Arena)
To place this information in context, Exhibit 5-8 compares Silver Spurs
Arena’s 2010 event levels with those of several other arenas with similar
seating capacities. Smaller markets with mid-sized arenas, as well as large
markets with mid-sized arenas are considered.
Concerts
Family/
Ice Shows
Non-Tenant
Sports
Community/
Religious
Other
Total
Excl.
Tenants
9,600
10,500
8,500
8,000
10,000
7,200
7,500
9,700
10,500
10,100
50
62
40
46
54
35
-38
-37
12
16
12
22
17
12
15
17
9
10
35
12
10
18
18
18
12
23
0
10
15
17
6
13
18
13
43
8
32
12
11
13
19
0
10
6
17
2
31
3
15
7
39
25
2
29
22
1
13
0
138
127
126
124
119
113
109
89
85
72
88
65
86
78
65
78
109
51
85
35
9,000
45
15
17
16
9
16
113
73
Source: Facility management
Source: SMG
As shown, the Arena hosted 45 events over a total of 88 event days
(excluding move-in/move-out days), drawing a total of approximately
294,000 attendees. Approximately 69 percent of these attendees were
generated by community and religious events, including high school
graduations and Jehovah’s Witness events.
Tenant
Sports
Capacity
Comparison of Event Levels at Secondary Arenas in Major Markets
Facility
Location
Sovereign Bank Arena
Family Arena
Citizens Business Bank Arena
Tsongas Arena
Gwinnett Center
Comcast Arena
E Center
Silver Spurs Arena
Trenton, NJ (Phila.)
St. Charles, MO (STL)
Ontario, CA (LA)
Lowell, MA (Boston)
Duluth, GA (Atlanta)
Everett, WA (Seattle)
W. Valley City, UT (SLC)
Kissimmee, FL
Average (Excl. Silver Spurs Arena)
Tenant
Sports
Concerts
Family/
Ice Shows
Non-Tenant
Sports
Community/
Religious
Other
Total
Excl.
Tenants
10,500
12,000
11,000
8,000
13,000
10,000
12,500
10,500
32
49
36
60
43
55
50
--
20
19
20
20
19
5
17
9
43
36
25
8
24
23
6
0
40
12
19
10
16
1
9
32
3
7
10
7
14
8
7
31
21
11
15
19
0
10
7
13
159
134
125
124
116
102
96
85
127
85
89
64
73
47
46
85
11,000
46
17
24
15
8
12
122
76
Capacity
Source: Facility management
The exhibit above illustrates Silver Spur’s reliance on non-tenant sports and
other non-traditional arena events such as Jehovah’s Witness conventions
to fill the gap in event days caused by the lack of tenant sports franchises
and difficulties in procuring touring concert and family show events. In
response to the Arena’s unique physical, operational and market
characteristics, management has also focused increasingly on attracting
participatory sporting events such as amateur gymnastics, cheerleading,
wrestling, volleyball and basketball competitions.
Heritage Park’s Exhibition Building has also been used for participatory
sporting events to provide space for additional playing surfaces. Of the 20
sports events held at Heritage Park in 2010, seven utilized the Exhibition
Building. The Arena floor and the Exhibition Building combine to provide
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approximately 82,000 square feet of floor space. Based on an estimated
requirement of 4,000 square feet per volleyball court or 5,000 to 8,000
square feet per basketball court (depending on the age group), the facilities
could combine to accommodate approximately 20 volleyball courts or 10 to
16 basketball courts. While this level of floor space can accommodate small
to mid-sized tournaments, it is insufficient to attract many major national
tournaments. For example the AAU Junior National Girls' Volleyball
Championships utilize 85 temporary volleyball courts at the Orange County
Convention Center. While Heritage Park management has considered an
expansion of the Exhibition Building, the envisioned expansion would consist
primarily of development of a new ballroom, kitchen and storage areas.
Such an expansion, even if it included an increase in the size of the main
exhibition hall, would be unlikely to have a significant impact on Heritage
Park’s sports utilization.
Future action:


The decision whether to expand the exhibition center should be made
on the basis of its impact on the complex’s flat floor event potential. An
expansion, even significant in size, would be unlikely to have a major
impact on sports, perhaps just an incremental increase in the number of
teams that can be accommodated. Similarly, an expansion program
that focused more on ballroom or other convention-oriented space
would not likely attract non-local meetings and conventions.
Heritage Park management should continue to work with the CVB to
impactful events.
Osceola County Stadium - Osceola County Stadium is the spring training
home of the Houston Astros. The complex includes the 5,300-seat main
stadium, five ancillary fields and two practice infields. The Astros have
exclusive access to the complex from mid-February through the end of
March, and continue to use one to two fields for extended spring training
from April through early June. The Astros also conduct their instructional
league at the complex from late September through late October. The Gulf
Coast League Astros, the Astros’ rookie league affiliate, play home games at
the main stadium from late June through early September, drawing limited
attendance comprised primarily of local residents. When not in use for
Astros activities, the fields are available for various amateur baseball events,
including the Jim Evans Academy of Professional Umpiring and various
tournaments organized by USSSA and Triple Crown Sports, among other
organizations.
Approximately 1,000 games per year are played at the complex on an
annual basis, an average of nearly 170 games per field per year. The
complex draws approximately 65,000 to 75,000 total visitors per year. Due
to the demands on the fields from the Astros and USSSA, calendar
availability is a challenge at the Stadium complex. Currently, 35 to 37
weekends per year are booked with tournament activities, in addition to six
weekends for the umpire academy and six weekends for Astros use.
Factoring in required down time for field maintenance and rehabilitation, an
average of approximately three weekends per year are currently open.
In 2011, the USSSA hosted 11 tournaments at the complex, utilizing the
fields for a total of 53 days, and has indicated that they could hold
significantly more tournaments if field availability and/or inventory were
increased. They currently use 13 fields at the ESPN Wide World of Sports
complex and other fields and complexes throughout the county.
Specifically, an additional 10 to 12 fields along with the existing six fields at
Heritage Park would provide a critical mass of fields in close proximity that is
currently lacking in the county. This would allow for holding tournaments in
February and March, which are high-demand months, but during which
current activity is limited due to lack of available fields at Osceola County
Stadium and the Wide World of Sports complex during MLB spring training.
In addition, the new fields would allow USSSA and other organizations to
attract additional teams to the county. March is also a peak time for
collegiate teams to conduct spring training, which the complex completely
misses out on due to Astros spring training.
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Future Action


Even assuming USSSA signs a long term contract guaranteeing an
amount of demand, there is a level of uncertainty as to the magnitude of
demand from other sports organizations, particularly given other
projects under way within the county. A significant public investment in
new fields near OHP should therefore not be undertaken until the new
complexes at ChampionsGate and the Town of Harmony are completed
and their impact on the market is fully understood. Should plans for a
largely private ballfield project near OHP materialize, with acceptable
return on investment guarantees for the public sector, county support
would be warranted.
additional fields near OHP should be considered. Any future
development should be conditioned upon (1) execution of utilization
and/or room night guarantees from USSSA and/or other organizations
interested in using the new fields, (2) demand estimates that support
the occupancy and TDT generation levels sufficient to justify project
costs, (3) consideration of participation (both financially and from a
demand perspective) from Disney WWOS, and (4) assurances that
funding for any new development would not detract from tourism sales
and marketing funding.
Osceola County Softball Complex - The Osceola County Softball Complex
opened in 1996 and consists of five fields and a building housing restrooms,
concessions, storage and offices. The dimensions of the fields are suitable
for adult and fastpitch softball and 12-and-under baseball. The Complex’s
premier event is the Rebel Games, which draw over 180 collegiate softball
teams from throughout the U.S. Each team plays 10 regular season NCAA
games during this period. The Games are especially popular with teams
from northern climates who are unable to play home games in March due to
weather conditions.
Aside from the Rebel Games, the complex hosts approximately 35 weekend
tournaments per year, including weekends during which the Complex is
used to accommodate overflow from events based at the Wide WWOS
complex. The remaining weekends are reserved for field maintenance and
rehabilitation. As a result, the Complex is routinely forced to turn away
potential events due to lack of available dates.
While economic impact-generating tournaments receive booking priority at
the Complex, local softball leagues are also hosted at the complex to
generate additional revenue and field use. Leagues generally play on
Tuesday and Thursday evenings from January through May and August
through October. League play is comprised primarily of local teams and
therefore generates minimal economic impact.
In total, the Complex hosts over 1,500 teams on an annual basis, which
equates to approximately 20,000 players. Total attendance approximates
46,000 per year including coaches and spectators.
In recent years, Complex management has explored expansion options that
would alleviate scheduling conflicts at the existing fields. One concept
would involve the purchase of 23 acres adjacent to the existing complex and
the development of five new fields. The costs of the expansion were
estimated at $7.9 million, including $3.1 million to acquire the land and $4.8
million to construct the fields. A total of 10 fields at the complex would allow
for many existing tournaments to expand in size, while also enabling the
complex to accommodate new events that are currently being turned away.
With 10 fully operational fields, Complex management has indicated that an
on-site restaurant could be supported, generating additional operating
revenues and sales tax collections.
In order to estimate the potential increased attendance, visitor levels and
resulting incremental room nights from investing in the development of
additional fields at the Osceola County Softball Complex, historical event
and attendance levels for the Complex were reviewed. In addition,
discussions were held with Complex management and interviews were
conducted with various sports organizations in order to understand their
interest in utilizing additional fields at the Complex.
Based on the results of this research, estimates were developed regarding
the number of events currently held at the Complex that would generate
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increased participation due to the additional fields and the number of new
events that could be attracted to the Complex as a result of increase field
inventory and/or availability. The table below summarizes these estimates.
New Field Impact:
Assuming the development of five additional fields, it is estimated that
approximately 10 of the 35 existing events would expand to utilize the new
fields in addition to the current fields, while the remaining 25 events would
continue to use only five fields. Further, it is estimated that an
additional 10 new events could be attracted to the complex as a result
of the increased field inventory and availability.
Current:
Number of Fields
Based on these estimates, an expansion of the Softball Complex could
draw approximately 25,500 incremental attendees on an annual basis,
including approximately 19,000 non-local visitors. Assuming 2.5
persons per hotel room and an average stay of 2.5 nights, this would
generate approximately 19,000 incremental hotel room nights resulting
from the expansion of the Complex.
5
Current Annual Events
Attendance Per Event
Total Annual Attendance
% Non‐Local ‐ staying in hotel/rental homes
Total Non‐Local Attendees
35
1,300
46,000
75%
34,500
After Expansion:
Future Action
Number of Fields
10
Existing Events
Not Utilizing
New Fields
Existing Events
Expanding to
New Fields
New Events
Totals
Increment
Events
Average Attendance
Total Attendance
25
1,300
32,500
10
(1)
2,300
23,000
10
(2)
1,600
16,000
45
10
71,500
25,500
Total Non‐Local
75%
24,375
75%
17,250
75%
12,000
53,625
19,125
Persons Per Hotel Room
Average Nights Stayed
Total Hotel Room Nights
2.5
2.5
24,375
2.5
2.5
17,250
2.5
2.5
12,000
53,625
19,125
 The county should update the cost estimates associated with
purchasing land and developing new fields at the Softball Complex.
Changes in the real estate market since the original estimates were
developed may result in land acquisition cost savings.
 These costs should then be weighed against the economic and
fiscal impacts associated with increased tournament activity.
Assuming 19,000 added room nights at typical room rates, the
complex could generate approximately $200,000 to $300,000 in
annual TDT tax and state sales tax collections recovered by the
county. Importantly, funding for any such project should not reduce
tourism sales and market funding. It may be difficult for the county
to recoup its investment in the new fields, given the construction
cost and potential tax revenues under a best case scenario.
(1) Assumes a 75 percent increase in teams/attendance per event, based on a 100 percent increase in field inventory and 75 percent utilization of the new fields.
(2) Assumes that three new events would use all 10 fields, with the remaining seven utlizing only the five new fields.
As summarized in the table, the Complex currently hosts approximately 35
annual tournaments with average attendance of 1,300 per tournament. It is
estimated that approximately 75 percent of these attendees are non-local
and make an overnight stay in a hotel or rental home in Osceola County.
Austin Tindall Regional Park - The 115-acre Austin Tindall Regional Park is
home to a soccer complex with eight total fields, including five full-size fields
with lights and scoreboards, and four smaller fields. In addition to soccer,
the fields also host flag football, rugby and lacrosse events. The fields host
local youth soccer practices on Monday through Thursday evenings for
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approximately 26 weeks per year. On weekends, the fields host
tournaments organized by a variety of organizations. The complex also
serves as the primary overflow fields for soccer events based at the Wide
World of Sports complex, with the Lake Myrtle complex in Winter Haven
(Polk County) serving as secondary overflow.
Over the past six years, the complex has hosted an average of 199 event
days. This represents 67 percent of available days, excluding the average
of 67 days per year when the complex is closed for field repair and
rehabilitation. Over the same period, the complex has drawn an average of
approximately 44,000 visitors per year. According to Park management,
these visitors account for over 36,000 hotel room nights and $35.8 million in
economic impact.
Park rather than relying on satellite fields. USFTL representatives
indicated that this would provide participating teams with a better
experience, leading to more return visits and an increase in the overall
size of the event. Similarly, organizers of the Amateur Youth Football
Championships indicated they could draw additional teams if more field
space was available at the Park.
An analysis of potential room night generation associated with
improvements to Austin Tidnall Park was conducted. The estimates were
developed based on historical event and attendance levels at the Park,
discussions with Park management and interviews with various sports
organizations, including several current users of the Park. The following
table summarizes this analysis.
Park management is considering an expansion of the soccer complex. The
expansion would consist of three unlit fields and an additional parking area.
The cost of the expansion project is estimated to approximate $500,000 and
would add to the complex’s $430,000 annual operating budget. However,
according to Park management, the complex currently generates
approximately $650,000 to $700,000 in annual room night taxes, a figure
that would increase as a result of additional activity at the new fields. The
new fields could grow visitation to the complex in three primary ways:
1. The addition of three new fields would allow the Park to capture more of
the secondary overflow from Wide World of Sports Complex events that
are currently held outside of the County in Winter Haven. Disney
officials have confirmed an interest in this concept.
2. The new fields would allow the complex to attract events that cannot be
accommodated by the existing field inventory. For example, the Park
was unable to accommodate a World Class Lacrosse event that would
have generated 500 room nights per year and would have been
profitable for the Park.
3. The new fields would provide growth opportunities for existing
tournaments. For example, the annually recurring U.S. Flag and Touch
Football League (USFTL) Championships, which attract approximately
11,000 participants and spectators annually, could hold all events at the
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New Field Impact:
Austin Tindall Park
well maintained and are of a high quality. Improved signage, covered
areas for video monitors and various physical upgrades could be
made to the complex to provide tournament participants with an
enhanced experience, and when co-hosting events with WWOS, a
more consistent “Disney feel”. By creating an enhanced atmosphere,
the likelihood of attracting added and expanded tournaments
increases.
Current:
Number of Fields
Current Annual Events
Attendance Per Event
Total Annual Attendance
Total Non‐Local Attendees
8
25
1,800
44,100
75%
33,075
Future Action:
 Approve funding for three-field expansion project, which has a
relatively limited construction cost and would likely generate positive
returns on investment due to additional visitor lodging tax revenues.
After Expansion:
Number of Fields
11
Existing Events
Not Utilizing
New Fields
Existing Events
Expanding to
New Fields
New Events
Totals
Increment
Events
Average Attendance
Total Attendance
15
1,800
27,000
10
(1)
2,300
23,000
3
(1)
2,300
6,900
28
3
56,900
12,800
Total Non‐Local
75%
20,250
75%
17,250
75%
5,175
42,675
9,600
Persons Per Hotel Room
Average Nights Stayed
Total Hotel Room Nights
2.5
2.5
20,250
2.5
2.5
17,250
2.5
2.5
5,175
42,675
 Work with Disney to develop (and potentially jointly fund) a
program of cosmetic upgrades to improve the participant experience
and to maximize, where appropriate, event co-hosting opportunities
with WWOS.
 Ensure that funding for this project does not negatively impact
current county tourism sales and market resources.
ESPN Wide World of Sports Complex - The ESPN Wide World of
Sports Complex is a Disney-owned, multi-sport complex located in
Osceola County. The 270-acre complex includes two indoor
(1) Assumes an approximate 30 percent increase in teams/attendance per event, based on a 38 percent increase in field inventory and 75 percent utilization of the new fields.
fieldhouses, a 10,000-seat stadium that hosts Atlanta Braves spring training
As shown, the addition of three fields is estimated to result in three
baseball games, eight additional baseball fields, six softball fields, 11
incremental events and 12,800 incremental attendees, including new events
soccer/multi-sport fields, a clay court tennis complex, a track and field/cross
and existing events that would expand to utilize the new fields. It is
country venue and four championship and one family golf course. The
estimated that approximately 9,600 of these attendees would be non-local
complex has facilities for more than 70 sports and attracts more than two
visitors staying in a hotel or rental home in Osceola County, generating an
million visitors annually. An estimated 70 percent of visitors stay in Osceola
estimated 9,600 incremental annual room nights.
County hotels or Disney’s All Star Resort, which is also located in the
County, generating an estimated 700,000 annual room nights.
Regardless of whether an expansion of the Park takes place, consideration
could also be given to more cosmetic changes that would help ensure the
The Amateur Athletic Union (AAU) is headquartered at the complex, which
continued use of the complex as overflow for WWOS-based and other
hosts more than 40 of the organization’s national championship events.
sporting events. Disney representatives indicated that the Park’s fields are
9,600
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year and host major USBC events drawing participants from throughout
the country.
Several other organizations, such as the USSSA, Kelly Sports Association
and other such organizations, also host events at the complex.
Disney is currently in the construction phase for an additional six multipurpose fields (soccer, football, lacrosse and rugby), while another five fields
are being supplied with lights, effectively adding eight to nine fields from a
capacity perspective. This $6 million project is being undertaken due to
excess demand for multi-sport fields. Disney representatives indicated that
the next expansion priority would be the construction of additional baseball
fields. Disney has suggested the possibility of partnering with Osceola
County to construct these fields, either on the Wide World of Sports site or
near Heritage Park.
A second potential expansion priority is the development of a major bowling
center on the WWOS site. The proposed $30 million facility would
incorporate 80 to 100 bowling lanes and would pursue major national
bowling events. Disney, Osceola County and the U.S. Bowling Congress
(USBC) would partner to bring major events such as the USBC Open and
the USBC Women’s Championships to the facility. The USBC Open
typically draws 80,000 to 85,000 competitors over the course of the three
month event, with an average stay of 3.5 nights. The Women’s
Championships typically draw 40,000 competitors, also with a 3.5-night
average stay. In addition to these primary events, the USBC would envision
hosting three to four small events such as juniors and masters events. Each
of these events would last seven to ten days and draw 500 to 1,000 bowlers.
Non-USBC events held at the facility could include state tournaments and
other miscellaneous events. The facility would also be open for recreational
bowling, supplying an additional revenue stream while providing sports
tournament participants at the complex with another entertainment option
before, during and after their competitions (USBC participant demographic
data is provided as an appendix to this document).
Future Action

