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New Rest Areas Planned in Hooksett
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from WMUR....
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Welcome to New Hampshire! You may commence spending immediately! :D
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I would think it would be cheaper to provide access for both North and South bound vehicles and build ONE rest stop. But of course that would be logical and save tax payer's some money.
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Welcone center
Leave it to NH to place a welcome center 40 miles from the border inside the state. What's next, a toll both in Colebrook?
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I am sorry but this seems like a huge waste of money.....
Or is it? the big question here is how is this all going to be paid for.... if the 35 Million dollar price tag is being picked completely by the state, then this just isn't very cool.... Other things to spend money on, I am sorry... but this is not needed. |
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Sounds like Rusty is paying for a lot of it.
"The $35 million project will be like no other rest area in the country, assured Alex Ray, owner and founder of The Common Man, who with Rusty McLear of the Inns & Spa at Mill Falls in Meredith, forms Granite State Hospitality LLC, the state's new partner."
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The state of New Hampshire sold the Lottery Commission to a private company. No longer in state hands. The private company has to make a profit off the lottery. So how much now goes to education? The actual intended original purpose of the lottery. The state of New Hampshire sold the entire rest area. Private enterprise. Instead of the state owning the rest area and the liquor store. Now the state will pay rent for all of this Win. Win. For everyone. Private enterprise will make huge profits off of this. With guaranteed income from the state as a tenant - forever. |
While I know this doesn't fit the narrative about the evils of private enterprise, someone has the landlord and the tenant swapped. This snip is from the Concord Monitor story:
"Ray and McLear will sign a 35-year lease with the state that calls for at least $23 million in rent payments and a tiered percentage of fuel and other sales. In total, the state could bring in about $38 million." So the state will receive money from this deal. |
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One thing done right in NJ
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And if you read the articles it is claimed that this is a 32M$ capital investment for Granite State Hospitality... What I have not seen is a comment on the entire cost of the project... This includes Highway infrastructure changes some of which have already been done... And many other hidden costs.... So when all is said and done, how Much is coming out of the State Account. The bottom line is this may not be worth it.... I have seen the model used before, Maine as an example... the problem is the gas station decided to charge a mint... so the revenue is never what is foretasted.... and over time the restaurants loose their charm.... and once again the cost is usually elevated for the convenience of it all. So once again the revenue is not what is forecasted. Now factor in that after 35 years Granite State Hospitality can just walk away and leave the place for the State to deal with.... I would rather see the state put in Rest Area's just like they have now... there is nothing wrong with that model....Then there is no wondering about the future... no what if Granite State Hospitality folds... etc etc etc..... |
Waste of Money and resources.
Ever since the Democrats takeover, the legislature been selling bits and pieces of valuable property that they deem 'underperforming' or 'not profitable'. A way off filling the current coffers so that they can spend as they damn well please.
When the future comes, they will say, what happened? We got nothing to show! I can definitely see this coming! I definitely believe the state needs a 'Sunset committee', a group of business analysts that determine if a policy makes sense monetary wise. Gov. Sununnu had one and it paid off at the times. I can never trust the current legislature to make sound judgments in money matters. |
I haven't studied the finances of this deal but I just wanted to correct the obvious mis-information.
I'm still jaded against these guys because of the "other subject" but it seems like they scored a coup here. They get pretty much top billing as being "like New Hampshire" for their chain of restaurants. I'm sure they negotiated a deal that they could live with and that they thought would be successful for the rest areas. If not, they will lose money or go out of business. If the state negotiated a deal that was bad for the state, then we should address that at the ballot box. Governor Maggie Hassan was elected to represented to the best interests of the State of NH, do people doubt that she did? I hope it turns out well, it will be a visible icon for many visitors and residents. I want NH well represented and I want to be proud of this. The current rest areas are well past their prime. |
From Lawerence Eagle Tribune
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Win / win
I personally think it's a win / win situation for both the state of NH and the Common Man. The Common Man is a good restaurant and very well run establishment. It certainly a hell of a lot better than having a Burger King or Mcdonalds there!
It will be very handy to have the gas stations there as well! Most Irving stations are well run and very clean! I think this a great decision in a perfect location and will be a very successful endeavor. Dan |
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Not to mention the fact that these will be about 3 miles from my house, and will give me a new dining option. Meal prices will determine how often I go there, but at least it is something. |
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Is this where the current large liquor store is on both sides of 93?
