Belgrade Chamber of CommerceCluster Club Project – WP5 Pilot Project - Mini marina

Conceptual solution with economic and feasibility study

Milan Vlahovic PMP

Activities of Belgrade Chamber of Commerce within WP5-Development of Pilot Actions

• The feasibility study for the creation of a river mini-marina in Serbia in accordance with the EU standards– The proposal for conceptual layout and feasibility

study was put out to tender according to the project plan

– Among prequalified selected firms, firm “DAAM” had the lowest tender and was contracted to do the job

• Development of the conceptual solution with the economic and feasibility study of the mini marina project on the river Sava on the territory of the Surčin municipality– a multi disciplinary team was assembled– the team consisted of 17 smaller teams, among

them:• architectural and construction team• environmental team• team for energy efficiency and alternative energy

sources• feasibility study team

Basic principles of design• Preservation of the environment – with minimal

pollution• Energy efficiency - the use of renewable energy

sources• Integration in urban and natural environment• Rationality and functionality in architectural

design• Use of preferably natural materials such as wood• Adjustment of construction costs and use of

reasonable and realistic possibilities

Urban and technical analysis of the marina “Surčin” location

• The selected location of a marina on the river Sava left bank on the territory of Surčin municipality was already anticipated in the land use plan of the municipality of Surčin

• It has a number of benefits for recreation, tourism, fishing and hunting

• According to requirements of the Surčin land use plan , it is necessary to establish the concept of protection and regulation of river water and river banks

The potential for tourism development• The possibility of building a pier for tourist and

recreation boats and ships, the proximity of touristic location Obedska bara

• Outstanding values and natural beauty, environmental benefits and values for the development of weekend and recreation tourism, especially in Progar, Boljevci and Jakovo

• Outstanding traffic position, primarily on the international infrastructure corridor 10

BelgradeSurčin

Site plan of marina “Surčin” location

Position of location - 1km downstream from the Obrenovac bridge,- 13km upstream from the Sava river mouth,- 6km by local road from Surčin

Photo documentation of location

The most frequent functions of typical marina ?• Information on existing facilities in marinas in the United States gathered in

about 4500 marinas:

boat places 100% halls for winter boat places 70% facilities for boat transport 77% boat and motor repair and maintenance service 60% gas stations 74% sales of a boats, motors and trailers 50% sales of boat accessories 50% sales of ice, fishing supplies, baits, etc 67% sales of food 5% boat chartering 46% room facilities for personnel 77% beverage service 70% snack rooms 30% restaurants 21%

What should be included in mini marina? Management with a view over the port area with bulletin boards, with

features for providing information on different topics (wind, water levels, advice for driving, ...)

Enough space for berths for boats of various dimensions within the pier A device for pumping motor fuel for boats, sailboats Devices for transporting boats on land and in water direction and for boat

extraction from the water Winter storages for boats in the open air or in the halls A devices for maintenance and repair of boats An opportunity to purchase replacement parts and accessories for boats

and yachts A saving and rescue service Organizing sailing courses and courses for driving motor boats, learning

and teaching of scuba diving and water skiing Basic hospitality and tourist facilities (restaurant, coffee bar on the water,

tourist office etc.)

Additional facilities in a good marina?

A promenade with benchesAreas for sport and recreation, playgrounds

for childrenMotel or hotel departments, apartments for

rent or bungalows A pier for liners, for charter rides and crews of

big sailing ships

Marine zone

Hotel and restaurant

Service zone

Sports and recreations zone

Green area

Parking zone

Winter boat storage

Standardization• Design was made to meet EU standards for

that type of club marinas• According to the national regulations and

standards for the classification of marinas (Official Gazette RS no. 56/2011) the Surčin marina will have the highest category of 4 anchors

• The facilities are designed to a high standard of thermal protection

• The position and orientation of facilities and the shaping of architectural resources are suitable for an energy-efficient systems with renewable energy– Photo-voltage system– Wiessmann earth-water heat pump

• The project sought to maximize the nature preservation and enhancement and to minimize the impact on the natural ecosystem

• By using solar energy (photovoltage panels) and earth (geosondes and heat pump) the facilities will be heated, cooled and ventilated with minimal impact on nature.

• No emissions gas and other pollutants.• One of the biggest potential contaminants and risks of

pollution in coastal areas are the sewerage system and waste water technology that marina creates.

• On this matter, a particular account was taken through the prediction and determination of all the systems that purify wastewater and return it as a technical water for use in the service and land surfaces

Feasibility study• The implementation of the marina can be carried out

in three stages .• The first stage includes primary activities related to

the water facilities (the part of the pier with berths) and the management part of the facility, service building, water gas station and a part of the covering infrastructure.

