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Detailed Project Report PROJECT REPORT GOVERNMENT OF KARNATAKA INITIATIVE DEVELOPMENT OF SNOW PARK IN BANGALORE TOURISM PROJECTS FOR INVESTMENT OPPORTUNITIES INVEST KARNATAKA 2016 January 2016

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Detailed Project Report

PROJECT REPORT

GOVERNMENT OF KARNATAKA INITIATIVE

DEVELOPMENT OF SNOW PARK IN BANGALORE

TOURISM PROJECTS FOR INVESTMENT

OPPORTUNITIES

INVEST KARNATAKA 2016

January 2016

Development of Snow Park in Bangalore

GOVERNMENT OF KARNATAKA INITIATIVE

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Table of contents

1. Introduction ....................................................................................................... 4

1.1 Background .............................................................................................................................. 4

1.2 Objectives ................................................................................................................................ 4

1.3 Approach and Methodology .................................................................................................... 5

2. Overview of Bangalore City ........................................................................... 8

2.1 Advantage of Bangalore........................................................................................................ 10

2.2 Demography & Population Growth ....................................................................................... 12

2.3 Rise of the Middle Class ......................................................................................................... 13

2.4 Regional Connectivity ............................................................................................................ 15

2.5 Weather and Climatic Influence ............................................................................................ 15

2.6 Infrastructure Initiative .......................................................................................................... 16

2.7 Tourist Footfall ....................................................................................................................... 17

2.8 Need of the Project ................................................................................................................ 17

3. Amusement Parks Scenario ........................................................................ 18

4. Project Concept ............................................................................................... 23

4.1 Tourism Policy ........................................................................................................................ 23

4.2 Project Component ................................................................................................................ 23

4.3 Project Drivers ....................................................................................................................... 25

5. Suggested Project Location ......................................................................... 26

Road Infrastructure: .......................................................................................................................... 26

Proposed Development: ................................................................................................................... 28

6. Project Implementation Structure ........................................................... 26

5.1 Proposed Implementation Framework ................................................................................. 31

5.2 Types of Private Sector Participation Framework ................................................................. 31

5.3 Recommendation .................................................................................................................. 36

7. Project Financial Viability Analysis ......................................................... 38

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List of Tables

Table 1: Overview of Bangalore City ....................................................................................................... 9

Table 2: Urban Branding of Cities ......................................................................................................... 12

Table 3: Urban Household Annual Household ...................................................................................... 13

Table 4: Urban Branding of Cities ......................................................................................................... 14

Table 5: Weather & Climatic Influence in Bengaluru ............................................................................ 16

Table 6: Annual Tourist Footfalls (2014 Tourist Data) .......................................................................... 17

Table 7: Categorization of Amusement Parks in India .......................................................................... 21

Table 8: Comparative analysis of Project Implementation Options ..................................................... 30

Table 9: Base Construction Cost ........................................................................................................... 38

Table 10: Project Cost ........................................................................................................................... 39

Table 11: Details of Snow World Hyderabad ........................................................................................ 39

Table 12: Entry Fee Details of Snow Park ............................................................................................. 40

Table 13: Utilization of Games Facility .................................................................................................. 40

Table 14: Revenue from FEC ................................................................................................................. 41

Table 15: Retail area details .................................................................................................................. 41

Table 16: Capacity of Snow World ........................................................................................................ 45

Table 17: Pricing considerations ........................................................................................................... 46

Table 18: Facilities at Mall of Emirates, Dubai ...................................................................................... 48

Table 19: Admission Prices ................................................................................................................... 52

List of Figures

Figure 1: Approach to the study ............................................................................................................. 6

Figure 2: SEC Share across Cities ........................................................................................................... 12

Figure 3: Income Groups across Major Cities in India .......................................................................... 14

Figure 4: Proposed Project Implementation Plan ................................................................................. 31

Figure 5: Location of Snow World, Hyderabad ..................................................................................... 43

Figure 6: Location of the Mall of Emirates ............................................................................................ 47

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1. Introduction

1.1 Background

Department of Tourism (DoT) Government of Karnataka (GoK) is determined to boost

the tourism industry in the state. The Tourism Sector has been identified as one of the

key sectors propelling the country’s economic growth. Karnataka State has been

ranked as the 3rd preferred destination among domestic tourists in the tourism sector.

Karnataka’s thriving economy has created many opportunities across the State in the

last decade.

For GoK, the tourism sector constitutes a real priority because it is an important sector

for the generation of employment, therefore various initiatives are been undertaken

with the involvement of all stakeholders, both public and private, that will foster a

more favourable environment for the development and consolidation of the tourism

sector. One of the initiatives in this direction is the formulation of Karnataka Tourism

Policy for 2015-20.

GoK intends to encourage the investors to invest in the tourism sector. A host of

incentives and concessions are provided to the investors in tourism sector, in the New

Tourism Policy for 2015-20. A large emphasize has been laid on enhancing hospitality

services and standards, promoting innovative developments and rejuvenation of older

tourist attractions, with the aim of offering visitors the experience that will

commensurate with higher expectations.

With this background, DoT has prepared a shelf of Project Reports of potential tourism

projects which could be undertaken for development along with collaboration with the

Private sector. Development of Snow Park in Bangalore is one of the projects identified

for development.

Games offered at snow parks provide a unique experience which people living in

tropical climates (Karnataka) do not experience. Snow Parks offer snow setting for

skiing, snowboarding and tobogganing or just playing in the snow. Snow Parks are

present in Dubai, Singapore, Malaysia and in India at Delhi and Hyderabad.

1.2 Objectives

GoK intends to develop the Snow Park in Bangalore to:

i. Provide an unique experience to the tourists

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ii. Attract footfalls, encourage extended stays and provide a wholesome

experience to the tourists.

iii. Encourage entrepreneurship and livelihood opportunities for the locals.

iv. Encourage and promote Private Sector Participation in the development of

tourism sector.

Department of Tourism, Government of Karnataka, the agency responsible for

promoting tourism in Karnataka has been at the forefront in attracting large number

of tourists to the state and branding Karnataka as a tourist destination.

The Unique Selling Proposition of Karnataka Tourism is that it is a “Mini Incredible

India” in its tourism offerings. One state encompassing the spectrum of many worlds

of tourist interest in one state – be it the heritage and pilgrim centres of the old world,

or the Hi-tech IT and Bio-tech of the modern world or the adventure sports of the new

world. At one end it is recognized as the “Cradle of stone architecture” of the old

civilization and contrastingly on the other, as the “Silicon Valley of India” of the

modern e-civilization.

The Tourism Policy 2015-20 would act as a catalyst to promote development of

tourism infrastructure and related facilities without straining the budget of the state.

The utmost importance would hence be given to the developments under Public

Private Partnership (PPP) framework. One of the thrust areas of the afore-mentioned

policy is the development of Theme and Entertainment Parks/ promoting adventure

sports and creating high-end accommodation through various public-private

partnership (PPP) frameworks in Bengaluru and other places in Karnataka.

One of the key initiatives of DoT in the regard is to explore the possibility of setting up

of a large, multi-attraction, integrated theme park in a suitable location near

Bengaluru on a Public Private Partnership (PPP) basis on the lines of large international

theme parks like Disneyland, Six flags, Universal Studios etc.

1.3 Approach and Methodology

The Approach to the entire assignment is depicted in the flow chart below. The

detailed analysis and inferences drawn at each stage have been covered in detail in

the each of the following sections.

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The overall framework for the assignment is explained in the chart below. The

assignment would involve five key activities

i. Assessment of the amusement park industry would involve the following tasks:

Overall trends, analysis, key drivers and market share analysis including key sub-

sectors.

Economic advantage, key infrastructure requirement, revenue spinner effect, etc.

SWOT analysis for ‘leisure & entertainment’ sector

Existing and proposed investments in the sector.

Review of case studies of similar snow parks established in India and abroad, to

arrive at the activities, components, footfalls, prices points and other key success

drivers for the Project.

Assessment of the Amusement

Park Industry in India /

Bangalore

Profiling of target population &

quantification

Case studies of snow

parks & theme parks

in the region

Assessment of demand,

infrastructure & support facilities

Design Standards &

Development Control

Regulations

Technical Specifications

Bid process management for

selection of a private developer /

operator for the Project

Discussions with key

amusement park

operators

Preparation of tender documents

for inviting tenders on a PPP

framework

Activities,

components,

footfalls, price points

& key learning points

Figure 1: Approach to the study

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ii. Profiling of target population & quantification would involve the following tasks:

Identification of target population for the proposed Project.

Definition of criteria for quantification of target population for mid-term (7-10

years) and long term (10 years and above).

Profiling of target population according to an appropriate system (including SEC).

iii. Assessment of demand, infrastructure & support facilities would involve the

following tasks:

Identification of various normative standards for quantifying the demand.

Demand estimation, scenario analysis and indicative pricing points.

Infrastructure support required to realize the demand.

Potential market share for the proposed Project.

iv. Preparation of tender documents for inviting tenders on a PPP framework would

involve the following tasks:

Listing of key development regulations applicable for amusement / theme parks.

Minimum design and safety standards.

Preparation of technical schedules.

v. Bid process management for selection of a private developer / operator for the

Project would involve the following tasks:

Marketing of the Project to potential developers / operators of amusement parks.

Assistance in conducting the pre-bid meeting including drafting clarifications to the

queries raised by the bidders.

Evaluation of the bids received.

Assistance in negotiations and signing of contractual documents with the selected

bidder

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2. Overview of Bangalore City

Karnataka State comprises of 30 districts and has been classified into four divisions

namely Bangalore, Belgaum, Gulbarga and Mysore Divisions.

Bangalore, the capital city and the largest city of Karnataka State is popularly known as

the ‘Silicon Valley of India’ and has come to be one of Asia’s fastest growing cities since

emergence of the IT-ITeS industry. Karnataka itself is globally known for its vibrant

economy and investment potential.

