- US Grand Prix
US Grand Prix construction worth $400 million
The construction of the US Grand Prix site in Texas is set to have an enormous impact on sales activity within the local Austin area and state-wide economy according to a recent study by by Dr. Don Hoyte, principal of TexasEconomicImpact.com.
Hoyte's economic analysis concluded that the circuit construction is expected to increase sales activity in Texas from approximately $11.4 million in 2010 to a peak of $255 million in 2011 before levelling off to $132 million as construction activity winds down in 2012. The total state-wide economic activity is expected to increase by approximately $400 million during construction.
The report also concluded that Texas will experience a considerable increase in tax gains with activity-based taxes set to generate revenues directly related to construction.
"In coming on board we knew this project would be a world-class facility that will draw visitors to the area from all over the globe," said William McAdoo, senior vice president of Austin Commercial. "This study reinforces what our team is so looking forward to experiencing through this process. It will be an economic transformation for Austin and for Texas, unlike any that the area has ever experienced."
Construction of the site is expected to conclude by mid-2012, just in time for the race in the same year.
"While we have heard some concern over our accelerated construction schedule, we have continued to stay on track," said Tavo Hellmund, chairman of the USGP. "The Shanghai Circuit was completed in less than 18 months, Bahrain in less than 16 months. We understand the impact that this will have on Austin as well as the state of Texas, and we are looking forward to the first race in 2012."