• The second phase includes a restaurant and a part of the pier, landscaping and infrastructure.

• The third stage would be carried out with the construction of a covered boat winter storage, the hotel and the boat docks.

SUMMARY BY PHASES AND FACILITIES1 PHASES eur 2 PHASESeur 3PHASES eur TOTAL eur

1 OBJECT ON THE GROUND 441,953.00 796,528.00 1,397,507.50 2,635,988.502 OBJECT ON THE WATER 616,032.00 368,930.00 226,550.00 1,211,512.003 INFRASTRUCTURES OBJECT 443,000.00 210,000.00 653,000.00

PROJECT 100,000.00 100,000.00TOTAL 1,600,985.00 1,375,458.00 1,624,057.50 4,600,500.50

Number of boats (small boats, scutters, yachts, sailing boats) registered in Serbia: 11,246

Number of boats registered in Belgrade in 2011: 4,500

Number of foreign boats in transit through Serbia in 2010: 565

Number of mini-marinas on river Sava and river Danube in 2011: 59

Number of gas station for boats in Belgrade in 2011: 0

MARKET ANALYSIS FOR BOATS IN BELGRADE

Mini Marina, Surčin, BelgradeFeasibility study for mini marina (Phase 1)Payback period

Table 11

Year InvestmentNet investment /

yearCash inflows cummulative

in EUR2012 1,600,985 -1,600,985 -1,600,9852013 - 153,960 -1,447,0252014 - 185,336 -1,261,6882015 - 209,711 -1,051,9782016 - 219,030 -832,9482017 - 234,043 -598,9052018 - 242,421 -356,4842019 - 249,637 -106,847

2020 - 257,597 150,7502021 - 263,757 414,5072022 - 269,534 684,0412023 - 1,269,284 1,953,325

Payback period (in yrs) 7.4

FEASIBILITY STUDY (PHASE 1)

PHASE 1:

• Investment size: 1,600,985 EUR

• Net Present Value = 394,430 EUR

• Internal Rate of Return = 11.91%

• Payback period = 7.4 years

Mini Marina, Surčin, BelgradeFeasibility study for mini marina Phase I+IIPayback period

Table 11

Year InvestmentNet investment /

yearCash inflows cummulative

in EUR2012 2,976,443 -2,976,443 -2,976,4432013 - 161,923 -2,814,5202014 - 432,316 -2,382,2042015 - 460,836 -1,921,3682016 - 507,153 -1,414,2162017 - 528,025 -886,1912018 - 540,861 -345,3302019 - 589,280 243,950

2020 - 603,753 847,7032021 - 616,952 1,464,6552022 - 627,903 2,092,5582023 - 1,222,272 3,314,831

Payback period (in years) 6.6

FEASIBILITY STUDY (PHASE 2 and PHASE 1)

PHASE 1 AND PHASE 2:

• Investment (Phase 1 and Phase 2): 2,976,443 EUR

• NPV = 731,238 EUR

• IRR = 12.20%

• Payback period = 6.6 years

Mini Marina, Surčin, BelgradeFeasibility study for mini marina Phase I+IIPayback period

Table 11

Year InvestmentNet investment /

yearCash inflows cummulative

in EUR2012 4,600,501 -4,600,501 -4,600,5012013 - 232,069 -4,368,4322014 - 430,315 -3,938,1172015 - 808,855 -3,129,2622016 - 842,209 -2,287,0522017 - 888,756 -1,398,2962018 - 934,193 -464,1042019 - 1,003,485 539,381

2020 - 1,054,358 1,593,7392021 - 1,106,368 2,700,1072022 - 1,135,557 3,835,6632023 - 1,356,305 5,191,968

Payback period (in years) 6.5

FEASIBILITY STUDY (PHASE 3 and PHASE 1+PHASE 2)

PHASE 1+2+3:

• Investment Phase 1+2+3: 4,600,501 EUR

• NPV = 1,177,254 EUR

• IRR = 12.29%

• Payback period = 6.5 years

GRAPHIC PRESENTATION OF CONSTRUCTION PHASE

Feasibility study findings• Based on the market analysis, the demand for the mini

marina and adjacent facilities is present in Belgrade. • The envisioned marina in the Surčin municipality should

provide slips and gas station for river boats, along with the modern facilities such as restaurants, hotel and recreational facilities.

• The Phase 1 profitability enables the stakeholders to seek the additional funds from commercial banks, bond issuance or any other form of borrowed capital in order to build Phase 2 and Phase 3

• The feasibility study for Phase 1, as well as feasibility study for the other two phases has provided positive findings in terms of profitability and self-sustainability

Thank you foryour attention!