Being a major industrial and commercial center of the country, Bangalore is also the

nerve center of India’s software industry and is well connected domestically and

internationally, thus attracting people from all over the country and beyond for

meetings, seminars, conferences and exhibitions. It is home to some of the most high

tech industries, IT organizations and some of India’s premier scientific establishments.

Bangalore is regarded as a high-tech city with offices or development centers of a

number of mega software companies having wholly owned subsidiaries or joint

ventures including IBM, Hewlett-Packard, Texas Instruments, Oracle, Novell, Fujitsu,

and Digital Equipment. Bangalore is also headquarters to a large number of Indian

software companies. Bangalore produces more than 35 percent of all software that

India currently exports. In a short time, Bangalore has experienced rapid growth and

international recognition in the field of software development. This has resulted in

placing the city at a promising position in the international market for software.

Bangalore is home to over 688 multinational companies, out of which 87 are from the

Global Fortune 500 companies. Sustained efforts of both the Government of India and

the Government of Karnataka in the last five decades have resulted in Bangalore

becoming a major industrial and commercial hub in Asia.

With over 103 Central and State research and development institutions including the

Indian Institute of Science (ranked as the 18th globally), National Law School of India,

69 Engineering Colleges, world class health care facilities/medical colleges and

institutions, and a host of other institutional infrastructure, Bangalore is a much

sought after destination for trade, commerce and industry. Bangalore is even gaining

the status of the ‘Floriculture Capital’ due to the present boost of the flower export

from the city. Due to the rich stone resources Bangalore is also known as the ‘Stone

City’, especially for its granite deposits. The salient features of Bangalore City are

presented in the table below.

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Table 1: Overview of Bangalore City

Aspect Details

City Bangalore

Population (2011 Census) 8.52 Million

Area Municipal Area (BBMP): 741 sq. km

Planning Area (Bangalore Development Authority): 1,307

sq. km

Development Area (Bangalore Metropolitan Regional

Development Authority): 2,190 sq. km

Geographic Location 770 37’ E Longitude and 120 8’ N Latitude.

Elevation: 920 m above the mean sea level.

Connectivity and Linkages Air: The city has an international airport with regular flights

from & to important destinations both in India and abroad.

Bangalore International Airport started its operations of

Phase 1 in April 2008.

Road: The city is strategically located on NH-4 (Chennai-

Bangalore-Pune), NH-7 (Bangalore-Hyderabad), NH-48

(Mangalore), NH 207 (Chikaballapur), & NH-209

(Coimbatore) and State Highways to other cities in the

State.

Rail: The city has three railway stations, viz. Central,

Cantonment and Yeshwantpur. The city is well connected

to all major Indian cities by rail network.

Climate Tropical climate

March to May (warmest months)

December to February (coldest months)

July to September (rainy - southwest monsoon)

November to December (rainy - northeast monsoon)

Temperature Highest maximum temperature of 33o C

Lowest minimum temperature of 14o C

Languages Regional language: Kannada

English, Hindi, Telugu and Tamil are widely spoken and

understood.

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Aspect Details

City Administrator Greater Bangalore Municipal Corporation (Bruhat Bangalore

Mahanagar Palike)

City Functions Administrative Capital, IT capital of the country

Distance of International

Airport from CBD

35.0 km

Key Advantages of

Bangalore

Availability of world class skilled manpower

Location advantage - good connectivity and linkages

Salubrious climate

Reform oriented governance

Cosmopolitan culture

Excellent social, education & health facilities

Telecom connectivity

Presence of multinational companies

Fastest growing city in Asia and availability of ‘Grade A’

properties

Source: Jones Lang LaSalle Report 2010

Apart from the industrial importance, Bangalore city also has few other characteristics

such as a cosmopolitan culture, higher spending capacity, large percentage of young

population and existence of International airport all of which together promote

Bangalore as an idyllic place to develop entertainment and amusement parks.

Developing a snow park will be very constructive to attract more domestic and

international tourists in the city. Snow Park will also act as a weekend destination for

the city – dwellers.

2.1 Advantage of Bangalore

Karnataka has one of the highest per capita (Rs 5,217) plan expenditures in the

country and there has been a continuous increase in the share of plan expenditure (42

per cent) in total expenditure in the state. The Economic Survey of Karnataka

estimated its Gross Domestic Product (GDP) at constant prices to grow by about 8.2

per cent during 2010-11, driven by higher growth in primary and tertiary sectors. The

per capita Net Income (per capita NSDP at factor cost), at current prices, is estimated

at Rs 60,000 for 2010-11 as against Rs 51,858 for 2009-10, which brings the growth in

Development of Snow Park in Bangalore

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per capita net income at 15.7 percent during 2010-11 as against 12 per cent during

previous year.

Karnataka has been repeatedly show-cased as:

Manufacturing hub for leading Auto & Auto components

Global outsourcing hub for IT & ITES

Preferred destination for outsourcing of IT projects/product design & development

Home for Drug discoveries & Biotech clusters

Leader and pioneer of BT Revolution

Base for several international apparel brands for various international brands like

Tommy Hilfiger, NIKE, GAP, Wal-Mart

Aero-space hub and base (Bengaluru) for aviation majors such as HAL, NAL, GE,

Honeywell, Rolls Royce

Base for oil and gas majors – MRPL (ONGC), excellent connectivity to Ports

The state has had many pro active developments indicating willingness of the

governance in showcasing Karnataka as the preferred state. Some of the statistics

which support this understanding are listed below;

The State Level Single Window Clearance Committee approved 378 industrial

projects with an investment of Rs 6,087.37 crore with an employment potential of

1.03 lakh. The High Level Clearance Committee cleared 130 mega projects with an

investment of Rs 1,46,566.89 crore, which has potential to create 4.63 lakh jobs.

The Global Investors Meet held on June 3-4, 2010 attracted investment of about Rs

4, 73, 000 crore and with an employment potential of 85,000 new jobs.

Karnataka's exports in 2009-10 amounted to about Rs 1,42,871.41 crore, which

accounted for 13.3 per cent of the country's exports indicating the increased

inflows

During 2010-11, Karnataka created 283.72 lakh person days employment

compared to 278.22 lakh person days in the previous year indicating the improved

employment levels in state.

The tourist flow into the state has steadily increased from 2.52 crore in 2005 to 3.32

crore in 2009, which indicates a growth of 16 per cent. There are various measures by

DoT to further enhance the tourism sector as discussed earlier. There have been

various initiatives such as Master Planning of Heritage areas, creation of Tourism

circuits, focus on improving infrastructure and encourage entrepreneurs for

construction of hotels with concession on loans and VAT exemption provided.

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0%

10%

20%

30%

40%

50%

60%

70%

80%

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SEC A SEC B SEC C SEC D SEC E

2.2 Demography & Population Growth

One of the most attractive employment destinations in the country over the last

decade, Bengaluru's population has grown by 46.68 per cent between 2001 and 2011,

up by nearly 12% over the growth rate of 35 per cent in the previous decade. The

City’s decadal growth rate is the highest among all the metros in the country. Indeed,

at 36.35 per cent, over a third of Karnataka’s population increase in the last decade

has happened in Bengaluru.

Bengaluru city's population is growing faster than ever before and by the end of the

year its head count is likely to cross the one-crore mark. The city's population stands at

9,588,910, according to provisional Census 2011 data released. (Source:

censusindia.gov.in)

Bengaluru also has one of the highest SEC A & B population (33%) across the major

cities in India. The graph illustrates the socio-economic categorization carried out by

City Skyline.

Table 2: Urban Branding of Cities

Cities SEC A SEC B SEC C SEC D SEC E SEC A&B

Ahmedabad 14% 16% 28% 26% 16% 29%

Figure 2: SEC Share across Cities

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Cities SEC A SEC B SEC C SEC D SEC E SEC A&B

Bengaluru 18% 15% 29% 24% 14% 33%

Chennai 16% 15% 27% 26% 16% 31%

Delhi 8% 20% 23% 24% 25% 28%

Hyderabad 15% 18% 22% 26% 19% 33%

Kolkata 16% 15% 19% 23% 27% 31%

Mumbai 15% 20% 28% 25% 12% 35%

Pune 11% 14% 29% 28% 18% 25%

Source: City Skyline

2.3 Rise of the Middle Class

Bengaluru also has a significant population (68%) across the major cities in India, who

have income levels more than INR 150,000 per annum. The graph illustrates this

categorization carried out by City Skyline.

Table 3: Urban Household Annual Household

Cities < INR 75k

INR 75k-

INR150k

INR 150k-

INR 300k > INR 300k Above 150k

Ahmedabad 0.3% 12% 37% 50% 87%

Bengaluru 10% 23% 37% 31% 68%

Chennai 5% 18% 30% 47% 77%

Delhi 2% 7% 46% 46% 91%

Hyderabad 3% 19% 48% 30% 78%

Kolkata 8% 25% 26% 40% 67%

Mumbai 1% 6% 42% 52% 93%

Pune 11% 30% 23% 36% 59%

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0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Ahmed

abad

Banga

lore

Chenn

aiDelh

i

Hyder

abad

Kolkat

a

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Pune

% o

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< INR 75k INR 75k- INR150k INR 150k- INR 300k > INR 300k

The table below shows the broad urban branding of Indian Cities. Interestingly no city

has entertainment tagged and Bengaluru could take first mover advantage and

capture the title of entertainment capital of India, if it decides that it would like to

establish itself as a major tourism destination in Asia.

Table 4: Urban Branding of Cities

Cities Urban Branding Cities Urban Branding

Mumbai Financial and

Entertainment Capital

Bhubaneshwar Emerging IT Hub

New Delhi Political Capital Guwahati Education Hub

Bengaluru Silicon Valley of India Jamshedpur Industrial Hub

Chennai Established IT Hub &

Detroit of India

Ludhiana Industrial Hub

Hyderabad Established IT Hub Nashik Emerging Industrial Hub

Gurgaon Established IT &

Industrial Hub

Patna Emerging Education &

Agriculture Hub

Noida Established IT Hub Kochi Emerging IT Hub

Kolkata Gateway to East Nagpur Education Hub

Pune Established IT & Indore Commercial & Industrial

Figure 3: Income Groups across Major Cities in India

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Cities Urban Branding Cities Urban Branding

Automative Hub Hub

Ahmedabad Commercial Hub in the

West

Jaipur Tourism Hotspot

Chandigarh Emerging IT Hub Surat Diamond Capital of India

Coimbatore Emerging Industrial

and IT Hub

Vishakapatnam Emerging IT & Logistics

Hub

2.4 Regional Connectivity

Bangalore city is well – connected via Air, Rail and Road way. Bangalore city railway

station and Yeshwantpur Railway Station are the main railway stations serving the city

– dwellers, connecting the city with the rest of the country. Bangalore comes under

the South – Western Railways section of the Indian Railways.

