If you ever have trouble falling asleep, start paging through “Golf Facilities in Canada 2015.” The report, published jointly by Golf Canada and the PGA of Canada with assistance from the National Golf Foundation, is a dull inventory of limited and mostly useless data about the nation’s golf business. As part of my long-time commitment to serve the public interest, however, here’s everything you need to know about golf north of the border: Canada has 6 million golfers and, according to the study, a participation rate of 20 percent. (By contrast, the United States has a golf participation rate of about 8.5 percent.) Really, you could stop reading right here if you wanted to. But if you insist, Canada has a total of 2,346 golf facilities, more than 90 percent of them public. (If you’re wondering, the report says that 75 percent of U.S. golf courses are public.) Regarding Canada’s courses, “the overwhelming majority” of them are located within roughly 100 miles of our common border -- which is, by lucky coincidence, also where most Canadians live! Who could have guessed? Finally and thankfully, here’s a marginally interesting tidbit: More than one-third of Canada’s courses are nine-hole tracks.
The Socialist Republic of Vietnam has set an official target for golf construction: 96 courses by 2020. Seeing as how the nation currently has somewhere in the neighborhood of 40 courses, that means home-grown and foreign developers might very well open more than 50 courses in Vietnam over the next five years. (Don’t put it past them.) Of course, such a pace of construction begs an obvious question: Can Vietnam’s resident golfers (all 10,000 of them) and vacationing golfers from other nations (7,000 annually these days) sustain nearly 100 golf courses? I’m betting against.
In at least one county in the United States, private golf clubs are seeing a little bump in their bottom lines.
According to an analysis of tax returns, 20 private clubs in Fairfield County, Connecticut collectively registered a 4.2 percent increase in fees from members in 2014, the last year for which records are available. The increase, combined with income from special assessments that members agreed to cough up, enabled the clubs to spend 15 percent more on capital improvements than they did in 2013. Admittedly, this is a very small sample size, and not all of the news from the IRS was good, because the clubs’ income from initiation fees reportedly fell by 9.3 percent. Still, it’s good to have conclusive evidence to support the gut feelings that most observers have about the health of our nation’s private clubs.
Looking for a place where private clubs are still suffering? Look no further than Auckland, New Zealand’s largest metropolis, where one of every five golf clubs are said to be “technically insolvent.” According to a financial analysis submitted to Auckland Council, the area’s golf clubs are by and large operating in “survival mode” due to over-supply.
It’s just one small city in a flyover state, but Chaska, Minnesota had what’s been described as an “incredible” golf season in 2015. The boost in play was most evident at the city’s 18-hole track, which reportedly rang up 33,500 rounds last year, 2,500 more than expected. (It’s an 8 percent bonus.) “Our golf course couldn’t get any busier,” Chaska’s city administrator told the Chaska Herald.
The United States has long been a favored destination for foreign golfers, and their impact on our golf industry is currently being measured by the International Association of Golf Tour Operators. “This is undoubtedly the most ambitious project that we have undertaken, considering the sheer size and variety of the USA’s golf destinations and the number of golf courses involved,” the group’s CEO said in a press release. The results of the year-long study will be revealed in June.
Friday, April 29, 2016
Sunday, April 24, 2016
The Week That Was, april 24, 2016
If a new report on golf participation in Europe teaches us anything, it’s that those of us who work in the U.S. golf industry should count our blessings. No matter how bleak things may occasionally look to us here at home, we’re far better off than virtually every other golf market on earth.
According to KPMG’s Golf Advisory Practice, last year Europe had just 4.14 million golfers and a pathetically low participation rate of just under 1 percent. In fact, only two European nations can nowadays claim a participation rate higher than 4 percent: Sweden (4.7 percent) and Ireland (4.1 percent). Scotland, which brags about being the home of golf, has a participation rate of only 3.8 percent, good for third in KPMG’s ranking, and no other nation can post a number higher than 2.7 percent.
By contrast, reliable sources say that the United States has roughly 24 million golfers and a participation rate in the neighborhood of 8 or 9 percent.
Before we go any farther, and to be as fair as possible to Europe, it’s important to note that in “Golf Participation Report for Europe 2016” KPMG is merely counting “registered” golfers -- that is, golfers who are members of their national golf associations. If KPMG could have factored unaffiliated golfers into its data, Europe’s statistical profile would certainly look better.
