Even before it opened its doors in May of 2000, the Savannah International Trade & Convention Center on Hutchinson Island was under an exclusive management contract with SMG, the nation’s largest venue management, marketing and development company.
It’s a contract that has remained in force for nearly 14 years.
That is expected to change later this month as the Georgia International & Maritime Trade Center Authority, the Georgia World Congress Center Authority and SMG have tentatively announced an agreement to realign management duties at the trade center.
Subject to final approval by the trade center board at its Feb. 12 meeting, the World Congress Center will assume responsibility for management of the trade center on or before May 1.
Simultaneously, the World Congress Center will enter into negotiations with SMG subsidiary SAVOR Savannah to provide food and beverage services at the Trade Center.
Trade Center board chairman Mark Smith said the authority is in no way unhappy with SMG.
SMG was involved in building the Trade Center and advising the county on how to make sure it was a world-class facility, Smith said. When costs came in $35 million over the original $75 million budget, SMG helped with the redesign.
“They had the vision to keep in things like Internet cable to keep us up to par in this highly competitive industry,” Smith said in 2010 during the center’s 10th anniversary celebration. “They have always gone above and beyond.”
But, after more than a dozen years, “we felt that looking at alternatives was the prudent thing to do.”
To begin that process, Smith said, the trade center in June turned to another Georgia tourism and convention venue, the Georgia World Congress Center, asking them to evaluate the trade center’s operation and budget and offer suggestions going forward.
Those discussions led the trade center authority to ask both the World Congress Center and SMG for management proposals.
“Our attorney assured us we did not have to initiate a bid process, and we felt we already had the organizations we wanted to consider,” Smith said.
At its January meeting, the trade center board held a lengthy closed session to discuss details of the two management proposals. The meeting adjourned with no open discussion and no vote on which of the two would prevail, although indications were that the World Congress Center remained a strong contender.
“With GWCCA, we see the opportunity to build additional convention business synergies between Savannah and Atlanta through our sales and marketing programs and commonality of interests with our respective legislative delegations.” Smith said Friday.
“We have assurances that all SMG personnel will be retained and that proper firewalls are in place to protect our existing customer base.
“Our objective is to enhance the performance of the trade center with this new alliance.”
Frank Poe, executive director of the Georgia World Congress Center, agreed with Smith’s assessment.
“We are as excited about the opportunity to be considered by the Georgia International Maritime & Trade Center Authority board as their management team. We believe this arrangement represents a strategic partnership between two important convention, tradeshow and tourist destinations in the state.
“We look forward to the trade center board’s favorable consideration.”
Bob McClintock, CEO for SMG’s convention center division, said his group is working to assist with the transition.
“We are working with the authority to modify SMG’s role and assist in achieving the state’s goals in regionalization of these two key assets,” McClintock said. “We have enjoyed a long, successful partnership with our local authority and look forward to working with the GWCCA.”
Smith also thanked SMG.
“We have had a wonderful and productive relationship with SMG and thank them for all they have contributed to our success,” he said. “Their continued involvement via the SAVOR Savannah food and beverage operation will provide us two first-class organizations focused on high service standards and maximum performance.”
ABOUT THE TRADE CENTER
Overlooking the Savannah riverfront and the city’s historic district, the Savannah International Trade & Convention Center features 100,000 square feet of divisible exhibit space, 50,000 square feet of prime meeting space, four executive board rooms, a 25,000-square-foot Grand Ballroom and a 367-seat auditorium.
ABOUT THE WORLD CONGRESS CENTER
Located in the heart of downtown Atlanta, the Georgia World Congress Center Authority includes a 3.9 million-square-foot convention center, the 71,250-seat Georgia Dome and the 21-acre Centennial Olympic Park and ranks among the top five largest convention destinations in the country.