Revised Outside Lands contract would enlarge crowds while increasing city’s revenues

S.F. Examiner File PhotoSee below the article for a breakdown of money that Rec and Park have received from Outside Lands.

S.F. Examiner File PhotoSee below the article for a breakdown of money that Rec and Park have received from Outside Lands.

The Outside Lands Music and Arts Festival is likely to return to Golden Gate Park through 2021, with The City reaping additional financial benefits from the multiday ?concert.

A proposed contract extension, which will be considered by The City’s Recreation and Park Commission at an upcoming meeting, would extend the permit for eight more years and allow for up to 10,000 more daily attendees at the event.

Under the renegotiated contract, the department would receive more money from the festival. Currently, it receives $1 per ticket plus either a base rent or 10 percent of gross revenue from ticket sales, whichever is greater. The new contract’s formula would earn the department $1.25 per ticket and either the base rent or 11 percent of gross ticket sales, whichever is greater.

“We think we have a very competitive deal as it is,” said Nick Kinsey, who manages property management and concessions for the department.

Another Planet Entertainment, the event’s sponsor, also would cover additional department expenses, including $89,000 per year to hire a full-time gardener for the department and another $15,000 per year for material and supplies to repair and upgrade the areas in which the event is held, including at the Polo Fields, which just had its turf redone.

In addition, if the new contract is finally approved by the Board of Supervisors, Kinsey said the company is expected to give a gift of about $750,000 to The City to renovate the bleachers at the Polo Fields.

Since 2008, the Berkeley-based Another Planet has put on the multiday festival in the middle of Golden Gate Park. Giving back has always been a part of the event, Another Planet CEO Gregg Perloff said.

“We have always done this event partially as a fundraiser for Rec and Park,” Perloff said.

The new contract would raise the daily attendance cap for the festival from 65,000 per day to 75,000, Kinsey said. That remains lower than the attendance of other events held in the park, such as the Hardly Strictly Bluegrass festival, Perloff noted.

Adding festival-goers would be expected to benefit the local economy. A study out of San Francisco State University found that the 2011 event created more than $60 million in economic benefits for city businesses and another $6.6 million for the greater Bay Area.

And Perloff noted that nearby residents benefit too. He said some 15,000 tickets were sold last year to people who live in the three ZIP codes surrounding the park.

“On so many levels, this has taken on a local life of its own,” Perloff said.

mbillings@sfexaminer.com

Outside Lands revenue

Money that Rec and Park has received from Outside Lands:

Year Total
2008 $815,000
2009 $1,028,000
2010 $1,058,777
2011 $1,450,747
2012 $1,720,549
Total $6,073,073

Source: Recreation and Park Department

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