Butterfly Conservatory $2.5M Request

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BUSINESS PROPOSAL **CONFIDENTIAL** DRAFT | VERSION 2.0 DECEMBER 2022 BUTTERFLY CONSERVATORY Exploring the power of transformation A NATURE CENTER CELEBRATING POLLINATORS, BIODIVERSITY, ART, AND SCIENCE An intimate experience on Lake Arenal, Costa Rica

A PROFITABLE BUSINESS WITH ROOM TO GROW

• A proven business model with annual revenue of $190,000; profits of $75,000 annually

• Brand recognition (an international butterfly conference will take place there November 2022)

• Established relationships with volunteers, who come from all over the world to work and lead tours for 6 weeks

• An intimate encounter with dozens of butterfly species, in four habitat enclosures

• A story of ecological restoration and resilience

$2.5M
Total Project Expense: $3.5M
Funding Request

THE PROPERTY

Total property: 15 acres

• 8 acres of Conservatory, including:

• visitors’ center

• laboratory

• 4 butterfly habitat enclosures

• frog habitat

• turtle pond

• medicinal herb gardens

• hiking trails

• reproduction nurseries

• 2 houses including a 7-bedroom volunteer house

• 6-acres ready for construction of Airbnb villas

• Excellent volcano view from street

View of Arenal Volcano & Lake from the Parking Lot

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A HISTORY OF GROWTH

Butterfly Conservatory

| Global Pandemic |

Butterfly Conservatory

Historical Monthly Revenue (in Colones)

Historical monthly revenue shows a tremendous post-pandemic recovery, with sales in 2022 (dark orange bars) exceeding previous records.

WHAT GUESTS SAY

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COSTA RICA IS A STRONG INVESTMENT

WHY COSTA RICA?

Sometimes referred to as the "Little Switzerland" of Central America, Costa Rica is home to a stable democracy, unparalleled natural diversity, and some of the longestlived people on the planet. The country invented "eco-tourism" and plans to invest in the coming decade to ensure it's growth. There are numerous direct flights from the United states (a 5-hour direct flight from Minneapolis typically costs around $500), making it the ideal destination for tourists seeking either adventure or serenity.

COSTA RICA IS A STABLE DEMOCRACY

Costa Rica is one of the oldest democracies in the Americas. It abolished its military forces in 1949, diverting this funding to health and education of its peoples. It has prizes public education, including the university system as well as technical and vocational training. Its population of 5 million people enjoys a literacy rate of 96%. Costa Rica is the home to many international organizations such as the Inter-American Court of Human Rights, the University for Peace of the United Nations and the Earth Council. (Information from the embassy of Costa Rica in Washington, DC)

POST-PANDEMIC RECOVERY SHOWS STRONG BRAND

Costa Rica leads the world in Foreign Direct Investment, relative to its size (see graphic, next page). William Rodriguez, the Minister of Tourism, is determined to have visitor numbers in 2023 match or exceed those for 2019. The country’s marketing campaign, called “Life’s Essentials,” highlights adventure travel, natural beauty, flora and fauna, the country’s protected areas, and wellness.

ECOTOURISM IN COSTA RICA

ARENAL

resilience that Costa Rica has shown during the Covid-19 pandemic has secured it the top ranking as the world’s best performing location relative to its size, when it comes to attracting foreign direct investment (FDI). ( source )

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Arrivals
GREENFIELD FDI PERFORMANCE INDEX - BEST PERFORMERS RANK COUNTRY GFDI PI SCORE FDI PROJECTS 2020 1 COSTA RICA 11.39 96 2 Lithuania 8.25 63 3 UAE 7.14 347 4 Singapore 6.20 289 5 Estonia 6.12 26
The

MARKET SPOTLIGHT: ARENAL

The Arenal Volcano is one of Costa Rica's most iconic treasures, hosting over 1.5 million visitors each year. This massive volcano towers over a man-made reservoir, Lake Arenal, which offers a multitude of water and adventure activities, including windsurfing, hiking, horseback riding, wildlife safaris, and photography. The surrounding hotels, spas, hot springs, and tourist towns make Lake Arenal and the Arenal Volcano one of the most popular tourist destinations in Costa Rica.

The largest town on Lake Arenal is La Fortuna, the "Adventure Capital of Central America.” La Fortuna is 30 minutes away from the Butterfly Conservatory, enabling shuttle buses to pick up tourists for day trips.