Continue to support the construction of the proposed bowling center,
which would have the potential to draw more than 100,000 visitors per

Consider working with Disney to partner on the development of
additional baseball fields, ideally near Heritage Park (the county
potentially funds the fields while Disney allows its branding to be
associated with the fields and makes them its primary overflow site for
baseball/softball). However, as noted in the Osceola County Stadium
discussion, it may be prudent to delay taking this action until the impact
of planned complexes at ChampionsGate and the Town of Harmony is
fully understood, and should involve room night guarantees from Disney
and/or other organizations representing primary users of the fields.
Harmony Sports Complex - The Town of Harmony is preparing to develop a
new sports complex to be located on Highway 192, approximately three
miles east of the Harmony Town Square. The 81-acre complex will include
four baseball fields and six softball fields, all with synthetic turf, as well as
parking, concessions, storage and practice areas. The focus of the complex
will be to host amateur sports events that draw non-local participants and
generate hotel room nights. Town officials estimate that the complex will
attract 250,000 visitors per year.
The estimated project cost for complex development is approximately $22.5
million. The complex will be developed privately and sold to the county for
$7.5 million, funded through TDT tax revenues. The difference between the
$22.5 million cost and the $7.5 million county purchase price will be applied
to a long term leaseback to the county over 30 to 31 years. The county will
own the complex. The Town will operate the complex and will retain any
operating profit or be responsible for any operating loss.
The funding and operations agreement includes a room night guarantee,
starting at 38,888 room nights in year one, 47,222 room nights in year two,
and 55,000 room nights for each year thereafter. Failure to meet the
guarantee would reduce the developer’s lease term.
The complex’s location is somewhat remote relative to existing sports
complexes in Osceola County. Specifically, the complex is an estimated 30-
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minute drive from Austin Tindall Park and the Osceola County Softball
Complex, and a 45 to 50-minute from the ESPN WWOS Complex. This may
impact the complex’s ability to co-host events with some existing complexes,
particularly the Wide World of Sports Complex. However, Harmony is within
a 20 to 25-minute drive of Osceola County Stadium, which will likely allow
the two complexes to co-host tournaments. Further, with an inventory of 10
fields, the Harmony complex will be able to host small to mid-sized events
independent of other fields and complexes.
In the short term, convenient access to hotels and other visitor amenities
may be an issue for the Harmony Complex, as it will be located significantly
east of Osceola County’s tourism core. However, Town officials envision
developing new restaurant, retail and entertainment options at the Harmony
Town Center, providing tournament participants with on-site activities
between games. In the longer term, Harmony also plans to develop hotels,
time shares and resorts, which will provide sports complex patrons with
more convenient lodging options.
The county has the first right to purchase 26 additional acres adjacent to the
initial 81-acre site, which would provide space for four to six additional fields.
While this would provide an additional critical mass of fields at a single
complex, the location may not be ideal for a larger complex at this time. In
the long term, as the Town continues its future development initiatives,
expansion of the sports complex could be considered if demand warrants.
Future Action

The funding and operating agreements for the complex are already in
place, so no further action is necessary at this time. The county and the
City of Harmony should monitor the impact the complex has on the local
sports tourism market and its ability to partner with other area
complexes despite its relatively remote location before making
decisions on future field development elsewhere in the county.
ChampionsGate Sports Complex - Located on Interstate Highway 4 in
western Osceola County, ChampionsGate is a 1,500-acre resort
development that includes the 720-room Omni Hotel and 36 holes of golf,
along with residential components. The development is also home to
“Village Retail”, which includes a grocery store, banks, gas stations and
restaurants, making ChampionsGate a self-contained community.
In 2008, Osceola County, Gaylord and ChampionsGate reached an
agreement to provide additional conference space in the county. $120
million in TDT tax revenues will potentially be used to fund the projects, with
$80 million allotted to Gaylord and $40 million to ChampionsGate. Phase I
of ChampionsGate’s development will consist of $26 million to develop three
projects:
1. Expansion of the conference center attached to the Omni with 55,000
square feet of new space, increasing the total size to 125,000 square
feet of meeting space. Estimated completion: June 2013.
2. A sports complex consisting of eight baseball/softball fields. Estimated
completion: spring of 2013.
3. A 150-room extended stay hotel near Interstate 4.
completion: mid-2013.
Estimated
From a sports standpoint, the configuration and ceiling height of the
expanded conference center’s largest ballroom (28,800 square feet) will not
be suitable for basketball or volleyball, but will be capable of accommodating
gymnastics, cheerleading, tai kwon do and other similar activities. The
center could host small competitions, or could partner with the Wide World
of Sports Complex and/or Heritage Park to provide overflow space for larger
events.
The new sports complex at ChampionsGate will offer several unique
attributes that could make it an attractive site for tournaments. The
complex’s location along Interstate 4, one exit removed from Disney World,
provides the most convenient access to Disney’s parks and hotels among
the county’s sports complexes. Further, the complex’s close proximity to the
WWOS Complex (10-minute estimated drive time) will present opportunities
to serve as convenient overflow fields. The presence of the Omni Resort,
which offers golf, spa services, an extensive outdoor swimming pool and
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various other attractions and amenities, will provide a unique experience for
tournament participants and their families, while the planned development of
a lower priced lodging alternative near the sports complex.
ChampionsGate representatives estimate that the sports complex will
generate 60,000 to 80,000 room nights per year as a result of small to midsized tournaments hosted independently by the complex, along with larger
events for which the complex would partner with the Wide World of Sports
Complex, Osceola County Stadium and other sports complexes in the
county.
Future Action

The funding plan for the complex is already in place, so no further
action is necessary at this time. The county should monitor the impact
the complex has on the local sports tourism market before making
decisions on future field development elsewhere in the county.
Fishing - In addition to the traditional sports venues discussed within this
chapter, sport fishing is another visitation and economic impact driver in
Osceola County. The Kissimmee Chain of Lakes includes 100,000 acres of
water and is considered the top fishery in Florida and one of the best in the
country. As a result, fishing could rightly be viewed as a unique, though
modest, visitor demand generator within the county.
One of the challenges associated with measuring the return on public
investment in fishing amenities is the inherent difficulty in measuring the
economic impacts associated with fishing. Aside from organized fishing
tournaments, individuals who visit the area primarily to fish are difficult to
track. Tracking sales of fishing licenses can serve as a rudimentary
measure of fishing participation. However, individuals may not fish and/or
stay in the county in which a license was purchased. Nonetheless,
information on fishing license sales was collected from Florida Fish and
Wildlife Conservation Commission to provide a general estimate of the
number of sport fishing visitors to Osceola County. Over the past four years,
an average of approximately 10,000 fishing licenses have been sold in
Osceola County annually, including approximately 4,000 sold to out-of-state
residents.
In addition to individual sport fishing, Osceola County and the Chain of
Lakes have hosted a number of national and regional bass fishing
tournaments in recent years. The Bass Angler Sportsmen’s Society (BASS)
occasionally hosts events in the county that are typically three to four-day
tournaments that generate an estimated economic impact of $2 to $3 million.
FLW occasionally hosts events that generate similar impacts. In 2006,
Osceola County hosted the ESPN broadcasted Bass Masters Classic. A
University of Alabama study estimated impact of the event at $25 million.
The Kissimmee Chain of Lakes also hosts numerous amateur tournaments
every year, generally resulting in economic impacts ranging from $50,000 to
nearly $200,000 per event based on preliminary KCVB analysis. Aside from
the economic impacts these tournaments produce, certain major events
receive national television coverage, providing valuable publicity for the local
market. This in turn can spur additional visitation from non-local sport
fishing.
The current $30 million improvement initiative at the City of Kissimmee’s
Lakefront Park will improve access amenities for local and non-local fishing,
and will also provide an improved host site for tournaments. The project will
include expanded and improved boat launches, as well as public park areas
that will serve as support space and spectator viewing areas for tournament
events. Large scale tournaments will likely continue to use Heritage Park
and the Orange County Convention Center for weigh-ins and other
tournament support activities requiring a large indoor area, but the Lakefront
Park improvements may be beneficial in attracting and retaining major
fishing events. While these improvements, particularly along Lake Toho, will
create a more desirable environment for major tournaments, there are other
features needed to consistently secure such high impact events, including
large, secure parking/boat storage areas.
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Future Action:

broader outdoor tourism infrastructure. Given the modest room night
generating potential for recreational fishing and the challenges in
securing large, high impact tournaments, marketing resources geared
towards fishing should primarily take place as a component of the
broader leisure marketing effort.

Continued improvement to the assets located proximate to Lake Toho
that could support a large high-impact tournament (such as secure
parking) should be evaluated. Given the sporadic nature of such large
scale tournaments, it is not recommended that TDT funds be spent for
such efforts. However, if various parking and other improvements could
be made in the context of other public priorities, and if non-TDT sources
of funding could be developed, the county should support these efforts.
Sports Industry Findings, Conclusions and Recommendations

Further evaluate investment in five new fields at Osceola County
Softball Complex. Management is currently turning away business, and
it appears that demand exists for more fields at the site. This would
provide a critical mass of softball fields at one site. However, updated
cost estimates should be completed for the project to more accurately
assess the potential return on investment. It is not likely that
incremental TDT or other tax revenues could support the investment in
the project, and funding for any such project should not result in
reductions to tourism sales and market funding.