Presently the State owned run buses as well as private tour operators also run buses

and luxury buses to all parts of the city and connecting Bangalore to other cities like

Bijapur, Hubli, Dharwad and Belgaum. The main bus depots are Kempegowda Bus

Station, Shantinagar Bus Depot and Shivajinagar Bus Depot. The NICE ring road which

is intended to connect Bangalore with Mysore, is also connecting the city with other

major towns namely Srirangapattana, Pandavapura, Mandya, Maddur,

Channapattana, Ramanagara, Kengeri etc. As mentioned earlier, the city is

strategically located on NH-4 (Chennai-Bangalore-Pune), NH-7 (Bangalore-Hyderabad)

and NH-48 (Mangalore). Many state highways connect the State Capital City to other

cities in the State.

Bangalore is vey well – connected to all major global destinations via air transport

services. The city has an international airport with regular flights from & to important

destinations both in India and abroad. BIA started its operations of Phase 1 in May

2008.

Considering the inflow of tourist population in Karnataka and especially in Bangalore,

developing a snow park with high entertainment value will attract high revenue.

2.5 Weather and Climatic Influence

Weather is a major influence factor in any entertainment destination across the world.

The following table indicates the advantages of Bengaluru on this factor.

Development of Snow Park in Bangalore

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Table 5: Weather & Climatic Influence in Bengaluru

Climatic Zones It is seen that the state has a warm climate. Bengaluru

has a pleasant climate owing to the elevation over sea

level

Basic Wind

Speed (Based

on the 50 years

Return Period)

It is seen that the state and Bengaluru has moderate

wind speeds. This is of great importance particularly

in the design and safety of high rides.

Average

Thunderstorm

days in a year

It is seen that Bengaluru has a few number of thunder

days in a year. This is of particular importance for

large amusement parks with a significant number of

outdoor rides.

Seismic Zone Bengaluru and the majority of Karnataka fall in Zone

1. Thus the chances of major earthquakes are minimal

and design parameters would minimal.

2.6 Infrastructure Initiative

There are various proactive measures taken up by the GoK in augmenting & expanding

the region in terms of physical infrastructure and developing major infrastructure

projects to encourage overall economic development.

The under – construction NICE road is 111 km long and connects two important cities

of Karnataka i.e, Bangalore and Mysore, touching various cross sections of state and

national highways. The NICE road is expected to impact the city connectivity scenario

majorly as it connects Electronics City, Bannerghatta Road, Magadi Road, Madiwala

and other strategic locations. The Bangalore – Mysore Infrastructure Corridor is also

getting developed along NICE and is expected to bring in various commercial and

tourism zones along it.

One of the largest infrastructure projects which will be witnessed by Bangalore city –

dwellers in the upcoming years is completion of construction of Bangalore Metro

Project. This is another project which is expected to impact the city transportation

majorly. Apart from these, widening of Sarjapur Outer Ring Road connecting it to the

peripherial ring road and several elevated expressway at various junctions of the city

will definitely improve the connectivity further.

The completion of the above mentioned projects will have significant impact on the

regional and economic development of the region as well as it will induce more no. of

tourist population.

Development of Snow Park in Bangalore

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2.7 Tourist Footfall

Tourist destinations in Bangalore together experience nearly 1.75 crores of annual

tourist footfalls throughout the year.

Table 6: Annual Tourist Footfalls (2014 Tourist Data)

District Tourist Destinations Domestic International Total

Bengaluru

(Rural)

Ghati Subramanya 10,86,257 0 10,86,257

Tippu Birth Place &

Fort Devanahalli 3,78,914 0 3,78,914

Shivagange 8,18,449 0 8,18,449

Bengaluru

(Urban)

Lalbagh 36,85,517 14,148 36,99,665

Viveshwaraiah

Museum 21,99,195 576 21,99,771

Bannerughatta

National Park 48,69,395 591 48,69,986

Iskcon Temple 39,00,879 35,000 39,35,879

Tippu Palace 3,91,365 20,000 4,11,365

Bangalore Palace 1,55,192 3,942 1,59,134

Total

1,75,59,420

Thus, the average tourist footfall in Bangalore will be 11 lakhs. Taking into account

that nearly 50% of the total number of tourists would visit the newly developed snow

Park, the annual tourist footfalls of the project would be nearly 6 lakhs.

2.8 Need of the Project

i. Lack of entertainment parks in and around the city meeting the increased demand.

ii. Need to boost up the Tourism Industry in Karnataka through designing such

medium and large scale entertainment parks.

iii. Rising middle class & Increased Affordability throughout the state.

iv. Providing a new and unique experience to the visitors.

v. Expected Increase in Tourist Footfalls in the city.

vi. Encourage livelihood opportunities for the local population.

Development of Snow Park in Bangalore

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3. Amusement Parks Scenario

Amusement Park and Theme Park are terms

for a group of rides and other

entertainment attractions assembled for

the purpose of entertaining large numbers

of people. An amusement park is more

elaborate than a simple city park or

playground, usually providing attractions

meant to cater to children, teenagers, and

adults alike.

Amusement parks evolved in Europe from fairs and pleasure gardens which were

created for people’s recreation. The oldest amusement park in the world (opened

1583) is Bakken, at Klampenborg, north of

Copenhagen, Denmark. In the United

States, world's fairs and expositions were

another influence on development of the

amusement park industry.

Most amusement parks have a fixed

location, as compared to traveling funfairs

and carnivals. These temporary types of

amusement parks are usually present for a

few days or weeks per year, such as funfairs in the United Kingdom, and carnivals

(temporarily set up in a vacant lot or parking lots) and fairs (temporarily operated in a

fair ground) in the United States. The temporary nature of these fairs helps to convey

the feeling that people are in a different place or time.

In common language, Theme Park is often used as a synonym for the term

'Amusement Park'. A 'Theme Park' is actually a distinct style of amusement park, for a

theme park has landscaping, buildings,

and attractions that are based on one or

more specific or central themes.

Like any other developing country, India

has also undergone rapid urbanization

resulting in higher population and high

income levels in urban areas. Due to

increase in income levels, the consumers

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have more disposable income, part of which they would like to spend on recreational

and leisure activities. With more people traveling abroad and experiencing theme

parks like Disneyland, a need for India’s own amusement park was felt in 1980’s. As a

result of this, Appu Ghar, India’s first amusement park was set up in 1984 that tried to

fulfill the latent demand for entertainment and theme parks.

With the success of Appu Ghar, more amusement parks started coming-up mainly in

the outskirts of the cities like Essel World in Mumbai, Fun ‘n Food in Delhi and Nicco

Park in Kolkata. But today after around twenty-five years since its inception, the

industry is still not at par with its global counterparts. The amusement parks in India

still lack the driving force to attract visitors on a standalone basis. Also, in some

growing cities, despite the willingness to pay for the entertainment destinations, no

significant products have been introduced. Thus there is a tremendous scope for

amusement and theme park industry in India.

Family Entertainment Center (FEC) is another developing concept in the entertainment

industry which started coming up in India with the advent of Mall and Multiplex

culture. Providing for wholesome indoor entertainment experience to kids and adults,

FECs can be seen both as a standalone entity and as part of malls, multiplex and

amusement parks. They target indoor amusement like video games, simulators,

miniature golf, bowling alley, pool/snooker, bumping cars, kids play stations etc.

3.1 Evolution of Amusement Parks – Globally

Global amusement park industry has had a long evolutionary history. Tracing its origin

to pleasure gardens of medieval Europe which provided line entertainment using

rides, games, music and fireworks, the industry got its modern form in US in the late

19th century. The formation of Disneyland in 1955 led to the start of the theme park

era, which changed the landscape of global amusement park industry.

The global amusement parks can be categorized into destination resorts, regional

parks and local parks, based on their target audience and products:

i. Destination Resorts

These include themed dry & wet

rides and other attractions along

with facilities for on-site

accommodation. These parks act

as resorts attracting both

domestic and international tourists and command high ticket prices. Examples of such

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resorts include Disneyland Resort, Sentosa Resort and Genting Resort.

ii. Regional Parks

These parks offer rides and

attractions and on-site

accommodation facilities on a

smaller scale. The visitor

catchment area of such parks is

normally 300-400 km and the

ticket prices are usually less than

the destination resorts.

iii. Local Parks

These parks offer rides and attractions but do not provide accommodation facilities.

They mostly target providing entertainment for a day’s trip. In terms of footfalls,

amusement and theme parks in North America record the highest visitors, followed by

Asia-Pacific, Europe and Latin America. In 2008, the top 25 amusement parks in the

world accounted for a total footfall of 186 million. The amusement and theme parks

across the world offer ancillary services including hospitality, restaurants, retail malls,

souvenir shops, shopping outlets, live entertainment like cinemas/concerts, sports like

gym/golf course and conveniences like parking/ATMs etc.

3.2 Evolution of Amusement Parks – Indian Scenario

The domestic amusement park industry is estimated to grow at 10% per annum.

Currently the Indian amusement industry is approximately Rs. 4,000 crore and the

leisure industry expects fresh investment of Rs. 10,000 crore by the year 2020. Global

leaders in entertainment parks and attractions are mulling over investments of billions

of dollars in India considering the vast potential in the region. Appu Ghar in New Delhi

was the first amusement park to be set up in India in 1984. Since then, the industry

has grown to more than 120 parks across the country (about 70% being amusement

parks and the remaining being water parks).

