March 18, 1999

Heritagefest gets rights to operate Oktoberfest

Festival will move to fairgrounds into new facility

By CHRIS VETTER

Journal Staff Writer

NEW ULM -- Heritagefest officials announced Monday that the non-profit organization has acquired the rights to operate Oktoberfest.

Leo Berg, Heritagefest executive director, said Heritagefest will officially begin operating the annual event when the new ice rink/exhibition hall is available at the Brown County Fairgrounds.

"The new building gives us a great deal more flexibility," Berg said. "I think there is a much better chance it will be a community-wide event. We're interested in making this event grow."

Oktoberfest is held during the first two weekends of October. The primary celebration has been held at the Holiday Inn for the past 18 years. The New Ulm Area Chamber of Commerce and New Ulm Area Catholic Schools also hold smaller Oktoberfest events that are not tied to the Holiday Inn celebration.

Groundbreaking for the building is slated for September, with planned completion sometime next fall. If the facility is not operational in 2001, Oktoberfest will remain at the Holiday Inn for that year.

One provision within the agreement states that if the Oktoberfest event struggles financially in the first five years at the fairgrounds, the current owner, Emmett Erpelding, will have first rights to reacquire the event.

Erpelding, who now lives in Florida, has maintained ownership of the event, although the Holiday Inn has changed hands. Erpelding believes the time is right, with the new facility on the horizon, to change ownership and locations of the event.

"We just feel for the long-term success of Oktoberfest, it is time for a community-run festival at a larger facility," Erpelding said. "If Oktoberfest is going to be a community festival, I think it its important to give it to the community."

The Heritagefest board plans a retreat next month at which the acquisition will be discussed, Berg said.

One challenge before the board is to differentiate between the Oktoberfest and Heritagefest and keep bringing visitors to both events, he added.

"It would be great if this got as big as Heritagefest," Berg said, adding that he doubts that would happen. However, because Oktoberfest is held during the school year, Berg aims to draw more students from area colleges in New Ulm, Mankato and St. Peter.

"When college is in session, that may create an opportunity for us to reach out to students," Berg said.

Rick Newman, hotel manager at Holiday Inn, was not surprised by the news. Newman said the hotel will continue to focus on filling its 126 rooms during Oktoberfest.

In a recent interview, Newman said the hotel only breaks even on food, beverage and entertainment revenue. The primary revenue source is the rooms.

"We're certainly going to stay as active as we can be," Newman said. "It should be a positive move for everyone."

Newman said one problem with Oktoberfest at Holiday Inn was a lack of dancing space. He believes that concern will be alleviated at the fairgrounds site.

Voters approved funding for the exhibition hall last fall. The structure, which will cost between $7 million and $8 million, will be paid for through a half-percent city sales tax that takes effect April 1.

The facility will feature two ice rinks/exhibition halls. While one rink is generally referred to as a year-round ice rink, it will likely be thawed for large events like Heritagefest or the Brown County Fair.

Newman said he plans to work with Heritagefest officials and other area hotels to set up a bus system that will carry event-goers across the four-mile trek to the fairgrounds facility.

If this is the final year of Oktoberfest at the Holiday Inn, Newman promises that it will go out with a bang. He said the hotel plans to increase its radio advertising and draw more day-trip visitors.