It appears that demand exists for the proposed three additional fields at
Austin Tindall Park. These fields would require relatively low
development and incremental operating costs, and would enhance the
Park’s ability to host larger tournaments while allowing Osceola County
to retain a larger portion of the WWOS Complex’s soccer overflow
activity. Funding for such a project should not detract from county
tourism sales and marketing resources.

With regard to additional baseball fields near Heritage Park, the county
should continue to monitor demand for fields, particularly after the
completion of planned fields. Should the county continue to consider
additional field development following the completion of the new
complexes, efforts should be made to secure utilization and room night
guarantees from organizations representing primary potential users of
the new fields.

The KCVB should continue to target traditional sports such as soccer,
football, softball and baseball. Various niche sports (such as rugby) can
be held at soccer/football fields. In some markets without the visitor
draw of central Florida, significant investment is made to capture a large
share of a specific sporting niche through the construction and
marketing of a complex. Central Florida is already a dominant player in
large market sports; and such a niche approach is therefore not
warranted.
5.4.3
Outdoor/Adventure
Going beyond the theme park based attractions that draw millions of annual
visitors to Central Florida, eco, outdoor and adventure tourism represents a
fast-growing sector of the vacation and tourism industry, internationally,
nationally, and in and around Osceola County. This broadly defined market
segment offers authentic and unique experiences that take advantage of an
area’s natural landscape, often building on it to create experiences and
adventures not found elsewhere.
During the stakeholder outreach process, there was general consensus that
Osceola County offered numerous unique features that involved outdoor
activities, although not solely or even primarily involving industry-defined eco
tourism. Before evaluating potential for room night generation, it is useful to
accurately define the opportunity available in Osceola County with respect to
the outdoor/adventure/eco sector.
As defined by the International Ecotourism Society, ecotourism is
"responsible travel to natural areas that conserves the environment and
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improves the well-being of local people." The eco experience relies in part
on an abundance of natural settings in which to observe and experience
unique wildlife and flora species. Outdoor/adventure tourism is more
closely aligned with hands-on, natural or created experiences ranging from
rock climbing to zip lines.
Exhibit 5-9
Area Eco, Outdoor and Adventure Attractions
In Osceola County, the natural assets include opportunities for eco tourism
(potentially accessed through the new Shingle Creek Nature Center, for
example), but more accurately, include outdoor/adventure experiences
including ballooning, airboat rides, zip lines, fishing and canoeing.
Based on the stakeholder outreach and research conducted as part of the
Destination Osceola 2022 process, two important challenges have emerged
that are potentially limiting the county’s success in penetrating this growing
sector of the local visitor industry. First, there are challenges in packaging
the many outdoor and adventure tourism assets available within and
surrounding Osceola County. Most of these are individual, private sector
operations, and creating a coordinated approach can require a significant
effort. Additionally, given the dispersed nature of these attractions and
experiences, accessing them without the use of a personal rental car can
be difficult (and costly).
Transportation and Connectivity to/from Eco, Outdoor and Adventure
Attractions
Beyond the transportation issues discussed earlier relative to the 192 core,
our research also indicates a level of difficulty in reaching more outlying
attractions and visitor amenities, including several of the region’s eco,
outdoor and adventure tourism offerings (such as Forever Florida, airboat
rides, ballooning, vintage aircraft rides and the new Shingle Creek Nature
Center). The following map identifies the location of several of the area’s
popular eco, outdoor and adventure attractions.
As shown above, distances between the visitor core (of 192, I-Drive, etc.)
and various regional eco, outdoor and adventure tourism attractions and
amenities are often great. Without a rental car or personal vehicle, these
attractions are often unreachable for a reasonable price. This has been
identified as a particular problem with international visitors. Based on
conversations with management of local attractions, it is not uncommon for
their guests to spend up to $70 each way for taxicab transportation. While it
is impossible to accurately determine the percentage of the potential market
that is lost due to transportation and logistical issues, we do know that it is
an important issue, and one for which management of these attractions has
been contemplating potential solutions to address. In fact, it is estimated by
managers of some of the area’s popular eco, outdoor and adventure
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attractions that enhanced transportation options could result in increases in
total attendance of as much as 20 to 25 percent per year.
As discussed earlier in this report, consideration should be given to creating
a park and ride “Destination Center” or “Transportation Hub” (likely along
west 192) that would provide visitors the ability to park and access the
transportation system. Those that do not have a vehicle could take the
proposed 192 tourist loop discussed earlier, walk, take a taxi cab or hotel
shuttles to the reach the Destination Center. The concept is to provide a
convenient, one-stop station for the visitor to leave a vehicle and choose an
attraction or attractions to visit. In addition to the 192 link, the Center could
provide some form of transportation to the previously identified eco, outdoor
and adventure attractions available in the area. The shuttles, also providing
some entertainment theme, would run less frequently as compared to the
192 loop. Such a service would provide visitors and residents the
opportunity to ride scheduled transportation to outlying attractions. The
combination of the 192 transportation system and the attraction shuttle
would provide the visitor with the opportunity to leave their hotel, take the
192 loop to the Destination Center, and from there access any of the area’s
attractions. They could arrive back at their hotel by the end of the day, with
no need for personal vehicles, rental cars or taxis.
These attraction shuttles would be financially supported by sponsorships
and direct subsidies from the various attractions that are served, as well as
the ridership.
Based on conversations with local transportation
representatives, the costs associated with a privately-operated
transportation network that could potentially provide round-trip service from
the Lake Buena Vista, Kissimmee and International Drive tourist corridors
could range from approximately $50 to $85 per hour, depending on the size
of the vehicle being used (options range from 14 to 70 passengers per
vehicle).
We have considered very preliminary ridership and cost assumptions
associated with the private operation of such a service. Assuming
operations of four days a week, 52 weeks per year, and 50 riders per day,
such a service could accommodate more than 10,000 riders each year. If
the shuttles were to operate eight hours each day, total costs (assuming one
route) could approximate between $83,000 and $140,000 annually (based
on the size of the vehicles used). Per person costs translate to
approximately $8.00 to $13.60. It is possible that the attractions being
served by this transportation would be willing to absorb as much as 75
percent of associated costs, given the potential for increases to their paid
attendance.
Based on conversations with local transportation
representatives, actual costs would likely be lower than assumed above
provided regularly scheduled service could be established.
Packaging and Relationship Building with Attractions
Based on conversations with KCVB management and staff, efforts to create
a formal program that allows a visitor to choose a set of attractions, make a
single payment and benefit from some level of discount have been limited,
largely due to staffing and budget levels. The time and resources to
internally create and operate such a system can be significant.
Opportunities to partner with a private vendor are also available, and should
be considered.
We understand that the KCVB is currently working with primary attractions in
the region (both within and surrounding Osceola County) to post a link to
each of their websites, whereby visitors could collect information on, and
purchase tickets directly from the attraction themselves. While this is an
important step with regard to relationship building, it is not representative of
the level to which other markets have gone, either with internal systems or in
partnership with a private vendor, to package their amenities.
One example of a privately managed and independent packaging effort
currently in place in Osceola County is the Orlando Adventure Collection
(OAC). The OAC is a recently-formed, independent cooperative coalition of
unique Central Florida attractions and outfitters that have come together to
jointly promote and market the wide variety of eco, outdoor and adventure
experiences available within the region (the majority of which are located
within Osceola County). Each member organization contributes resources
to facilitate advertising and the development and disbursement of
collateral/marketing materials.
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Rapid City/Black Hills, South Dakota
Comparable Market Initiatives
There are successful marketing and packaging programs in markets
comparable to Osceola County that provide a wide variety of attractions and
amenities that generate a significant base of annual tourists. One such
program, the San Antonio Vacation Experience (S.A.V.E.) offers discounts
on hotel rates, attractions and shopping. While larger in scale than solely a
package of attractions, the efforts in San Antonio are instructive as to the
potential for a program in Osceola County.
The online discount program is in its 20th year and functions as a
cooperative partnership between the San Antonio Convention and Visitors
Bureau and between 30 and 50 local hotels, attractions, restaurants and
retailers. Based on conversations with program management, 2011 was a
strong year for S.A.V.E. and vendors are generating desired return on their
investment in the program. More than 16,000 room nights were booked
through S.A.V.E. in 2011 and one major attraction redeemed more than
300,000 S.A.V.E. coupons for admission.
The annual budget for S.A.V.E. is approximately $1.1 million and is derived
through partner contributions ($500,000 from the CVB, $200,000 from Sea
World and Fiesta Texas, $42 per room for member hotels and $1,000 from
smaller attractions). The funds are primarily spent promoting the program
through online, print and television advertising, as well as displays at various
locations throughout the city. Contracts are required with each vendor that
stipulates the services offered as well as their financial commitment to the
program. The program is overseen by a six-person steering committee
(comprised of hoteliers, attractions and CVB leadership). The committee
meets bi-monthly to discuss performance, marketing goals and expenses,
and other operating issues.
It is also useful to evaluate outdoor/adventure destination sales efforts in
place in other domestic markets. Two of these are summarized below.
Located in the Black Hills of western South Dakota, the greater Rapid City
area is home to a number of unique natural resources that continually attract
visitors from around the United States and the world. In addition to national
parks, monuments and memorials (i.e., Badlands National Park, Mount
Rushmore, Devils Tower National Monument, Custer State Park, Crazy
Horse Memorial), a wide variety of eco and adventure tourism options are
available to provide experiences that are unique to the area and that appeal
to visitors of all ages.
Based on conversations with representatives of the Rapid City Convention
and Visitors Bureau, a number of marketing policies and procedures have
been implemented to provide convenient access to outdoor/adventure
assets, including:

a highly interactive website with videos of actual experiences available
to visitors;

utilizing social media (i.e., Facebook and Twitter) to collect first-hand
feedback from members with regard to their “Top Ten Lists” in terms of
favorite attractions, events, restaurants, parks, museums, scenic drives
and hiking trails;

providing sample itineraries designed to get people to experience their
outdoor interests, with options including:
o
Discover the Dinos
o
Native American History
o
Parks, Monuments, and Memorials
o
Wildlife Safari

selling customizable travel packages online

allowing for discounts on admissions and hotels

sales are managed by third party firm that contracts with the CVB

does not include transportation
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
offers live chat (with “real” people) to discuss travel options, availability,
and to book lodging and activities

attracting a new base of visitors to the community (including the coveted
international tourist market);

marketing the destination to repeat visitors (i.e., those that have already
visited the theme parks, etc.) and may need a reason to return; and

getting existing visitors to extend their stay.
Portland, Oregon
Portland is widely known for its
many wildlife preserves, which have
resulted in its status as a highly
visited city among outdoor
enthusiasts. Often regarded as one
of the best walking cities in the
United States, Portland is home to
Forest Park, the largest urban
wilderness park in the country, with more than 30 miles of walking trails.
The city is the world headquarters for such adventure sports as windsurfing
and kiteboarding.
The CVB promotes outdoor activities to tourists by offering city passes
available on the CVB website for different tourist locations including The
Washington Park Pass, The Big Pass, The Downtown Pass, and The
Garden Pass, all of which allow travelers to receive discounts on
admissions.
Outdoor/Adventure Tourism Findings and Recommendations
We suggest that, going forward, the KCVB further support, and perhaps
build upon existing efforts to package and to promote the area as a unique
destination for enthusiasts of eco, outdoor and adventure tourism.
facilitate attraction packaging. This emerging market provides an interesting
and unique alternative to what is commonly perceived as what’s available to
visitors to Central Florida. This potential new “brand identifier” could be an
important tool in:
The packaging effort could be tied into on-going social media and webbased initiatives being undertaken by the KCVB. Additionally, the
“Destination Center” or “Transportation Hub” concept could provide a linkage
to the area’s unique eco, outdoor and adventure attractions. Enhanced
transportation options to these amenities could drive additional attendance
with little or no financial operating commitment from the public sector
(assuming an arrangement whereby the serviced attractions split the cost of
the shuttle service with each guest).
5.4.4
Festivals
Festivals in many markets are seen as an opportunity for the area
population to experience entertainment, local history and culture, and to
participate in a community gathering. In some cases, a festival can gain a
sufficient critical mass so as to attract non-local attendees and generate
room nights. This critical mass, in terms of length of event and a marquee
element or “big idea” is critical to the ability to generate room nights.
Without these, the event tends to provide a local draw with little out of town
visitation.
There are numerous festivals in the Osceola County and metro Orlando
area, including the following:




Florida Ranch Rodeo Finals & Cowboy Heritage Festival
Osceola Art Festival
Florida Strawberry Festival
Epcot International Flower & Garden Festival
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