The amusement park industry in India is dominated by parks operated by

corporations. After Appu Ghar, opened by International Amusement Limited (IAL),

several other players have entered the market. These include Essel World, Nicco Park,

Veegaland by V-Guard Industries etc. Several more amusement parks have been

opened by IAL also that include Adventure Island - the first integrated amusement

park and Mall - and Worlds of Wonder.

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The industry has also seen the emergence of amusement park equipment

manufacturers and suppliers like Hindustan Amusement Machines, Arihant

Amusement Manufacturers, Bombay Amusement Rides, Wonderla Rides etc.

Since the inception of India’s large amusement parks like Essel World, several theme

parks have also opened. These include Kishkinta, Ramoji Film City and Ocean Park. The

number of theme parks is still considerably low. There has also been development of

integrated resorts with several ancillary facilities like hotels, retail outlets and

convention centers along with the theme park rides. Some of these resorts include

Worlds of Wonder in New Delhi, VGP Universal Kingdom in Chennai and Ramoji Film

City in Hyderabad.

India has also witnessed growth in Family Entertainment Centers (FECs). This segment

gained momentum in mid-2000s with the mall revolution. Today, FECs have become

an integral part of the malls, multiplexes & amusement parks across the country.

Average size of these FECs is around 2000 to 10000 sq ft which is lower as compared

to global FECs. The leading operators of FECs in India remain few. These include

Timezone, PVR Blue-O, Jammin Creations and Orama.

Amusement parks and theme parks in India can be categorized into three major

groups namely, large parks, medium parks and small/local parks. This categorization is

done on the basis of the park’s size and target segment. Examples of these include

Essel World, Worlds of Wonder as large parks; GRS Fantasy Park in Mysore & Fun n

Food Village in Delhi as medium park and Fun n Food Kingdom in Dehradun and Snow

World in Hyderabad as small/local parks.

Table 7: Categorization of Amusement Parks in India

Parameters Large Parks Medium Parks Small Parks

Capex Above Rs.150 crores Rs.20 crores - Rs.150

crores

Less than Rs.20 crores

Area Above 40 acres 10- 40 acres Less than 10 acres

Annual Footfall Above 5 lakhs 3- 5 lakhs Less than 3 lakhs

Average Ticket

Price

(per person)

Above Rs.400 Rs.250 - Rs.400 Less than Rs.200

Attractions / Rides, live shows, Rides, live shows, Rides, food court, live

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Parameters Large Parks Medium Parks Small Parks

facilities accommodation,

convention centers,

food court, retail,

theatres, etc in

metropolitan cities &

outskirts

food court, retail, etc

in tier 1cities &

outskirts of metros

shows, etc Mainly Tier II

cities & small towns.

Also in Tier I cities &

outskirts of metros

Of all the parks in India, only 15% classify as large parks, 30% as medium parks while

the remaining 55% are classified as small parks. Amusement parks can also be

classified on the basis of their concepts.

General trend in the industry shows that amusements parks in India target kids and

youth from middle income segments with occasional promotional offers for the low

income groups. The parks receive visitors mostly from local/primary market with few

visitors from tertiary market as well. The parks get their revenue mainly from entry

tickets and F&B with other, less contributing, sources being rentals and merchandizing.

The amusement park industry in India has grown significantly since its inception.

However, the size, footfalls and revenues are still very low as compared to their global

counterparts. The challenges in front of the Indian amusement park industry still

remain: low per capita income, low consumer willingness to spend, inefficient

infrastructure support, non availability of land and financing issues.

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4. Project Concept

Travel and tourism, the world’s largest industry, is a key driver of economic growth.

Given this background the development of appropriate infrastructure facilities for

promoting tourism would go a long way in developing the state’s economy.

This Section discusses the concept of a Snow Park in the context of the Tourism Policy

of Karnataka and other similar facilities established in India and abroad.

4.1 Tourism Policy

Karnataka Tourism Policy 2015 – 2020 also emphasizes upon undertaking an effort for

developing Projects such as golf courses, cruise tourism, large entertainment studios,

entertainment parks (small, medium and large), cable cars, tourism trains, filmcity,

etc. to cater to different user segments. As per the Policy, various concessions are

incentives are also offered by the GoK for developing projects in tourism sector.

4.2 Project Component

Based on the review of similar snow parks in India and abroad and analysis of the

amusement park industry, the following components are suggested at the proposed

Snow Park in Bangalore:

Components Indicative size / area

Snow Park 20,000 sq.ft

Food Court 3,000 sq.ft

Family Entertainment Center 35,000 sq.ft

Games Arcade 40 units

Bowling 5 alleys

Pool 6 tables

Retail 32,000 sq.ft

The proposed Snow Park would include snow slides, ice bumper cars, snow skiing, ice

skating, ice volleyball, snowboarding, ice carving, tobogganing among other rides.

To make the project financially viable for a private developer / operator, in addition to

the Snow Park a FEC, food court and other entertainment activities such as bowling,

pool, etc are also proposed. For improving footfalls to the proposed park, it is

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suggested that new rides / games / packages and innovations are introduced

periodically and the Snow Park be developed in a phased manner. This would ensure

repeated visits from customers who would like to revisit for newer rides and

entertainment.

The Project could be developed on a land parcel of approximately 5 acres. The facilities

proposed to be developed are detailed out in the table below:

Sl. No Facility Components

1. Snow Park with a built-up

area of 20,000 sq.ft

Would comprise:

Skiing

Snowboarding

Tobogganing hills

Snow caverns

Play area

2. Family Entertainment

Center (FEC) with a built-up

area of 35,000 sq.ft

Would comprise:

Games arcade- 40 units

Bowling – 10 alleys

Pool and snooker tables- 6 tables

Console games- 5 units

Merchandise sales

3. Food court with a built-up

area of 3,000 sq.ft

Easily accessible from the Snow Park and FEC, the food

court should have sufficient capacity to manage the

number of visitors.

4. Retail Area with a built-up

area of 32,000 sq.ft

Would include multiplexes, retail stores etc.

5. Infrastructure Would include landscaping of the Project Site, parking

etc.

Annexure-1 attached gives complete details of the two case studies on similarly

themed Snow Parks in Dubai and Singapore.

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4.3 Project Drivers

The following issues are critical in ensuring the implementation and success of the

Project:

i. Land

The minimum land requirement for the Project would be 5 acres. During preliminary

discussions with KIADB officials, it was indicated that 5 acres in the proposed

Hardware Park in Devanahalli could be assigned for development of the Project. DoT

would need to pursue with KIADB for assigning the required land in the Hardware Park

for development of the Snow Park Project. Availability of land is critical for

commencing the Project development activities.

ii. Location

Location of the Project and its proximity to the city is a key factor for driving footfalls

to the park. A potential site with proper connectivity, closer to the city centre needs to

be identified by DoT.

iii. Infrastructure

The physical infrastructure including roads, water supply, power, etc for the Project

site need to be in place for operationalising the Project facilities and is a key concern

for the private developer / operator as well as for the public intending to visit the

Project. DoT / GoK would need to plan for the basic infrastructure facilities at the

identified Project site prior to commencing the bid process for selection of the private

developer / operator.

iv. Facilities / components

The facilities offered by the Snow Park would need to be carefully planned to provide

something of interest to all age groups. The success of the Project would depend on

the capability of the Park to attract visitors on a continual basis. This would mean that

new rides / products would need to be introduced periodically to sustain the interest

of the visitors to the Park. Attractive package offers, seasonal / non-seasonal offerings

and pricing would be important drivers for the success of the Park.

v. Transportation

To facilitate commute of visitors to the Park, it may be required to provide

transportation facilities to and from the Project site at periodic intervals through the

day.

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5. Suggested Project Location

Considering all the factors mentioned in the earlier chapters, the ideal location for

developing a Snow Park in would be North Bangalore. The supporting analysis of

identifying North Bangalore as the project location is discussed below.

Advantages of North Bengaluru:

Easily available Landbank only in the city.

Airport Connectivity to Kempegowda International Airport.

A cumulative investment of close to Rs. 1,15,000 Cr. worth would develop

northern part of Bengaluru booming with activities.

413 MoUs were signed during Global Investors Meet (GIM) 2010.

With all these investments and proposed development by Government and

Private sector, the required consumer base will be created without difficulty.

Average Tourist Footfalls of Bengaluru City is 89.9 Lakhs (2014 Tourist Statistics).

Thus, the apt location for developing a Snow Park will be North Bengaluru.

Proposed Development in North Bengaluru

IT & ITES

SEZs

Residential

Hospitality &

Entertainment

Aero Industry

Medical Hub

Finance & Business Districts

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Road Infrastructure:

As the airport is 40km (25 miles) outside the city, a new high‐speed rail link, is being

planned to connect the city to the airport. The various road and rail connectivity

means are as follows:

NH‐7 to BIA is 6‐lane divided carriageway. NHAI is in the process of widening the NH‐7

from existing 6‐lanes to 8‐lanes, which can sustain higher traffic due to airport

expansion and expected real estate developments on either sides of the NH‐7.

Bangalore Metro Rail covering a length of around 33 kms spread over the North‐ South

and East‐West Corridors is under construction by Government of Karnataka at an

estimated project cost of INR 64 billion (US$ 1.5 billion).

In order to ensure fast and easy connectivity from Bangalore City Centre to the

International Airport, Hi‐Speed Airport Rail link of around 34 kms from CBD to the

Airport is under development, which will enable passengers to reach the Airport

around 25 minutes. Monorail is also planned for development to serve as feeder lines

to metro lines. Commuter rail system enabled to connect Devanahalli with

Yeshwantpur via Yelahanka.

Figure 4: Existing and Proposed Transit Corridors

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Figure 5: Bangalore International Airport Planning Area - Outline Development Plan

Proposed Development:

The airport is expected to act as regional hub for global connectivity and would

accelerate infrastructure & real estate development in and around the airport. As part

of BIA project, a Special Economic Zone and commercial developments are proposed

within the Airport.

The proposed growth of population and economy as per CDP is expected to generate

high travel demand.

