Item 3: Slide Deck — original pdf

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LGBTQIA+ Cultural Center Feasibility Study May 2026 Commission Update: Preliminary Findings Executive Summary Background DRAFT- Pending Task Force Review and Edits 1 For nearly a decade, community advocates and the LGBTQIA+ Quality of Life Commission have worked to make an LGBTQIA+ Cultural Center a reality in Austin—one of the largest cities in the United States without a dedicated space of this kind. In August 2024, Austin City Council passed Resolution 20240814-022 directing the City Manager to launch a feasibility study to identify potential sites, funding strategies, and a development timeline for the center. To help shape this work, the LGBTQIA+ Quality of Life Commission recommended the creation of a 12-member Task Force to provide guidance, community input, and strategic direction throughout the study process. As part of the FY2025 budget process, the City of Austin appropriated $180,000 to support the feasibility study and subsequently selected the Hayat Brown Team to lead this effort in partnership with the LGBTQIA+ Cultural Center Task Force. Executive Summary Process DRAFT- Pending Task Force Review and Edits 2 The Hayat Brown Team embarked on a 12-month, Task Force-driven effort to refine facility needs and identify a path to project feasibility. Together, they reviewed benchmark facilities and case studies to understand commonalities, trends, and key features of similar cultural centers. They used these insights to inform a recommended space program, site evaluation criteria, and to define ownership, acquisition, and funding options. Background Data Gathering and Benchmarking Needs Assessment and Space Programming Site Evaluation Criteria Site Evaluations Ownership and Management Structures Development and Acquisition Structures Funding Options Recommendations Executive Summary Space Program DRAFT- Pending Task Force Review and Edits 3 The Task Force recommended a space program for the future Center consisting of a core program and subordinate program components separated into priority B, C, and D spaces. The Core Program highlights the essential features and functions of the future Cultural Center. It focuses on large, flexible spaces including a multi-purpose room and lobby, with administrative and building support services, requiring a minimum of approximately 4,000-7,500 net usable square feet. Executive Summary Space Program DRAFT- Pending Task Force Review and Edits 4 The B, C, and D priority spaces include other desirable spaces to be included as space and budgets permit. Priority B Spaces Highly desirable Priority C&D Spaces Nice to have, lower priority • Drop-in/lounge space • Additional meeting rooms • Administrative offices • Kitchen/café • Food pantry • Inclusion of Priority B spaces could increase net usable square footage by another 4,000 square feet. • Gym • Clothing closet • Healthcare services/offices • Pharmacy • Exhibit space • Classrooms • Community retail • Coworking • Affordable housing • Space needs to accommodate Priority C&D spaces varies widely based on use and configuration and could increase space demand significantly Executive Summary Space Program Composite Space Program Diagram DRAFT- Pending Task Force Review and Edits 5 Core Program Priority B Spaces Priority C Spaces Priority D Spaces Executive Summary Site Analyses DRAFT- Pending Task Force Review and Edits 6 • • • • • • • • The Task Force approved a 13-point weighted scoring matrix as Evaluation Criteria to assess the feasibility of potential sites and facilities to support a future Center. The space program and Evaluation Criteria were provided to City staff to select potentially viable sites in the municipal real estate portfolio. The City provided two sites: the Guadalupe Fire Station in Central Austin and the historic Municipal Building on W 8th Street in downtown. An additional non-profit site, the ASHWell Clinic on Red River Street, was assessed at the offering of the organization. All three sites were deemed viable, with the historic Municipal Building (1st floor only) scoring highest. The Hayat Brown Team and Task Force reached out to other public partners, including Central Health, Travis County, and Austin ISD, to request potentially viable sites. Partners indicated support of the effort, but no facilities were identified for immediate consideration. The Hayat Brown Team also provided a sample of privately-owned sites as of December 2025. Findings indicate that most existing facilities would require at least $2-4 million budget for requisite renovations plus furniture, fixtures, and equipment (FF&E), in addition to acquisition costs, if any. If no-cost space is unavailable, privately listed sites suggest a minimum acquisition budget of at least $3-7 million. 7 Executive Summary Ownership, Management, Acquisition, and Funding DRAFT- Pending Task Force Review and Edits • While there are several possible ownership and management structures for the future Center, a non-profit (501c3) organization-run Center is likely the most viable and sustainable mechanism. In the absence of an existing organization taking ownership of the future Center, an existing organization should “incubate” a new organization through a fiscal sponsorship model. • • • A municipally-run Center is feasible but would require significant long-term City budgetary support and have more limited fundraising allowances, sponsorship opportunities, and autonomy. Centers around the nation operate in both owned and leased spaces, but ownership is preferred to maximize long-term stability and reduce real estate market pressures. Leasing is still viable, especially with key tenant protection provisions and agreements in place. Similar centers require diverse funding sources that depend on philanthropic donors, including individuals and corporate sponsors (healthcare, education, retail). Federal, state, and municipal support are also a common funding sources. Funding the future Center in Austin will similarly require multiple sources and robust, organized fundraising with a wide variety of entities (e.g. national non-profits, hospitals, banks, hotels, airlines, grocers, alcohol producers, telecom, philanthropists). Executive Summary Challenges and Opportunities DRAFT- Pending Task Force Review and Edits 8 Capital Costs Operations & Maintenance Costs Operation and Management Challenges Opportunities All sites, whether privately or publicly owned, will require upfront capital for acquisition and/or renovation plus FF&E in the range of $2 to $4 million. If acquisition is required, another $3 to $7 million is anticipated. New construction would result in even higher costs. While cultural centers may generate some revenue from space rentals, events, and special programs, they require ongoing subsidies to cover their operational and programming expenses. Extensive support may be required, especially in the first two to three years of operations, until fundraising and philanthropic efforts can sustain more activities. There is currently no identified organization to operate a future Center. If no existing entity takes on this role, a new organization or subsidiary will need support and capacity- building to take on administrative, operational, and fundraising activities on behalf of the future center. The three initial site analyses show potential to deliver the core space program for reasonable upfront costs (no acquisition), but these sites are not necessarily available. If City-owned space is made available for the Center, there is potential to deliver the facility with a more modest renovation and FF&E budget. Fundraising for more extensive capital improvements could occur in future years. Partnership and funding opportunities include leveraging the City’s place- based enhancement program and/or Housing Development Assistance Program to help subsidize private mixed-use developments that may accommodate the LGBTQIA+ Cultural Center as part of a new construction or renovation project. There may be opportunities to work with existing non-profit and quasi- governmental entities to incubate a nascent non-profit organization. This assumes a location is identified and committed, the missions are aligned, and the organization meets IRS and accounting practices. Autonomy & Longevity Leasing a facility may offer a viable cultural center space, but ensuring public access and operational autonomy is a Task Force priority and a potential challenge that would require thoughtful negotiations and agreements. Purchasing (or ground leasing) an existing facility would ensure long-term business continuity in the face of potential real estate market value increases and redevelopment pressures. Recommendations Realizing the new LGBTQIA+ Cultural Center will require coordinated advocacy and capacity building. DRAFT- Pending Task Force Review and Edits 9 Implementation Governance Funding Physical Space Identify City liaison Existing non-profit outreach Request planning funds Request City space Short Term Identify project champions Medium Term Establish a project plan City & commission collaboration Long Term Identify optimal management structure Craft staff and programming strategy Hire dedicated staff Develop business plan Develop marketing plan Identify capital improvement funds Identify long-term operating funds Request notice of City space availability Continue outreach to entities with space Recognize phased growth opportunities Assess growth potential and space needs