Bike Week
Winter Park Sidewalk Art Festival
Dark Sky Festival
Celebration Art Festival
Festival of Chocolate
Great American Pie Festival
Shingle Creek Adventure Challenge
Various Halloween and other seasonal festivals
Exotic Car Festival
In most cases, including the Rodeo Finals and Cowboy Heritage Festival
held in September, these are of a one to three day duration, drawing
attendees primarily from the immediate area. The festivals held in Osceola
County have not typically created significant room night generation. This is
not necessarily a result of a lack of marketing, but more related to the limited
scale, duration and unique, marketable theme of the events.
There are numerous examples of large scale festivals nationally that do
appear to have created a room night component, and it is useful to consider
these events in terms of what may be viable in Osceola County to create a
room night generation platform. For example, the Albuquerque International
Balloon Festival draws over 760,000 attendees, 80 percent of which are
from outside Albuquerque, drawing from 45 states and numerous countries.
The Festival draws extensive repeat visitors, and has over 100 private
sector sponsors, providing a critical revenue stream. The Festival benefits
from highly unique climate conditions, and its success would be difficult to
replicate in other markets.
Case Studies
However, there are numerous examples of festivals held over a seven to ten
day period throughout the country that offer examples of what a large-scale
festival in Osceola County could become. Several of these are described
below.
Fiesta Texas, San Antonio, Texas
Fiesta Texas is a ten-day festival held annually on or around April 21st since
1891 honoring heroes of the Alamo and Battle of San Jacinto. The Festival
is organized by Fiesta San Antonio Commission, a non-profit volunteer
organization working year round. Festival activities include:
• Three major parades, including one on the San Antonio River’s River
Walk, where the “floats” actually float
• High end balls and galas
• Four day block party
• A variety of royal orders and coronations
• Live music including Tejano, jazz, Mariachi, rock, big band, classical and
traditional pop music.
Last year, 108 events were held, 40 of which charged admission. The main
parade attracts 500,000 to 700,000 attendees. Surveys of attendees have
been conducted in the past, suggesting that the Festival attracts an
estimated 3.0 to 3.5 million annual attendee days; approximately 20 percent
of which are non-local.
Aquatennial, Minneapolis, Minnesota
The annual Festival celebrates the City’s lakes, rivers and streams. The
ten-day festival started in 1940 and is held during the third full week of July.
Over 70 individual events are held, including the following:
•
•
•
•
•
Sand castle building and metal sculpture contests
Volleyball, tennis, a triathlon and water skiing exhibitions
Milk carton boat races
Parades
A beauty pageant
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• Live music
• Fireworks
There are numerous private sector sponsors generating a substantial
revenue stream. The event is branded the “Ten Best Days of Summer” and
draws approximately 400,000 annual attendees.
Winter Carnival, St. Paul, Minnesota
The Winter Carnival is held over a two-week period starting in mid January,
and celebrates family-friendly winter events. The event has been held for
the past 125 years, and activities include:
•
•
•
•
•
•
•
Ice and snow sculpture carving contests
5K and ½ Marathon races
Youth hockey tournament
City-wide medallion hunt
Pageant and coronation of Winter Carnival Royal Family
Parades
Live music
The mission of the Festival is:
To foster a sense of community, pride, belonging and connectedness by
celebrating Saint Paul's unique history and emerging heritage through fun
and educational experiences
The event attracts approximately 350,000 annual attendees, approximately
20 percent of which are non-local. The Festival generates an estimated
$3.5 to $5.0 million economic impact within the City of St. Paul according to
the University of Minnesota. The event has a $500,000 annual budget
which is raised through corporate sponsorships and Carnival button sales.
Potential Festival Findings, Conclusions and Recommendations
Simply marketing the existing inventory of county festivals will not likely drive
additional room nights. A longer duration event with unique and authentic
components that lend themselves to attracting visitors (as demonstrated in
the examples presented herein) is critical. This type of event should
combine existing, marketable festivals and events with newly created evens
as necessary. Two very high profile events could form “bookends” at the
opening and closing of the large scale festival.
Based on Osceola County stakeholder opinions and research into festival
efforts and impacts nationally, the following recommendations are made.

Encourage private sector efforts to create a marketable event, such as
This type of event could form the opening or closing event for the
festival.

a seven to ten day event period. The higher profile of these events
could comprise a festival opening or closing. For example, pairing a
marquee festival with some form of rodeo/western celebration would
help introduce a component unique to the history of the county.

support.
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Exhibit 5-10
Summary of Convention Center Sellable Space – Top Ten Domestic Markets


The KCVB should provide various marketing support, and should
take a lead role in beginning the event. However, over the next
several years, a separate non-profit entity should be established to
Extensive private sector sponsorships should be secured to support
the financial needs of a large scale festival.
Chicago, IL
3,164,800
Orlando, FL
2,537,200
Las Vegas, NV
2,176,400
Atlanta, GA
1,657,300
New Orleans, LA
5.4.5
Meetings and Conventions
There has been extensive discussion and analysis over the past 15 years
as to convention center development in Osceola County. Projects
including a 1.0 million square foot exhibit facility, smaller countyowned/managed venues and public/private sector partnerships for
convention center development have been considered over the years.
Ultimately, the partnership with Gaylord for the development of Gaylord
Palms Resort & Convention Center has provided the county with a
significant inventory of convention space. The Omni project will also
provide for securing non-local conventions and meetings within the
county.
There is a stakeholder consensus that further significant investment in
convention center space is not warranted at this time. The existing venues
serve to accommodate the large majority of convention demand unique to
Osceola County, and further significant investments, particular public
investment that detracts from sales and marketing efforts would be
counterproductive. In essence, the new room night generation associated
with a large public investment in convention facilities would not rise to the
level required to support significant future public investment.
On a broader market-wide basis, the Orlando market provides access to a
significant inventory of convention space. The following exhibit highlights
the total available space at the ten largest domestic convention centers.
1,363,300
Louisville, KY
1,055,500
Houston, TX
1,002,700
Philadelphia, PA
950,000
Anaheim, CA
938,100
Washington, DC
904,000
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
Square Feet
As noted above, the Orange County Convention Center provides the second
largest sellable space in the country, and this does not include the numerous
large hotel properties in the market, including the Gaylord Palms.
From a demand perspective, broad industry changes, characterized by
retraction and expansion in the convention and conference industry have
taken place within the industry over the past decade. After significant
decreases in industry demand levels during the recent recession, demand
for convention, conference and related public assembly space has stabilized
industry-wide over the past 12 to 18 months.
Nearly all indicators suggest the national economy has stabilized somewhat
from a significant recession. A large collection of data suggests that the
health of the convention, conference and meetings industry—like nearly all
industries—has historically been and is currently linked to the strength and
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Exhibit 5-11
Year-to-Year Trends in Meeting Statistics
fluctuations of the overall U.S. economy. This “linkage” is a fundamental
premise of any analysis of future convention and conference industry
performance.
US GDP
Net Square Feet
Exhibitors
Attendees
The Center for Exhibition Industry Research (CEIR) is a nonprofit
organization whose mission is to advance the growth, awareness and
value of exhibitions in the United States. The annual CEIR Index Report
is developed to provide an objective measure of the annual performance
of the exhibition industry. The CEIR Index Report measures year-overyear changes in four key metrics of industry performance:
Net Square Feet of Exhibit Space Sold

Professional Attendance

Number of Exhibiting Companies

Total Event Gross Revenue
10%
8%
6%
4%
2%
0%
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
-2%
-4%
-6%
-8%
Given the linkages between the industry and the overall economy, it is
useful to review historical and projected performance among several
industry variables as compared to growth in the U.S. GDP, in this case for
the 13-year period spanning 2001 through 2013.
-10%
-12%
Source: Center for Exhibition Industry Research (CEIR), 2011
As shown, the overall exhibition industry, as measured by the CEIR Index,
has experienced a substantial decline in overall performance, down in nearly
all categories post 2007. The indices appear to have bottomed out in 2009,
with industry measures increasing and projected to increase at a modest
pace going forward.
These data suggest that it is unlikely that demand growth will materialize in
the near future sufficient to justify significant supply additions in the market.
While there may be opportunities for privately developed hotel conference
space to attract small events, it is unlikely that added convention center
space in Osceola County would generate significant additional large
convention and tradeshow event activity.
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Percent Growth

12%
Draft Copy
5.4.6
Non-Traditional Segments
The significant base of traditional central Florida visitor demand generators,
as well as favorable weather and significant air access, could be supportive
of efforts to increase room night generation from non-traditional demand
sources. These sources include medical tourism (travel to a destination for
a medical procedure, potentially combining a leisure component), as well as
room night generation from other economic sectors.
While there are few verifiable statistics as to the specific magnitude of travel
for medical purposes, various associations provide analysis from which
several points can be made:

Much of the medical tourism sector involves travel overseas, with an
estimated 1.5 million Americans traveling for medical procedures.
Domestic travel for medical reasons is becoming more commonplace.

As the population ages, various procedures, including elective and nonelective surgery, will become more commonplace.

Seeking lower cost medical care is one of the primary reasons for
medical travel. For Osceola County, it is likely that the market will
include higher income patients seeking a destination qualities as well as
first class care.
convention hotels in the market attract a large number of conventions and
conferences within a wide variety of economic sectors. KCVB staff, working
with facility and event planner executives could facilitate contact between
event exhibitors and attendees, and local representatives within specific
industry, research, government and other areas. For example, an exhibitor
at a medical oriented event may be interested in programs produced by the
Nicholson Center. Facilitating access to executives at this institution can
benefit the event, exhibitor and potentially foster business connections that
support county-wide economic development.
5.5
Summary
Within this section, stakeholder opinions and various forms of primary
research have been used to identify broad areas of appropriate focus for
Destination Osceola 2022, and to refine this focus into a more specific set of
recommendations.
In the following section, these recommendations are defined further in terms
of specific actions steps, along with an outline of a suggested timeframe for
undertaking these action steps.
There are no significant physical investments that can be sponsored by the
tourism industry in support of medical tourism, however a proactive
approach to marketing, working with local medical institutions is warranted.
Even if there are modest costs for a targeted marketing effort, the room night
potential, and value in diversifying the sources of room night demand could
potentially be beneficial. Potential future investment in medical facilities in
the county will enhance the potential of medical tourism in the market.
The synergy between the tourism industry and other economic sectors
should also be considered. For example, we know that the various
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6.0
SPECIFIC ACTION STEPS AND
TIMEFRAME
The findings and recommendations presented herein are based on the input
from an extensive array of Osceola County and area tourism industry
stakeholders. Independent research has also been conducted to provide
industry context and insight into various tourism industry development
opportunities, and data and project support has been provided by the KCVB.
For each recommendation contained in Destination Osceola 2022, this
section identifies the specific steps that should be taken and the public and
private sector entities that should be pursued. The recommendations,
highlighting their importance or priority in terms of a Tier I, II or III initiative,
are summarized below.
Establish a Highway 192 Redevelopment Agency
or Authority
The power to create and empower such an agency rests with the county.
The Commission should approve a process to be undertaken by county staff
with input from the West 192 Economic Advisory Committee and the KCVB
that will propose recommendations as to legal structure, board structure,
funding mechanism, staffing plan, mission and objectives, and related
aspects of a new 192 agency or authority. This process should incorporate
the recommendations with respect to these issues presented herein, and
should be coordinated with the recently approved time extension for the
West 192 Economic Advisory Committee process. Specific actions to be
taken, as identified herein, include the following:

Form a public development agency outside direct county departmental
control with a defined mission, means of public sector oversight, and
adequate funding. This entity could be formed as a Downtown
Development Agency, a Community Redevelopment Agency (CRA), or
a combined downtown development board and CRA.
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

Form a board for the agency with the requirement that some board
appointments be drawn from particular industry segments. The ideal
board will have a high level of strategic business focus, and will not be
focused on parochial or short term issues.
program, with loan balances forgiven after a period of several years of
continual operation.

Over time, Requests for Developer Interest should be issued to gauge
interest in a public/private partnership for future development consistent
with the approved plan.

Identify a funding source of approximately $10 million to $20 million,
potentially accumulated over several years, to provide the agency with
necessary start-up funds.

Work with other destinations throughout Florida to secure legislation
that allows for some form of assessment district, likely targeting a fixed
fee or percentage charged per hotel room.

The authority should pursue additional entertainment-oriented
development such as a new themed attraction on the magnitude of
LEGOLAND or the recently discussed roller coaster park; development
of public access and outdoor features on Lake Cecile; ensure that the
presence of the new Shingle Creek Visitor Center serves as a draw to
visitors; and encourage enhancements to Old Town, Fun Spot and
other existing attractions.

Initiate a thorough inventory and analysis of existing parcels along 192,
identifying current ownership, status of tax and fee
payments/delinquencies, and physical description of the property and
business.

Incorporate and expand on the 192 Committee efforts by defining
specific areas along 192 that should be targeted for future visitor
industry development. This effort would generally focus on areas west
of Hoagland Boulevard, with some investment along areas further east.

The authority should eventually remove numerous existing properties,
including older hotel stock, that have fallen into disrepair. Focus on
properties for which it is not economically viable to invest in significant
upgrades.

Demolished structures, and disparate parcels should be assembled in
areas defined as targets for future visitor industry development.

Address issues such as appropriate changes to the sign ordinances,
enforcement mechanisms, boulevard maintenance, future attraction and
other visitor industry development, and on-going strategic planning.
The County Commission, along with the TDC, should work with the KCVB
as lead staff to undertake the following actions

(tax increment, deferred payment for land, etc.) should be prepared. A
package of fees that can be marketed as “developer friendly” should be
created to counter a long-held perception that development can be
difficult in Osceola County.

Present a clear assessment of current and projected TDT funding
obligations and available resources over the next ten years.

Develop a plan for allocating available resources stipulating
percentages to be allocated to all areas, particularly destination sales
and marketing. The plan should be adopted by the County Commission
and the TDC.

Support existing business owners to upgrade storefront, signage and
other visual aspects of their property by creating a forgivable loan
Create a Framework to Ensure Allocation of TDT
Resources to Room Night Generating Efforts
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
Prepare for adoption by the County Commission and the TDC a formal
set of guidelines to help prevent a non-productive expenditure of TDT
funds.

Develop a means to increase overall KCVB funding over the next five
years, reaching a range of between $15 million and $20 million.
designated tourism route should stress the transportation needs
between attractions, hotels and other important amenities.

The visitor experience on the tourism route equipment should offer a
level of visitor appeal that goes beyond traditional busses used for
public transportation. The vehicles could be operated by uniquely
uniformed drivers that are trained to relay the visitor offerings, history,
culture and industry of the area in an entertaining manner, and music
could be introduced into the vehicles. On-board video monitors could
be used to highlight area attractions, and potentially generate additional
revenue.

Well-signed, landscaped, clean and safe points along the route(s)
should be developed or enhanced, and should provide amenities such
as visitor kiosks that offer interactive information on attractions, hotels,
restaurants, etc., and route information (maps, arrival/departure times,
etc.).


The system will have to be aggressively marketed by existing visitor
industry establishments including hotels, restaurants, the KCVB and
other organizations. In addition, employees at retail stores, service
stations and other businesses along 192 will have to aggressively
market the route.

