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Why Michigan?

It′s America′s Winter Water Wonderland.

Northern Michigan has some of America′s most popular winter destinations for skiing, hunting, hiking and, most of all, snowmobiling.

• Every year, more than a half million snowmobilers travel ″Up North″ to enjoy 6,200 miles of groomed public snowmobile trails. In fact, Michigan is the #1 state in registered snowmobiles (390,000).

• Every year skiers travel ″Up North″ to the 40 ski resorts, including Boyne Mountain, Crystal Mountain, Shanty Creek, Treetops, Garland and The Homestead. In the summer, Michigan thaws out to reveal new shades of blue and green seldom experienced in nature.

• #1 in length of fresh water shoreline with 3,000 miles of America′s best lakes and 80% of the nation′s fresh water.

• #1 in registered boats (1 million).
 

• #1 in dedicated state forest acreage and #5 in state recreation land.

• #4 in number of public golf courses.

• Northern Michigan offers many of the cleanest and bluest lakes in the world, including Torch Lake, Higgins Lake, Houghton Lake, in addition to Grand Traverse Bay and the obvious Great Lakes that set the state apart.

Michigan leads the world in winter and water fun. There is no other place in the USA or in the world with more lakes, fresh water shorelines, boats, state forest acreage, snowmobiles or snowmobile trails. And, Grayling is in the center of all of the activities that make Michigan famous.

Why Grayling?

Michiganders know best why

While half of the state′s population lives in the urban areas of southeast Michigan, most of them travel ″Up North″ for their vacations. And, Grayling is the ″Gateway to the North.″

• One hour to the west is Traverse City, Charlevoix, Petoskey, Boyne Mountain, Torch Lake and the Sleeping Bear Dunes.

• One hour north of Grayling is the famous Mackinac Bridge and Mackinac Island, location of America′s Grand Hotel.

• Local to the park are landmarks, including Higgins Lake, Frankenmuth, and, of course, Bronner′s – where it′s Christmas all year long.

• The well-groomed snowmobile tracks and trails near Grayling are among the most popular in the world.

• Grayling′s run of the Au Sable River is the leading family-safe canoe and raft river in Michigan.

• Grayling′s Hanson Hills recreation area offers 11 downhill skiing runs and 35 km cross-country ski course among other attractions.
 

• Camp Grayling is the largest Army base in the country, representing one million potential visitors by 2009 (including families).

• The famous Polar Express currently stops at Grayling.


The cost of travel coupled with the tough economic environment in Michigan has caused a significant amount of in-state travel for Michigan vacationers. Michigan travel patterns create a vacation trail from southeast Michigan to northern Michigan. At about 2 hours outside of southeast Michigan, Grayling is at the crossroads of most northern Michigan destinations. Coming south are many northern Michiganders who are blocked from other options by water on both sides and Canadians who are increasingly spending tourist dollars in the USA.




Tourism Industry & Feasibility

Why tourism? Is the project feasible?

At $6 trillion, tourism is the world′s largest industry, representing 10.6% of the world′s GDP. Additionally, tourism is the world′s largest employer at 221 million jobs and growing at 4.6% per year. According to the World Travel & Tourism Council, the US is number one in projected growth between 2006 and 2025.

• Ranked #9 in visitor volume, Michigan ranks above Georgia, Virginia, South Carolina, Louisiana and Arizona, and is among the most successful tourist destinations for Midwestern Americans. However, Michigan is ranked 14th in tourist spending, ranking the state 48th in domestic travel expenditures per capita. This represents a significant opportunity for a major destination.

• There are more than 75.5 million leisure-related person-trips taken in Michigan each year.

• Michigan has nearly double the tourism spending of the average state, yet Michigan has very few amusement activities.

• Michigan travel expenditures are at $17.5 billion. Leisure travel is $13.4 billion. Compared to Florida′s $19.1 billion in out-of-state beach tourism (non-theme park tourism), Michigan tourism is strong. The closest competitive states to Michigan are North Carolina and Ohio, whose expenditure levels are nearly identical to Michigan′s, while Hawaii is not far ahead at $14.5 billion.
 

• Typically, amusement accounts for 16.8% of core tourism spending in a state, representing a relatively untapped potential of $2.3 billion in Michigan.

• Mackinac Bridge traffic was counted at 4.2 million in 2005, representing less than half of the 9.2 million cars that will pass the two mile frontage of the optioned property in Grayling (not including trucks or campers). At an average of 2.5 passengers per vehicle, we estimate 23 million potential visitors driving by the park each year. Initial studies show that the project would be profitable if only 5% of these travelers stop by the park.

• An estimated 2 million people from Michigan travel to Ohio for a theme park experience, yet the break-even target for a major Michigan theme park has been estimated at only 1.1 million.

Michigan Economic Profile

Currently, Michigan is on a track to a slow recovery from a significant economic downturn. Historically, this is a cyclical pattern that Michigan experiences based on the ebbs and flows of the automotive industry. But, what does this mean to the park? Why expand the entertainment industry in a bad economy?

• Bad economies always drive increased levels of entertainment and local spending on recreation. Entertainment reached its peak during the Great Depression in the 30s. It′s human nature to entertain ourselves through difficult times.

• The CARRS Tourism Resource Center at Michigan State University released a report in 2006 stating, ″With less to spend and higher gasoline prices, Michigan residents are more likely to travel in Michigan where they can get ‘more bang for their bucks.′″ In fact, finances are a particular concern of the Midwest. In 2005, this region showed the largest declines in the perceived affordability of travel (-32%) and the ability to travel based on finances fell by 25.6%.

• Because of cost-related issues, Michiganders typically stay close to home on vacation, even in the winter. The average Michigander only travels 779 miles for a vacation, making warm- state vacations out of reach in the cold seasons. Michiganders usually turn to skiing, sledding, skating, hunting, snowmobiling and other activities in the northern regions of the state.

• Within a 779 mile drive of the project′s location are 33 million potential visitors.
  • Because of the increased strength of the Canadian dollar, Michigan is experiencing increased traffic, tourism and spending from Michigan′s northern neighbor, just a stone throw away.

• 35 million visitors come to Michigan each year, regardless of the economic conditions. Yet, the fear of development in the state has left an opportunity open. While other states have been over-developing for tourism, Michigan has never established a major tourist hub. The population and traffic is well established, but there is nothing for people to spend their money on.


Michigan is possibly the most untapped tourist opportunity in the USA. It is among the leading states in tourism visits but almost last in amusement park activities. Consider Virginia. It′s a state that celebrates tourism as one of its top industries, celebrating $1.2 billion in 2006 taxes. It supports two major theme parks on the same side of the state. 2.8 million attend Busch Gardens, and still two million attend Kings Dominion, less than one hour away. Michigan has more tourist traffic than Virginia and no major theme park. We are proposing Michigan′s first major theme park that will support 1.8 million vistors. That represents only 2% of the 75.5 million annual tourist person-trip traffic.