But how much better? Even if we arbitrarily doubled the number of golfers in Europe, something nobody in his right mind would ever do, the Continent would still have only about one-third of the golfers we have in the United States.
If you’re beginning to think that maybe it might be nice if Europe’s golf market was bigger, consider this: Only 12 of the 46 nations that KPMG surveyed have 100,000 or more registered golfers, while 27 have fewer than 10,000. Heck, 16 have less than 1,000, a number hardly worth counting.
The closer one looks, the more obvious it is that Europe consists of a few “haves” and a bunch of “have-nots.” The two nations with the most golfers, England and Germany, account for 31 percent of Europe’s total. The top five nations -- England, Germany, Sweden, France, and the Netherlands -- account for 62 percent. And the top 10 nations account for 85 percent.
It goes without saying that Europe, like the rest of the world’s established golf markets, has been losing golfers since the onset on the Great Recession. Between 2009 and 2013, according to KPMG, golf participation on the Continent fell by 4 percent. Between 2014 and 2015, the decline was somewhat less noticeable -- 0.3 percent -- but the number was nonetheless down.
Because last year’s declines were less apparent, KPMG feels justified in putting a positive spin on Europe’s future. “Europe’s golf markets displayed positive signs of stability and growth in 2015,” it contends. The evidence, however, is nothing to get excited about: Of the nations surveyed, 14 registered growth, 15 showed declines, and 17 were flat. I’m just guessing, but I’m thinking that most people would view those numbers as pretty much an even split.
Dig a little deeper into the numbers, however, and trouble rears its ugly head. Of the 20 nations with the most golfers -- the industry’s most important markets -- seven were down, 10 were flat, and only three were up.
Anyone looking for the 11 other nations that registered growth in 2015 can find them among the remaining 26 that KPMG surveyed -- the bottom of the barrel, as it were, all of them nations where the game doesn’t have deep roots. And sadly, their “positive signs of stability and growth” are so negligible that they’re almost embarrassing to report. The big winners in this group were Poland, Estonia, and Russia, each of which added about 300 golfers. Hungary added about 150, Lithuania about 120, and Liechtenstein about 100. These six were the only ones that added golfers in triple digits.
Across all 46 nations, the gains of 2015 amount to 25,749, the losses to 37,951. The net is a loss of 12,202 golfers.
It’s a small number, to be sure. But in Europe, even the big numbers are small.
According to KPMG’s Golf Advisory Practice, last year Europe had just 4.14 million golfers and a pathetically low participation rate of just under 1 percent. In fact, only two European nations can nowadays claim a participation rate higher than 4 percent: Sweden (4.7 percent) and Ireland (4.1 percent). Scotland, which brags about being the home of golf, has a participation rate of only 3.8 percent, good for third in KPMG’s ranking, and no other nation can post a number higher than 2.7 percent.
By contrast, reliable sources say that the United States has roughly 24 million golfers and a participation rate in the neighborhood of 8 or 9 percent.
Before we go any farther, and to be as fair as possible to Europe, it’s important to note that in “Golf Participation Report for Europe 2016” KPMG is merely counting “registered” golfers -- that is, golfers who are members of their national golf associations. If KPMG could have factored unaffiliated golfers into its data, Europe’s statistical profile would certainly look better.
But how much better? Even if we arbitrarily doubled the number of golfers in Europe, something nobody in his right mind would ever do, the Continent would still have only about one-third of the golfers we have in the United States.
If you’re beginning to think that maybe it might be nice if Europe’s golf market was bigger, consider this: Only 12 of the 46 nations that KPMG surveyed have 100,000 or more registered golfers, while 27 have fewer than 10,000. Heck, 16 have less than 1,000, a number hardly worth counting.
The closer one looks, the more obvious it is that Europe consists of a few “haves” and a bunch of “have-nots.” The two nations with the most golfers, England and Germany, account for 31 percent of Europe’s total. The top five nations -- England, Germany, Sweden, France, and the Netherlands -- account for 62 percent. And the top 10 nations account for 85 percent.