A park and ride “Destination Center” or “Transportation Hub”, likely at
some point along west 192, should be further explored from a cost
perspective. The system should include transportation to area
attractions such as the various dinner theaters, Forever Florida, air boat
operators, Gatorland, the new Shingle Creek Nature Center, Fun
Spot/Old Town, and other area attractions.
Tier II Recommendation: Adopt a Strategy for Improving Visitor Industry
Transportation
The recommendations presented herein focus on both a 192 transportation
corridor, and a tourism industry transportation hub to provide improved
access to area attractions.
County staff, inclusive of Economic
Development, Planning Office, KCVB and representatives of County
management, should lead this effort. In addition, the Central Florida
Regional Transportation Authority should be actively involved. As the
transportation issue may be an important focus for the 192 Redevelopment
Agency or Authority, representatives of this entity, as it is formed, should
also be directly involved in this issue. Further, as various elements of a
potential transportation solution will involve private sector entities,
representatives from these companies should also be included in the
process.
Specific action steps to be taken are presented below.

The upcoming transportation Alternatives Analysis should include a very
significant focus on creating a viable, well-used visitor transportation
system.

Experimentation with a visitor transportation link (primarily along 192
between Kissimmee and Disney) should be undertaken within the
existing LYNX system, or potentially using a private vendor.

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
interested in using the new fields, (2) demand estimates that support
the occupancy and TDT generation levels sufficient to justify project
costs, (3) consideration of participation (both financially and from a
demand perspective) from Disney WWOS, and (4) assurances that
funding for any new development would not detract from tourism sales
and marketing funding. Should plans for a largely private ballfield
project near OHP materialize, with acceptable return on investment
guarantees for the public sector, county support would be warranted.
The attraction shuttles could be privately operated, and would be
financially supported by sponsorships and direct subsidies from the
various attractions that are served. Outreach to attractions and
transportation companies should be undertaken to further define the
options.
Tier II Recommendation: Identify Specific Segments to Pursue in order to
Increase County-Wide Room Night Generation

Finalize the project costs for the proposed Austin Tindall project. If
costs are in line with current estimates, county staff should attempt to
secure a source of funding. Once funding is secure, this project should
commence. Work with Disney to develop (and potentially jointly fund) a
program of cosmetic upgrades to improve the participant experience.

Continue to support the construction of the proposed WWOS bowling
center, which would have the potential to draw more than 100,000
visitors per year and host major USBC events drawing participants from
throughout the country.

broader outdoor tourism infrastructure.

For any sports facility investment, ensure that funding for the project
does not negatively impact current county tourism sales and marketing
resources.
Various visitor industry segments have been identified in which potential
may exist to increase County-wide room night generation. Specific steps to
be undertaken, led by the KCVB with respect to these segments are
described below.
International Market

Continued and increased efforts on the part of the KCVB to target
international travelers are likely warranted.

The visitor industry limitations, including 192 conditions and
transportation issues, will have an impact on the ability to attract
international visitors and to secure return visits.

Efforts to improve the Osceola County visitor industry infrastructure
should be seen as critical to taking advantage of a growing segment of
high-spend international travelers.
Sports
 Heritage Park management should continue to work with the KCVB to
impactful events.

additional fields near OHP should be considered. Any future
development should be conditioned upon (1) execution of utilization
and/or room night guarantees from USSSA and/or other organizations
Outdoor/Adventure Tourism
 The KCVB should build on existing efforts to package and promote the
area as a unique destination for enthusiasts of outdoor and adventure
tourism.

facilitate attraction packaging. The packaging effort could be tied into
on-going social media and web-based initiatives being undertaken by
the KCVB.
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
The “Destination Center” or “Transportation Hub” concept could provide
a linkage to the area’s unique outdoor and adventure attractions.
Enhanced transportation options to these amenities could drive
additional attendance with little or no financial operating commitment
from the public sector (assuming an arrangement whereby the serviced
attractions split the cost of the shuttle service with each guest).
Festivals
 Encourage private sector efforts to create a marketable event, such as
This type of event could form the opening or closing event for a largescale seven to ten day festival.


the seven to ten day event period. The higher profile of these events
could comprise a festival opening or closing. Pairing a marquee festival
with some form of rodeo/western celebration would help introduce a
component unique to the history of the county.
support.
necessarily rise to the level of importance among stakeholders compared to
the views described above, there are several points that are important to
consider, including the following.

residents.




enforced.


Destination Osceola 2022 Implementation Timing

The KCVB should provide various marketing support for the festival,
and should take a lead role in beginning the event. However, over the
next several years, a separate non-profit entity should be established to
We have prepared a general timeframe for initiating and implementing the
recommendations developed as part of Destination Osceola 2022, as
presented on the following page. This timeframe should be considered in
the following context.

Extensive private sector sponsorships should be secured to support the
financial needs of a large scale festival.

The process should begin with county approval and adoption of
Destination Osceola 2022.

The actual timeframe will change significantly as actual conditions
emerge.
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
The timeframe encompasses the forthcoming 18 months.
Implementation of Destination Osceola 2022 recommendations should
be considered a much longer term, even on-going, effort.

The West 192 Economic Advisory Committee will help establish the
final timeframe for important components of the destination
development process.

The schedule for the Transportation Alternatives Analysis will impact the
timing of the various transportation recommendations presented herein.

Additional input will be required from specialties that potentially include
finance, real estate, transportation, architecture and hospitality.
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Destination Osceola 2022 - Potential Timeframe for
Implementation
2012
2013
Mar Apr May Jun Jul
Approve Destination Osceola 2022
Conduct stakeholder meetings to introduce next steps and timing & continued engagement
Aug Sept Oct Nov Dec Jan Feb Mar Apr May Jun Jul
(1)
Tier I Recommendations:
Establish a Highway 192 Redevelopment Agency or Authority
Develop and approve formation a public development agency
Secure initial capital funding source
Prepare inventory of available financial incentives
Conduct initial planning research
Evaluate property inventory and acquisition
Assemble developable parcels
Pursue public/private partnerships
Pursue development of 192 attractions
Create a Framework to Ensure Allocation of T DT Resources to Room Night Generating Efforts
Identify an appropriate funding formula (defined percentage allocations)
Create a guiding principals document for allocation of T DT resources
Evaluate long term T DT commitments and available resources
Prepare a five-year plan to increase KCVB funding to between $15 million and $20 million
Tier II Recommendations:
Adopt a Strategy for Improving Visitor Industry Transportation
Ensure a tourism focus for the upcoming transportation Alternatives Analysis
Evaluate cost and implementation issues for options to enhance the LYNX system along key visitor corridors
Evaluate options to secure private sector delivery of transportation along key corridors
Define desired program for a transportation Destination Center, and evaluate construction costs
Evaluate opportunities to secure private sector delivery of attraction transportation
Pursue legislation allowing for revenue generating tourism improvement districts
Identify Specific Segments to Pursue in order to Increase County-Wide Room Night Generation
International
Sports
Outdoor/Adventure
Festivals
Aug Sep Oct Nov
(2)
(2)
(3)
(3)
(3)
(4)
(4)
(5)
(6)
(6)
(6)
(6)
(3)
(3)
(7)
Various destination development initiatives
(3)
Notes:
(1) One-day meeting with stakeholders to be conducted in March.
(2) Timing is subject to West 192 Economic Advisory Committee schedule.
(3) On-going efforts.
(4) Deliver recommendation to TDC and county for approval.
(5) Deliver recommendation to TDC for approval.
(6) Will require assistance from architects, transportation planners, attractions and LYNX representatives.
(7) Will require working with private sector outfitters, and eventual development of an RFP for services.
Primary initiative
Secondary/long-term initiative
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Appendices
1. Listing of CSL Interviews
2. Summary of Field Interviews
3. Travel Writer Survey Results
4. Destination Development Case Studies
Strategic Planning for Osceola County Tourism Industry
Draft Copy
Appendix 1
Listing of CSL Interviews
Summary of CSL Interviews: Destination Osceola 2022
First Name
Last Name
Organization
First Name
Last Name
Organization
Terry
Kent
Luiz
Ana
Mark
Kevin
Chris
Margie
Terry
Robert
Brian
Mike
Sonny
Sam
Marc
Belinda
Maria
Jim
Dave
Steve
Ernie
Rebecca
Mitch
Ken
Nicholas
Marty
Bob
Nigel
Matt
Mark
Michelle
Mark
Rafael
Shelly
Niko
Guy
Nicole
Cedric
Brock
Rene
Jason
Chris
Lou
Wanda
Gail
Sandy
Colette
Teresa
Vanessa
Vanessa
Vanessa
Janet
Rene
Chris
Shelley
Ann
Sara
Sylvia
Diane
Gary
HIlda
Carole
Segraves
Bjorklund
Zunino
Gonzales
Miller
Ostroski
Long
Long
Torrens
McEwan
Wong
Nunez
Buoncervello
Starke
Reicher
Ortiz
Toumazos
Swan
Tomek
Lackey
Gearhart
Borders
Widman
Potrock
Archer
Mann
Wattendorf
Worral
Duda
Brisson
Harris
McHugh
Blanes
Carter
Nickolauo
Bouchard
Belue
Leonard
Nicholas
Pereira
Kline
Aguilar
Arcuri
Avery
Bartashy
Burlison
Carlisle
Cole
Colon
Ellis
Gann
Jones
Kuziv
Long
Maccini
Madera
Melendez-Davis
Oliande
Patterson
Pearce
Perez
Pilkington
Advocate for Osceola Lakes/ Pro Angler
All Star Vacation Homes
AllTour America
Arabian Nights
Arabian Nights
Austin Tindall Park
Boggy Creek Airboat Rides
CB Richard Ellis
Celebration Suites
Celebration Town Center
Home Town Realty
Central Florida Sports Commission
ChampionsGate
City of Kissimmee - Economic Development
Osceola County - Economic Development
City of Kissimmee - Mayor
City of Kissimmee - Planning/Zoning
City of Kissimmee Parks
City of St. Cloud - Economic Development Consultant
City of St. Cloud - Mayor
Disney - ESPN Wide World of Sports
Disney - ESPN Wide World of Sports
FL Hospital Celebration
Florida Fish and Wildlife Conservation
Florida Fish and Wildlife Conservation
Florida Leisure Vacation Homes
Forever Florida
Fun Spot
Gatorland
Gatorland
Global Resort Homes
Hampton Inn
Hampton Inn
Harmony Development Company
Holiday Inn Maingate East
Jim Evans Umpiring Academy
Pat
Barbara
Chelsea
Jennifer
Claribel
Debby
Michael
Larry
Don
Mike
Robin
Barbara
Jeff
Rob
Rizwan
Jetse
Jean
Don
Carolyn
Brandon
Frank
Fred
John
Don
Jeff
Pete
Tiffany
Robb
Rich
Luis
Wade
Charlie
Sandy
Ronald
Andrew
John
Tim
Steve
Jan
Wendi
Sandie
David
Randy
Tom
David
Bryan
Dan
Bill
George
Cheryl
Chuck
Shad
Linda
Janice
Brian
Don
Lance
Karin
Jacob
Sharon
Ed
Hector
Purdy
Raymond
Recicar
Resendez
Rivera
Rivera
Rudowski
White
Miers
Horner
Wells
Kenney
Chase
Molnar
Saferali
Pottinga
Spaulding
Rousseau
Fennel
Arrington
Attkisson
Hawkins
Quiñones
Fisher
Jones
Rodriguez
Homler
Larson
Mastroberte
Rodriguez
Michael
Frost
Lam
Petroski
Schiavone
Laskowski
Swan
Vinciguerra
Rietveld
Jeannin
Aaron
Leibowitz
Dillard
Griffin
Lane
Cole
Erickson
Hansen
Chen
Grieb
McLendon
Tome
Randolph
Edwards-Diaz
Lewis
DeDonatis
Boyer
Boyer
Dipietre
Smoley
Fouche
Lizasuain
Kissimmee/Osceola Chamber of Commerce
Kissimmee/Osceola Chamber of Commerce
Kissimmee/Osceola Chamber of Commerce (ORAC)
Magical Memories Villas
Maingate Transportation
Marketing Advisory Committee
Melia Orlando Resort
Omni ChampionsGate
Old Town
Orlando International Airport
Osceola County Commissioner
Osceola County Manager
Osceola County Smart Growth
Osceola County Stadium
Osceola County Transportation Planning
Osceola Heritage Park & Silver Spurs Arena
Osceola Heritage Park & Silver Spurs Arena
Osceola Softball Complex
Palms Hotel & Villas
Quality Suites
Radisson Resort Orlando - Celebration
Radisson Resort Orlando - Celebration
Ramada Gateway Hotel
Respectively Yours Tours
SeaWorld Orlando
SeaWorld Orlando
Seralago Hotel & Suites
Silver Spurs Arena
SMG
SMG
Sports Rez, Compass Hospitality Group
St. Cloud City Council
St. Cloud Greater Osceola Chamber of Commerce
Super Holiday Tours
Supreme Travel LLC
Tourism Development Council / El Osceola Star Newspaper
Tourist Development Council
Town of Harmony
Tuscana Resort
Reunion Resort
US Bowling Congress
USSSA
Vacation Dream Homes
Vacation Dream Homes
Walt Disney World Resorts
West 192 Redevelopment District
Draft Copy
Appendix 2
Summary of Field Interviews
Summary of CSL Field Interviews
This document presents a summary of the comments made by key visitor industry, city/county staff, business leaders and others during our past
field research. These comments are presented in two sections:

Current Conditions and Observations – highlights comments made that are more observational. These comments have been loosely
categorized in order to organize the responses by topic.

Suggested Future Steps – presents more specific suggestions for future courses of action with respect to the tourism product, policies
and procedures. Suggestions are categorized in order to more clearly define areas of needed future research and focus.
Notes for each of these categories are presented throughout the remainder of this docume nt.
Current Conditions and Observations
1.0
The County’s Approach/Attitude Towards Tourism

Existing restaurants and retail businesses have seen deterioration in sales. Even successful establishments (west 192) have seen erosion
in revenue of 20 percent. This can make it very difficult or even impossible to sustain a viable business. The recession has contributed
to this decline; however, there has also been erosion in confidence in Osceola County as Orange County has continued to develop. The
success in Orange County has resulted from an aggressive approach on the part of Visit Orlando and government officials to invest in
promotion and development. Osceola County has not followed suit.