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The state has funded major road renovations to make this possible.... The state is more then likely responsible for snow plowing the facility.... There are many hidden costs here, which are not apparent on the surface. There isn't enough in any of these articles to make me believe this is a win for the state of NH.... The Common Man has done a good job of making this appear outwardly as though they are doing the State a favor... but I think everyone in the end will be surprised... |
I would think that the 9% meal tax on all the items purchased at the --
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I was at the NB rest area yesterday. If you are traveling in the area, please be aware that construction has begun. A portion of the parking area is blocked off, so parking is somewhat limited. And it is somewhat chaotic as well, so drive careful through there.
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New Rest Areas Planned in Hooksett
If you think about any rest area / welcome center that you've been in--especially ones in tourist-centric states--what are they stocked with and how are they decorated? Brochures and Data Sheets on attractions in that state, as well as a décor that gets you in the "mood" for that state. (Example: VT has a welcome center on Rte 91 that is rustic / lodge-like, and has a lot of info on the state, as well as lots of info on attractions). I would suggest that the goal of the rest area / welcome center is not to be a money-maker in and of itself, but rather, to get people excited to spend their money in the restaurants, motels, and other tourist attractions in the state. And, to return time after time, and tell all their friends, and maybe buy a vacation home. That is where the real return on that investment is.
In poking around "www.nh.gov", it's fairly easy to find some data that proves what we all know: NH is by and large a Service Economy that is mostly driven by tourism. Just like any business, you want your customers, (the tourists), happy, so they buy from you, (NH restaurants, motels, etc), and not your competitors, (VT, ME, etc). Getting them in "the NH Mood" in the welcome center will help to do just that. |
In 2011 the NH state liquor stores generated $417,000,000 in sales. These sales put $160 million into the state's general fund. In 2013 this amount has already increased to over $600,000.000 in sales! This will put over a quarter of a billion dollars into the states general fund! That's a lot of snowplowing!! :) Not to mention over 60% of these sales come from out of state.
The state will now add to this profit by trying to collect a 9% meals tax to everyone who visits the Common Man as well as the tax at the gas pumps. These are not just liquor store rest areas, they are profit centers for the state. I would be willing to bet that the two liquor stores on 93 NB and SB are by far the two most profitable liquor stores in the state drawing millions of people each year. To those of us NH natives trying to keep a sales tax away from our state, we should be welcoming this. Dan |
I'm not a native but I sure as heck would like the state to be able to offset my property taxes with more money collected elsewhere, like the meal tax, etc. I am just not sure that this enterprise will be a good deal for the state when all is said and done.
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Alright so I started doing some digging...
Please read this article, in which it is published that the state will reimburse the developer 8.4 million....for the liquor store cost... and then goes onto state that all the developer is responsible for is the Shell of the building for the liquor store... The State picks up the cost for the interior construction. While not uncommon this is a cost that is not being brought out to the for front. http://www.unionleader.com/article/2...29995/0/news01 what is unclear is weather this is part of the 32M$ Granite State Hospitality figure or if it is an additional amount on top of that. So this isn't exactly free to the State now is it? Believe me there are many hidden costs... That are not being told..... |
The current Rte. 93/Hooksett N & S rest areas are past their prime and need replacement. On many weekends the parking lot is full or close to its limit for visitors. The bathrooms are old and inadequate for today’s visitor volume. The Liquor stores get extremely over crowded on weekends, especially on holiday weekends. The current rest areas just plain do not meet the requirements and needs of today’s traveler. There are many who are local or traveling to their summer homes or vacation destination but there are many more who are just plain “Tourists” for the day and who will spend money all over NH doing it via Rte. 93. So for everyone traveling up and down Rte. 93 we need an attractive and useful rest area and that is what is coming.
The State has chosen to make a significant investment with a “partner” who will pay for most of what is required to make it happen. That is sure better than funding it by the state alone. The “partners” doing this have great track record in the restaurant and tourism industry and I expect we will see a top quality facility when it is completed that more than does what was expected. The State’s business is tourism and you need to promote it in many ways. The new rest areas with the restaurants, gas station, liquor store, and tourist information etc. are just one way and will be a big plus for the traveling public. Do some traveling to other states that are tourist destinations and you will find similar rest areas but NH’s will be the newest and nicest. Traffic volume is increasing and the highway gets very congested on weekends and holidays. On occasion I find myself in stop and go traffic from just north of the Hooksett rest areas to Rte. 89 and on into Concord. So infrastructure improvements to Rte.93 were and are needed with or without the new rest areas. |
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Also totally agree that there are probably lots of hidden costs, however with the liquor sales, food/beverage tax, fuel tax, etc... it will still be quite a profitable enterprise for the State and the service providers, add jobs at that location, and be a really nice gateway for the tourism industry... I don't agree that "people that stop there would have eaten at another restaurant anyway"... if that was what happened everytime a new restaurant opened... another would close... and there are many successful restaurants opening in NH every year! Unclear why people (natives or not) aren't celebrating this as a win... politics? I'd be shocked! PIG - enjoy the lake this time of year, it's beautiful!! |
Part of this is a state activity
The current rest area is just liquor store and bathrooms. The state had to pay to build, maintain, and plow that area. If the state wants to build a larger liquor store I would guess that they have some expectation that they can increase sales to help pay for it. Visitor centers also are common state responsibility to promote the state and available activities. I would expect that the state would continue to cover maintenance and plowing for their own operations (50% of the space).
