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From an economic standpoint, a main component of the Port’s proposed San Pedro Waterfront Project is the addition of a new Outer Harbor cruise terminal at Kaiser Point. An Outer Harbor cruise facility that can operate in conjunction with the World Cruise Center in the Inner Harbor will enable the port to retain its position as a top-tier, full-service West Coast homeport and a major port of call serving the world’s premier cruise lines.
From an operational standpoint, an Outer Harbor cruise facility will enable the Port to provide berth and terminal space to accommodate future cruise line needs – especially over the weekends during the winter cruising season. During these peak weekend periods, multiple cruise ships are berthed at the Inner Harbor World Cruise Center. An Outer Harbor facility will also enable the Port to service the larger classes of cruise ships that call at the Port and are expected to be more prevalent on the West Coast in the coming decades. An Outer Harbor terminal will also reduce cruise ship navigational risks by berthing larger vessels in the Outer Harbor instead of requiring them to sail backwards down the Port’s 1.5-mile Main Channel en route to the Inner Harbor terminal.
“Cruise operations at the Port of Los Angeles are an important part of our visitor appeal and help make Los Angeles a worldwide destination,” says Patti MacJennett, senior vice president, marketing for LA INC. The Los Angeles Convention and Visitors Bureau. “Los Angeles attracts both domestic and international visitors for cruises departing out of San Pedro, and it is a vital component in our tourism economy.”
Here are some commonly asked questions about the Port’s existing and proposed cruise facilities.
Will the Port continue to have cruise operations in the Inner Harbor?
Absolutely. In fact, the Port is in the midst of investing more than $42 million in long-term improvements to its Inner Harbor World Cruise Center. An additional $10 million in security upgrades have also been made at the World Cruise Center.
What’s the situation now?
Because cruise voyages at the Port commonly start and end on the weekends, weekend berthing capacity at the World Cruise Center is nearing its limit. Over the longer term, the trend for larger cruise ships is also expected to grow. The Port presently cannot accommodate more than one of these larger class ships at a time. Because these new, larger ships are too tall to navigate under the Vincent Thomas Bridge in order to turn around, they must back down the Port’s 1.5-mile Main Channel. After spending hundreds of millions of dollars on these ships, cruise lines will want to assign them to ports that can easily serve their needs. With the addition of a new Outer Harbor terminal, the Port of L.A. will be able to accommodate these larger vessels and have more berth space to off-set berth limitations at the Inner Harbor terminal during peak weekend periods.
What will happen without the addition of a new Outer Harbor cruise terminal?
As the cruise ships get larger in the coming years, more and more frequently, the Port would only be able to handle two cruise ships in the Inner Harbor instead of three. Without a new Outer Harbor terminal to accommodate overflow from the Inner Harbor terminal, Los Angeles would likely lose future potential business as cruise lines will look elsewhere for their homeport needs. Other West Coast ports are competing and planning for future cruise business growth.
Would cruise lines really leave us for other locations?
Yes, cruise ships are mobile assets and cruise lines consider many factors when they move ships from one homeport to another. Most recently, Royal Caribbean relocated the Monarch of the Seas from Los Angeles to Florida. Fortunately, Royal Caribbean replaced the Monarch with the Mariner of the Seas, a larger, newer vessel offering a great seven-day cruise experience to the Mexican Riviera. Earlier this year, Disney Cruise Lines made a similar commitment by selecting Los Angeles as the homeport for its first West Coast-based cruise ship, beginning in 2011.
How much is the cruise industry worth to the area?
In 2006, the Port’s busiest cruise year to date, cruise operations generated more than $281 million in local/regional economic activity. This figure includes an estimated $88.5 million in ship supplies/services, crew and passenger spending within the Harbor Area. Right now, each cruise ship call generates close to one million dollars in local and regional economic activity. Approximately $625,000 goes toward supporting and outfitting the ship with food and supplies, and over $250,000 is spent by each ship’s passengers and crew. Passenger and crew spending goes directly into Harbor Area hotels, restaurants, florists, clothing stores and more.
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