Osceola County has an inferiority complex to Orlando, but not to Disney.

Osceola County had generally had a poor view of itself relative to Orange County, but this is changing.

County is at the fault for letting 192 get to its current condition.

Disconnect between County and tourism industry.
Page 2 of 13


Had strong voice in 90’.s

Lost this voice.
County has not been fully aware of the value of visitor industry, and has directed funds and efforts to areas other than where TDT should
be focused.
 County has had no “grand vision” other than Gaylord.

Some indicate that while in the past there was an assumption that development would go to Orange County, good local leadership has
changed this, creating a more business friendly environment in Osceola County.
 Commissioners starting to realize what’s wrong, the tide may be starting to turn.

2.0
County’s “I DO” teams assist developers for larger projects. The County is trying to do this for smaller projects.
Disney/Theme Parks

Disney controls significant property in Osceola County, and most of any future Disney development will likely tak e place in Osceola
County. Disney likes to keep its properties contiguous with each other (no interstates separating attractions). Osceola Cou nty provides
the only significant contiguous space.

There could be better coordination in terms of sponsorships with Osceola sports venues and Disney’s Wide World of Sports. Potential
exists to create a branded set of complexes with WWOS and Osceola County venues. This could push business to county venues.

Disney attracts visitors to the area, not Osceola County. The goal needs to be to attract as large a share as possible of theme park
visitors to Osceola County tourism assets.

Osceola has an opportunity to attract families that have made multiple trips to the theme parks, and are looking for somethin g else to
do – “Disney day off”. Disney brings them in, and we have to pick off what we can.

Osceola has a black eye from ticket scamming, especially along parts of 192.
Page 3 of 13
3.0
Highway 192 Issues

192 may be “terminal”. Renovation is no longer an option, need to start over.

Some visitors say that 10 years ago, the county was a decent destination, bright, bustling…. Now it’s a bit degraded/worn. There may
not be the ability to attract visitors given the quality of the properties.

Hotels are “under demolished”, many low service properties.

192 has shriveled and died, it was once the heart of the county. It’s the I-drive of Osceola County and it’s embarrassing.

Many hotels have not refreshed or invested in their product on 192. Signs damaged in 2004 Hurricane have not been repaired. This
should be enforced by County.

There are some safety perception issues in some areas of 192, particularly in areas of residential hotels. Current residents , including 400
children, have to be taken care of.

Many of the hotels on 192 would disappoint a family on vacation.

The quality of the 192 hotels makes it difficult to take any share of the visitors to the theme parks.

Hotels on I-drive provide a lot of competition. It’s worth spending an extra $10-30 per night to be in that area (and nicer hotels).

Owners of 192 hotels are a very fragmented group.

Hotel rates along 192 are so low that people are worried they’re low quality, unsafe, etc.

Average rate for hotels in Osceola County is around $60, this does not instill confidence in th e consumer that the rooms are of high
quality.

Chasing a higher hotel ADR doesn’t work given the quality of existing hotel product. Owners don’t have enough money to reinv est in
hotels, so product has deteriorated.

The prime season has shortened from six months to four.

There is a horrible stigma of 192 hotel base - weekly rentals, fires, drugs, prostitutes, etc.

Kissimmee is the “old area” - old Vegas. I-Drive is the new Vegas.
Page 4 of 13

Why are hotels building on I Drive and successful, and not on 192?

192 hotels didn’t suffer because of Disney, it was more a lack of investment.

Many hotels on 192 are currently on survival mode.

Current hotel owners need to choose between investing or selling out.

Just another Old Town won’t add to visitation.

192 used to be great and can be again. In 1991, Old Town was a big draw.

192 hotels need to be filled in order for attractions such as Arabian Nights to be filled.

The potential future hotel development along 429 will further hurt the 192 hotels.

Exterior corridor hotels make it difficult to accommodate youth groups and families with kids.

Destination strengths include attractions, shopping (outlets), airport access and location relative to Disney/attractions. Weaknesses
include experience along 192, quality of hotels. Repeat business really complains about hotels.

192 – the blight to the east poisons the character of the areas to the west. There is worry about the 535 to I -4 area. East of 535 is
already bad, and may spread west.

Problem along 192 isn’t so much the hotels, it’s the closed properties.

There is a lot of blight/vacant property in the area (along 192), and the question is do we deal with it and improve, or leave it and reduce
visitor targets, to say 3 million from 6 million. If targets are reduced, this will have a very significant impact on the county economy and
budget.

There is a lack of density of “quality” development on 192. People say that there are no restaurants of any quality. But th ey do exist,
just not in a noticeable concentration.

Target and the malls on west 192 are packed at night – driven by vacation rental homes.

Visitor assets include the carnival/minigolf/dinner entertainment (Medieval Times) located along 192. These are NOT assets that first
time visitors want to see – they go for the theme parks. However, repeat visitors do notice these things, and add them to itinerary as a
“day away from park” time.

Lack of water/sewer on 192 makes it more difficult to develop as compared to I Drive.
Page 5 of 13

One problem is that 192 is a state road, and the state won’t let the county calm the traffic. I Drive is a county road.

County economic development focuses on large projects in targeted industries. If a developer wanted to initiate a large proj ect along
192, Economic Development would play an active role. Less so for smaller projects.

County allowed property on 192 to be heavily subdivided. Created “flag lots” which were just spaces for signage for property off the
highway, adding to the clutter. County was focused on the increasing taxes.

Timing of the name change is important. Don’t want name change before there are tangible improvements along 192.

Be careful about the CRA designation. It has connotations to potential businesses that the area is blighted and to be avoide d.
4.0
Potential Tourism Market Segments

Specific sectors may provide tourism potential (eco, sports), but the key is Disney, and drawing some share of their visitati on to Osceola
County.

Changing perception of the Kissimmee market – was eco-tourism focused, now more appropriately focused on the attractions.

Eco Tourism – fishing is good, canoeing won’t drive it, how many room nights does it really generate, not a demand generator itself, but
an ancillary amenity, need to recognize that we’re centered on Disney.

People come for sports because of Disney.

Osceola customer includes families, eco tourism (fishing). The County used to do a good job of capturing this, but has slack ed off.

Eco tourism doesn’t spark excitement. The visitor can get natural attractions anywhere, but the the me parks are one of a kind.

Airboats are not eco tourism, very loud.

Lake Toho- one of the best bass fishing lakes in US:


Underutilized natural resource

National fishing tournament each year
Western is a part of the history of Osceola County. First cattle ranchers were in Florida, not Texas. Rodeo is the largest east of the
Mississippi.
Page 6 of 13

Celebration has name recognition (known worldwide, unlike Kissimmee), KCVB should take advantage of the name recognition.

A very high percentage of airboat customers are international.

Sports is an emerging market.

Carries higher ADR (opposite of what you might think).

Occurs during off peak seasons.

Given close proximity to Wide World of Sports, a significant number of vacation rental room nights are generated through amat eur
sports.

The WWOS complex is increasing its presence in sports broadcasting/technology.

Major events at the BMX bike park generate economic impact.

Osceola attracts numerous in-state sports tournaments with attendees that are more likely to visit Old Town, without visiting Disney.

There is disagreement about the value of developing a large ball field complex to compete with Disney.

International markets (UK, Brazil, Canada) will consider the 192 hotels.

Latin America is very strong right now and Canada is a big market – growing fast.

Domestic Tour Groups – challenge with current economy. Largely student/youth tours.

Primary international feeder markets (in order): UK, Canada, Latin America


Majority stay 12 nights

Virgin Air – big feeder from UK
At Gatorland, international attendance is a growing segment.

10-15% of total attendance comes from Britain, Germany, Canada and Brazil.

UK can be 20-25% of total international visitation.

Brazil is the fastest growing tourism market.

Large foreign visitor market to Kissimmee - Japan is the biggest spender per capita.
Page 7 of 13
5.0
OHP Issues

There is some debate as to whether or not OHP generates significant room nights.

There is a potential hotel site near OHP that the county owns.

If development takes place across 192 from OHP, this could push the area forward.
6.0
Allocation of Tourism Resources

County commissioners do not look at ROI. Less than 40% of TDT dollars are used to promote tourism. 60% goes to “legacy proj ects”
(Veterans Center, etc.).

Spending TDT funds on the veterans museum and art center was not justified.

TDT funds are going to non-visitor industry projects. Veterans Museum and Center for the Arts are often referenced projects. TDT funds
should be spent along the 192 corridor.

Tourism is our “factory” and if we don’t update the plant, it will fail.
7.0
Other Comments


8,000 vacation homes in Osceola County (condos & private homes):

Market has grown in last 10 years.

Go for $130/night for 4 bedroom house.

Provide shopping, spa, etc. services.
Vacation homes:

Pay room tax similar to hotels.
Page 8 of 13

Better occupancy than hotels in recent years.

Osceola and Polk Counties are big in vacation homes.

Orange County has none. They’ve prohibited them.

Vacation home use is up significantly in 2011. Athletes love them, they’re cheaper than hotels.

Also, 8,000 time share units in the County.

Media beats up on nightlife in Kissimmee. After 5pm there is nothing to do (residents agree with this too).

Transportation—lacking in Kissimmee. This is a problem for visitors.

No shuttles to/from airport—this is a major complaint among visitors to Kissimmee. It is a $60 cab ride from airport to Gaylord or Omni
or 192.
Page 9 of 13
Suggested Future Steps
1.0
Developer/Development Initiatives

Need to give incentives/loans to get properties to upgrade. How about a $10 million loan guarantee program using TDC dollars.

We need to look at incentives for developers to invest in the county, particularly along 192.

There is too much red tape for developers to have to deal with. There is an attitude in County government that a developer in the
tourism industry can afford to pay more.

Need to create live/work/play environment along certain areas of 192.

Need to do the SunRail project with retail around stops. Do a CRA near stops to encourage this.

Need to do more to create local entrepreneurs. Become a small business Mecca. County staff don’t understand what it takes t o start a
small business. Should do a “mock” business start up to see where the challenges are with current County approach.

Need a CRA for parts of 192. The downtown Kissimmee CRA worked well.

To improve 192, County would have to provide financial backing to mitigate developer risk. Need fast track permitting, count er to
current Osceola County practice. Staff are well intentioned, but small staff makes it difficult.

Household income in the county is low and traffic counts are down, so county would have to step out on a ledge, cover losses, maybe
contribute land in order to entice private developer interest.

Can’t just tell owners on 192 to spend $40k on new signage. Even a CRA wouldn’t generate sufficient increment.

County could go to owner of existing large parcel mall (Osceola Square Mall), have county pay to raze structures, zone for higher FAR
and rebate taxes in exchange for a larger mixed use development.

County assistance for 192: Waive impact fees, which led to the new Embassy Suites. Need a pool of money that doesn’t use no ntourism tax dollars.

County taxpayers won’t go for public guarantees on a private project, so key is to increase the tax base in the CRA.
Page 10 of 13

County needs to assist developers – create incentives to develop higher end restaurants, etc.

Can there be a new Authority for 192? Even with an Authority, need to define specific elements for specific parts o f 192.

Create access to lake on 192 by tearing down abandoned buildings. Create public spaces, parks, playgrounds, etc.

Need a big development around Arabian Nights.

Consider a new mall on the west side with movie theater, bowling and family entertainment.

To acquire land, could put together a property specific plan. Staff could tailor the plan for each property.

County shouldn’t own OHP, should create a public/private partnership. Could give land on which the CVB sits to a developer f or a hotel
project. This may help attract events to OHP.

The old Hyatt at 1,000 rooms plus convention space is a great location. This should be a site for future development.

County needs a new venue to draw people aside from Disney – high end project (would cause new development).

“City Walk” in Orlando:
2.0

would work well in Kissimmee

Point Orlando (outdoor mall)- high end food/restaurants
Policy Changes/Initiatives

Signage ordinance needs to be enforced, and ordinance needs to be rewritten.

Taxi cab ordinance needs to be enforced, and ordinance needs to be rewritten.

The county needs to do much more in terms of tourism economic development and code enforcement along 192. This may have helped
attract Lego Land.

Shingle Creek corridor – A private vendor for canoe, kayak, bike and other rentals would be beneficial.

Need a phase in for signage changes.

We need a high end financial analyst to advise the county on ROI for specific investments.
Page 11 of 13

TDT should be used to put heads in beds, it has been diluted by wasteful proje cts (ball fields, veteran’s center, etc.)

County needs ordinance to tear down blighted buildings.
3.0
Marketing Efforts and Branding

Marketing efforts need to tie the West 192 area closer to Orlando – “Orlando South”.

The “cowboy” brand should be taken advantage of more for the destination.

Osceola County has to redefine itself. The current downturn has exposed the warts, which is good. We’re more than next door to
Disney, we need to show this in our tourism with unique assets – history, ranches, rodeos.

We need to do better in getting hotels to coordinate with rodeo and other OHP events.

Need to better publicize festivals and events.

We need to say that we’re in the “Orlando area”.

Osceola County needs to work more closely with the Orlando CVB.

There used to be a “glad you’re here” program, which was very good. Need to get back to this. Make it a county-wide effort, get
residents involved in the importance of tourism. Celebration and Gaylord are good examples of high-end, friendly customer service.

Osceola County hangs on to its roots more so than Orange County, so there may be opportunities to take advantage of Florida hi story
and natural attractions.
4.0
Market Segments

Are there sports that Osceola County can take advantage of like Rugby?

Sports is not a bad direction, but have to find the right niche (Lacrosse, Polo?).

Many say that there is a huge opportunity in sports, we need to piggyback on Disney WWOS.

The proposed 20 field complex across from OHP – Is there demand for the project? Will it hurt Harmony?
Page 12 of 13

There are other sports – marching, dancing, bands, world paintball games, mud obstacle course. We need to consider these.

For equestrian events, need more parking, indoor horse stalls and enhanced power/water. This could help attract more SE regional
events. The indoor stalls are particularly important for summer events.