What are the characteristics of people visiting Lake Arenal? The illustrated analysis highlights demographics from a recent study of ecotourism in Arenal. The data from the graphics came from Carvache-Franco, et al. The Role of Motivations in the Segmentation of Ecotourism

Destinations: A Study from Costa Rica. Sustainability 2021, 13, 9818.

“70% of the 25,000 luxury travelers who travel with us each year go to Arenal” - Richard Bexon, Namu Travel

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THE TEAM

KIMBERLY BYRD, PHD

Executive director and owner; conservation biologist, sustainability education, workshop leader, TEDx speaker and coach, artist

MARY WELSH

Serdendipity Circles, CEO; Expert in Women’s groups, workshops, retreats, experience design

RICHARD BEXON

Director, Costa Rica Real Estate Investing; Owner, Namu* Travel Company; Tourism Strategy & Masterplan

ERICK CORRALES

Development Director, Costa Rica Real Estate Investing; Engineer, construction, project management

GLENN BAINES

Current owner and original creator of the Butterfly Conservatory will stay on for 3-6 months to ensure a smooth transition

JONEE KULMAN BRIGHAM, AIA, LEED AP O+M

Leader in Sustainable & Regenerative Design, Green Schools, and Environmental Education, architect, artist

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EXPANSION PLANS

Our on-site services will enable visitors to reconnect, energize, and interact along 4 pillars:

NATURE | SCIENCE | DISCOVERY | ART

This approach takes the successful model of the Butterfly Conservancy and adds components of art exploration, conservation sciences, and sustainability education for a stimulating, wellrounded, and unique experience of Costa Rica’s abundance.

RENOVATION OF THE VISITORS CENTER AND EXHIBITS

A new focus on landscaping will add to the lushness of the landscape. Artist-designed educational displays in the visitor’s center will focus on sensory exploration, and it help it stand apart as an attraction. An eye-catching front facade invites people in to discover.

NEW CONSTRUCTION: FOOD, LODGING AND ART

Dining is available in the cafe on the 3rd floor of the visitors center or the cafe/observation deck with an amazing view of the Arenal Volcano. Overnight guests can stay in the Airbnb villas when they are not in use as part of a retreat. The villas have decor featuring bespoke textiles (bed runners, pillows) with matching robes. Bags, swimsuits, and other accompanying items are available in the gift shop. A sculpture garden with interactive elements is a destination all on its own.

ART, SCIENCE, AND SUSTAINABILITY EDUCATION

Classes and workshops on art, science and ecology are available as part of a lodging package, or may be purchased a la carte by overnight guests, international tourists staying in the area, or local residents. A shuttle bus picks up tourists from La Fortuna (30 minutes away) for packaged experiences. An expanded focus on pollinators makes it unique to the area.

Proposed Improvements:

4 PROGRAMMING PILLARS

NATURE | SCIENCE | DISCOVERY | ART

Led by a professor with 30 years of experience in the conservation field and 15 years experience teaching sustainability at a Big Ten university, this unique center offers an immersive experience into living and exploring solutions firsthand, not just talking about them.

NATURE

butterfly enclosures, turtle pond, hiking trails, river walk, children’s garden, observation/ cafe deck

DISCOVERY

interpretive center, themed trails, QR codes, audio tours, biomimicry treasure hunts, forest bathing

SCIENCE

pollinators (hummingbirds, bats, moths and beetles), biodiversity, systems thinking, ecology, habitat restoration

ART

educational displays, sculpture garden, art installations, interactive art, bespoke textiles, enchanted cafe

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Proposed Improvements: INCREASE ADMISSIONS

GOAL: INCREASE ENTRANCE REVENUE FROM

$200K TO $350K

IN FY 2027

• Expand efforts in marketing (presently, there are only road signs for this project)

• Acquire a shuttle bus to enable direct client transfer from numerous resorts in nearby La Fortuna, the adventure capital of Costa Rica.

• Offer a packaged tour 2 times a day that combines a guided hike in Arenal Volcano National Park, lunch in a raj tent (concept pictured below), and admission to the conservatory (+ $264,000 revenue in FY2027)

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Diversification of revenue streams provides resilience to changing markets or travel restrictions. In addition to lodging, there are several entry points for local residents or nearby tourists to interact with the facilities.

