Feasibility Study for a Sports Facility: Why it’s a must for all project planners
Sports facilities are epicenters for entertainment, competition, and community-building events. They provide a place for people of all ages to gather and engage in competitive and recreational activities. With such a vital role to play in society, it is essential that any construction project for a new or improved sports facility be undertaken with the utmost care and thoughtfulness. This is where a sports facility feasibility study comes into play.
Although sports centers and recreational parks are geared toward fun, operations managers and organizations know they are business decisions. A new field or court is a major investment for any school, town, city, or state, and its success is paramount.
A well-executed feasibility study can help identify potential risks associated with the project while providing decision-makers with valuable information on cost, timeline, and return on investment (ROI).
Let’s take a look at why every sports facility construction project needs a feasibility study — and how performing one can help ensure the success of your project.
If you are currently planning a sports facility construction project, we highly recommend you try one of our sports facility construction cost calculators to get a. customized cost estimate for your project.
What is a Sports Facility Feasibility Study?
A feasibility study for sports facilities is an important step in the pre-construction process of building. It is the process of evaluating a proposed project to determine if it makes sense in terms of both financial and practical considerations.
This assessment aims to identify potential risks and opportunities that must be addressed before construction begins.
The feasibility study will analyze factors such as the location, size, and cost associated with building the sports facility. It will also consider the economic and environmental impacts of the project. Ultimately, it helps to determine whether or not a proposed sports facility should be built and provides guidance for how to proceed if a decision is made to move forward.
And it’s not just whether it’s a good idea in the present day. The feasibility report will look into the future to consider the long-term viability of the project, its ability to generate revenue, and its potential for growth.
How Much Does a Sports Complex Feasibility Study Cost?
Depending on the scope of your project and the size of your sports facility, the cost of a feasibility study for sports facilities will vary greatly. Small-scale projects can run organizations $5,000, while large-scale projects can run up to $50,000.
At first glance, this seems like a large sum of money. However, when compared to the cost of a failed project or an inadequate facility, performing a thorough feasibility study is a relatively small investment, and it can save organizations from expensive missteps down the road.
So how much will your feasibility study cost?
A general rule of thumb is the price will be around 1% – 3% of the total cost of the sports facility construction project. However, it’s best to work with a project manager early in the process. They can guide you through decision-making and selecting a third party for the study.
Ultimately, the value of investing in a feasibility study cannot be understated.
Get a customized cost estimate for your study by using our sports facility feasibility study cost calculator.
What is Included in a Feasibility Study?
So, for that amount of money, you’re probably wondering — what exactly does a feasibility study include?
The scope of a feasibility report is customizable, but generally, it includes a combination of the following:
- Civil Site and Public Infrastructure Improvements
- Land Use and Environmental Permitting
- Geotechnical Investigation
- Environmental Impact Study and Report
- Structural Engineering Recommendations
- Survey Data (boundary lines and title research to mitigate legal issues)
- Site Planning
- Development Program
- Code Review and Compliance
A feasibility study will also highlight traffic plans for cutting down on congestion, ways your stadium will impact neighborhoods, and how it will affect the schools in the area. In addition, you can have them explain water and sewage plans for your new project.
Feasibility Study vs. Business Plan?
You might think the feasibility plan sounds like a business plan. While on the surface, they may appear to be similar, they serve very different purposes.
A feasibility study helps you determine the technical viability of a proposed facility and is used to answer the question, “Can it be done?” On the other hand, a business plan helps you understand how it can be done. It focuses on financials, operations, and marketing and explains how you will achieve financial success.
Both the feasibility study and business plan can help your organization make informed decisions about the overall project, but the feasibility plan should happen first. The results of that report serve as a foundation for developing a successful project strategy.
Why is a Feasibility Study a Must-have for Sports Facility Development Projects?
In a word: funding.
Securing the necessary funding or permits for your project without a feasibility study is almost impossible. It is also difficult to convince investors that your project is viable without proof of market demand and understanding the potential financial risks associated with the development process.
In addition, a feasibility report enables you to make informed decisions about the project’s overall scope and what is necessary for success. It also helps you assign cost estimates to each of the components needed for completion, allowing you to make better decisions about financing options.
Finally, having a feasibility study puts you in a better position if your project faces legal challenges. Having an accurate report that goes through all potential risks and liabilities can help you address legal issues and protect the project from lawsuits.
In short, investing in a feasibility study is one of the best investments you can make for your sports facility development project. It will save you money in the long run and ensure that your project runs smoothly and meets all relevant requirements. With a thorough assessment of market demand
How Long Does it Take to Complete a Feasibility Study?
While each project is different, most feasibility studies take two to three months to complete. This timeframe depends on the scope of your project, its complexity, how long it takes to receive permits, and other factors.
You also should consider that even after a consultant completes the report, you’ll need additional time for budgeting and planning. Having an accurate timeline is essential for ensuring that you stay on track and complete your project in a timely manner.
Can I do it myself, or should I hire a professional?
While nothing is stopping you from conducting this research on your own, it’s not recommended. A professional consultant can provide the necessary resources and expertise to accurately assess your project’s potential risks and opportunities and advise you on the best strategies for success.
Additionally, if your project is large or complex, legal requirements may dictate who must conduct the study. In these cases, you’ll need to hire a professional consultant with experience in the field of sports facility development and feasibility studies.
Plus, assuming your weekly agenda is already full of important decisions for your organization, an experienced sports facility development consultant can take this burden off your plate, freeing up more of your time to focus on other tasks. There aren’t many professionals with the bandwidth to add three months of tedious research and reporting to their plate.
Ultimately, the decision is yours. But for the best results and the most accurate assessment of potential risks, you should hire a professional sports facility development consultant to conduct the feasibility study.
Before you invest tens of thousands of dollars, you can conduct a minor investigation on your own. Ask your community, investors, and local government what kind of facility they would like to see and how much it’s likely to cost.
Always include key stakeholders in your preliminary research and ask for their feedback on your proposed project. This will help you get an initial understanding of the community’s expectations, as well as potential obstacles you might face during development.
Finally, properly assess your company or organization’s current financial status. If your budget is limited, you may want to consider alternative financing options. This could include tax breaks or other incentives from the local government and direct investments from investors.
Get Started with Your Sports Facility Feasibility Study
Now that you understand the process and benefits of a feasibility study, it’s time to start your project. Think about what kind of facility you would like to build, how much it will cost, and the timeline for its completion.
Once you have a basic plan in place, hire an experienced sports facility development consultant to start the feasibility study. They’ll conduct an in-depth analysis of your project and develop a comprehensive report that outlines the chances of success, expected costs, benefits, and risks associated with the development process.
Need help getting a cost estimate for your sports facility construction project? Use our online calculator for a quick start!