Silver Spurs Arena hosts one or two rodeos, and is a very low budget operation. There may be an opportunity to increase facility use.

Could do a competition that has biking from Animal Kingdom to Roadhouse Restaurant to start canoeing, then running back to
downtown Kissimmee.

Consider an eco challenge race from Osceola to Okeechobee.

Eco and adventure tourism would be a unique claim to fame for the County:

Must be sustainable

Would provide opportunities to tie into a growing market

Could develop and market the County as an “adventure destination”

Would be a private enterprise – would not require subsidies or incentives

Orlando is not an adventure destination

Eco tourism is a great niche.

Airboats at the downtown marina is a bad idea. South side of the lake is better.

Military may be a good market for Osceola County.

Should focus on military events, partner with Gaylord.

The International Bowling Congress facility could be the “next big thing” – a $33 million complex next to ESPN Wide World of Sports.
The WWOS complex hosts 72 sports. Looking to create a youth sports program to comprehensively evaluate young athletes, inclu ding
medical, etc.

Canada, Germany and UK are good markets to focus on.

There are no existing major county events. Such events should be developed during off peak periods, potentially similar to the Disney
Marathon. Other ideas could include Oktoberfest, hot air balloon festival (currently being pursued privately), and a Triathlon.
Page 13 of 13
5.0
Transportation

Guided rail along 192 would be great, but BRT may be a more cost effective short term solution.

For transportation links, we need to use private money and/or investment from the tourism industry. Transportation on 192 could be
“futuristic” – make the visitor want to come down 192. Consider a mag-lev system.

Transportation is a big issue, no cabs/shuttles, consider a 192 shuttle.

I-drive has a privately operated trolley and uses advertising to help subsidize operations. In Osceola County, a trolley should run from
535 to I-4. This could be funded by Municipal Services Benefit Unit (MSBU).

Should not consider trolley yet--not enough assets to link. However this definitely should be considered as things i mprove.
6.0
Other Initiatives

Need to convince locals that the attractions in the area are worthwhile (Old Town, Fun Spot, Dinner Theaters, etc.).

Need more hotels near OHP.

Do a rodeo parade.

We need to make Disney our partner.

Need to have the County as a whole “own” the plan.

Workforce housing in the area is a big issue. County needs to address this.
Draft Copy
Appendix 3
Travel Writer Survey Results
Travel Writer Survey Results
Publications and organizations represented in this analysis:
AAA Going Places
Active Living Magazine
Adventure Media L.L.C.
American Association for Nude Recreation
Ann Purcell Travel Journalism
CNHI News Service
Desert Valley Times
EnCompass
Explorer's Guide
Fodor's
Frommer's Walt Disney World & Orlando
Global Traveler Magazine
Good Times Magazine
Hintz News and Features
Intel Editor
Lakeside Magazines
Lansing State Journal
Larsen's Adventure Travel Magazine
Men's Traveler online
Online Fisherman Magazine
Ottawa Citizen
Sirius XM Satellite Radio
Society of American Travel Writers
Sports Network
The Las Cruces Sun-News
The Spectrum & Daily News
Tibbetts Communications
Tifton GA Gazette
Travel and Food Notes
travel guidebooks
Travel Market Report
Travel Savings Alerts
Travelers' Tales
Traveling Mom
www.funtravels.com
www.gogolfandtravel.com
www.gonomad.com
www.physiciansmoneydigest.com
www.richmond.com
www.travelforgolf.com
www.travelterrific.com
www.usatravels.us
Have you visited Kissimmee/Osceola County in the past?
No
42%
Yes
58%
What characteristics
destination?
do
you
feel define
the Kissimmee/Osceola County
Perceptions of the Kissimmee/Osceola County Destination
Those not having visited the area
Those having visited the area
* "Old" Florida (a good thing). Convenient to a lot of areas and
attractions.
* A quiet, All-American sort of place with citrus groves and
ranches -- and airboat rides.
* A third-rate vacation destination for the lower middle class.
* If you don't have enough money for Orlando, you go to
* Arts, nature, not Disney.
* Central Florida-loads of pontoon boat rides, fishing, golf,
* Near Disney.
* Scenery, recreation, relaxation.
* Warm, flat, water, family travel.
* A destination that clearly defined in the 1970s when it offered
an original view. Nowadays it's trite and a destination that has
* Bass fishing, lakes, attractions, golf.
* Climate, recreation, history.
* Convenience--for when visitors want something other than
* Disney.
* Disney and Universal. Shopping. accommodations. dining.
* Disney, baseball spring training, benign and balmy climate.
* Everglades and Disney World type entertainment options.
* Fun, theme parks, educational activities, family and
intergenerational location.
* Don't have one, other than it is close to Disney World.
* Great for families. Good value for hotel prices.
* Family activities.
* History, fun.
* First, the name: Osceola represents a Native American
* I have not visited the area in a professional role, but did so
heritage you can leverage. Second, I believe -- but not sure -with my children for the requisite visit to Disney World. However,
that you are in the headwaters of the historic Everglades.
I always associate Kissimmee with Disney, and professionally, as
Beyond that, I do not have a specific business or experience that well as personally at this stage of my life, I have zero interest in
helps me define your area as a destination.
Disney.
* Florida without Disney----or at least removed from all that
* In the hub of theme parks.
signifies. Resort vacation homes: growing market, European
owner investors, spacious accommodations/affordable
* Great winter destination. Warm weather, beautiful sunsets.
* Lakes, LegoLand, proximity to Orlando theme parks.
* Has nice lake and is near Walt Disney World.
* Near Disney, away from the rat race, nice outdoor activities,
less expensive accommodations
* Hot, humid, Florida climate, probably near swampy land,
* Nice winters, hot humid summers. Enthusiastic professionals
maybe a lake, not on the coast.
in charge of tourism. Approachable PR people.
* I have absolutely no perceptions except that there is probably * Old Florida meets new Florida.
* I have no idea of what Kissimmee/Osceola has to offer.
* Outdoor recreation, theme parks.
* I have no specific knowledge of this destination.
* Preservation, Green, Wildlife Awareness.
* I know nothing about it
* Proximity to Orlando and all the theme parks there.
* I really have knowledge of Kissimmee/Osceola County.
* Quieter than theme parks...spring training.
* It's totally not on my radar.
* Rural.
* Know nothing about it.
* Souvenirs, shopping, dining, lakes, attractions.
* Spring training destination.
* The area is located at the fringes of Walt Disney World's
realm, offering budget-minded accommodations and casual
eateries along the US 192 corridor (a handful of moderate and
upscale accommodations sprinkled along the outskirts of the
tourist district). Beyond the highways, and the hustle and bustle
of the Irlo Bronson, visitors are treated to Florida's more natural
side, where cattle still roam and the lakes showcase the area's
* The region is still defined by its proximity to the major theme
parks of Orlando.
* Traffic, chain stores, t-shirt shops, tourist traps.
(Among those not having visited the area in the past) What could be done to
increase awareness of the Kissimmee/Osceola County destination?

A long stay to explore the region.

Advertise, host travel writers and bloggers to write about your destination.

Advertising things to do besides Disney World. Have out of area press visit your area.

Anything, as I know nothing about it.

Do some travel media shows in select cities.

Emphasize natural beauty.

Find something outstanding about it to publicize, and launch an advertising campaign.

Host an SATW chapter or council meeting.

I push the off-season as a vacation destination: no crowds and milder weather.

Identify its distinctive qualities, and pitch them to qualified writers/journalists with appropriate
markets.

Invite more travel writers to visit and hence to write about what you have to offer.

Let travel writers like myself know what you are all about.
resorts, spas, restaurants, etc.

Media visits. Social media link up ( of course you already do but more is always possible)

Offer your attractions/natural beauty for movie locales.

Press trips.

Promote yourselves as the headwaters of the Everglades.

Receive hard copy material by post. I get so much email that I tend to blow it off unless I'm
especially interested in the destination/sender. Unsolicited hard copy mail is so rare nowadays
that I tend to look at it.

Run a contest......offer a press trip.

Send press releases describing activities/events.

Send travel writers.

Travel journalist visits probably generate a wider spread of information to the general public than
anything else. They reach a wide variety of audiences and most continue for years to draw on
information gathered in visits, especially when they are assigned "round-up" articles.
Send out story ideas and hotels,
How do you feel leisure travelers perceive Kissimmee/Osceola County as a
destination? Is this perception accurate?

Affordable accommodations, family oriented, major attractions yes

Affordable lodging near theme parks.

As a more affordable option to staying in Orlando and in my personal experience that is true

As a sidekick to Disney, Universal and SeaWorld. Something to help "break up" a week at the
parks.

I do feel this is the perception is accurate. Kissimmee needs to promote itself better and to a
more targeted audience.

Attractions- not always.

Busy, yes

Doubt majority of travelers see Kissimmee/Osceola County as a destination in and of itself,
rather, as adjacent to a destination.

Families with small children are there for theme parks but others are there for vacations that may
not include Disney (or other parks).

Friendly natives and good accommodations and restaurants. Wide variety of activities, history
and entertainment.

I believe most leisure travelers in my part of the country (Midwest) think of central Florida as
Disney.

I believe they understand that the area lies south of Disney World, and that they believe that the
area is a good choice for more budget-minded travelers - however on the flip side, it also is
headquarters for many of the area's vacation homes (which also appeal to more affluent visitors).
I believe that visitors feel that Kissimmee has less to offer than LVB or I-Drive, and it's distance
from the areas other offerings (SeaWorld, Universal, etc...) makes it less attractive.

I don't think they are aware of much more than Orlando as a whole. I've tried to get the word out
on alternative, cheaper and more nature-based activities, but it's a tough sell with so many other
Florida-based stories in the hopper with editors. They can only take so many, and there's usually
something splashy, expensive and new grabbing headlines.

I hear more people talk about the theme parks as a destination.

Inexpensive hotels close to Disney.

Most probably see it as a gateway to Disney, which is accurate but not complete.

Name recognition challenge, most people would not connect either directly with Florida. Probably
correct.

Next door to Disney. I'm sure three is more to see and do.

No...I don't think it's perceived as a destination in its own right.

Not high class, for Middle America.

Not sure they have a perception. I suspect they come for Orlando/Disney and have little extra
time to explore.

Not sure, my perception is that it is close to Disney, that is about what people know.

Orange County overshadows Osceola County, I think too many travelers are unaware of Osceola
County. I think many travelers think of Kissimmee as a bedroom community for Orlando.
Inaccurate perception.

Primarily theme parks. I think they're still not aware of the extensive outdoor recreation
opportunities, except perhaps for air boating.

Tacky tourist attractions.

They feel it's part of the Orlando metro area.

They think of it as America's theme park destination, as a family friendly location and as having a
variety of economical accommodations.

Tired, "touristy" and almost sleazy. It is accurate.

Weather, friendly, easy to reach, plentiful and diverse places to stay, interesting for all ages. I
think that is accurate.
What do you feel are the authentic characteristics or experiences that
Kissimmee/Osceola County could market to visitors?

Airboat rides, parks like Turkey Lake, orange grove stands and any agri-tourism opportunities-ways to reach the real Florida.

Anything but Disney. Seriously, I know nothing else.

Natural, beautiful.

Baseball spring training.

Cypress Cove Nudist Resort.

Everglades, airboat rides, nature tours.

Family oriented, affordable options to visit the Disney Parks.

Fishing.

golf, kayaking...so outdoor activities for sure.

I have not in the past considered the area as natural - I think this segment needs to be addressed
more.

I'm not sure as I've never experienced the area except in relation to Orlando.

I think family experiences are probably key.

I always just think of inexpensive hotels.

More about the history/historical attractions of the area. Maybe a guided walking tour of historic
neighborhood.

More nature/outdoor activities, golf, indoor activities (especially in the heat of summer).

Photo opportunities.

Promote the "away from the rat race" and close to all the attractions with affordable
accommodations and enjoy the real Florida experience.

Lakes, LegoLand, access to Orlando theme parks and beaches, less expensive accommodations
in exchange for some driving.

Stay here economically as a base for several days at the theme parks, then get out and see
gators, ride an airboat, see central Florida.

The cattle ranching is gone, the environment is starving, and all that's left is fake or hotels.

The natural side of Florida should be a focus - the lakes, the wildlife, the zip line experiences, and
other similar experiences. The area's best accommodations (including the better budget -minded
properties on up to the Gaylord Palms) and all they have to offer should be a focus too.

The nature-based theme parks and golf.

The weather, the wildlife, marshes, many available homes for rent (as opposed to hotels),
spectator and participation sports.

Vast public lands. Historic downtowns in Kissimmee and St. Cloud. Gateway to the Kissimmee
River.

Close proximity to wildlife (manatees, birds), your weather for people who hate the cold, your
many family friendly diversions, and your sensitivity about being 'green'.
If applicable, how have you described the area to your readers, viewers, and
listeners?

Adjacent to mega parks.

As a reasonable driving distance from Orlando for accommodations.

Close to Disney and other Orlando area attractions.

Described it as great place to cut the winter short by coming to baseball spring training as
well as great place to find a bargain by renting a house rather than a hotel room.

Did a guide book and don't remember Kissimmee versus the rest of the state. No beaches,
no theme parks, but that's all the comes back.

Guidebooks: economical place to stay when seeing theme parks (for British readers). \
Meeting trade mags: Economical, if not large, meeting venues where planners and attendees
can see natural 'real' Florida, with good airport service.

I could write about Lake Toho, fishing, the Silver Spurs Rodeo, a quaint bedroom community
with an identity of an original town, and friendly folks at homey restaurants .

I've presented a balanced view of both theme parks and outdoor recreation. In my other
markets, I focus primarily on outdoor recreation opportunities.

I also stressed your proximity.

We've written very favorably about the wide variety of entertainment choices.

Yes, but only from the golf perspective.

Yes, in articles related to family travel in theme parks.
Please comment on the characteristics of Kissimmee/Osceola County you feel
are strengths of the destination.

Accommodations in the region.

Affordability.

Affordable accommodations, quality of various segments of accommodations, golf product,
family attractions things to do.

