HomeMy WebLinkAboutCS 27-24Report to
Executive Committee
Report Number: CS 27-24 Date: September 3, 2024
From: Laura Gibbs Director, Community Services
Subject: Indoor Pickleball Facility – Update - File: A-1440-001
Recommendation:
1. That Report CS 27-24 regarding an update on Indoor Pickleball facilities be received for
information.
Executive Summary: The purpose of this report is to provide an update on a leased facility to meet the demand for indoor pickleball facilities until the Seaton Recreation Complex & Library is built.
As per Resolution #278/23, staff were directed to: 1) Explore opportunities to lease warehouse space that can be retrofitted to accommodate the construction of Indoor Pickleball Courts; 2) Consult with the Pickering Pickleball Club (PPC) in this review; and 3) Report back to Council
for budget consideration no later than Q1, 2024.
Staff brought Report CS 01-24 to Council on February 5, 2024, with an update on interim
solutions for indoor pickleball facilities. Analysis of current demand for pickleball and availability of indoor pickleball courts resulted in the following findings:
1) Demand for pickleball exceeds available court facilities. There were 10,506 drop in pickleball players at CHDRC in 2023. In the first half of 2024, there have been 6,100 players. During busy sessions, there are upwards of 20 players waiting for court time.
2) The City continues to add new pickleball programs in community facilities. In 2023, the City accommodated 500 registered participants in 32 pickleball programs. Of the programs offered, 27 were for the 55+ age group.
3) There are indoor warehouse spaces available for lease. However, most warehouse spaces
range from 30,000 to 100,000 square feet, which is significantly larger than what is required for an indoor pickleball facility, estimated to be around 16,500 square feet. Additionally, warehouses require significant retrofitting to be safe, accessible and functional recreational
spaces. Insufficient parking and washroom facilities are also common challenges, as industrial buildings are typically designed for much lower occupant counts. The estimated cost for a warehouse retrofit is between $50 to $250 per square foot, depending on the condition of the existing space (ie. $50 x 30,000 sq. ft. = $1,500,000).
CS 27-24 September 3, 2024
Subject: Indoor Pickleball Facility – Update Page 2
Resolution #415/24 directed staff to further investigate indoor warehouse spaces suitable to accommodate pickleball courts, including a detailed retrofit and operating budget.
At the June 2024 Council meeting, staff brought Report CS 15-24 to Council presenting the draft Recreation & Parks – Ten Year Plan. Comparative analysis of other Ontario
municipalities demonstrated that there is an average provision of one pickleball court per 10,000 residents. Applying this measure to Pickering, the City will be able to meet the target of ten indoor courts by 2024 through the Pickering Soccer Centre with six courts, and 53 hours of pickleball offered weekly in community centres and school gymnasiums. The City will meet the
target of 15 pickleball courts by year 2034 as early as 2029 with the construction of the Seaton Recreation Complex & Library.
Relationship to the Pickering Strategic Plan: The recommendations in this report respond
to the Pickering Strategic Plan Priority of Advocate for an Inclusive, Welcoming, Safe & Healthy Community.
Financial Implications:
1. Estimated Costs for Options 1, 2 & 3
Option 1
The Shops at Pickering City Ctr. (Commercial)
18,000 ft²
Option 2
953 Dillingham Rd. (Warehouse)
19,832 ft²
Option 3
585 Granite Crt.
(Warehouse)
29,378 ft²
Annual Lease Costs $630,000 $422,000 $616,900
Staffing (7-day operations 7:00 am – 9:00 pm)
358,000 358,000 358,000
Safety Systems &
Insurance
12,000 12,000 12,000
Information
Technology
1,500 1,500 1,500
Utilities 25,000 25,000 25,000
Program Support 20,000 20,000 20,000
Janitorial 15,000 15,000 15,000
Total Annual Expenses $ 1,061,500 $ 853,500 $ 1,048,400
Less:
Annual Program Admissions (160,000) (160,000) (160,000)
CS 27-24 September 3, 2024
Subject: Indoor Pickleball Facility – Update Page 3
Option 1 The Shops at
Pickering City Ctr. (Commercial)
18,000 ft²
Option 2 953 Dillingham
Rd. (Warehouse)
19,832 ft²
Option 3 585 Granite Crt.