The question is, how much of the independent business construction costs is the state going to pick up, if any? These will all be money makers for the state because of the tax revenue although there is some validity to the idea of business simply being transferred from one spot to another. Gas purchases for example. However, for food it could be the difference between $30 of fast food or $60 for a better meal. The appeal of "one stop shopping" would also make a more pleasant stop for a visitor and set a good tone for their visit. I don't think we know enough as to whether this will be a good deal for the state in the long run but public/private partnerships are a good idea in general. The private part will be investing a considerable amount of money and paying taxes on sales. That's not a bad start. |
I suspect most travelers along a highway would be reluctant to get off the highway in search of a restaurant. Some of those heading either way might very well get off at the rest area for lunch or dinner rather than wait until getting to where they are going, whereas (at least those heading south late in the day) they might otherwise just keep going if they had to get off to search for a place. Thus I think there would be a net increase in tax revenue for the state, and not just some shift in which restaurants provide it. I imagine all of this has been studied in depth by both the state and the Common Man orgainzation.
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We recently made a trip down to NC via I 90 in MA
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I think that it is going to be a win win situation for all involved. |
Like some of the others, I still think this is a “win” for the state. They own the land, and are going to generate more revenue from that.
Think of other rest areas, such as I-93 NB in Salem. That is a good sized lot with rest rooms and vending machines. I am sure the state paid next to nothing for the lot, but it does cost money for upkeep (heat, snow plowing, water/sewer, employees, etc). There is no way that the revenue they get from the vending machines is enough to offset all the costs. At least in Hooksett, they have the liquor store, and now a percentage of profits (plus taxes) from gas/food sales. |
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And while it appears from the tone of my posts, that I am totally against, this realize that I do understand that the current facilities are not adequate and that something needs to be done. I am just not sure that this is the land fall for the state that others seem to believe that it is. I have done a lot of traveling around this country, by car and visited a great many rest areas, visitor centers, truck stops and the like. I have seen what works and doesn't. During times of peak travel there is no doubt that places like this do a good business.... But when travel is not at its peak, and they have to maintain staffing the profits get eaten up. Hence why often you see the prices at a premium... So sure in the summer and during ski season business is great... but what about the other 6 months of the year. In my last posted I pointed out the first of what I am sure are multiple concessions that the state is making in this joint venture, reimbursing 8.4M$. I implore people to continue to look at this deal, and gain the understanding that is needed to truly decide if this is indeed a good deal for the state. I will be more then willing to fall on my sword, if this venture is truly in the states best interest. However I am skeptical, and believe that it may not be. Does that mean I am angry about it. No, it means that be involving private business to this level has a risk level, that may not be in the states best interest. The funny thing is.... if the state had designed the facility, and built it... And then Granite State Hospitality had step in to run the food concessions, I would be much less opposed to the plan..... Please keep in mind there was venture called Bear Right in Concord. Which is now completely none existent... Restaurant Choices, a gas station, all right off the highway... what happened to that? |
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However Bear right this is a good example of when a business model fails, because developers, and business men, think they have the greatest idea. This Venture, is just that something that business men and developers have come up with. They can make it look all kinds of impressive on paper, but once they have the project up and running, the results are what tell the true story.... I am just afraid in the end this is not going to be all its cracked up to be... Sure the idea of a nice restaurant at rest area is a great idea... but if the service is not fast enough for travelers ( something none of the Common Man restaurants have ever impressed me with ) then it is going to be lack luster.... If the rest area, was in the middle of no where it might have some appeal... but here in the east when most people can get to there destinations in 2 to 3 hours, stopping for a meal and adding an additional 30 min to 1 hour to the trip is not exactly going to be welcome improvement. I know some people will disagree with that statement, but remember it is my opinion. |
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