A proposed Racing Circuit

[natsirht28]

Hello maam/sir, I'm an architecture student from Bataan Peninsula State University in Balanga, Bataan. As a 5th year student of architecture we have to make a thesis proposal as a main and final project in a certain course. In my case, my thesis proposal is a national racing circuit. I have a task to study and conceptualize a good plan and design of a racing circuit. I don't have all the resources regarding the details that will help me to design my thesis proposal, so I'm hoping to get more knowledge and help by posting this message in this forum .Thank you. This are the questions that still bugging me:
1.What is the best site suitable for this proposal?
2.What scope of racing event should I handle?
3.How owners of racing circuit like the BRC, CRC. etc. earn money?
4.What are specialty or new feature should I make?
5.What are the standards that should I follow or any organization should I comply with.

Thank you. Very much.

PS. I do speak in Tagalog, I just wrote it in english so everybody will understand it.

[Brent]

1. Ideally near a major transportation hub.
2. Up to Formula 3. Investing in an F1 track is really nonsense since you only get to host a race once a year if you get a license. Something that can be split up into two would be ideal.
3. Corporate events.
4. Propoer hospitality suites, grandstand, space for food concessionaires, ample amount of toilets.
5. FIA specified standards for up to Formula 3.

[natsirht28]

1. Ideally near a major transportation hub.
2. Up to Formula 3. Investing in an F1 track is really nonsense since you only get to host a race once a year if you get a license. Something that can be split up into two would be ideal.
3. Corporate events.
4. Propoer hospitality suites, grandstand, space for food concessionaires, ample amount of toilets.
5. FIA specified standards for up to Formula 3.

Thank you very much for your reply Brent. Can you discuss more about how do they earn money w/ Corporate Events? Because I really need to know the return of investment(ROI) of my proposal. Do you know where is the loacation of FIA here in Philippines?By the way, I'm planning to email Automobile Association Philippines(AAP),because they are Philippine affilite of FIA.What do you think about them(AAP)?

[Paul]

i think from a business standpoint, there's not much money to be made in a racing circuit. consider first the cost of the land, if ever you're gonna buy it. you're gonna need big space, maybe 5 hectares. so that means it has to be in a province. then the cost of constructing an FIA-grade circuit itself, plus hospitality suites, plus proper garages, would certainly be astronomical.

now how can you make money out of it? the best way would be advertising. how do you attract companies to advertise in the circuit? best way is to have TV coverage in all the racing series being held at your circuit. here now lies the problem, do we have a local racing series right now that has a contract for TV coverage? no. you're gonna have to host a regional motorsport event like GP2 asia, AFOS, asian touring cars and the like. i'm not sure, but you're still going to have to pay for hosting license, if ever they consider the venue. when hosting international motorsports, you're area should be prepared for the influx of foreign people coming in. so facilities such as hotels, restaurants should be present.

another way to recoup your expense would be some form of subsidy from the local government, since you could argue that you are boosting local economy by attracting visitors to the area. holding track days will also net you some money, but i imagine this will be small amount. rely on it solely, then you grow old and still not get ROI. an example of corporate events brent mentioned are the porsche driving clinic, or BMW media tests. i don't know how much they pay but surely more than track days.

it's a vicious cycle this business is. personally i wouldn't recommend it. if you're going to depend your daily life on it. don't. but if you already have an existing business and you're bleeding money from every orifice, then as a die-hard motorsport fan, DO IT!

[natsirht28]

i think from a business standpoint, there's not much money to be made in a racing circuit. consider first the cost of the land, if ever you're gonna buy it. you're gonna need big space, maybe 5 hectares. so that means it has to be in a province. then the cost of constructing an FIA-grade circuit itself, plus hospitality suites, plus proper garages, would certainly be astronomical.

now how can you make money out of it? the best way would be advertising. how do you attract companies to advertise in the circuit? best way is to have TV coverage in all the racing series being held at your circuit. here now lies the problem, do we have a local racing series right now that has a contract for TV coverage? no. you're gonna have to host a regional motorsport event like GP2 asia, AFOS, asian touring cars and the like. i'm not sure, but you're still going to have to pay for hosting license, if ever they consider the venue. when hosting international motorsports, you're area should be prepared for the influx of foreign people coming in. so facilities such as hotels, restaurants should be present.

another way to recoup your expense would be some form of subsidy from the local government, since you could argue that you are boosting local economy by attracting visitors to the area. holding track days will also net you some money, but i imagine this will be small amount. rely on it solely, then you grow old and still not get ROI. an example of corporate events brent mentioned are the porsche driving clinic, or BMW media tests. i don't know how much they pay but surely more than track days.

it's a vicious cycle this business is. personally i wouldn't recommend it. if you're going to depend your daily life on it. don't. but if you already have an existing business and you're bleeding money from every orifice, then as a die-hard motorsport fan, DO IT!