Clean, safe, good transportation and lodging options

Close to Disney.

Convenience, variety, nature opportunities.

Extensive public lands with inexpensive to free recreation potential: hiking, paddling,
bicycling, horseback riding.

Golfing destination.

Great weather. Great value.

Proximity to Disney and Universal. The challenge is to get visitors to explore the real Florida.

More individual identity needed.

Natural beauty, variety, something for all ages.

Nature. Animals, esp. gators. Adventure tours, including airboats More relaxed than Orlando
or the theme parks.

Nice weather in winter.

No theme parks and no big city is always a plus.

The historical side.

Proximity to Disney and Florida's wilder side, the picture perfect town of Celebration, the
varied offerings in the way of accommodations.

Remnants of natural beauty.

Safe areas, family friendly, theme park haven, lots of variety of accommodations.

Spring training, water sports and nice weather.

Variety.

Weather, value pricing, access to airport, access to attractions.

Weather. Palm trees. Wildlife. Sports.
Please comment on the characteristics of Kissimmee/Osceola County you feel
are weaknesses of the destination.

Adjacent to mega parks. Hard to spell and thus, potentially, hard to find on Internet.

Commercialism, traffic, too many toll roads, not enough nice places to eat beyond Kissimmee
Steak. U.S. 192 is awful at any time of day but Osceola County Parkway is good alternative -too bad about tolls.

Distance to some attractions.

I don't think of it as natural - think more of the man-made aspects. I don't think of it as having
much luxury product outside Disney

Historical side should be played up more in advertisements.
history lovers out there.

In the shadow of the big parks--too much of 192 is "mini-parks".
alternatives to "rides".

Lack of familiarity.

Lack of name recognition, sense of a distinctive place.

Maybe people would rather be at Disney, rather than close.

No real identify of their own.

Traffic and billboards...congestion in some areas.

Not enough highlight on fishing & golf.

Over-shadowed by Orlando's attractions...since those are in the top 5 in the U.S., you'll need
to find some unique selling points while still utilizing your proximity to Orlando to attract
visitors. Pet friendly? Outdoor adventure? Golf?

Over-the-top tourism, ticky-tack places.

People travelling without children may not see it as a popular destination.

Perception as cheap...in shadow of Disney...not scenic....overbuilt.

Perception of the US 192 corridor as cheap and sometimes sleazy / dangerous / bottom-ofthe-barrel motels.

Proximity to tacky tourist attractions.

They are not very dynamic or aggressive at marketing.

Some run down commercial areas.

Tacky, overweight people, bad unhealthy dining.

That Disney is so close.

The fact that one must have their own transportation or rent a vehicle is something that must
be understood when visiting the area...whether they stay in Kissimmee or in Orlando, Lake
Buena Vista, etc.

Too darn hot from late spring to late fall.
There are a heck of a lot of
Need to promote
Do you have any suggestions as to how the Kissimmee/Osceola County visitor
product can be improved?

Add healthful dining, regional specialties, Native American options , etc.

Branding campaign that sets them apart

Focus on heritage and authenticity. Your unique cattle heritage and where that can be
experienced (Forever Florida, Silver Spurs Rodeo, etc.), the Kissimmee chain of lakes,
extensive interconnecting trail systems, waterfront parks, historic downtowns.

Get rid of toll roads. Add more upscale restaurants. Try to get rid of some of the very lowclass commercial establishments if possible.

Get the word out!

I just wrote a pet friendly guide to Florida and do have a couple of Kissimmee things listed. I
would recommend targeted FAM trips (pets, golf and outdoor activities, etc.) to highlight
whatever is unique to your region.

Identify unique qualities. Pittsburgh CVB has a list of Top Ten Things Unique to Pittsburgh.
This makes for a good, short press release.

Improve public transportation, particularly to and from airports and train access.

Need to improve the variety of visitor product in addition to Disney - not just family oriented.

I'd dump the airboat and replace with kayaks.
disruptive, and uncomfortable.

I see Florida as overdone in most media outlets and the very few professional visits I have
made to Florida have been difficult to sell because Florida is so overdone, therefore, I tend
not to think highly of any destination in Florida.
That said, give me something new and
different, something far away from the Disney experience and I'm with you on that.

Position against the parks. "Kissimmee isn't all crowds and lines...take time to relax" or
something similar to emphasis that there is more here than just the big parks.

Public transportation.

Start over.

Stress beauty. Stress what is natural.

The beautification project did wonders for the area several years back, but it now it is once
again in a state of disrepair and in great need of another big beautification boost.
Landscaping and beautifying the area would go a long way in changing the perception of it
being a cheaper area - it's like comparing an old antiquated and somewhat rundown Comfort
Inn to a newly built Comfort Inn - it's the same product (and there is nothing wrong with
either), both offer budget-friendly accommodation

What sets the area apart from the adjacent theme parks? What draws someone to Central
Florida as opposed to the beaches?

Get the park visitors out into the real world. You have them there, the trick is to get them to
visit other places.

Show travel writers what you've got.
Airboats can be useful, but they're noisy,
Draft Copy
Appendix 4
Destination Development Case Studies
Destination Development
Case Studies
Metcalf Corridor
Overland Park, Kansas
Metcalf Corridor
•
Metcalf Avenue is the primary north/south street
through the City of Overland Park.
•
The Metcalf Corridor has been developed over
several decades, including a downtown area
developed in the 1930’s and 40’s, an enclosed mall
built in the 1960’s, and various strip retail, office and
other developments.
•
As a result, the character of the corridor varies in
terms of age, design, upkeep and general condition.
The older, northern portion of the corridor was in
particular need of revitalization.
•
In early 2007, the City began the “Vision Metcalf”
planning process. A draft concept with preliminary
recommendations was presented to the city and
advisory committees later that year.
•
The City Council adopted the vision plan in spring
2008.
Metcalf Corridor
•
The City is utilizing Form Based Code to implement improvements to the Metcalf
Corridor:
•
Focuses on the physical form of buildings and their relationship to the street
•
Intended to create a mix of
uses in a walkable
environment and
•
Goal is to produce a particular
type of “place”.
•
Simple and clear graphic
prescriptions for height, siting
and building elements are
used to control future
development.
•
Code also includes more
traditional land-use
regulations.
Metcalf Corridor
•
Separate, specific codes were developed for four (4) specific building types:
General Urban:
Townhouse/Small Apartment:
• Basic urban
street frontage
• Moderate
intensity
• Multi-story
• Series of
smaller
attached
structures
• Multiple uses
Detached Residential:
Workshop:
• Single family
houses
• Small scale
manufacturing/
repair
• 2-3 stories
• Artist studios
• Pitched roofs
• Limited height
• Front porches
Metcalf Corridor
•
Process began in early 2007 with a draft concept plan presented to the City and
advisory committees.
•
Plan was adopted by City Council in early 2008; a consultant was hired to develop the
form-based code.
•
Input process conducted in 2009 and 2010 included charettes and multiple open housestyle public meetings.
•
Code was finalized in 2011, with new regulations
taking effect on September 1.
•
Existing buildings will be “grandfathered”, but all new
development will be required to adhere to the new
codes.
Metcalf Corridor
•
Focus to date has been on defining codes.
•
Next steps to include:
•
•
Specific beautification projects
•
Identification and implementation of incentives for “grandfathered” property owners
to make improvements to meet new codes
Funding for specific projects may utilize Tax Increment Financing (TIF)
Proposed West 80th Street Improvements:
Before
After
Michigan Avenue
Chicago, Illinois
Michigan Avenue
Chicago, Illinois
Washington
Park
Neighborhood
•
•
Grand
Boulevard
Community
Douglas
Community/
Bronzeville
Near South
Side District
Historic
Michigan
Boulevard
District
An approximately 8-mile road that stretches from downtown Chicago to the I-94/I-90 split.
Consists of six defined districts/communities.
Magnificent
Mile
Michigan Avenue
Chicago, Illinois
Magnificent Mile
•
Contains a mixture of upscale department stores, restaurants, luxury retailers, residential
and commercial buildings, financial services companies and hotels, and caters primarily
to tourists and the affluent.
•
Includes 3.1 million square feet of retail space, 460 stores, 275 restaurants, 51 hotels,
and a host of sightseeing and entertainment attractions to more than 22 million visitors
annually.
Historic Michigan Boulevard District
•
Includes Millennium Park, Grant Park, Chicago Cultural Center, Symphony Center and
the Auditorium Theater.
•
Over 300 acres of outdoor park space.
Michigan Avenue
Chicago, Illinois
Near South Side District
•
The vice district of brothels and gambling dens prospered until 1912, which gave way to
post-World War I settlers who moved in and created the low-rent “Black Belt”.
•
Beginning in the mid-1990s, buildings started being replaced with or converted to loft
condominiums. Currently, this area is regarded as the fastest growing neighborhood in
Chicago and one of the hottest neighborhoods in the country.
Douglas Community/Bronzeville
•
In the early 20th century, Bronzeville was known as the “Black Metropolis”, one of the
nation’s most significant landmarks of African-American urban history.
•
During the 1950s and 1960s, a decision was made to replace the “slums” with several
straight miles of high-rise public housing projects, managed by the Chicago Housing
Authority, essentially isolating and simultaneously concentrating the poor black population
in this section of the city.
•
By the mid-1990s, signs of revitalization emerged
Michigan Avenue
Chicago, Illinois
Grand Boulevard Community
•
Along with a poverty rate of two thirds by the 1990s, Grand Boulevard contained the
densest population of public housing in the country.
•
Since the mid-1980s numerous individuals, as well as community-based organizations
like Centers for New Horizons, have worked to address to the needs of Grand Boulevard
and its people.
Washington Park Neighborhood
•
A turn-of-the-20th-century apartment construction boom allowed the expansion of
Chicago's African American ghetto southward, and the original inhabitants mostly left the
area.
•
From 1950 to 2000 the total population of the neighborhood declined, partly due to
initiatives of the Chicago Land Clearance Commission, who acted under the 1955
Amendment to the Blighted Areas Redevelopment Act, which empowered redevelopment
authorities that have acquired land by condemnation or otherwise to redevelop such
lands for non-residential uses.
New Jersey Redevelopment Authority
New Jersey
•
Created in 1996, the New Jersey Redevelopment
Authority (NJRA) is an independent state-level
financing agency that was created to encourage
redevelopment efforts in New Jersey.
•
The mission of the NJRA is to provide a unique
approach to revitalization efforts in New Jersey's cities.
The NJRA develops programs and resources to
improve the quality of life by creating value in urban
communities.
•
In addition to technical assistance, financial resources are offered to community-based
organizations, nonprofits, developers and businesses throughout the 69 eligible communities
in urban New Jersey.
•
The Authority functions with the following divisions: Business Development, Programs and
Services, Lending Services.
New Jersey
•
The Authority’s Board of Directors consists of 21 members (10 specified ex-officio cabinet
members, 7 specified appointees of the Governor, 2 appointees of the Senate President
and 2 appointees of the Assembly Speaker). The Commissioner of the Department of
Community Affairs serves as the Chairman of the Authority.
•
In 1996, the NJRA was appropriated $9 million from the State of New Jersey for the
purpose of funding eligible projects and to begin operations.
•
In 1998, the Authority was appropriated an additional $25 million to develop and
implement the Urban Site Acquisition Program’s revolving loan fund. The fund finances
acquisition related expenses for projects designated to facilitate the redevelopment of
underutilized parcels of real estate.
•
The NJRA currently controls nearly $60 million in assets.
•
Total operating revenues of the Authority approximated $6.3 million in 2010, two-thirds of
which is comprised of interest income on notes receivable.
•
In 2010, the Authority committed $9.75 million to invest in in urban communities
throughout New Jersey, leveraging more than $57.7 million in total development costs.
San Jose Redevelopment Agency
San Jose, California
•
The San Jose Redevelopment Agency (SJRA) is a
public, government organization created in 1956 by
the City of San Jose to improve the quality of life
for all who live, work, and play in the City by
creating jobs, developing affordable housing,
strengthening neighborhoods, and building public
facilities.
•
The mission of the SJRA is to promote and
collaborate on the sound development and
redevelopment of blighted areas by revitalizing the
physical, economic, and social conditions to
support the general welfare and enhance the
quality of life in the community.
•
The SJRA partners with the City of San Jose, neighborhoods, businesses, non-profit
organizations and public and private entities to facilitate and implement a comprehensive
program encompassing mixed-use, high-quality development to revitalize the City’s
downtown, neighborhoods, and industrial areas.
•
SJRA staff have expertise in development, planning, engineering, architecture, real estate,
property management, finance, marketing, and public and governmental affairs.
•
Primary services of the SJRA include:
•
•
•
•
•
enhance the quality and supply of housing stock;
initiate and facilitate private development;
initiate and facilitate public facilities and spaces; and
promote and implement neighborhood improvement
strategies.
The Agency issues tax allocation bonds, housing set-aside
tax allocation bonds, revenue bonds, and refunding bonds.
It may also incur debt.
•
Through investments and initiatives, the SJRA builds affordable housing, strengthens
neighborhoods and communities, upgrades transportation systems, restores historic buildings,
rejuvenates neighborhood business districts and commercial areas, develops needed
infrastructure, and facilitates private development and investment in market-rate housing, hotels,
office and retail.
•
The Redevelopment Agency is governed by the San Jose City Council, who serve as the
Redevelopment Agency Board.
•
Since 1977, the SJRA has invested $2.5 billion throughout San Jose, more than $1.8 billion in
the downtown, $355 million in neighborhood improvements and nearly $300 million in industrial
project areas.
•
The Agency obtains funding of its redevelopment projects through a financing method
called "tax increment financing." Under this method, assessed values of properties within
the project areas at the time of the approval of the redevelopment plan become the base
Year Value. Any increase in taxable values of properties in the redevelopment area in
subsequent years over the Base Year Value becomes tax increment.
•
Collections of tax increments are pledged to the payment of debt service on the
obligations issued to finance redevelopment projects. Like other California redevelopment
agencies, the Agency has no power to levy property taxes, thus relying exclusively from
the collection of property tax increments.

Agenda Item / Action Request

Transcription

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