75D - PH- MAIN PLACE TRANSFORMATION

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MainPlace Mall Net Fiscal Impact and Economic Analysis December 2018 Page 26 of 33 5.2.6 Hotel Visitors Tax Hotel Visitor Tax ("HVT") revenues are projected based on estimated average daily room rates, occupancy, and the City's TOT rate of 11%, According to the CBRE Hotel market study report, occupancy rates for hotels throughout Orange County is projected to average 80% in 2018. Average Daily Room Rate for Orange County was listed at $193.17 in the same report. All hotel construction is expected to be completed within Phase 1 of the project, The 400 rooms planned under the current model should generate an approximate $2.5 million for the City annually in HVT (see Exhibit 5.2.6), Exhibit 5.2.6: Hotel Visitors Tax Revenue Phase I I Full Buildout Number of Rooms Average Daily Room Rate - 2018$ Arerage Occupancy Rate 400 $193.17 80% 400 $193.17 80% Annual Hotel Room Receipts City HVT Rate $22,562,300 $22,562,300 11.0% Annual TOT to City $2 481 9001 $2 487 900 oource: Cbnt Heal bstate group, Centennial Real Estate Company, LLC, City of Santa Ana 5.2.7 Utility User, Franchise, and Business Taxes Business license tax, utility user tax, and franchise taxes are estimated on a per capita basis based on the City's 2017-2018 Adopted Budget and the relevant resident and employee populations within the City. At full Project bujidout miscellaneous business and utiity taxes are estimated to bring $658,000 to the City General Fund annually; of which $307,000 is derived from Phase 1 project elements See Exhibit 5,2.7 on following page for detail assumptions. The analyses, projections, assumptions, and any examples presented heroin are for 11lustra4ve purposes and are not a guarantee of actual and/or future results. Tax analyses 4nvmm+ wru nrni4rlinne nnh, Anh,.I --ni I— Affor fmm Ihnm nvnroe..H in Ihiu onelveic 75D-561