Building Community Through Public-Private Partnerships
As founding principal of Derrington Building Studio, I've witnessed firsthand how collaborative civic projects are reshaping communities across Texas. Here's why P3s represent the growing future of community-building and how your organization can be part of this transformative movement.
In an era where municipal budgets are stretched thin and communities crave meaningful gathering places, a powerful solution is emerging: public-private partnerships (P3s) for recreational and cultural facilities. These collaborative projects are reshaping how we think about community amenities, creating spaces that neither the public nor private sector could easily build alone.
From parks and sports complexes to performance venues and community arts centers, P3 recreational and cultural facilities represent one of the most promising opportunities for creating lasting community impact over the next decade. These projects combine public benefit with private innovation, creating vibrant community destinations that serve residents while generating sustainable revenue streams.
At Derrington Building Studio, we're currently designing the Roundabout in Buda—a 65,000-square-foot mixed-use development that exemplifies this collaborative approach. Working in partnership with the developer, Buda Economic Development Corporation, and city officials, this project demonstrates how public-private collaboration can deliver community amenities that serve local needs while creating economic opportunity. More on this project further down in the "Real-World Success Stories" section…
Early site sketch of our project, The Roundabout at Buda, provided by Philip Koske of Nudge Design.
What Are Public-Private Recreational & Cultural Facilities?
Public-private partnerships in this context involve municipal governments collaborating with private entities—companies, nonprofits, or developers—to deliver recreation or cultural facilities through shared investment and operational roles. The defining characteristic is collaboration: a city often provides land, capital, or regulatory support, while a private partner brings expertise, additional funding, or operational management.
Unlike traditional public projects funded entirely by taxpayers, or purely commercial ventures, P3s create a hybrid model. For example, a city might co-fund a new amphitheater while a private promoter handles programming and operations. Or a municipality could provide land and infrastructure support for a recreation center that a private company designs, builds, and manages under a long-term lease agreement.
These facilities tend to be mid-scale—not massive stadiums, but community-oriented venues that often become unique to their locale. The result? Fresh design and financing approaches that expand what's possible for smaller cities and constrained budgets.
Why P3 Recreational Facilities Are Booming
Population Growth Meets Budget Reality
Texas exemplifies the demographic trends driving this movement. Booming Sun Belt regions are experiencing massive population influx, especially in suburbs, creating unprecedented demand for parks, athletic facilities, and cultural venues. Local governments recognize that investing in recreation and culture is key to quality of life and economic competitiveness—but they're doing so against a backdrop of competing budget priorities.
P3s offer a win-win solution: they allow cities to provide expanded recreation opportunities without shouldering the full operational burden. The private partner often handles day-to-day management and maintenance, relieving the city of ongoing costs while ensuring residents get access to high-quality amenities.
Tourism and Economic Development
Forward-thinking city leaders understand that unique recreational or cultural facilities can transform their communities into regional destinations. A well-designed sports venue doesn't just serve local teams—it can attract tournaments that fill hotels and restaurants. A distinctive cultural center becomes a draw for regional visitors and can anchor broader downtown revitalization efforts.
While it may seem like out drought is permanent, people still love to explore Texas and it will only ramp up when the rain comes back.
Philanthropy Meets Public Purpose
In the cultural sphere, philanthropic foundations and individual donors often champion projects like museums or performing arts centers but need public partnership to ensure broad community access and long-term sustainability. This convergence creates opportunities for meaningful P3 cultural developments, where private funding accelerates projects that serve clear public needs.
I had the privilege of contributing a public art installation for the Waterloo Greenway Conservancy's creek show, part of their broader partnership with the City of Austin that created Waterloo Park and Moody Amphitheater. This project exemplifies how private nonprofits can partner with public entities to blend green space with privately programmed cultural events, creating lasting community assets. More on this project further down in the "Real-World Success Stories" section…
Opportunities for Private Sector Partners
Developers: Think Beyond Traditional Returns
If you're a developer, P3s offer opportunities to create projects with deeper community impact while accessing public land, incentives, and shared risk. The key is recognizing that slightly lower profit margins can be offset by reduced development risk, community goodwill, and long-term operational partnerships.
In Buda, developer Tim Dowling worked closely with the EDC to ensure the Roundabout aligned with community needs. As he noted, "We met with the City Council, and everybody has been 100% on board—this is what we need for the community." This collaborative approach from the outset created a project that serves multiple stakeholders while maintaining commercial viability.
Operating Companies: Scale Your Impact
If you specialize in leisure, athletics, or cultural programming, P3s allow you to access prime public sites and share development costs while building long-term operational relationships. These partnerships can help you establish footholds in growing markets that might otherwise be financially challenging to enter.
Consider municipalities as potential partners for your next expansion. Cities increasingly seek private expertise to activate public spaces and create revenue-generating amenities that serve residents.
Nonprofits: Amplify Your Mission
For mission-driven organizations, P3s offer pathways to create lasting infrastructure that serves your goals while leveraging public resources. Whether you're focused on arts, recreation, education, or community development, partnering with municipalities can help you build permanent facilities that outlast grant cycles.
Cultural organizations, conservancies, and community groups frequently initiate successful P3 projects by raising private funds for specific components while partnering with cities for land, infrastructure, or matching funds.
Why This Model Creates Better Outcomes
Scale and Community Focus
P3 recreational and cultural facilities typically operate at a human scale—community theaters, neighborhood recreation centers, small museums, and public plazas that range from 5,000 to 50,000 square feet. This scale allows for thoughtful design that responds to specific community needs while remaining financially manageable.