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6. Project Implementation Structure

The mode of implementation of the Project could be either through the conventional

Engineering Procurement Contract (EPC) or through Private Sector Participation. The

choice of the mode of implementation depends on the risks involved in the project

and its sustainability. A conceptual analysis of the two options is set out in matrix

below:

Table 8: Comparative analysis of Project Implementation Options

Parameter EPC Contract Private Sector Participation

Financing To be entirely mobilized by DoT Responsibility for mobilizing

finances for implementation of the

Project would be entirely taken up

by the Developer.

Time and cost

over-runs

Typically, plagued by time and

cost over-runs due to

Procedural inefficiencies

Financial constraints

resulting in delays in

payment leading to frequent

stoppages in work

Time over-runs would result

in changes in the unit-rates

quoted thereby necessitating

protracted negotiations for

finalising revised rates

The Developer is incentivized to

complete the Project execution as

early as possible, since the

Developer can collect rentals from

tenants only after completion of

the Project.

Scrutiny and negotiation of unit-

rates not necessary as entire risk of

Project execution (in terms of

variations in quantities and price)

is taken by the Developer.

Maintenance of

the Project

As the construction contractor is

paid the entire amount upon

completion (or in some cases

after the maintenance period,

which is usually one year after

construction), there is no

financial penalty on him for poor

quality construction which

becomes apparent only after a

period of 1-2 years

The Developer is responsible for

the maintenance of the facility

over the agreement period

(including construction and

operations periods).

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5.1 Proposed Implementation Framework

To undertake development of the Project under the PPP mode, there is a need to

have access to financial resources and expertise in development and operations of

such a facility. DoT intends to utilize such resources available with the private sector

with a view to further its main objective of providing world class family

entertainment destination for the citizens and tourists in Bangalore.

The Project encompasses unique challenges in terms of development risk and

Project sustainability. Considering the factors involved like the requirement of

upfront finances, manpower and associated risks, it is proposed to develop the

Project under Design – Build – Finance – Operate – Transfer (DBFOT) Concession

framework.

The concession period for the Project has been assumed to be 30 years including a

construction period of 2 years. As DoT proposes to develop the Project under a

DBFOT framework, the design, construction, financing and operating responsibilities

would rest with the private developer selected through a bid process. The

implementation structure for the Project would be as indicated in the figure below:

Figure 7: Proposed Project Implementation Plan

5.2 Types of Private Sector Participation Framework

A PPP is a partnership between the public and private sector for the purpose of

delivering a project or a service traditionally provided by the public sector. The

benefits of a PPP are that both parties bring to the project different strengths, and

these strengths can be exploited so as to deliver a superior project in the most

economical and efficient manner. There are various contractual forms of PPP and the

same is explained in the sub-sections below:

i. Lease Contract

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The selected Developer would be responsible for raising finances and carrying out

the construction and development activities and subsequently enter into a lease

agreement with DoT, the tenure of which is determined based on the project

viability. The Developer would pay an upfront ‘premium’ and subsequently lease

rentals to DoT. However, the Developer would be allowed mortgage rights on the

facilities developed (and not on the land). In the event of non-performance in

accordance with the conditions set out under the Lease Contract, DoT could revoke

the lease and re-enter the property.

Merits

The commercial / social space requirement/ objective of DoT fulfilled.

Assured Lease rentals from Developer

Land ownership remains with DoT

Demerits

Lease for long period and success dependent on Developer's commitment

Longer time for development

Mortgaging rights rest with the Developer and the property can be mortgaged to

raise finance. Hence lender can enforce encumbrance on the property.

The bid parameter in this case could be any of the following;

Highest ‘premium’ offered by the Developer

Highest annual lease rental

Lowest lease tenure

ii. Joint Venture Contracts

Joint Venture Contracts is another type of PPP framework by which the Developer is

given ownership rights over a portion of DoT property in return to develop a portion

for DoT which is handed back to DoT after completion of construction.

The Developer is selected for the purpose of developing a specific project and a

development agreement is entered into between DoT and the selected Developer.

The development agreement would be an agreement for the Developer to develop a

specific project for DoT in consideration for a title of the portion of land. Subsequent

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to signing of the agreement, the portion of land to be developed by Developer for

DoT is handed over to Developer for construction. After construction of the project

in accordance with the development agreement, the project reverts back to DoT and

simultaneously the title of the portion of land is transferred to the Developer.

DoT may take possession and manage its portion of the property or can decide to

permit the Developer to manage its portion of the land and may enter into a

management contract with the Developer and seek periodic payments from the

Developer during the period of the management contract. This contract is commonly

found in projects for development of shopping complexes involving rehabilitation of

existing shopkeepers, convention centers, bus terminals, houses for economically

weaker sections etc.

Merits

DoT could develop its portion of the land as per its plan

Higher returns to DoT

Demerits

DoT loses ownership over part of the site area

DoT has no control over the development plans over the area belonging to the

Bidder

Collection of rent and parking fee has to be done by DoT and should employ

additional personnel to ensure no siphoning of funds

Some portion of O&M responsibility and marketing responsibility transferred to

DoT

Variable revenue streams to DoT

DoT has to share the risks of the project (revenue, operational and maintenance)

iii. Joint Venture Arrangement

A minor variant of the Joint Venture Contract is the Joint Venture Arrangement

wherein a Joint Venture Company between DoT and the Developer is set up. In a JV

arrangement, both DoT and Developer bring their resources such as assets,

knowledge, personnel etc. DoT would transfer assets in return for a share of equity

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in JVC. The said assets could include both tangible (i.e. land, building, equipment and

finance) and intangible i.e., Intellectual Property.

After incorporation of a JVC between DoT and the Developer, a shareholder’s

agreement is entered into between DoT and the Developer which sets outs the

ownership and management of newly formed JVC. The JVC is formed for a special

task i.e., development of the project and after completion of the project JVC could

be wound up. The shareholders agreement would include the following:

Percentage of shareholdings of DoT and Developer

Number of directors each shareholders can appoint to the board of directors

Frequency of board meeting

How profit and loss to be shared between the shareholders

Management and supervision of JVC

Change in shareholders permitted or not

Provisions for management disputes

Details of specific task for which JVC being set up

Method of winding up of JVC

Merits

JVC would be a separate legal entity and a limited liability company

Projects by virtue of greater access to resources, skills and expertise of private

sector compared to other PPP options.

Demerits

Asset may need to be transferred to the JVC as equity to the project.

Project being under public scrutiny in the event of failure, DoT’s reputation may

have an impact for partnering with an unsuccessful private party.

Government/DoT would have control and power over the project to the extent

of share in the JVC

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The bid parameter in this case could be the highest percentage share of revenue by

the Developer to DoT.

iv. Concession Contracts

Concession Contracts are Design, Build, Operate and Transfer contract except that

the Developer recovers its investment through direct user charges or through a

mixture of direct user charges and DoT payments.

a. Build, Operate and Transfer (Annuity)

Build, Operate and Transfer (Annuity) contracts are where the Developer is

responsible for designing, building, operating and financing of the asset. The

Developer recovers its costs out of annual payments from DOT and after a

predetermined period the facility commonly reverts back into DOT

ownership.

Merits

Bidder is allowed flexibility to develop the area in accordance with DoT

plans

Ownership of the asset remains with DoT.

Length of concession period is fixed

Bidder would develop, operate and maintain the area over the length of

the concession period

The land and the facilities developed on it would be transferred back to

DoT at the end of the concession period

Risk of time bound completion is transferred to the Bidder

Revenues stream assured and fixed.

Demerits

Technical proposals of the Bidders would need to be evaluated

Time for development may increase slightly due to Bid Process &

Financial Closure

Revenue risk is transferred to DoT

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All risk borne by bidder and may require higher returns

b. Design, Build Operate and Transfer

Design, Build Operate and Transfer contracts are where the facility is

financed and owned by the Developer. The Developer designs and builds the

facility to meet certain DoT specifications and is also responsible for

operating and maintaining the facility for a predefined period, at the end of

which the facility is transferred back to DoT.

Merits

Bidder is allowed flexibility to develop the area in accordance with DoT

plans

Ownership of the asset remains with DoT.

Length of concession period is fixed

Bidder would develop, operate and maintain the area over the concession

period

The land and the facilities developed on it, would be transferred back to

DoT at the end of the concession period

Risk of time bound completion and revenue risk is transferred to the

Bidder

Revenues stream assured and fixed.

Demerits

Technical proposals of the Bidders would need to be evaluated

Time for development may increase slightly

All risk borne by bidder and may require higher returns

5.3 Recommendation

Based on the evaluation of various options for implementation and the Financial

Analysis carried out for the Project, it is recommended to adopt the ‘concession’

structure for successful implementation of the Project. The concession contract

under a Design, Build, Finance, Operate, Transfer framework would be the preferred

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option, as DoT would receive higher returns from the Project, with no investment or

revenue risk of the Project.

In lieu of the land being offered by DoT along with the Development rights for the

setting up of the Snow Park, DoT can seek a Concession Payment on Annual/half

yearly basis with an escalation of 5% every year as discussed in the Financial Viability

Report. Based on the Financial Viability Report, it is recommended that the annual

concession payment payable by the Developer be the bid parameter.

The concession period, based on the Financial Analysis carried out for the

assignment, is 30 years, including the construction period of 2 years. The summary of

the financial viability carried out for the Project is presented in the next chapter.

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7. Project Financial Viability Analysis

The financial viability assessment has been carried out for the Pro ject.This Chapter

provides a summary of the Financial Viability of the project.

6.1 Project Cost

The base construction cost of the Project has been estimated at Rs. 43.6 Crores. The

details of the same are presented below.

Table 9: Base Construction Cost

Sl.

