University of Auckland

Auckland, New Zealand,

Recreation Centre Market and Financial Analysis

The recreation centre at the University of Auckland plays a significant role in the campus lives of its students and over 80% report that the centre helps reduce their stress―a key metric to support student success. Given the importance of the centre, the University of Auckland engaged Brailsford & Dunlavey in the summer of 2016 to review and analyze a Draft Recreation Centre Redevelopment Brief, which had been completed by the University’s Sport and Recreation Department. The University wanted B&D’s assurance that the Brief was thorough and B&D provided insight and guidance on the Brief through a work plan that began with its proprietary Strategic Asset Value analysis, a review of the Brief, research of the local market’s fitness clubs, and meetings with key campus stakeholders. In addition, B&D led student focus groups and developed a comparative analysis of eight similar recreation centers.

After analyzing the Brief, B&D applied its internal database of indoor recreation centre facilities and other planning metrics to arrive at recommendations and next steps. While the University’s financial projections were sufficient to justify proceeding with the project, B&D presented the following recommendations to fine-tune the development process:

• Perform a utilization analysis to review the historical number of participants, teams, and hours reserved for each space within the centre to project true demand for space.
• Conduct a student survey to determine specific programming requirements for spaces dedicated to drop-in recreation and help create a more detailed financial projection.
• Compete with the private market by focusing on a broader range of facilities and programs.
• Evaluate potential site options that best accommodate the project’s scale, visibility of programs and services, and access / service requirements, based on the final recommendation for the size of the centre.