PURPOSE OF STUDY APPROACH

N o r t h w e s t M e x i c o M a r i n a M a r k e t A n a l y s i s 1

I. INTRODUCTION

A. PURPOSE OF STUDY

This report summarizes an analysis of the market potential for the development of new marinas in Northwest Mexico through 2015. The analysis has been prepared for the Packard Foundation by EDAW, Inc.

B. APPROACH

Essentially, our approach has been to understand the key operational assumptions that will define demand for new marina development in each of the recreational boating areas in Northwest Mexico. We have conducted significant independent field research in Mexico and the United States to discuss site-specific market factors and crosscheck third party data. Our first step was to review the key factors affecting the development of each of the existing major marinas in Northwest Mexico, to identify the eight recreational boating areas in the region, to summarize the character of each area, and to compare the existing marina inventories in Northwest Mexico and the western United States. Our second step was to assess the strength of current demand for marinas in Northwest Mexico by analyzing occupancy and slip rates trends in marinas in the region during the past few years, arrivals of boats in Northwest Mexico during the past several years, and growth in registrations of larger boats in the western United States during the past several years. The third step was to project demand for new marina development in Northwest Mexico through 2015 by projecting boat registrations in the western United States during the period, defining the amount of potential demand the region can capture, and by calculating the numbers of boats that will use marinas in the region annually during the period. As a final step, we recommended the locations that will be most appropriate for development of new marinas in the region by projecting patterns of marina growth based on climate, natural features, access, and nautical tourism infrastructure in the different areas within the region. The goal of the recommendations is to use public and private investment capital efficiently and effectively in the development of marinas.

C. ORGANIZATION OF REPORT