No

Item Area/

Number

Total Cost

(Rs. Crores)

1 Snow Park (sq.ft) 20,000 12.6

2 Food Court (sq.ft) 3,000 4.4

3 FEC 12.7

Construction (sq.ft) 35,000 8.8

Arcade Games (No.) 40 0.6

Bowling (No. of alleys) 10 3.1

Pool/Snooker Tables (No.) 6 0.1

Console+TVs (No.) 5 0.0

4 Retail Area (sq.ft) 32,670 10.3

5 Infrastructure (acres) 4 2.5

6 Buses 5 1.2

Total Base Cost 43.6

The base cost is as per estimations carried out for the current year i.e 2015. Assuming

a 2 year construction period, the cost has been escalated at the rate of 5% per annum

to estimate the landed project cost. The landed construction cost could be of the

order of Rs. 43.6 Crores.

Considering contingency, preliminary & pre-operative expenses and interest during

construction (IDC) the total Project Cost has been estimated at Rs. 53.75 Crores.

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Table 10: Project Cost

Sl. No Item Amount (Rs. Crores)

1. Construction Cost 46.9

2. Contingency (4% of construction cost) 1.9

3. Preliminary expenses (1.5% of construction cost) 0.7

Thus, considering all components, the total project cost is estimated to be around Rs.

53.75 Crores.

6.2 Estimation of Revenues

The revenue income for each of the facilities in the Project has been estimated and

the details of the assumptions made therein are presented below.

i. Snow Park

The details of Snow Park developed in Hyderabad as indicated below:

Details of Snow World, Hyderabad:

Table 11: Details of Snow World Hyderabad

As the built-up of the snow park proposed in Bangalore is about the same as the park

in Hyderabad, the capacity for the proposed park has also been limited to 2400

people per day. Further, it is assumed that this capacity will be met in full only on

weekends.

The snow park would have 8 sessions with a maximum of 200 visitors per session on

weekdays and 300 visitors per session on weekends. The total number of working

days has been assumed as 300 with 100 weekends and 200 weekdays.

It has been assumed that in the first year of operations, 4 lakh people would visit the

snow park and the number of visitors would increase at 8% year on year and reach a

Sl. No. Description Value

1. Built-up area 17,000 sq.ft

2. Capacity (8 sessions with a capacity of 300 people

each)

2,400 people/day

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maximum of 5.6 lakh visitors in the 6th year of its operations and stabilize thereafter

for the rest of the concession period.

The estimated number of visitors in to the snow park in the first year is almost 50% of

that recorded in Wonderla in 2009 and is hence these footfalls are likely to be

generated.

Table 12: Entry Fee Details of Snow Park

Description Value

Entry fee for snow park (Rs. per person per day) 250

Price escalation - % every 3 years 10%

Number of days of non-operation 65

ii. Food Court

The number of visitors to the food court has been estimated to be the same as those visiting

the snow park. As the FEC and retail area proposed would also have a separate food court,

the footfalls in the FEC and retail area have not been considered to estimate the revenue

from the food court.

Description Value

Average amount spent by a visitor to Snow Park 150

Price escalation - % every year 5%

iii. Family Entertainment Centre (FEC)

The utilization of games facilities in the FEC and the price for each is set out below:

Table 13: Utilization of Games Facility

Games No. of

units

Average number of

games/unit

Number of games

Weekday Weekend Weekday Weekend

Arcade games 40 15 50 600 2000

Bowling 5 3 6 15 30

Pool Table 6 1 1 6 8

Console games 5 2 3 12 16

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Games No. of

units

Average number of

games/unit

Number of games

Increase in utilization- %

every 3 years

5%

Table 14: Revenue from FEC

Revenue components Weekday Weekend Weighted

Average Price

Arcade games (Rs. /game) 20

Bowling (Rs./ game) 80 125 92

Pool Table (Rs. /hour) 100 150 114

Console games (Rs. / half hour) 75 80 75

Price escalation-% every 3 years 5%

Revenues from food and beverages 10% of revenues from games

Merchandise sales 10% of revenues from games

iv. Retail Area

The assumptions for revenue from the retail area are provided in the table below:

Table 15: Retail area details

Sl. No Description Value

1. Built-up area 32670 sq.ft

2. Area rented 100% of built-up area

3. Rent (Rs./sq.ft/month) 30

4. Price escalation-% every 3 years 10%

5. O&M Charges (Rs./sq.ft/month) 10

6. Price escalation-% every year 5%

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Annexure-1

Details of Case Studies

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Case 1: Snow World, Hyderabad (Standalone Development)

Snow World is an amusement park located in Hyderabad, Andhra Pradesh (India) within an

area of about 2 acres (0.81 ha). It is located beside Indira Park and along the Hussain Sagar

Tank bund. The park inaugurated on January 28, 2004 is India’s first snow theme park where

one can experience snow fall and polar climate. Snow World is filled with over 200 tons of

snow, temperature of minus five degree centigrade, owned by Ocean Park Multitech Ltd in

2004. The snow is made of safe elements as mineral water quality water and there will be no

harmful effects of this snow.

A few months after its inauguration, a snowfall feature was added. Said to be the first of its

kind at any show theme park or snow dome in the world, the visitors are exposed to snowfall

for ten minutes for every hour. A 40,000 square feet (3,700 m2) kart racing, built at a cost of

INR 2.5 crore (US$555,000), was open to public. The indoor resemble a cave that was

uniquely designed using plaster of Paris.

Location

Snow World is India’s first Snow Theme Park. Spread over 17,000 square feet area, on Lower

Tank Bund Road, behind Indira Park, it is a landmark place in Hyderabad

Figure 8: Location of Snow World, Hyderabad

Accessibility

APSRTC buses and trains make Hyderabad easily accessible to the rest of Andhra Pradesh.

Further, Hyderabad is well connected to the rest of India by air, train and road.

Operator

Ocean Park Multitech Ltd. took the 2 acres (0.81 ha) plot on a 33 year lease from the

Government of Andhra Pradesh at the rate of 36 lakh (US$79,900) per year. The lease

amount was to go up by 5% every year. Constructed at a cost of 2 crore (US$444,000), the

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17,000 square feet (1,600 m2) facility. The facility, which was built in collaboration with the

Andhra Pradesh tourism department, is India's first snow park.

Attractions at Snow World

The attractions of Snow World have been listed below:

Table 0: Facilities at Snow World, Hyderabad

Sl no Facilities Description

1. Snow World, Hyderabad India’s first snow park with attractions like snowfall.

2. Signature Attractions at

Snow World

Snow Dancing

Snow Dining

Snow Wars

Snow Mountaineering

Sleigh Slide

Merry Go Round

Snow Volley Ball

Snow Fun Basket Ball

Snow Sculpturing

3. Other facilities Karting (Kart Kave)

Scary House (Living Dead)

Snow World is a snow theme park that helps

experience snow fall and polar climate. Temperature

within the snow area is in between -5 and 0 degrees

centigrade. A snow session duration is about one hour.

In the snow world, there is a “Cryo Zone” which

includes igloos, alpine forest, some figures of polar

bears, penguins and some other attractions made with

the help of artificially produced snow. The snow is

made of safe elements as mineral water quality water

and there will be no harmful effects of this snow. A

person can come outside only after one complete

snow session. Snow World authorities will provide a

snow wear for each individual.

200 tonnes of artificial snow was laid on the layered

flooring which was specially prepared to avoid seepage

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or melting. Every day, the top layer of snow is cleaned and an additional two to three tonnes

of snow, which is generated within the facility, is used

to top the snow spread. The artificial snow is made

using a patented technology from Australia.

All these snow wonders will be made possible by

artificially producing snow using state of the art

technology supplied by Woomera Snow Guns Ltd.,

Australia. The snow thus produced almost matches

with that found in nature and doesn’t contain any

harmful chemicals and substances. The snow is produced using quality mineral water and is

harmless even if consumed.

The park can accommodate a total of 2,400 visitors in a day on weekdays. Every visitor gets

acclimatized to lower temperatures in a step-wise manner – 20 °C (68 °F), then 0 °C, and then

a sub zero temperature. This method is approved internationally. In addition, visitors are

given protective clothing and a steaming cup of soup to help them acclimatize to the

temperature change. The internal area, also called as the Cryo Zone, maintains a constant

temperature of - 5 °C. For 1 hour, a maximum of 300 visitors at a time can explore the

different facilities such as kid’s snow play area, snow wars, snow tube slide, sleigh slide, ice-

bumping cars, merry-go-round and an ice skating rink.

Capacity of Snow World is presented below:

Table 16: Capacity of Snow World

Footfalls Capacity

per Show

No of

Shows

Visitors per

day

Cumulative

Total Visitors per show -

weekdays

200 8 1600 417600

Total Visitors per show -

weekends

300 8 2400 249600

Total 667200

Other Attractions

Snow slide, Merry go round, Ice Bumper Car are some of the rides. Snow fall is major

attraction here. Cryo Zone includes igloos, alpine forest, some figures of polar bears,

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penguins and some other attractions made with the help of artificially produced snow.

Other interesting activities are ‘Ice Carving’ and Snow war.

Pricing

Table 17: Pricing considerations

Ticket Price Description

Adult Child

One Day Pass 360 240 Entry Ticket covers cost of games

There are eight snow sessions each day and a half hour interval is provided between two

consecutive sessions. Each snow session is for duration of about one hour. Visitors should

report at the venue half-an-hour before the session time.

Competitive Strategies

A public-private partnership venture, Snow World is the first ever snow theme park in

Hyderabad and is located in the Himayatnagar. The location opposite the Hussain Sagar Lake

is extremely favourable due to its easy accessibility from the rest of the city.

Snow World has been developed keeping in mind the visitors of all age groups. There is a

separate kids' snow play area.

The facility has the ‘first-mover’ advantage in terms of experience as there no similar

parks in South India and number of residents of Hyderabad have never experienced snow

prior to the opening of this park.

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Case 2: Ski Dubai, Mall of Emirates, Dubai (Mixed Use Retail Development)

Background

Mall of the Emirates, the ultimate leisure, entertainment and shopping resort opened in

September 2005. Strategically located in the heart of what is now deemed ‘New Dubai’, this

223,000 square meter centre offers a full range of shopping, leisure, and entertainment.

Mall of the Emirates features 520 international brands, including department, fashion,

lifestyle, sports, electronics and home furnishing stores and the largest Carrefour in the city.

