UPDATE TO PARLIAMENT

29 August 2006

ContextFulfill a continental mandate Africa’s next opportunity will be 2034Fulfill national government mandateFulfill a City mandate

Cape Town is a Host the 2010 FIFA World Cup games – Host City AgreementCape Town wants to Host games up to a semi-final level

The Mandate was confirmed by the new Mayoral Committee

on 3 April 2006

AGENDAInter-governmental & Contractual RelationshipsCape Town Event StrategySite Selection & Semi-final ImpactAlternative Sites StudyDraft Initial Business Plan & Concept DesignDistrict MunicipalitiesTransportOther Initiatives

Preliminary Draw

2010 National Linkages

Dept Transport

Dept Sport

SAFA

National Govt.

City of CTWC Prov. Govt.

OAA

Nat Govt Guarantees

Host City Agreement

LOC

FIFA

Council

CabinetMayco

Joint Political Steering Cttee

MaycoSub-Committee

Service Providers

Director: 2010

ED

City 2010 Project Team

Prov 2010 Project Team

City/ProvProject Team

Cabinet

Mayor Premier

Cabinet Sub-Cttee

DG

DDG: 2010

Agreement

2010: City/Province Linkages

Strategy for a Successful Host CityUsing the event for economic impetusA participatory event (Public Viewing, Volunteers etc)Legacy – Training Venues, infrastructure & job creationAccessibility and improved inner city accessibility and transport (incl. Cape Town Central Station upgrade)Party Capital of 2010 (retain event expenditure)

COMLIANCE

LEVERAGE

LEGACY

CONTROL

STAKEHOLDER MANAGEMENT

2010 WORLD CUP SUCCESS

Cape Town 2010World Cup Strategy

LeveragableResource

Opportunity

Strategic Objective

Means

Tactics

Hosting the 2010 FIFA World Cup

Optimise Total Trade & Revenue

Enhance Host Community’s

Image

Event & Visitor Trade Event Media

Entice Visitor

Spending

Lengthen Visitor Stays

Enhance Business

Relationships

Retain Event

Expenditure

Enhance EventReporting

Showcasevia

Advertising

Business Breakfasts, Optimal Match Venue Selection; Lobby & host football, FIFA/LOC and FIFA Sponsor Events; Database Base camp establishment; Provide special services to media; Build tourism itinerary for media; Make Imagery available on accessible formats; SupportSMME/BEE companies

Enhance Host Community’s

Image

2010 FIFA World CupNational

300 000 International Spectators in SA for 2010 World Cup (40% of all supporters). [Department of Transport estimate]

Possibly >100 000 other African country non-ticket holders1995 Rugby World Cup - 15 000 international spectators2003 Cricket World Cup - 23 000 international spectatorsR21bn contribution to GDP [SA 2010 World Cup bid doc.]

Cape Town / Western Cape 7-9 games in Cape Town locally + daily big-screen match broadcasts at “fan festival” min 50 000 people50 000+ International Visitors based in Cape Town Metro and Winelands District for one month

Selection of Green Point StadiumThe decision has been a process

Pre-15 May 2004

Newlands

Athlone & Green Point

22 July 05

Newlands

Athlone & Green PointFIFA inspection

6 Oct 05

Athlone

Newlands Green PointInter-governmental presentation

19 Oct 05

Athlone

Green PointNewlandsFIFA Inspection

22 Nov 05Nov -Jan

Feasibility of Green Point Athlone & Newlands65 000 semi-final

7 Feb 06

Green Point Announced as site for a redeveloped stadium

Cape TownSemi-final

venue

POTENTIAL ECONOMINC IMPACT

BASED ON CAPACITY

40000 6000015 Opening Matches 649,560,000 649,560,000

4 Round 16 173,216,000 173,216,000

2 Rest 86,608,000 86,608,000

2 Quarter Finals 86,608,000 86,608,000

2 Rest 129,912,000

2 Semi Finals 129,912,000

First Match (60000) 324,780,000

27 995,992,000 1,580,596,000

Note 1: 40000 minimum Round 16, 19 days 649,560,000

40000 maximum Q Finals, 24 days 995,992,000

60000 minimum, 27 days 1,255,816,000

60000 maximum, 27 days incl. opening match 1,580,596,000

Note 2: Based on spectator capacity only

Excludes spend & accommodation of 5000/8000 VIP & media

Excludes spend & accommodation of non-ticketed spectators

NO OF DAYS STAGE OF COMPETITION

Semi-final Impact

Television AudienceMatch

No.Stage of Competition

Match Broadcast Coverage

(Hh:Mm)

CumulativeAudience

Cumulative Viewer Hours

64 Final Brazil vs. Germany 756:01 978,188,247 2,135,709,344

62 Semi-final Brazil vs. Turkey 757:54 653,937,444 1,371,202,564

61 Semi-final Germany vs. Korea 752:36 635,608,519 1,365,391,631

60 Quarterfinal Senegal vs. Turkey 665:26 578,792,541 1,273,223,745

1 Opening Match France vs. Senegal 719:18 561,600,239 1,159,516,142

63 Third Place Korea vs. Turkey 677:08 547,466,496 1,148,361,062

26 First Round Brazil vs. China 565:32 483,269,280 971,200,736

56 Second Round Korea vs. Italy 696:19 476,236,782 1,158,602,207

58 Quarterfinal Germany vs, USA 649:46 463,642,279 967,737,127

23 First Round Argentina vs. England

613:19 450,174,092 959,390,382

Go

Low Caution

Caution

High Caution

Very High Caution

Potential Stop

Alternative Site StudyAthlone(48 000)

