How to Build a Cable Park

Thinking about building a cable park in your area but don't know where to begin?  Here are some tips. 

ARTICLE-102_102.jpgSo, you're thinking about building a cable park? Or maybe you're just interested in knowing more about what goes into the development of a cable park. We found that there really isn't much information out there about cable parks and/or how to build them. So, we figured we would try to help anyone starting out. The following information is to our best knowledge correct, but keep in mind that things vary from location to location so some information may apply to you and some may not. Please don't make any decisions based solely on the information below.

Currently there are close to 140 cableways all over the world, 60 of which are in Germany alone, and many more are on the drawing board in quite a few countries. These ski systems have a very positive reputation of being inexpensive, very efficient, and environmentally friendly. Put very simply, they open up a whole new market of potential wakeboarders and waterskiers who could not otherwise afford a US$60,000 boat, PLUS gas, insurance, and the headaches of towing it out to some crowded lake many miles/kilometers from home. That's why long lines of people waiting eagerly to ride are regularly seen at these facilities all over the globe.

Ever since the sport of cable wakeboarding begun its rapid growth several years ago, we've received many emails from individuals inquiring as to how to build a cableway. Most talk a big game, some are serious.

And if you are one of those very few who are truly serious about it, and are ready to take the plunge, the very first and foremost thing you MUST accept is that it's going to be long process, and that you must COMMIT to making it happen. The simple fact of the matter is that you are going to run into bumps all along the way, but if you can persist and persevere, your dream of a cable park, a fantastic venue for riders, families, and your community, and a profitable enterprise for you, will in fact become a reality.

The Big Picture

Basically the way it works is this: Actual development of the parks is done by private investor/developers who secure the site, obtain the capital, handle all planning, permits, engineering, utilities, facilities/building development, construction, marketing/promotion, insurance, and management. These developers contract with the cableway manufacturer to ship all the hardware from the factory, and install it. However, the cableway itself is only a small part of the effort. As you can probably imagine, the entire project and process as a whole is much more involved and complicated.

You must have 3 things in place before you can really make a serious go of it:

1. Your site must realistically be able to support a lake, utilities, and all related building and structural facilities.

2. You MUST have your homework done regarding procedures and permitting with ALL the necessary governmental and municipal bodies that have any jurisdiction over your property.

3. You need to have a minimum of US$1,000,000 readily available from private sources and preferably not bank financing.

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Where To Start

Assuming you want to build one of your own, the first thing you want to do is visit as many cable parks as possible. By visiting the existing sites, you can see how a cable system works and how a site looks after it's been developed. For this article, we're going to answer a few of the most common questions. Hopefully this will get you started.

Where should I look for a site?

In the big scheme of things the larger the city/area in population the better, although there are positives and negatives to everything. For example, you could be in Boston or Berlin where there are lots of people, but land is expensive and it's cold in the winter. On the other hand you could be in the middle of nowhere in the southern half of the USA, or maybe close to the Mediterranean or somewhere in Southeast Asia, and you can be open year-round. Generally, a population of around 300,000 people within a roughly 30-mile (50km) radius is a good place to put one up. Cable parks built in small towns can do just as well as those in large cities, if the demographics described above are there.  For reference, look up the population data in the locations of existing cable parks. An important point to mention is that if you don't live near the site it is going to be tough to do because you will have to attend about a hundred meetings during the planning and permitting phases.

Should I look for a pre-existing lake or try to dig one?

Finding a pre-existing lake makes things easier in a lot of ways but can also make things harder in others. For example, you might find a pre-existing lake that's big enough, but not the right shape. Or it may be too big and you could end up putting in some expensive docks. On the other side digging a lake can be difficult to engineer, permit, and costly to do, but you end up with a perfect shape and size.  As far as depth of water, a minimum of about 6-9 feet (2-3 meters) would be a good safe depth.

ARTICLE-l_4ece8e19107345209d0ab79de394205b.jpgHow much space do you need to build a cable park?

6 acres (about 2-3 hectares) of water is the about minimum lake size, but it also must be in a certain shape and you will need room for a building and parking. In general you need around 8 x12 acres (about 3-4 hectares) of land minimum. For reference there are 43,560 square feet in one acre, and 10,000 square meters in one hectare. Also, it's important to note the larger the piece of property the better, because you will be less likely to run out of space. However, larger usually means more expensive. There are many things such as buffers, easements, setbacks, etc. that you may not know about yet, but those things take up space and can create problems.

Can you put one in salt water?

Yes, cable parks have been built in salt water.  In fact, the first public cableway by Rixen was built off the coast of Benidorm, Spain, and is still in operation today.   Also, the very popular and beautiful Cable Krk was constructed in a bay on the Adriatic Sea off the coast of Croatia.

How much does a cable system cost?

Recently, the prices are roughly around US$370,000-400,000 to buy the cable system and have an installer available to help put it in. There are several other costs involved, such as the concrete anchors, and the starting dock. Generally, building a cable park will cost between US$500,000 and 5 million depending on many factors. It may be possible to build one for slightly less than US$500,000 but if you can do it, please let us know how.

Who manufactures cableway systems?

ARTICLE-RixenLogo.jpgARTICLE-CWPlogo.gifRixen Seilbahnen is the inventor and industry leader. In fact they have built over 140 cable systems including every full size system in the U.S. They have made roughly 90% of the full size systems worldwide. There are two other manufacturers that make up the remaining 10%: Sesitec & Alta. There are consultants working for each company located in various cities around the world that we suggest you contact. They can help you with economic issues, such as total development costs, operational costs, profit margins/potential, etc. We suggest you ask current park owners who they used and their opinion of the experience and support received from consultants or distributors. Building In the Pan American region we recommend Cable Wake Parks out of the U.S. because of their experience installing and running systems. Cable wake PArks not only consults, but they also own and successfully operate their own cables so they have been through the process from start to finish. This experience separates them from the competition. 