The compelling family leisure offerings include a Magic Planet family entertainment area, a

14-screen multiplex cinema, the world-renowned Ski Dubai, a five star Kempinski Hotel, The

Pullman Dubai Hotel, the Mall's 500-seat DUCTAC community theatre and accompanying arts

centre, and over 85 coffee shops and restaurants.

Location

Ski Dubai part of the Mall of the Emirates, is just off the Sheikh Zayed Road, Dubai's main

thoroughfare and located in the Al Barsha area in Dubai

Accessibility

The mall is located within the city of Dubai can be easily accessed through public transport –

bus or metro rail and by road. The map below shows location of Mall of Emirates in Dubai.

Figure 9: Location of the Mall of Emirates

Operator

Mall of the Emirates is a landmark development within the Majid Al Futtaim (MAF) Holding.

This development saw over 31.3 million visitors in the calendar year of 2010.

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Mall of Emirates

The Mall of Emirates is one of the biggest shopping malls in the world. Being a mall it has the

usual mall features including a fourteen-screen multiplex, a gaming arena, and a plethora of

brand stores all in one mall.

However, the biggest reason for its popularity does not rest in its size, or in the facilities it

offers, but for the very unique presence of the Middle East's first indoor ski slope, Ski Dubai,

inside the shopping mall. The Ski Dubai has a skiing area that is third largest in the world and

this helps to differentiate the Mall of Emirates from the avalanche of malls that have

descended on Dubai.

The attractions of Snow World have been listed below:

Table 18: Facilities at Mall of Emirates, Dubai

Sl. No.

Facilities Description

1. Mall of Emirates, Dubai The Mall of the Emirates features the biggest indoor ski facility - The Ski Dubai Dome. The Mall of the Emirates has been positioned the worlds first Shopping Resort.

2. Signature Attractions at Mall of Emirates

Ski Dubai Dubai Community Theatre & Arts Centre Magic Planet Dining Cinestar

3. Other facilities Themed restaurants; St Moritz Café and Avalanche Café

Magic Planet is the largest indoor family

entertainment centre in Dubai, featuring several

international award-winning rides and games.

Spread over two levels, this centre will appeal all

age groups.

Magic Planet has an incredible range of fun rides,

games and attractions. Racing simulators, XD

Theatre - 4D theatre and the state-of-the-art

RoboCoaster, a 2-person thrilling ride are some of the signature rides at magic planet.

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CineStar is wholly owned by Majid Al Futtaim, the largest developer and operator of

Shopping Malls in the MENA region of the Middle East. Cine Star’s 14-cinema complex

offers the latest in technology and comfort. Cine Star cinemas have introduced a giant

Extreme

Screen - 20 meter wide screen with crisp, bright 100% digital images ensuring a stunning

realistic and fully immersive entertainment experience. Extreme Screens can screen

35mm films, digital films, RealD digital 3D movies and alternative content supplied in a

Digital format, such as concerts and sporting events.

DUCTAC has been incorporated for art lovers of all ages and cultures. It provides the

facilities for a myriad of subjects within a fun and artistic environment. It has a 550 seat 2-

level theatre, 150 seat studio theatre, rehearsal spaces, large and small art galleries, 16

general and specialized classrooms/studios for activities such as painting, sculpture and

photography, a music school, lending library and a café.

Ski Dubai

Ski Dubai has five runs of varying difficulty, height, and steepness. The longest run is 400

meters with a fall of 60 meters. There are gentler slopes for beginners and indoor black

runs for more experienced skiers. Skiers and snowboarders are equally likely to enjoy Ski

Dubai with snowboarders getting to perform their stunts on a 90 meter long quarter pipe.

Ski Dubai also features the interactive Snow Park spread over 3,000 square meters

making it the biggest indoor snow park in the world. Ski equipment and clothing is

available for hire inside Ski Dubai. You can go up in the quad-chairlift with your

equipment and come down on the skis or snowboard.

There are also many themed restaurants like the St. Moritz Café located at the very

entrance to Ski Dubai and the Avalanche Café at mid-station with views of the artificial

slope.

The Ski Dubai is 22,500 square meters in size and covered with real snow throughout the

year. The temperature is kept between -1 and -2 degrees Celsius. The slope itself is 35

meters high and 80 meters wide. The entire place can accommodate 1,500 visitors at any

given time.

1. The highlights of Ski Dubai have been listed below:

22,500 m2 covered with real snow all year round - (equivalent to 3 football

fields)

Temperature maintained at a comfortable -1º to -2º

85 meters high (approximately 25 stories) and 80 meters wide

5 different runs of varying difficulty and length, longest run of 400 meters

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Full capacity of 1500 guests

Freestyle zone

3,000 m2 Snow Park with a snow cavern

Quad chairlift, tow lift and flying carpets

Mountain resort theme

Rental of quality equipment and clothing included in the ticket price

Qualified professional instructors

State of the art ticketing system

Changing areas with locker rental

Private kids party rooms

Exclusive retail shop - Snow Pro

St Moritz Café and Avalanche Cafe

Using technology similar to that found in the air-conditioning units, the temperature have

been lowered to -80C for this initial period of snowmaking. With the temperature at rock

bottom, liquid water is atomized to create a cloud inside the building which is then sprinkled

with tiny ice particles, forming snow that falls from the cloud as flakes - driven snow at its

very purest.

View of the Snow Park View of Ski Dubai

Pricing

The various price points at Ski Dubai have been listed below:

Ticket Price Remarks

Snow Park AED 120 - Adult

AED 110 - Child

Access to the snow park

Snow Slope (2 hours) AED 180 - Adult Extension – AED 50 per hour

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Ticket Price Remarks

AED 150 - Child

Ski Slope Day Pass AED 300 - Adult

AED 275 - Child

One day access to the park

Group Lessons

Discovery Lesson AED 150 per hour 60 minute duration

Adult Group Lesson AED 220 per hour 90 minute duration

Adult Group Lesson AED 190 per hour 90 minute duration

Adult Group Lesson AED 160 per hour 90 minute duration

Private Lesson AED 595 per hour

Competitive Strategies:

Location

Sky Dubai is part of the Mall of Emirates which attracts huge footfall. It is one of the L&E

options within the Mall and due to unique experience it offers it is one of the most sought

out option by the visitors.

Strategic Partnerships

A new and exciting partnership between Wild Wadi UAE and Ski Dubai, located inside the

Mall of the Emirates, marks the beginning of both surfing and snowboarding competitions.

Similarly, Burj Al Arab offers complimentary admission to Wild Wadi Water Park while the

Madinat Jumeirah and a host of other Dubai hotels offer discounted rates and up to one hour

early admission to beat the crowds. With ticket prices, pick-up and drop-off are also included;

it is an attractive option for all travelers.

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Case 3: Snow City – Singapore

Snow City is the only permanent indoor snow

centre in Singapore. Wholly owned by the Science

Centre Board and operated by Snow Venture Pte

Ltd, it has a three -storey high and 60-metres long

snow slope for visitors to ski, snowboard and

snow tube.

Snow City opened in 2001 and has been regularly

attracting visitors with its unique winter

wonderland concept. It underwent a revamp,

especially of the snow chamber, in October 2007.

This snow destination is popular among Singaporeans, particularly those learning how to ski

or snowboard before they embark on overseas ski resort holidays. Snow City is also popular

among tourists, especially from Asia, who are unable to experience sub zero temperatures at

home.

Key facilities at Snow City include the

Snow Chamber, function rooms, photo-

taking services, a Hot Chocolate Bar, our

Minus Zero Ice Bar. Snow City offers

skiing and snowboarding lessons,

Sub-Zero Disco Parties, and a variety

of special events throughout the

year. It also serves as a wedding venue

for couples looking for a truly white

wedding.

Snow City is open Tuesdays to Sundays, from 9.45am to 6.15pm. It is open on Mondays

during school and public holidays. Admission: adults, 1 hour $16, 2 hours $27; children, 1

hour $14, 2 hours $22; group package of 2 adults and 2 children is $49 for 1 hour. Snow City

rents skiwear and offers on-site photo services.

Table 19: Admission Prices

1 hour Snow Play time Adult $16/pax Child $14/pax 3yrs – 16yrs

2 hours Snow Play time Adult $27/pax Child $22/pax 3yrs – 16yrs

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Snow City is a 3,000 square-metre centre with its facilities spread over 2 storeys. Of this,

1,200 sq-metres is covered with snow, called the Snow Chamber. You can snow tube,

snowboard or ski your way down this 'giant snow slide'. The Snow Chamber is constantly

maintained at -5°C.

Given below are details of other facilities available:

Level 1

Snow Chamber Ice Bar

Snow Gifts Shop Pictureworks (Photo Services)

Snow Line (Retail shop and snow sports

school)

Snow Cafe

Stroller Parking Area Locker Rental Area

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Level 2

Function Room

The 160 sq.m Function Room is a multi-purpose room, which can be used to conduct our

educational programmes, seminars, meeting place and other fun ideas to conduct games for

family days and corporate functions.

Rental rate per hour at $220 (before GST)

Programs to choose from:

1 hour Enrichment Program

1 hour Snow Play Session

30min "Winter Olympics" session

30min "Snowy Treasure Hunt" session. Rentals

Gloves @ $1.60/child $2.10/adult

Waterproof pants @ $3.20 for children below 16 years old, $4 for adults

Function room @ $220/hr

Corporate Package A

1 hr of snow play + 1 program

Min no. of 30 pax

$25/pax

Includes jackets and boots

Corporate Package B

1 hr of snow play + 2 programs

Min no. of 30 pax

$38/pax

Includes jackets and boots

Corporate Package C

2 hours of EXCLUSIVE free &

easy snow play session

(includes jackets & boots)

2 sessions of 30mins Winter

Olympics

Corporate Package D

Option 1

1hr of snow play + Science Centre

+ 1/2 hr winter olympics

Min. 30 pax

$30 (adult), $25 (child)

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Snowy Treasure Hunt

Professional Emcee to host the

function

Professional Entertainer to

entertain the children

Rental of function room

30mins Mascot Appearance

Complimentary game prizes for

Winter Olympics and Games

activities

Free parking

Maximum 200 pax

Cost: $12 375

Option 2

1hr of snow play + Omni-Max

Min. 30 pax

$20 (adult), $16 (child)

Option 3

1hr of snow play + Science Centre

+ omni-Max

Min. 30 pax

$24 (adult), $196 (child)

Programs to choose from:

1 hour Enrichment Program.