(Warehouse)
29,378 ft²
Net Annual Cost $ 901,500 $ 693,500 $ 888,400
One Time Capital Costs (Debt Financing 10-Year Term)
(est. $100/ft2) $1,980,000 (est. $120/ft2) $2,380,000 (est. $110/ft2) $3,231,600
Option 1: The Shops at Pickering City Centre has an estimated annual operating net
cost of $901,500 which translates into an additional levy increase of 1.0 per cent, and $1,980,000 in capital expenses for leasehold improvements which would result in annual debt charges of $256,500 based on a 10-year debenture and results in additional levy increase of 0.282 per cent, for a total levy increase of 1.282 per cent that
is above the Mayor’s 2025 Budget target.
Option 2: The Dillingham Road Warehouse has an estimated annual operating net cost
of $693,500 which translates into an additional levy increase of 0.763 per cent, and $2,380,000 in capital expenses for leasehold improvements which would result in
annual debt charges of $308,200 based on a 10-year debenture that results in additional levy increase of 0.339 per cent for a total levy increase of 1.102 per cent that is above the Mayor’s 2025 Budget target.
Option 3: The Granite Court Warehouse has an estimated annual operating net cost of
$888,400 which translates into an additional levy increase of 0.890 per cent, and $3,231,600 in capital expenses for leasehold improvements which would result in annual debt charges of $418,500 based on a 10-year debenture that results in
additional levy increase of 0.461 per cent for a total levy increase of 1.351 per cent that
is above the Mayor’s 2025 Budget target.
Senior staff are currently developing the draft 2025 Current and Capital Budgets with the goal of meeting the Mayor’s budget levy target. The draft 2025 Current Budget is proving to be challenging due to the fact there are several uncontrollable cost pressures
such as expired labour contracts, above average construction cost inflation and the need to invest in infrastructure renewal. Senior staff are working towards accommodating these budget pressures by drawing on all reserves and prioritizing spending.
Council may recall the Capital Priorities Report FIN 01-24 included the Watson & Associates Economists Ltd. Report that showed the City drawing on its reserves to a
low level until 2028 to meet capital and operating needs. This study did not include additional investments for indoor pickleball. Therefore, to fund Options 1, 2 or 3, the
CS 27-24 September 3, 2024
Subject: Indoor Pickleball Facility – Update Page 4
only choice is to increase the levy above the Mayor’s target to accommodate the operating and debt financing costs associated with the leasehold improvements.
Discussion: The purpose of this report is to provide an update on an interim solution to meet the demand for indoor pickleball facilities until the Seaton Recreation Complex & Library
is built.
1.Staff have investigated several facilities for indoor pickleball courts:
a)Industrial Warehouse at 935 Sandy Beach Road. This property is 30,000 square feet,
with existing washrooms and a reception area. Transit stops are available at Bayly and
Sandy Beach Road. The warehouse is considered by staff to be in poor condition. Thereis a current tenant in this space so a site visit could not be conducted by City staff andPPC. This facility is no longer available.
b)Industrial Warehouse at 915 Sandy Beach Road. In January 2024, staff andmembers of the PPC visited a 100,000 square foot warehouse at 915 Sandy BeachRoad that included studio space and an office. Due to the size of this facility, it was
determined to be too large for the intended use.
c)Unit 503 in The Shops at Pickering City Centre (Option 1 above). In February, Juneand August 2024, staff and members of the PPC visited unit 503, an approximately
18,000 square foot facility. While this is not a warehouse space, as specified in theCouncil directive, this space in the mall benefits from ample parking, high foot traffic,and proximity to shops, restaurants and amenities. This space could accommodate fiveto six pickleball courts. This facility has 15-to-16-foot clearance from floor to ceiling,
which is slightly lower than recommended clearances for pickleball. Unit 503 requiresthe addition of public washrooms and reception/office space. Court flooring and lightingwould need to be added to the space and HVAC and electrical upgrades must be done
as part of the fit out. The lessor continues to accept offers from interested parties.
d)Industrial Warehouse at 953 Dillingham Road (Option 2 above). In July 2024, staffand a member of the PPC visited a 19,832 square foot facility. This facility has an 18-foot clearance from floor to ceiling. There are 20 tightly packed, angled parking spots
that create poor conditions for driving through the parking lot, which is considered to beinsufficient for the proposed use. The facility could accommodate five to six pickleballcourts. The building is considered by staff to be in poor condition and requiressignificant repairs to the foundation, floor slabs, and lighting. The lessor continues to
accept offers from interested parties.
e)Industrial Warehouse at 585 Granite Court (Option 3 above). In July 2024, staff anda member of the PPC visited a 29,378 square foot facility. This facility has an 18-foot
clearance from floor to ceiling and could accommodate eight or more pickleball courts.There are 16 dedicated parking spaces. An additional 30 shared spaces are availableon the opposing side of the building. Parking is currently via gate access, with noaccess past 4:30 pm, and would require the facility to maintain two separate entrances,
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Subject: Indoor Pickleball Facility – Update Page 5
neither of which could be easily made accessible. Insufficient parking capacity would also be an ongoing operational challenge. This facility does not have washrooms or
office space which would need to be added as a fit-out cost. This facility is in good condition. The lessor continues to accept offers from interested parties.