Blue Downs Culemborg Green Point Newlands(55 000)

Wingfield

Fifa Compliance Security, Hospitality & Capacity

Security Security, Hospitality & Capacity

Security & Hospitality

Affordability R2,04 bn R4,49 bn R 4,04 bn R 4,30 bn R 1,79 bn R 3,71 bn

Achievability 29 Months 35 Months 40 Months 35 Months 22 Months 42 Months

No Nat funding No Nat funding No Nat funding No Nat funding No Nat funding No Nat funding

Media accessibility Ex CTICC Ex CTICC Ex CTICC Ex CTICC Ex CTICC Ex CTICC

Accessibility R 0,86 bn R 1,86 bn R 0,87 bn R 0,89 bn R 0,55 bn R 1,01 bn

Availability WPRFU Owned

Geo Suitability Unknown

Complexity EIA & TIA EIA & TIA EIA ,TIA& Rezoning

EIA ,TIA& Rezoning

EIA ,TIA& Rezoning

EIA ,TIA& Rezoning

Desirability Existing Major Stadium

Catalytic Potential Additional Infra required

Risk Max 48 000 capacity Proximity of private dwellings

Environmental

Sustainability

Green Point StadiumInitial Business Plan & Concept Design

APPROVAL PROCESS

FUNDING PROCESS

CONSTRUCTION PROCESS

VenueApproval

PlanningFunding

Scope Work

Impact Assessments

Scoping Phase

Initial Business

Plan

Tender Process

Provincial Approval

Of EIA

DetailedBusiness

Plan

Tender Awards

Rezoning

Funding Commitment

Govt

Terrain Preparation

Construction

2010Other Funding

Impact AssessmentsAssessment

Phase

Goals to 2010 – Greenpoint Stadium

Business Plan: WorksteamsINITIAL BUSINESS PLAN

Project 1: StadiumProject 2: PrecinctProject 3: InfrastructureProject 4: TransportProject 5: Training VenuesProject 6: Fan FestsProject 7: ICT

BUSINESS PLANProject 8: TourismProject 9: Marketing, Communications & SignageProject 10: FIFA EventsProject 11: City BeautificationProject 12: Safety & SecurityProject 13: Disaster ManagementProject 14: Economic DevelopmentProject 16: HealthProject 17: VolunteersProject 18: Environmental (Rehabilitation)Project 19: Waste ManagementProject 20: Protocol (Government)

STADIUM CONCEPTThree tier arena with sloping third tierSet in an sports, recreation and entertainment precinctFixed open roof with possible retractable facilitySoccer/rugby multi-purpose Stadium to accommodate offices, conferences, concerts, Stadium to accommodate offices, conferences, concerts,FIFA Requirement 68 000 seatsLegacy capacity 55 000 seats42m high (32m above the podium)Stadium footprint 5.3ha, Stadium with concourse 10.6 haConcourse accommodates 2000 – 3000 parking baysAdditional facilities: Indoor Sports Centre & High Performance Centre incl. swimming poolSuccessful stadia in South Africa have atmosphere i.e. spectator seats are close to the pitch

New Green Point Stadium Design Status

Lower Stand Middle Stand Upper Stand

Approx. 23.000

26 rows

Approx. 22.000

22 rows

Approx. 9.000

9 rows

Approx. 16.000

Max 21 rows

Architectural Design Stadium Organisation of Functions

SeatingTemporary Upper Stand

Architectural Design Stadium Organisation of Functions

Functions grand standBussiness club

Architectural Design Stadium Perspectives option B

ENGINEERING CONSIDERATIONSCivil Engineering services sufficient capacity to accommodate stadium requirementsElectrical Engineering – substantial upgrading required to provide bulk capacityRenewable energy plannedSound geotechnical conditionsTIA completed80/20 public-private transport targeted integrated with innovative non-motorised transport & inner city transport upgradeWater wise utilisation planned

STADIUM COST

Cost Item Stadium Retractable Roof

Podium inc ancillary facilities

FIFA Precinct (220,000m) Total

Stadium/Soft/Roof/Podium FIFA Precinct 1,582,000,000 90,000,000 211,863,000 76,368,500 1,960,231,500010 Overlay 36,650,000 36,650,000

FF & E 87,000,000 87,000,000Demolitions 8,000,000 8,000,000Civil Bulk Wet Services 36,791,000 36,791,000Electrical Bulk Supply 32,250,000 32,250,000Builder’s Work- BulkServices 5,178,000 1,814,000 6,992,000Sub-Total 1,787,869,000 90,000,000 211,863,000 78,182,500 2,167,914,500Escalation (May 2009 –0%)