Thank you very much for the reply and help. I do agree with you, but my plan is to do  a phasing construction development w/c means is to build only a few facilities like drag racing and off-roading facilities at first and then eventually, to add or build new improvements so as not to be burden of the total initial cost. My another question is how/why racing circuit here in the Philippines like the BRC,CRC, etc. are still in operation if it is not that profitable? Thanks

[Paul]

Thank you very much for the reply and help. I do agree with you, but my plan is to do  a phasing construction development w/c means is to build only a few facilities like drag racing and off-roading facilities at first and then eventually, to add or build new improvements so as not to be burden of the total initial cost. My another question is how/why racing circuit here in the Philippines like the BRC,CRC, etc. are still in operation if it is not that profitable? Thanks

i'm not saying it's not profitable, i'm just saying don't make it your day job. once upon a time we had a local touring car series and hosted an asian formula 3 event in BRC. so i'm guessing BRC has recouped its expense already, but clark i reckon still has yet to. impressive as the clark facilities are, it has yet to host a proper racing series. i would also suggest you add karting to your proposed track as the shell super kart series i think is still alive.

let me also just state that what i am saying are just my personal opinion and specualtion from a business standpoint and until we get a chance to talk to the owners of these circuits (and divulge infos) and take a looks at their books, we can only have these discussion.

[Leo C.]

How about a race resort like Ascari... membership fee with annual fee, you can have access to the race track, luxury hotels, condos, spa, helipad, beach,    And your market would be local rich guys and foreigners... maybe attract those rich Japanese race boys too... they pay a lot just to play on the race tracks...

http://www.ascari.net/

[natsirht28]

How about a race resort like Ascari... membership fee with annual fee, you can have access to the race track, luxury hotels, condos, spa, helipad, beach,    And your market would be local rich guys and foreigners... maybe attract those rich Japanese race boys too... they pay a lot just to play on the race tracks...

http://www.ascari.net/

That is a really great idea. But I think I will be needing a very huge site for that for me to accommodate luxury hotels and beach. Hope I can get a huge site to include those new feature of accommodation in motorsports.

[natsirht28]

i'm not saying it's not profitable, i'm just saying don't make it your day job. once upon a time we had a local touring car series and hosted an asian formula 3 event in BRC. so i'm guessing BRC has recouped its expense already, but clark i reckon still has yet to. impressive as the clark facilities are, it has yet to host a proper racing series. i would also suggest you add karting to your proposed track as the shell super kart series i think is still alive.

let me also just state that what i am saying are just my personal opinion and specualtion from a business standpoint and until we get a chance to talk to the owners of these circuits (and divulge infos) and take a looks at their books, we can only have these discussion.

Thanks for clearing that out. yeah I will add karting facilities in my proposal. So the challenge now in my thesis is to make a race track that will have a world-class facilities,environmentally friendly and also economically profitable.

[Leo C.]

Race track country club is the trend right now... this is the new alternative to golf...

[natsirht28]

Race track country club is the trend right now... this is the new alternative to golf...

Ok, so what are the major differences of a Race track country club and an ordinary racing circuit? What are the features in a Race track country club that is not present in a common racing circuit? Also I'm planning to make a Motorsports park like the Barber' Motorsports Park in Alabama http://barbermotorsports.com/park/index.php. What are your thoughts about it? Thanks again  :asian:

[Leo C.]

Simple, think of a country club but instead of a golf course, you have a race track... There's membership, annual fees, track fees, restaurant, club house, driving lessons, etc. 
You will have your own garage to keep your race car or bike, a pad to stay perhaps, and other race facilities.   This will be an extension of your home, instead of tinkering with your cars at home, you do it here and test your car on the tracks afterwards... and leave the car at the club... and ride your scooter home instead... like a real big play pen for the big boys.  The track can also be rented by non-member groups for special race events to earn extra profits...

[halemshackz]

Corporate Events? Because I really need to know the return