Community Center bringing less revenue than forecasted, causing some residents and officials to consider selling the facility

By BEN LUNDIN

Staff Reporter

LAPLACE – The St. John Community Center came into the parish hailed as a sign of the area’s growth and a facility that would bring in unprecedented revenue streams, but after seven months the building is bringing in fewer events than expected, leading some parish residents and representatives to entertain the possibility of selling the facility.

St. John Parish Council Member Ronnie Smith recently suggested that the $7.5 million Community Center is becoming a serious financial obligation and if the parish cannot renew its contract with the movie industry then it should seek out possible buyers. The current contract ends in June, according to St. John Parish Chief Administrative Officer Natalie Robottom.

&#8220Maybe someone in the film industry would be interested in buying it,” Smith said. &#8220When that movie industry comes into the parish those people are still going to patronize the same businesses in the parish that they patronized when we owned it, we just wouldn’t have the liability.”

The movie industry contract brings in $15,000 per month, enough to cover the facility’s expenses.

Roughly between eight to 10 non-film related events have been held at the facility since its opening in August 2006, with an additional 10 to 12 scheduled before the end of the year, according to Read.

However, these one-time events do not offer the spin-off profit the film industry provides for the community, Read said.

The Community Center brings in an immeasurable amount of financial support to the community from renters frequenting local businesses, money that would still flow in if a company such as a movie studio owned the facility, according the Smith.

&#8220It’s been extremely profitable for the region,” said Wayne Read, a former marketing consultant for the Community Center. &#8220How do you measure profit when a production company comes in and rents 72 hotel rooms, when they go into Home Depot and buy supplies?”

At this time the Community Center is turning a profit, said Council Member Sean Roussel, who opposes the sale of the facility, but without the movie industry contract it would begin to drain parish revenue, according to Smith.

&#8220I don’t care if it’s bringing in a nickel a year – it’s still making money,” Roussel said. &#8220I’m not even interested in entertaining the idea of selling something that’s bringing in revenue until it’s revenue draining.

&#8220We’re not looking to make a lot of money off of it, we’re looking to cover the cost,” Robottom said.

&#8220(To think of selling the facility) is extremely premature. It would be in opposition to what the residents voted for,” she added. &#8220You would not believe the amount of people coming to use that facility. There are events coming in. We have events through May and we actually have a shoot through the end of March. We’re also scheduling other events for the areas that aren’t being used. Many of our residents are expressing interest in booking the facility for events that are upcoming.”

The Community Center has become primarily a studio for rent since its debut, a far cry from the diversity that parish representatives originally envisioned.

Read warns that if the parish’s contract with the movie industry expires, &#8220the parish could find another film entity to lease the building for production purposes, but in the long-term that entity is going to look to acquire or build their own infrastructure rather than rent it.”

Options for selling the building are wide-open, and include Former Parish President Arnold J. Labat’s recent proposal to sell the Community Center to the New Orleans Hornets to use as a practice facility.

&#8220If the New Orleans Hornets want to buy our Community Center then tell them to come over with a nice offer and we’ll talk. But that’s pie-in-the-sky if you ask me. I really don’t see that happening” Roussel said.

Even if parish representatives were in agreement to sell the facility, because it was paid for with voter-approved taxpayer bonds, residents of St. John Parish would need to authorize the facility’s sale.

The grumblings regarding the Community Center come in the facility’s infancy and no parish representatives appear committed to the prospect of selling, but the recent firing of Read, the Community Center’s marketing consultant, shows concern that it may not be living up to expectations.

However, the majority of similar facilities in the United States are economic failures, and the St. John Community Center stands out as financially stable, according to Read.

&#8220A general purpose facility is difficult to manage without having some other kind of industry supporting it. This has been an example of how you can do it well – at least cover your overhead and diversify your economy. St. John did it well. They had the insight to meet the industry and still meet the demands that came in the door. It’s a model that is working,” he said.

&#8220We’re very pleased with the outcome of the facility,” Robottom said. &#8220I think we’re very fortunate to sign a long-term lease. I think we’re making it available for the residents and I think it’s going to be something very positive for St. John Parish.”