.id helps secure funding for cinema complex in Kempsey
Kempsey Shire Council received a $2m grant from the National Stronger Regions Fund for development of a cinema complex in the Kempsey CBD.
The successful funding application was evidence-based drawing on economic modelling provided by .id’s consulting team and socio-demographic data from economy.id.
Kempsey Shire Council Mayor Liz Campbell said the cinema was the missing link to the CBD profile.
“This major new entertainment venue will bring even more people into the Kempsey Central Business District, where they will be able to enjoy our great retail hub,” Cr Campbell said.
A cinema is considered an essential building block for a successful CBD by driving visitation, length of visit, multi-purpose visits and expenditure. Cinemas also play an important role in the night time and tourism economy, increasing the hours of trading and extending the regional catchment of the CBD.
Applications will be judged against a range of criteria, including the extent to which the project contributes to economic growth, supports or addresses disadvantage in a region, increases investment and builds partnerships, and shows viability and sustainability.
.id established an assessment framework and used its economy.id Economic Impact Assessment tool to model the economic and wider benefits of the proposed cinema complex.
The framework assessed estimated benefits and costs over a 20-year period, consistent with Treasury guidelines for the evaluation of capital projects.
The framework included estimates of:
- increased revenue from cinema ticket sales
- increased tourism expenditure from non-cinema sales
- potential need for a cinema
The modelling included:
- Benefit Cost Assessment
- Economic Impact Assessment
- Net Present Value
- Benefit Cost Ratio