ELK GROVE, CA (MPG) - The CORE Recreation Center, under construction at Morse Community Park, is projected to draw more than 1,700 members by 2026, Cosumnes Community Services District (CSD) staff said at the June 5 board of directors’ regular meeting.

Deputy project manager Fred Bremerman helped present the CORE business plan, which he said was developed based on demographic data of the surrounding area and a feasibility study on the project.

One of CORE’s selling points is its “holistic” approach to fitness.

“CORE is more than a sports and fitness facility; CORE will be the best place to build energy, productivity and longevity for our community,” Bremerman said. 

Plans for the fitness center include high-quality amenities, workouts for a range of ages and abilities, and a clean environment, according to Bremerman.

Most of the patrons are expected to come from within a three-mile radius or about a 15-minute drive, Bremerman said, which encompasses the West Laguna, Lakeside, Stonelake, Laguna, Laguna Ridge and Southeast Policy Area.

Within the three-mile radius are 111,000 residents and, according to Bremerman, planned development in south Elk Grove would add another 40,000 residents.

Bremerman framed CORE as a “mid-market” and “high customer service” offering in the fitness space, with an adult membership fee of $69 per month. There will be five membership levels for children, additional family members, Cosumnes Community Services District staff and CORE ambassadors. Membership for older adults will cost $10 per month. There will also be a discount for buying a membership during a presale period.

Enrollment will cost $20 and daily admission will cost $14.

Recreation manager Jay Long said CORE would reduce or eliminate wait lists for the district’s most in-demand sports programs. Offerings will include open gym, sports academies, peewee sports, court rentals and party packages.

The district has goals of using no additional General Fund money to run CORE, of balancing income and expenses at the center within three years of opening, and of repaying startup funds within five years.

A financial plan projected revenue of about $500,000 in the upcoming fiscal year, 2024-2025, increasing over the following years to $2.9 million in 2027-2028. Losses of $400,000 and $200,000 were anticipated for the first two fiscal years of operation. In the following two years, CORE is projected to turn a profit.

Bremerman said this projection has to do with a breakeven point at about 1,700 members.

To promote long-term financial sustainability, Bremerman said, CORE will reinvest profits in its equipment and building maintenance, and in the expansion of its staff and program offerings.

The directors praised the plan and presentation.

Director Peter Sakaris emphasized the plan to pay back the startup funds and asked whether higher enrollment would raise the rate of repayment. Bremerman said that was true.

“I think the model is very unique. It’s a lot different than the other what I want to call fitness gyms around. We are going to be interactive with not only the individual but with the family. I think that’s a great model,” Sakaris said.

The board voted to accept the 2024-2029 Capital Improvement Plan. Scott Jones, the district’s engineering, development and design director, said the 300-page document lays out plans for physical development at all district facilities, including parks and fire stations, as well as repair projects. The plan covers the upcoming five years but is updated annually.

Jones said the implementation of projects in the plan depends on funding availability.

Major projects planned for fiscal year 2024-2025 include the CORE Recreation Center, solar and parking lot improvements, and Unity Park in southern Elk Grove.

Director Angela Spease thanked Jones for the “thorough discussion” and the board approved the plan 4-0. Director Gil Albiani was absent.