It goes without saying that Europe, like the rest of the world’s established golf markets, has been losing golfers since the onset on the Great Recession. Between 2009 and 2013, according to KPMG, golf participation on the Continent fell by 4 percent. Between 2014 and 2015, the decline was somewhat less noticeable -- 0.3 percent -- but the number was nonetheless down.
Because last year’s declines were less apparent, KPMG feels justified in putting a positive spin on Europe’s future. “Europe’s golf markets displayed positive signs of stability and growth in 2015,” it contends. The evidence, however, is nothing to get excited about: Of the nations surveyed, 14 registered growth, 15 showed declines, and 17 were flat. I’m just guessing, but I’m thinking that most people would view those numbers as pretty much an even split.
Dig a little deeper into the numbers, however, and trouble rears its ugly head. Of the 20 nations with the most golfers -- the industry’s most important markets -- seven were down, 10 were flat, and only three were up.
Anyone looking for the 11 other nations that registered growth in 2015 can find them among the remaining 26 that KPMG surveyed -- the bottom of the barrel, as it were, all of them nations where the game doesn’t have deep roots. And sadly, their “positive signs of stability and growth” are so negligible that they’re almost embarrassing to report. The big winners in this group were Poland, Estonia, and Russia, each of which added about 300 golfers. Hungary added about 150, Lithuania about 120, and Liechtenstein about 100. These six were the only ones that added golfers in triple digits.
Across all 46 nations, the gains of 2015 amount to 25,749, the losses to 37,951. The net is a loss of 12,202 golfers.
It’s a small number, to be sure. But in Europe, even the big numbers are small.
Friday, April 22, 2016
The Pipeline, april 22, 2016
Angus, Scotland. Along the eastern coast of Scotland, midway between Dundee and Aberdeen, the world’s fifth-oldest golf course is slowly being swallowed by the North Sea. Under constant stress from wind and water, the 18-hole Medal track at Montrose Golf Links has shrunk by an estimated 50 to 60 yards in recent years, and now the operators of the 454-year-old venue have set out to stem the tide. “We can’t just sit around and do nothing,” the club’s secretary has acknowledged. Martin Hawtree, an English architect who’s overseen improvements at classic, historic golf properties throughout Great Britain and beyond, has proposed changes that he believes will extend the life of the Medal course, a layout whose design is credited primarily to Old Tom Morris and Willie Park, Jr. Hawtree wants to redesign seven holes, shortening some and lengthening others, and generally moving play away from the course’s fast-disintegrating dunes. His plan is currently being debated. The proposed changes won’t impact Montrose’s 18-hole Broomfield course, which was laid out on inland property.
Phú Quốc Island, Vietnam. Vietnam’s biggest and most ambitious golf venture, a 14-course complex, will take shape on Phú Quốc Island, off the nation’s southwestern coast. The Mission Hills-inspired venue doesn’t yet have a name -- it hasn’t even been formally announced -- but plans have been laid for a complex that, if fully realized, will almost certainly make Phú Quốc, Vietnam’s largest island, one of Asia’s top golf destinations. Vingroup’s complex will feature seven celebrity-created courses, among them a Nicklaus Design layout, and seven others that will likely be produced by IMG Golf. The “signature” architects in the mix are said to be Gary Player, Ernie Els, Annika Sorenstam, Nick Faldo, and Colin Montgomerie. “I didn’t even know that Phú Quốc Island existed until a couple of years ago,” says Brit Stenson, IMG’s director of design. “It already has a lot going for it, including an airport and beautiful beaches, and it’s going to have houses, casinos, and big hotels. It’s definitely a place that people will visit.” Indeed, some travel-industry observers believe that Phú Quốc will eventually compete for vacationers with Phuket in Thailand, Bali in Indonesia, and Hainan Island in China. The island attracted roughly 600,000 tourists in 2014, and government officials predict that it’ll get 2 million or more by 2030.
The original version of the preceding post first appeared in the January 2016 issue of the World Edition of the Golf Course Report.
