The 2010 Alltech Federation Equestre Internationale (FEI) World Equestrian Games are anticipated to bring 900 athletes and over 600,000 spectators in a 16-day period to Lexington's Kentucky Horse Park. Economic impact projections start at about $150 million in Kentucky prior to and during the Games, counting any dollars that, but for the Games, would not be spent. Some speculate the range will go as high as the $328 million that was realized in Aachen, Germany, where the last competition was held in 2006. One can only speculate on the positive long-term impact it will have on the region after 2010.
This is an incredible opportunity to show the world what we have to sell, and that means promoting a way of life. Whenever we have the chance to expose the Lexington lifestyle and the positive aspects of our community, the future benefits are immeasurable. Sharing our message with a broad base of individuals, and exposing Lexington as a desirable place to live, may prove to be beneficial to the real estate market. Lexington is like no other city; its uniqueness is what sets us apart. It may be horse aficionados looking to purchase a small farm to take advantage of brand-new, world-class facilities with the ability to hold events year round, or businesses seeking to relocate that may profit from the ongoing needs of potential customers and the continuing influence of the event. It could also be employees and their families required to staff new positions created by the growth and the more than 30 national equine organizations already housed at the Kentucky Horse Park. Or it could be families seeking a safe, clean and diverse community with sport horse enthusiasm; or the visitor who just loves white plank fences, the charm of rural Bluegrass, and its horse appeal.
No one has a crystal ball that can specifically determine the outcome the Games may have on the real estate community. Will visitors be so enamored by the region that they may decide to purchase a piece of the Horse Capital of the World?
To date, there already have been several transactions and inquiries that lead one to believe that the Games will be instrumental in promoting central Kentucky. When asked about the potential growth in the real estate industry due to the FEI World Equestrian Games effect, some of the leading brokers in town responded as follows:
Bill Justice, principal broker of Justice Real Estate, whose business focuses on marketing horse farms throughout the region, stated, "The sale of 300 acres at the corner of Iron Works Pike and Newtown Pike was directly attributable to the expanded facilities being built at the Kentucky Horse Park. There is increased interest from the show/hunter-jumper division, because now they will be able to compete here all summer and fall after they leave Florida; this in itself will make the area more desirable. Once the 600,000-plus visitors get here and see what we have, the effect will be felt long past 2010."
Anthony de Movellan, of Prudential A.S. de Movellan Real Estate, said: "Just like the construction of CentrePointe, the Horse Park, with its new facilities and year-round activities, will create new jobs from management to entry-level positions, and those who fill these new positions will provide a positive impact to the residential real estate market. With new year-round activities at the Kentucky Horse Park, there may be some equine participants that decide they would like to live in the Bluegrass to be closer to the events."
John Paul Miller, owner of Fortune Commercial Properties, stated, "We have had a specific inquiry from a national, equine-related firm that is targeting Lexington to establish an eastern distribution center that is requiring 30,000 square feet of office and warehouse space. They are looking at the growth of the population and the entire horse industry that is focused around Lexington, its participants, and the activities centered on the Kentucky Horse Park."
Primarily in the Thoroughbred business, Lexington is already known for its world-class real estate, with its majestic farms, sale facilities and Keeneland. Hosting the FEI World Equestrian Games will provide us with the good fortune to take full advantage of other horse disciplines and events that will only enhance the favorable impression of this beautiful region. During their trip to Lexington from September 25 to October 10 in 2010, no doubt a few of those 600,000 visitors might just decide to stay.
Jennifer Mossotti, CCIM, is a Realtor with Prudential de Movellan Real Estate and former LFUCG councilmember. She can be reached at jennifermossotti@insightbb.com.