Dear 

In my letters to you of October and December I committed to communicating with you and keeping you, our members, informed. After some 15 weeks in the role of CEO I am across the many broad-reaching issues the AJC faces, from challenges within our control such as facilities and service levels, through to those outside of our control, including World Youth Day disruptions and the ongoing implications of EI. I am conscious of your tolerance in the face of severe disruption and wish to let you know we are currently assessing some form of compensation, and will be in touch shortly.

I also understand that you have been more than patient in your continued support of the AJC when the facilities provided to you are well below par. I have made my views clear on what has to change. Today’s letter is something of a milestone towards that change and to realising our goal of creating world class facilities

In December I made reference to the Master Plan concept - the program to redevelop and rejuvenate Royal Randwick and Warwick Farm – click here for details. In that letter to you, I told you my short term objective was to achieve a “suitable and appropriate funding plan to enable the complete Master Plan.”

I am delighted to report that Stage One of the Master Plan now has an agreed funding plan. Significantly this funding will be achieved without exposing the AJC to further debt or any changes to membership fees.

The Stage One works are designed to increase the efficiency and comfort of members and guests to Royal Randwick. Substantial components of the works focus on the entry points to the racecourse and are designed to improve public transport arrangements. The Development Application was lodged towards the end of last year for Stage One of our planned improvements. Subject to that application, work is scheduled to commence in early March on the following:

Alison Road Entry Plaza; The part demolition of the existing wall and fence along Alison Road and the part demolition of the existing race day stalls to facilitate the creation of a new landscaped entry plaza and service road to accommodate bus and pedestrian movements on race days while providing additional visitor car parking at other times.

Oaks Drive-Ascot Street-; A new Taxi Boulevard will be created by the proposed “Oaks Drive” circulation road, linking Alison Rd and Ascot St through to Doncaster Ave. This road will be used by taxis and hire cars on race days and will provide additional car parking and access at other times. The roadway will also involve the reconfiguration of the Ascot St and Doncaster Ave intersection. Landscaping works are proposed along Oaks Drive to reinforce its heritage significance. The heritage Tramway Turnstile Building will be retained.
New Race Day Stalls; New equine day stalls and a pre-parade ring will be built adjacent to the Leger Lawn.

High Street Connection; A new entry and access road for horse floats will be built, that will link through to the new race day stalls and additionally will provide a back of house route for deliveries on non race days.

Spectator Improvements; The spectator improvement works focus on improving the level of amenity for patrons. They include new paving and landscaping to the public circulation areas.

New Signage; New signage will be designed and installed at the Alison Rd entrance and at points around the Royal Randwick perimeter, significantly improving visual amenity and customer service.

Midfield and Infield Works; The ornamental ponds will be filled to allow temporary facilities to be provided on Carnival Days and pedestrian access will be provided linking the grandstand areas to the midfield.

Storm water Management; A new site wide storm-water management strategy will be created and will be integrated with the relevant stages of the Royal Randwick Master Plan.

Stage One is scheduled for completion by mid to late 2009. However, simultaneous with this construction, schematic designs for Stages 2 and 3 of the Master Plan will be completed by late 2008, these plans will include the intention to build new clubhouse facilities and replace the QEII stand, in addition to a wide range of structural and operational improvements.

The Master Plan concept has only been made possible by the 99 year lease extension that was successfully negotiated in recent months. Our plans will increase the value of your membership moving forward and hopefully provide more opportunities for you to enjoy the facilities that will be provided at Royal Randwick and Warwick Farm.

Warwick Farm is already undergoing significant developments, and as I have communicated previously, work has already commenced on Warwick Farm to deliver a new synthetic track, a tunnel and stabling for 450 horses. This work will be completed in June, prior to the World Youth Day access limitations.

In funding of Stage 1 construction and designs for Stages 2 and 3, our aim is to minimise further financial burdens on the club. This first stage of the program is not being funded by debt. The AJC can manage its current level of debt, but we are keen to build and regenerate non core assets into new core facilities, to create new revenue sources to improve long term financial sustainability. Our objective is to deliver that financial sustainability whilst at the same time improving facilities to members, guests and the NSW horse-racing community. Stage One is the first delivery on that promise.

At the most recent Committee meeting, a proposal was tabled recommending the sale of a selection of low yield non-core, properties on Doncaster Ave over the next 15 months. The proposal was approved by the Committee in a unanimous decision. I am reassured by the Committee’s determination to focus on decisions that deliver long-term improvements that benefit all members and stakeholders of the AJC. The revenue from the sale of these non-core assets will only be allocated towards the improvements of AJC core assets as outlined in Stage One.

Attached is an artist’s aerial impression of how Royal Randwick will look after Stage One is completed.

Master Plan Briefing;

We will be hosting a series of functions in April, pre-Autumn Carnival for members to view in detail how Stage One is integrated into our comprehensive Master Plan vision. You will be given a choice of dates and times to see the plans and ask us any questions you may have. Details of these briefing sessions will be circulated in March.

Our approach for Stages Two and Three will be to explore partnership opportunities with those who are keen to join with us to make Royal Randwick and Warwick Farm the premier horse-racing and entertainment destinations in NSW.

I am grateful to the AJC Committee for their support and foresight in providing the opportunities for my team to deliver on an ambitious program of improvements. I can assure you, the members, we are in this for the long haul. There will be issues and distractions to be dealt with in the short term. But we must not be distracted from the long term vision and benefits. The whole project will take some time; our aim is for you to experience the difference progressively over the coming years.

I would like to take this opportunity to thank the entire AJC team for their efforts, in particular Jonathan Seward, Darren Pearce and Tony Crawford for their commitment to helping make this project a reality.

Thank you again for your patience to date and we assure you that the end result will be commensurate with the prestige and heritage of the Australian Jockey Club.. I am also sending this letter to every member by mail.

Yours sincerely,
AUSTRALIAN JOCKEY CLUB

Norman Gillespie
Chief Executive Officer