Enhanced Community Engagement
These projects require extensive community input and stakeholder coordination. The collaborative nature of P3s often results in more responsive design and programming because multiple perspectives are incorporated from the beginning. Public meetings, design charrettes, and ongoing community feedback become integral to the development process.
Creative Problem-Solving
P3 projects demand innovative solutions that satisfy both public and private objectives while staying within budget constraints. This constraint often sparks the most creative design solutions—finding ways to create flexible spaces that generate private revenue while serving public needs, or developing phasing strategies that allow communities to build amenities incrementally.
The Roundabout exemplifies this approach by integrating 1.2 miles of walking trails (which will be donated to the city), pickleball and volleyball courts, playgrounds, and community gathering spaces alongside commercial tenants. This creates a true community hub where residents can shop, dine, recreate, and socialize in one walkable destination.
Design Opportunities That Inspire
Multi-Use Flexibility
Every P3 project presents the challenge of creating spaces that serve multiple constituencies and revenue streams. You might develop a recreation center with spaces that function as community classrooms by day and private event venues by night. Or create an amphitheater that hosts both free community concerts and ticketed performances.
Sustainability and Resilience
Cities increasingly mandate green building standards for public projects, creating opportunities to showcase sustainable design solutions. Consider how stormwater management can become a beautiful landscape feature, or how solar installations can provide both energy savings and iconic architectural elements.
Solar panels as outdoor shading for Gaia 3 by John Zemanek, FAIA.
Signature Identity
P3 facilities need to work hard to attract users and generate revenue, which means they benefit from distinctive, memorable design. This is where creative design can truly shine—developing architectural solutions that become beloved community landmarks while meeting operational requirements.
Real-World Success Stories
The Roundabout in Buda: A Model for Small Cities
Our current project in Buda demonstrates how smaller communities can leverage P3 partnerships to create significant community amenities. The Roundabout brings together local businesses, recreational facilities, and community gathering spaces in one 65,000-square-foot development.
Key tenants include La Ola Pop Shop (expanding from Kyle), Gracie Humaita Brazilian jiujitsu, M. McCall's Pub, Amici Cucina Italiana, and Trianon Coffee. But beyond commercial tenants, the project includes walking trails, sports courts, playgrounds, and community gathering spaces that will serve residents for generations.
As Buda EDC CEO Jennifer Storm noted, "It's been a really easy sell because it checks so many boxes for us." This collaborative approach from the outset ensured the project serves multiple stakeholder needs while maintaining commercial viability.
Waterloo Greenway: Art, Nature, and Community Partnership
The Waterloo Greenway Conservancy's partnership with the City of Austin exemplifies how cultural programming can enhance public space through P3 collaboration. This private nonprofit worked with the city to transform a neglected urban creek into Waterloo Park, featuring the restored Moody Amphitheater and ongoing cultural programming.
As part of this broader initiative, I collaborated with Wilson Hack and Drophouse Design on "Deep Curiosity" for the 2016 Creek Show—a temporary public art installation that activated the greenway space before permanent development. This project demonstrated how artists, nonprofits, and municipal partners can work together to create community engagement around future public improvements.
The success of these temporary activations helped build public support for the larger park development, showing how P3 partnerships can use cultural programming to test concepts and build community investment before major capital improvements. The resulting Waterloo Park has become a beloved Austin destination, proving that thoughtful collaboration between private conservancies and public entities can create transformative community assets.
Deep Curiosity, an art installation for the Waterloo Greenway Conservancy by Derrington Building Studio in collaboration with Wilson Hack and Drophouse Design.
Design Considerations for Success
Balancing Public and Private Needs
Successful P3 facilities require careful attention to how public accessibility and private operational requirements intersect. Design solutions might include separate entrances for different user groups, flexible spaces that can be reconfigured for various events, or zones that can operate independently with different access controls.
Operational Efficiency
Private operators need facilities that are cost-effective to maintain and staff. This influences everything from material selections (durable, low-maintenance finishes) to spatial layouts (efficient sight lines for supervision, centralized control systems).
Community Identity
The best P3 facilities feel authentically connected to their communities. Incorporating local materials, cultural references, or artistic collaborations helps ensure these facilities become beloved community assets rather than generic amenities.
Your P3 Opportunity
Public-private partnerships for recreational and cultural facilities represent a significant opportunity for organizations that understand both community needs and operational realities. These projects offer the chance to create meaningful community impact while building sustainable relationships and revenue streams.
Success in P3 projects requires developing expertise in stakeholder engagement, understanding public funding mechanisms, and creating flexible, efficient facilities that serve diverse needs. But for organizations willing to invest in these collaborative relationships, P3 projects offer both meaningful impact and sustainable growth potential.
For Municipalities: Consider how private partnerships could help you deliver amenities your community needs without straining public budgets.
For Developers: Look beyond traditional commercial projects to community-serving developments that offer public partnerships and long-term operational relationships.
For Nonprofits: Explore how municipal partnerships could help you create permanent infrastructure that serves your mission.
For Operating Companies: Consider cities as potential partners for accessing prime sites and building sustainable business models.
The communities we serve are growing and evolving. Their need for quality recreational and cultural facilities will only increase. By embracing P3 partnerships, we're not just building projects—we're building stronger, more vibrant communities.
At Derrington Building Studio, we help in bringing public and private partners together around shared visions for community facilities. From initial feasibility studies through construction administration, we help navigate the complex relationships and requirements that make P3 projects successful. Contact us to discuss how we can help your next community project succeed.