REVENUE
INCOME
fees and gift shop sales
Improvements:
PERCENTAGE
PER
STREAM FORECAST FY 2027 *Entrance
are existing income streams (2022) Proposed
INCOME DIVERSIFICATION

REVENUE FORECAST

Historical Predicted

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RENOVATION OVERVIEW Our on-site services will enable visitors to reconnect, energize, and interact along 4 pillars: NATURE, SCIENCE, DISCOVERY, ART EXHIBITS $25K VOLUNTEER HOUSES $150K LANDSCAPING $25K ENCLOSURES $15K FRONT FACADE $20K BATHROOMS $10K
NEW CONSTRUCTION OVERVIEW ENCHANTED CAFE $30K PICNIC TENTS (2) $25K RENTAL VILLAS (8) $640K CAFE DECK $40K SCULPTURE GARDEN $160K

FULL-SPECTRUM EDUCATION

SPECIAL FOCUS ON K12 EDUCATORS

• Teacher training over the summer as volunteers to the conservatory or on a teacher’s training retreat. Topics may include systems thinking, biodiversity, ecology, and sociology; suitable for art, science, social studies classes.

• Direct connection to students during the school yer using classroom connect (Hamline University), webcams, lunch with scientist, passports, gamification

• Optional - student visits (international middle or high school; younger local students)

EDUCATIONAL RETREATS

Kimberly offers 3-5 day retreats, 5-10x year Clients include ecotourists, K-12 teachers, students, undergraduates, Elder Hostel Developed themes, ready to go: Systems Thinking Superhero, Resilience Mindsets, Thresholds of Change, Creative Exploration, Solutions Showcase, Science Discovery, Deep Ecology, Biodiversity Celebration

Retreat facilities also rented out for transformational change, art & science exploration, and wellness events.

Longwing butterflies of the genus Heliconius derive their name from Greek mythology, where Mount Helicon was the home of the Muses and a source of inspiration.

orkshops: photography, art, painting, the creative cycle
Treasure Hunts • Biodiversity Bingo Sensory exploration: • Putt-putt with spider/bat/bird vision goggles • Courtship Dance Wii • Pollinator Paparazzi Photo Booth with props
CREATIVE PROGRAMMING W
Biomimicry
SOURCES OF FUNDING ($2.5M REQUEST) Total Price $3,500,000 Downpayment $400,000 Lender/Loan Request (1st position) $2,500,000 Owner's Financing (2nd position) $600,000
ALLOCATION OF FUNDS Allocation of Funds Property Purchase $1,400,000 Remodeling & Upgrades $1,269,000 Villa Construction $640,000 Operating Reserves $200,000 TOTAL $3,509,000

CONSTRUCTION & DEVELOPMENT EXPENSES

Estimated Expenditures for Land Acquisition, Development, & Construction

PROFIT & LOSS FORECAST

Butterfly Sanctuary, ADR $130, 8 Villas. $2.7M loan at 8%

Page 24 Renovation Highlights New Construction Design Highlights Design Highlight: Art Special Events Kimberly’s Resume Insight Consultants APPENDIX
HIGHLIGHTS EXHIBITS $25K LANDSCAPING $25K ENCLOSURES $15K
RENOVATION
NEW CONSTRUCTION DESIGN HIGHLIGHTS ENCHANTED CAFE $40K CAFE DECK $40K
NEW CONSTRUCTION DESIGN HIGHLIGHTS RENTAL VILLAS (8) $640K

ART Art Installations bring uniqueness and options for social media marketing
G ift shop with bespoke spoonflower artists/ Etsy artists
DESIGN HIGHLIGHT:
A rtist installations (front facade, enchanted cafe)
P oetry readings
Community or collaborative art
Sc ulpture garden with interactive art (mini-golf?)
A rtist designed educational displays

EVENTS
SPECIAL
Moth Balls (after hours)
Tea parties (fairy, enchanted)
Release parties
Hummingbird garden parties
Picnics
Birthdays, special events
Frog /moth night hikes
Fairy garden or fairy trails

BYRD

PROFESSIONAL PROFILE

Positive, engaging sustainability professional with 30 years of experience motivating, communicating, and inspiring joyful and collaborative work for the common good. Experience in academia, nonprofit organizations, and local and state government has developed a diversified skill set focused on communication, partnership, critical thinking, and innovation. Excellent interpersonal, conceptual, and practical skills aimed at large-scale problemsolving.