How many people can use a cable system?

Generally there are 6 x12 carriers on the cable system, meaning 6 x12 people can use it simultaneously. The total length of the running cable determines how many carriers you can put on it, and the size of the water body gives you a maximum running cable length. On a system with 8 carriers, approximately 200 people can use it during an 8 x10 hour day. Keep in mind that generally weekends are more crowded than weekdays. We have seen as many as 40 people waiting in line at one cable system. In Germany, where cableways are much more common, that number can be typically much higher.

How many towers are required?

Most new cable systems are built with 5 towers, but they can be done with 4, 5, or 6.

How tall do the towers stand?

The towers stand out of the water about 30-35 feet (9-10 meters). You can put them in almost any depth of water and believe it or not, they sit on a metal plate at the bottom of the lake. There is no big concrete piling under the towers as most people assume. The running cable is about 20-25 feet (6-8 meters) above the water.

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What should the shape of the lake and the cable system be?

In the early days, most lakes and cable systems were a rectangular shape designed to accommodate three-event skiing. Nowadays with cable wakeboarding much more popular, we've seen cable systems and lakes designed more often in a pentagonal (5-sided) shape, with an island in the middle to minimize backwash. However, rectangular-shaped lakes can and do accommodate wakeboarding just fine.

Who will you need to deal with to get it done?

Almost every metropolitan area has a land development department of its municipal government. Once you find a potential site, find out where the local land development office is and start asking questions. The people there can make or break your project so, be careful of what you say. You may also have to deal with local planning agencies, civil engineers, architects, zoning, neighbors, as well as federal environmental and engineering bodies.

If you are going to really do it, you are most likely going to have to hire some or all of the following types of people, not in any order: Real Estate Agent, Insurance Agent (Business/Property/Liability), Surveyor, Planning/Zoning Consultant, Civil Engineer, Architect, Environmentalist, General Contractor, Dock Builder, Utilities contractor x electric, water, and sewer, Site prep contractor, Earthwork/Excavation Contractor, Land clearing contractor, Landscape Architect, Electrician, Accountant, Real Estate and/or Land Development Attorney & Stormwater Management Expert.

Also, keep in mind there are usually design/build or land development companies that cover several of the above disciplines.

Try to talk to all of them as early as possible and get a feel for the local prices and professional fees. Keep in mind there can be huge differences in costs depending on the experience and reputation of the consultant or contractor. It can also be really helpful if you have friends who work for some of the above types of companies.

ARTICLE-430010821_lgk_8761.jpgWhere can I get statistical information on stuff like traffic volume, income, expenses, and cash flow?

This is where it becomes more convoluted, because this is one area where it will be a little more difficult to nail down exact numbers. And it's a sensitive one, too.

You can do your research at existing cable parks as so what their rates are, and you can roughly guesstimate what their traffic is like over the course of the season, but you have to understand that it's very uncool to simply call up the cable owners and ask them to open up their books for you and disclose their income and expenses and/or tax statements, or just outright tell you how many people come through their park in a week or a month, or how much money they are making. That is private financial information, and obviously they would be very reluctant to provide that information to anyone except their own accountant. Understand they get calls from people like that all the time, and it is very annoying to them. So be careful and courteous when you inquire. Oftentimes, the cableway consultants mentioned earlier are your best source of this kind of information.

Traffic flow (and corresponding gross income) will vary depending on your location, climate, seasonal patterns, demographics, and other sources of revenue you have at your park, such as restaurant/concessions, board shop or other retail, or other recreational amenities you might want to make available at your park. The number of events you host at your park can also affect traffic volume (and income levels) as well.

There are some basic things you can count on though. First, the land for your site will be your biggest investment, so the cost of the land will be a big determining factor in the rate of return on your investment. As for operating costs, keep in mind that electricity usage is minimal for most all cable systems, while all other operating costs will vary with how attractive you want to make your park. There are also personnel and administrative costs, maintenance, utilities, cost of goods sold, restaurant/snack bar supplies, and several other categories will enter into your operating balance sheet. In most all locations worldwide except for those in the tropics, you should count on the summer months and the break from the school year for the majority of your revenue over the course of the year.

So, the bottom line is there really is no one set level of traffic or operating expenses you can expect to generate that is typical of any one park. Therefore, when making your financial projections, you just simply have to make your best guess as to what you think is realistic for your area, based on your best research.

The good news is that it's pretty obvious that a cable park can be a profitable business anywhere in the world, otherwise they would have closed down and gone away a long time ago. And again, many more are being planned on almost every continent, so someone somewhere knows that money can be made.

Write a Business Plan (download forms at www.CableWakeParks.com)

Once you've done all your research, it's time to sit down and write a Business Plan. This should go without saying, but like any other businss or venture, if you don't have a plan, then by default you are planning to fail. A well thought-out Business Plan will help you not only attract potential partners or investors, but it will also keep you sane.

Conclusion

Hopefully this information will be helpful to you, and get you started in the right direction. As you move along in the process, keep in mind that from the first idea to a completed cable park is like running a marathon; it's long, it has ups and downs, and it's a tiring process which you can only win if you keep going.

We are excited you are looking into it! There xs no doubt in our minds that there is definitely a HUGE market for cableways all over the world, and they'll be springing up in a lot of places in the coming years. Their advantages are many, and they are a total blast!

Best of luck to you!

 

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(Photos from Wake Nation in Cincinnati, Ohio USA)

 

 

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