1 hour Snow Play Session.

30min “Winter Olympics” session.

30min “Snowy Treasure Hunt” session.

Rentals

Gloves @ $1.60/child $2.10/adult

Waterproof pants @ $3.20 for children below 16 years old, $4 for adults.

Function room @ $220/hr

Winter Olympics

A compulsively enjoyable programme fit for anyone who just want to have a roaring good

time. Conducted exclusively in our very own Snow Chamber, Winter Olympics is a

culmination of carefully tailored activities that challenge the mind while testing your physical

agility. It is a program catered to the young and the young at heart because afterall, there

are absolutely no age limits to having fun!

After all, having fun has absolutely no age limit. Winter Olympic is a specially designed

programme that effectively incorporates team building into its host of activities with light-

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heartedness and exhilaration. For any game planner, it is an extremely versatile programme,

as it allows the planner to mix and match from its pool of activities based solely on his/her

objective.

Activity Category Synopsis

Speedo

Adults and

Children (above 8

years old)

Each player from each team will slide down the

slope one by one. Every team will be timed.

Timing starts at the point when the first player

slides down and ends when the last player of the

group completes the slide. The team with the

fastest time recorded will be the winner

Breakage

Adults and

Children (above 8

years old)

Everyone in a team will log his or her arm to form

a chain, with different formation, and slide down

the slope together. The chain should not break.

The team with no breakage will win the game.

The Mad Ball Adults and

Children (above 8

years old)

Each player from each team will use his or her

mouth to hold a plastic cup, containing a ping

pong ball. They will slide down the slope one by

one. Once he or she reaches the bottom of the

slope, he or she will place the ping pong ball into a

big container. Whichever team has the most

number of ping pong balls in the big container

wins the game.

Balloon

Hurray

Adults and

Children (above 8

years old)

2 players from each team will hold each other's

hands with a balloon in between them. They will

slide down the slope together. Upon reaching the

bottom of the slope, they will place the balloon

into the big container. Whichever team with the

most balloons in the big container wins the game.

Puzzles Frenzy Adults only To search and solve puzzles. The puzzles are

placed in the tug of snow. Each player will slide

down from the slope and search for the puzzles

(they must dig using both hands). Each player can

only take one puzzle at a time. Once all the

puzzles are collected, all the team players will get

together to solve the puzzles. Whichever team

solves the puzzles first wins the game.

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Musical

Chairs (Adult

version)

Adults only Rubber tubes will be arranged in a circular form.

In pairs, they have to walk round the rubber tubes

once the music starts, holding hands. Once the

music stops, they have to quickly sit down on a

rubber tube and must keep holding each other's

hands. The pair who is unable to find a rubber

tube to sit down will be penalized once. They are

given up to 3 chances. If they are penalized thrice,

they will have to perform for the rest of the

groups.

Musical

Chairs

(Children

version)

Adults only Rubber tubes will be arranged in a circular form.

The children have to walk round the rubber tubes

once the music starts. Once the music stops, they

have to quickly sit down on a rubber tube. The

one who is unable to find a rubber tube to sit

down will be penalized once. He or she is given up

to 3 chances. If he or she is penalized thrice, he or

she will have to perform for the rest of the

children.

Bursting

Balloons

Adults only Each player from each team will slide down one

by one. Once he or she reaches the bottom of the

slope, he or she will have to burst a balloon with

both hands. Only when he or she has burst the

balloon, will the next player able to slide down

and repeat the process. There is a time limit of 10

mins. The team, which is able to burst the most

balloons within the time limit, wins the game.

Dress Me Up Adults only One player from each team will be dressed to the

minimum, for example, in only T-shirts and jeans,

and stands at the bottom of the slope. Several

items will be given to the other team players,

which are the hat, jacket, waterproof pants, ski

boots, ski and poles. They will then slide down

one by one, carrying one item at a time, and dress

up the player standing at the bottom of the slope.

The objective is to dress him or her up as a skier.

The team, which finishes first, wins the game.

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Snowy Hunt Adults and

Children (above 8

years old)

All the team players will slide down to the bottom

of the slope. Once they reach the bottom of the

slope, they will have to start searching for white

envelopes, containing one poker card, which is

being cut into 2. They will have to try to join the

poker cards with their other halves. For example,

if a player finds half of spade queen, he will have

to look for the other half of spade queen. The

team with the most number of joined poker cards

will win the game.

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Corporate Subzero Building Package

Ice Bar

1) Ice Bar Package

Price: $70 per pax

* Only available from 7pm onward.

* Min 2 hours booking

* Min 30 paxs

Package Include

• 2 hours exclusive use of ice bar

• 7 bottles of Vodka (42 below brand) served with ice shot glasses

• Free flow of beer (Heineken/Tiger) maximum 100 bottles (350ml)

• Bartender Service

• Jacket, boots and gloves included

2) Blizzard Party Package

Price: $100 per pax

* Only available from 7pm onward.

* Min 3 hours booking

* Min 100 paxs

Package Include

• 3 hours exclude use of snow chamber

• Free flow of beer (Heineken/Tiger) maximum 500 bottles (350ml)

• 20 Complimentary Vodka (42 Below brand) served with ice shot glasses

• Bartender Service

• Professional Emcee

• Sound system/lightings

• Dance floor

• Jacket, boots and gloves included

• Subsequent hour: $500 per hour (Subject to GST charges)

Ice Bar Rental

3) Booking rate for Ice Bar

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* Only available from 7pm onward.

* Min 2 hours booking

* Min 30 paxs

Time Rates:

Weekday 7.00pm - 12.00am $500 per hour

Weekend/Public Holiday 7.00pm -12.00am $750 per hour

Education Packages

Snow City adheres to the above educational mantra. Hence it developed various educational

programs, which caters to both visual and experiential learners and enthusiasts. The park

offers a new team-building ‘Winter Olympics’ program. Conducted by Game Masters, ‘Winter

Olympics’ aims to foster group dynamics and cohesiveness while having a ball of a time at it.

Below is the list of carefully planned programs that focus on learning, fun, and team-building.

Min 30 pax: Inclusive of boots & jackets.

Function room @ $220/hr

Education

Package A

Teacher $10

Student $13

Education

Package B

Teacher $10

Student $15

Education

Package C

Teacher $10

Student $23

Education

Package D

Teacher $15

Student $30

Birthday Form

Birthday Party @ Snow City!

Be the cool kid who has everything, including your birthday in Sub-zero temperature! Hold

your party in snow and at our Party Room, which promises lots of fun and games. Have a

snowball of a time, tubing down our slope and playing with snow at our snow play area;

explore the igloo with your gang of friends or have simply have a snowball fight! After all

the snowy cool fun in our -5 degree Celsius chamber, proceed to Party Room for food and

more games to celebrate your birthday!

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Snowy Birthday Package at a glance!

Snowy Birthday Party Package A Price: $35 per pax For Children age between 3- 12 years old Package Includes • 1hr of snow play + 1hr of party • Inclusive of jackets & boots • Min 20 pax • 1hr use of party room • Inclusive use of sound system • Inclusive of Party Host • Face painting for kids • Door gifts for kids • Buffet reception • No outside food

Snowy Birthday Party Package B Price: $50 per pax For Teenagers only(12-18yrs old) Package Includes • 30mins Winter Olympic + 30 mins Free & Easy Snow play + 1hr of party • Inclusive of jackets & boots • Min 20 pax • 1hr use of function room • Inclusive use of sound system • Inclusive of Party Host • Dance Floor • Door gifts • Buffet reception • No outside food

Rental of gloves: Adult - $2.10, Children (below 16 yrs old) - $1.60.

Rental of waterproof pants: Adult - $4, Children (below 16 yrs old) - $3.20.

Cost of per ticket is SGD 38 (minimum 20 tickets)

Similar Concepts From Across the World

Traditionally, snow sports have been associated with ski resorts located in mountainous

regions. Snow sports have traditionally been an expensive sport limited to a certain periods

of the year. Most of these ski destinations are located in places that require people to fly or

travel for a few hours. In addition, once at the ski resort one has to pay for lift passes, rent ski

equipment, stay at a hotel, ski lessons, meals, snow gear, and other miscellaneous expenses.

This is certainly an expensive proposition for a family that has never been to a ski resort or

ever tried skiing.

Development of Snow Park in Bangalore

GOVERNMENT OF KARNATAKA INITIATIVE

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Dry Ski Slope

Dry ski slopes are artificial slopes that mimic the

attributes of snow and allow people to ski where

natural slopes are inconvenient or unavailable.

These slopes are lubricated using a mist or jet

system to increase speed and prevent damage to

equipment. These dry ski slopes are ideal to

introduce skiing to beginners, but at the same

time they also provide an opportunity for more avid and learned skiers to keep their skills

sharp year round.

The technology related to dry slopes has evolved over the past several decades. Dry slopes

offer 365 days of skiing on artificial material that mimics the attributes of snow. Prices at

facilities located in Europe range from $9 to $24 per hour including equipment rental.

Unlike traditional ski resorts, where the slope conditions depend on the snowfall and

weather, a dry ski slope offers a consistent skiing experience. The most popular activity on

dry slopes is freestyle skiing and snowboarding.

Dry ski slopes present an opportunity for developers, resorts and existing amusement park

operators that are considering expansion to add a unique new feature to the list of amenities.

With improvements in dry slope technology, such facilities can now be built in major

urban areas as stand-alone facilities with an attached family entertainment center and in

resort destination locations with an attached hotel. The lower cost of building and

operating such a facility compared to a typical ski resort makes snow sports more

affordable and brings the slopes to the masses.