WORK EXPERIENCE

COURSE INSTRUCTOR / UNIVERSITY OF MINNESOTA 2009 -

Lead instructor for courses on global sustainability, sustainable communities, and environmental ethics.

INSTITUTE ON THE ENVIRONMENT EDUCATOR / UMN 2019 -2021

Creation of a new course introducing all incoming freshman to principles of sustainability and resilience thinking.

CONTRIBUTING AUTHOR / MCGRAW HILL HIGHER ED 2018-2021

Updated chapters for Cunningham and Cunningham’s Environmental Science: A Global Concern; storyboard author for online environmental science lessons.

CONSULTANT / UMN DEPT OF APPLIED ECONOMICS

2016-2018

Researcher, author, and graphic designer of a 200+ page sustainability sourcebook for high school students and teachers.

MERCURY SPECIALIST / WISCONSIN DNR 1995-1997

RECYCLING

COORDINATOR / NORTHWESTERN UNIV. 1990-1994

EDUCATION

UNIVERSITY OF MINNESOTA / DOCTORATE 1997-2004 PhD in Conservation Biology, an interdisciplinary program that integrates public policy and ecology. Dissertation on wolf management in Minnesota.

NORTHWESTERN UNIVERSITY / BACHELOR OF ARTS 1986-1990

BA degree in history, with a focus on science in human culture. Student activist and founding member of environmental group still active today.

SKILLS

• Excellent written, verbal, and graphic communicator

• Proficient and experienced at communicating technical or conceptual material

SELECTED EXTRAS

• Positive and enthusiastic team member

• Confident working individually, or as part of a team or coalition

• Innovative, approachable leader

“True Sustainability,” TEDx talk, October 2016; Chairperson, Mahtomedi Environment Commission 2018-2020; TEDx Steering Committee, 2018-; Member of the University of Minnesota’s United Nations COP25 Observation Delegation, 2019 and COP 26, 2021; Personal Chef 2017; National Outdoor Leadership School; Artist -See full resume in Appendix-

KIMBERLY
651.698.2400 BYRD0023@UMN.EDU THRESHOLDBLOG.COM

INSIGHT CONSULTANTS

With a long career in sustainability education, group facilitation, climate activism, and community organizing, Kimberly has numerous colleagues willing to offer insights, ideas, and encouragement for the project.

Amir Nadav, former Head of Sustainability, St Thomas University (living community challenge)

Brian Stinquist, formerly of Minnesota Department of Natural Resources (group facilitation)

Tim Smith, PhD, Systems Thinking Expert (leads college class in Costa Rica)

Corrie Crothers, (leads high school class trips to Costa Rica)

Analyah Schlaeger dos Santos, Youth Program Specialist

Jeanine Christenson, Real Estate Professional Kathy Dix, former Director of Ogitchi Daa Kwee girls camp

Alexander Lazlo, PhD (transformational learning pathways)

Annalise Smitsman, PhD (regenerative education)

Marnita Schrodel (hospitality)

Mary Hoff, Drawdown Project (journalist and community expert)

Sarah Goodspeed, Climate Generation (youth education)

Christine Baeumler, PhD, Interdisciplinary Art & Social Practice Department Chair, UMN

Michelle Garvey, PhD (Environmental Justice Specialist)

Tracy Fredin, PhD, Director of Hamline University’s Center for Global Environmental Education

Senia Mae Tuominen, Doctor of Chinese Medicine and certified functional medicine practitioner

Kathy Flaminio, Founder, Yoga Calm

Kyle Samejima, Executive Director, Minneapolis Climate Action

Kara Parker, MD, head of Integrative Medicine at Hennepin County Medical Center (Wellness trends)

Kristen Mastel, University of Minnesota Libraries (forest bathing)

Linda Butarian, PhD (education specialist, creative writing and art for social change)

Graham Ambrose, PhD, (regenerative agriculture, food systems)

Kaia Sven, (Women’s group specialist)

Judy Fawcett (art workshops)

Christine Kleich, LICSW, Social Worker, socialist in women’s groups

Barb Hynes-Tomczyk, actress, teacher (improv expert)

Ann Pierce, PhD, Director of Parks and Trails, Minnesota Department of Natural Resources

Laura Kincaid, Transformational Workshop Specialist

Amelia Reigstad, PhD, communication trainer, group facilitation

Ahna Logan, Interior Design

Tobie Vickers-Lee, art education

Julia Huber Mayeux, Build-to-Rent real estate developer

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