357,574,000 18,000,000 42,373,000 15,637,000 433,584,000

Sub-Total 2,145,443,000 108,000,000 254,236,000 93,819,500 2,601,498,500Contingency 160,908,000 8,100,000 19,068,000 7,036,000 195,112,000Sub-Total 2,306,351,000 116,100,000 273,304,000 100,855,500 2,796,610,500Professional Fees 438,207,000 22,059,000 51,928,000 19,163,000 531,357,000otal 2,744,558,000 138,159,000 325,232,000 120,018,500 3,327,967,500

FINANCIAL MODELLINGBase Scenario

Variety of special soccer and rugby matchesInternational football and rugby matches

High ScenarioWestern Province Rugby moves to GPSAll rugby matches at GPSInternational football & rugby matches

Low ScenarioCurrent levels of football attendanceOnly special football matches – no rugby

Stadium financial viability proved on all three scenario’sCalls for proposals from Stadium Operators

MACRO ECONOMIC ANALYSISStadium construction highly significant stimulus to a variety of sub-sectorsInfrastructure led growth – contribution to ASGISAEmployment :

Direct job opportunities during construction: 3600Temporary job opportunities during construction: 920

Increases in local production GGP: highly significant during constructionIncreased Tourism will result in extensive contributions in GGP post 2010Skills developmentSMME development & involvement in construction & supply programsImproved service culture

SOCIAL IMPACT ANALYSISThe benefits accruing from the provision of the stadium outweigh the disadvantages by farPotential Benefits include:

Longer exposure to world media & television audiencesLonger exposure results in associated benefits to hotels, restaurants and tourism related establishmentsInvolvement up to semi-final will ensure that the best teams would be based in Cape TownThe World Class stadium will be a resource to the CityExperience with large international sporting events with concomitant unique nation building and national prideDevelopment of a dynamic environment

PUBLIC VIEWING FACILITIESDecentralised viewing areasSpread across the CityOne venue needs to be near the centre (FIFA Requirement)Venues to be provided with large screens, tents, services and security & entertainment26 Venues to cater for large groups of 2000 to 250 000 people presented in business planOpportunity to overlay Public Viewing requirements with Cities award winning “Dignified spaces program” to leave lasting public spaces

ICTIncluded under ICT:

FloodlightingCCTV SystemMATV SystemsSound reinforcementVA SystemsAccess Control SystemsTicketing SystemsVideo Screens and camera’s

TRAINING VENUESTo create a legacy for soccer in Cape TownStrategic spread of venues Will serve in future as regional facilitiesApproach support IDP with respect to Integrated Human Settlements, Access and Mobility and the Building of Strong communitiesVenues:

Athlone Stadium, Bellville Stadium, Swartklip Sport Complex, Blue Down Stadium

Forthcoming audit on province wide base camp venues in district municipalities

Summary of Costs

Stadium (All inclusive) R 3 327 965 500

Infrastructure R 273 000 000

Practice Venues R 356 600 000

Public Viewing (30%) R 113 175 000

ICT TBC

City Contribution to 2010 World Cup Project: R400 Million

Depending on final equitable share, Province to contribute

Architectural Design Stadium Perspectives option B

Provincial Workshop held –in August

Meeting planned with District Municipalities in September 2006

SAFA WP will present opportunities

•9 District Municipalities

•Base Camp requirements

•Accommodation requirements

•Sports Facilities requirements

•District Municipality forums

Transport

Strategic Transport ObjectivesUse Travel Demand Management measuresMinimise permanent parking provision near StadiumUtilise reasonable walking distance along Riebeeck & Somerset Roads from Cape Town Railway Station, Golden Acre Bus Terminus and Station Deck Taxi TerminusUse of shuttle services from refurbished Cape Town Station area and remote parking areas

Granger Bay Boulevard:Alignment Options

ERF 1253

ERF 1536

ERF 1056

ERF 1252

ERF 1056

ERF 1955

ERF 149294

ERF 1559

ERF 149294

LOC Marketing Programs:Preliminary Draw Bid Proposal

DRAW HALL ACTUAL EVENT

Major Dates7 Feb

Green Point Stadium is announced

20 July

Alternative Site Study confirms Green Point Stadium

31 July

Business Plan to be submitted to National Treasury/LOC/ DBSA

1 Aug

Presentation to LOC re: Venue for Preliminary Draw

Visit by MATCH

30 Oct

Detailed Business Plan

31/10/06

Oct

FIFA inspection

Nov

National Adjustment Budgets & Release of Stadiafunding

JanSept

EIA

ROD

Construction Commences

Construction Tenders

Operator Tenders

Critical Success factorsHost City needs to know what it wants …. Strategic alignmentDistinctive appeal & brandObjectives, leadership, roles & responsibilitiesPartnership between sectors & governmentPolitical support, clear communications constituenciesLocal community support, involvement, ownership & acceptanceImaginative use of city geography and historyRobust monitoring and evaluationAdequate resourcing, Long-term perspective planningLower operational and infrastructural costs

Under-utilized trained labour resources

Sustainability

Appointment of a senior manager to manage legacy

Thank you, Enkosi, Dankie