2.The following requirements are needed in a leased space:
A standard pickleball court is 44 feet long and 20 feet wide, inclusive of lines. Eachcourt requires clearance of six feet around it to accommodate players’ access to the
courts, and off-court play (i.e. balls hit out of court). Additional space as safetyallowance and for circulation is always preferred. Courts require a ceiling heightallowance of 18 feet to 20 feet. The minimum space requirement to introduce eight
indoor pickleball courts, for example, is approximately 16,500 square feet.
In addition to unencumbered court spaces, the facility (i.e. warehouse) will also need to
include the following amenities:
•At least 60 parking spaces including accessible parking.
•Public washrooms, including an accessible washroom.
•Storage space for equipment and nets.
•Health and safety equipment including a defibrillator.
•Security provisions like outdoor lighting, alarms and cameras.
•A seating area for players to wait or spectate.
•A small office space with internet, phone, computer and printer.
•Janitorial storage space.
•Potable water source.
The minimum space requirement for indoor facility amenities is 3,500 square feet. Added to the 16,500 square feet court requirement makes the total square foot requirement for a suitable indoor interim space approximately 20,000 square feet.
Operating hours for the pickleball facility are expected to be seven days a week, from
7:00 am to 9:00 pm.
3.The need for Indoor Pickleball facilities will be met in 2024:
The draft Recreation & Parks – Ten Year Plan (2024) recommends a provision of onepickleball court per 10,000 residents. Applying this measure to Pickering, the City will
be able to meet the 2024 target of ten indoor pickleball courts at the Pickering SoccerCentre (up to six courts and 42 hours per week), and existing pickleball programofferings in community facilities. The City is also on track to meet the target of 15
indoor courts by the year 2034 as early as 2029 through the construction and opening
of the Seaton Recreation Complex & Library, as pickleball will be offered in the
gymnasium.
Community Services continues to add new pickleball programs in community facilities.In 2023, the City offered pre-registered pickleball programs on a sessional basis at
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Subject: Indoor Pickleball Facility – Update Page 6
three facilities. 500 participants registered in the 32 programs. Of these programs, 27 were for the 55+ age group and prove to be the most popular. In 2024, the City
expanded pickleball to Dunbarton High School and offered indoor summer drop-in at Chestnut Hill Developments Recreation Complex (CHDRC). Combined with planned
programs and drop-in at community centres and CHDRC, the City is offering 53 hours weekly of pickleball programs.
4.Community feedback on pickleball through the Recreation & Parks – Ten YearPlan.
As part of community engagement for the Recreation & Parks – Ten Year Plan,
Pickering residents were asked what recreational and park activities or programs theywould like to see offered in Pickering. From 704 respondents, the top five activities that
people wanted to see offered more included: 1) swimming (24%); 2) pickleball (15%);3) skating (15%); 4) splash pads (8%); 5) cycling (7%).
The community survey found that 14% of responding households participate in pickleball (ranking 25 out of 41 activities) and 53% indicated support for more outdoor pickleball courts (ranking 24 out of 26 facility types). Interest was lower from students,
with 5% indicating that they have played the sport in the last 12 months and 3% seeking more outdoor courts.
While pickleball is popular and growing in Pickering, the City has been enhancing facilities like the Pickering Soccer Centre and adding hours of pickleball programming to community facilities and in local schools. The City will meet the target of ten
indoor pickleball courts by 2024 (identified in the Recreation & Parks – Ten Year Plan) through the Pickering Soccer Centre with six new pickleball courts, and 53 hours of pickleball offered weekly in community centres and school gymnasiums. The City will meet the 2034 target of 15 pickleball courts as early as 2029 with the
construction and opening of the Seaton Recreation Complex & Library.
Attachment: None.
Prepared By: Approved/Endorsed By:
Original Signed By Original Signed By
Karen Coleman Laura Gibbs, MBA, MSc. Manager, Recreation Services Director, Community Services
LG:kc
CS 27-24 September 3, 2024
Subject: Indoor Pickleball Facility – Update Page 7
Recommended for the consideration
of Pickering City Council
Original Signed By
Marisa Carpino, M.A. Chief Administrative Officer