Facility Improvement Programme History of Sepang International Circuit • The state-of-the-art circuit was launched in March 1999 by the former Prime Minister Tun Dr. Mahathir Mohamad. • Designed by renowned F1 track designer Hermann Tilke. • The First modern circuit built in SE Asia and became a benchmark to other new cicruits such as Shanghai, Bahrain and Turkey. • With a length of 5.543 km, the track features 15 turns and 8 straights with access speeds of more than 300km/h. The track allows ample opportunities for overtaking, to ensure a race full of suspense and thrill. • The track can accommodate up to 130,000 spectators at a time. The Main Grandstands and 18 air-conditioned Corporate Suites have a capacity of 32,000. While Grandstands K and F can fill up to 18,500 spectators facing, turns 1 and 7 respectively. • The circuit first hosted Formula One World Championship and Motorcycle World Championship in 1999. What is it? Facility Improvement Programme • Is a grant funding scheme of up to €200,000 or around 75% per project for professional fees to establish a project Master Plan • Provides project grant funding to the FIA ASN or project it supports • The grant is provided as services by the Facilities Advisory Partner • Is conditional on a project contributing 25% to the professional fees • Is awarded annually to projects that successfully apply and qualify Consultant team comprises of: • Apex Circuit Design Ltd (The FIA Institute Facilities Advisory Partner) Motorsport design, master planning design and operations consultancy • Ridge and Partners LLP Cost consultancy and architectural design services • Scott Wilson PLC Civil and Environmental engineering design • KPMG Business services consultancy • Sustainable Hospitality Group Sustainable operations consultancy The FIP Master Plan Report provides great credibility in attracting serious interest for investment opportunities and Foreign Direct Investment. Objective and status of FIP 1. In line with SIC’s Vision and Mission statement: Position SIC as a multi-faceted venue and one of the country’s and regional top destination for motorsports and entertainment. 2. Focus is to make SIC commercially sustainable and independent by 2015 3. Facilities Improvement Programme concluded in December 2010 4. The Master Plan is currently underway with the Industrial Zone as Phase 1. 5. Commercial feasibility assessment produced positive results. 6. Strategy for the development identified is in line with the Malaysia Government Economic Transformation Programme FIA Institute Facility Improvement Programme Methodology Environmental Module Project start Vision Plan Commercial Module Master Plan Detailed Design Operational Module Client funded Approx 75% FIA Institute Grant / 25% Client contribution Public/Private investment Industrial Units Industrial Units •Site A – 45 units, each 5000 ft2 GFA •Site B – 37 units, each 5000 ft2 GFA •Constructed and leased by SIC Main Circuit Refurbishment and Upgrades 5.542 km International Circuit •Primary Paddock pit building roof repair and team building construction •Secondary paddock upgrades •Main circuit floodlighting Driver Training Facility Driver training facility •Tests and training disciplines include: • Emergency stop test • Slalom test • Low friction bend • Friction circle Kart Circuit 1.2 km International kart circuit •Upgraded circuit, two 600m permutations for use simultaneously •Upgraded circuit buildings •Enlarged paddock area for use during AAM sanctioned events Factory Outlet Centre Factory Outlet Centre (FOC) •36,000 m2 of discount designer outlets •Constructed over two phases •Direct road frontage and visibility Hotel Complex Hotel Complex •69,000 m2 site with 14,000 m2 GFA •200 rooms •Pool and conference facilities •Highest points of the site •Excellent road frontage and visibility Education Facilities Tertiary/Vocational Educational Facilities •Technical and non-technical subjects •Access to the main circuit and driver training facility •Vocational and Tertiary campus •Close to on-site business Sport Centre Sports Centre •Golf driving range, swimming pool, fitness suites and sports halls •Several attractions – Low land cost •Internal air conditioned links to plaza and educational facility Country Club Country club\Exclusive Country Club •5,500 m2 GFA luxury club house •Circuit views from circuit side rooms •Catering and conferencing facilities •Hotel type rooms •Outdoor infinity pool and whirlpool •Day spa/sauna/beauty parlor/crèche Plaza Plaza •Links circuit plaza to hotel and FOC •Creates a ‘sense of arrival’ •Central hub of entertainment •Merchandising, gaming arcades, automotive demonstrations, concerts and exhibitions National Vehicle Research Centre National vehicle test/research centre •National automotive centre of excellence for safety and research •Business park with main circuit and its paddock facilities; • Vehicle crash testing • Engine testing • Aerodynamic studies • Materials testing • Dynamic vehicle testing Upgraded Road Network Road Network •Upgraded highway junctions running adjacent to the site on its North and West borders •Site road network upgrades to allow easy traversal between facilities for visitors, staff, race teams and lease holders •Proposed one way system for major events Motocross Motocross •Relocation of existing motocross facility •Developed paddock areas, parking and welcome centre THE MASTER PLAN Commercial Returns of Combined Projects SIC Projects Privately Funded • Nett revenue of up to 5.2 times current income. • Alternative revenue models will be determined within the nature of each investor. • Returns on Investment as low as 2.1 years to a maximum of 4 years (conservative). • Minimum returns on pure land lease will contribute up to an additional 4.8 times current profits. • Increased best practices for daily operations leading to productive outputs (qualitative and quantitative). • Environmental sustainability infused within all projects.