Tappahannock, Virginia. Diatomite Corporation of America has selected the architect for the golf course it plans to build on property where Captain John Smith once battled Virginia’s indigenous people. It’s Lester George, a Richmond-based designer whose portfolio includes two well-regarded layouts in the state, Ballyhack Golf Club and Kinloch Golf Club, and who now has an opportunity to create what’s been described as a “world-class” layout at Diatomite’s Fones Cliffs Resort. “Lester George has a proven, award-winning record of creating challenging, playable, beautiful, and environmentally sustainable destination golf courses,” a spokesperson for Diatomite said in a press release. Fones Cliffs, which will take shape on 1,000 acres along the Rappahannock River, will include 700 single-family houses and other housing types, a lodge with rooms for 116 overnight guests, retail and commercial areas, an equestrian center, and other attractions. George believes that the property is “one of the most fascinating and beautiful sites” he’s ever seen, and he’s promised to design the golf course with “a very soft hand.”
Andros Island, Bahamas. Some U.S. investors aim to build what they think might be “the most important new development in the Western Hemisphere,” and they’re putting a familiar name on their golf complex. A group operating as Solar Verde Bahamas, Ltd. has reportedly secured government approval for “a self-sustaining community” that will be regarded as “the Jewel of the Bahamas” and “the Beacon of the Caribbean.” The community, to be called Solar Verde Bahamas, will take shape along Andros Island’s southeastern coast, and it’ll include a waterfront hotel, a marina capable of berthing yachts, a retail/commercial center, and a pair of 18-hole golf courses created by Tommy Fazio, the son of Jim Fazio and a nephew of Tom Fazio. Tommy, who’s out to make a name for himself, has designed Great River Golf Club in Milford, Connecticut and the New track at Trump National Golf Club Bedminster, in New Jersey, and he’s overseen upgrades at several other Trump-branded properties. The CEO of the development group expects his course to take her community to “an entirely new level.”
The original version of the preceding post first appeared in the February 2016 issue of the World Edition of the Golf Course Report.
County Durham, England. The members of Darlington Golf Club, a venue that’s operated in northern England since 1908, have overwhelmingly accepted an offer to sell their property and make a fresh start with new facilities. A price hasn’t been announced, but the amount was previously described as a “substantial sum of money.” Darlington views the offer, made by Theakston Estates, Ltd., as “a win-win situation for us, the developer, and the town,” and one that it hopes will guarantee decades of financial viability. “Over the past few years, we and most other golf clubs have been struggling to make ends meet, and the signs indicate that things could and probably will get worse as we all fight for a limited number of members,” the club’s chairman, David Peat, told the Northern Echo. Darlington will be moving to Theakston-owned farmland just north of its current home. No date has been set for the relocation, but Peat told the Echo that it would happen “without any disruption to playing golf,” which suggests that the new course will be built before Theakston razes Darlington’s Alister MacKenzie-designed course and replaces it with houses.
Cairo, Egypt. A well-known, Dubai-based conglomerate intends to make a “picturesque” golf course the centerpiece of an “all-encompassing” high-end community in the Middle East’s largest city. Al Habtoor Group believes its Al Habtoor City Cairo will be “a vibrant community” and “a new landmark” in the capital city. The 198-acre community has been master-planned to include 204 villas, three high-rise residential towers, six apartment buildings, three hotels, a shopping area, an international school, two polo fields, and the aforementioned golf course. “We have been studying the idea for some time,” Khalaf Ahmad Al Habtoor, the company’s chairman and one of the richest people in the United Arab Emirates. “Egypt is ready for an investment of this scale.” Al Habtoor City Cairo has been modeled almost exactly on Al Habtoor City Dubai, which is expected to open in 2017. One big difference between the communities: The one in Dubai will reportedly feature a pair of penthouses priced at $250 million each.
The original version of the preceding post first appeared in the February 2016 issue of the World Edition of the Golf Course Report.
Baja California Sur, Mexico. Rees Jones has designed or redesigned dozens of golf courses in the United States, Canada, England, Japan, Puerto Rico, and Spain, and this month he unveils his first layout in Mexico. Jones’ Danzante Bay Golf Course is the centerpiece of Villa del Palmar at the Islands of Loreto, a tony resort community near Loreto, off the eastern coast of Baja California Sur. Jones made his reputation by preparing already difficult courses for the highest-caliber professional competitions, but he created the 18-hole track at Danzante Bay for casual golfers. “This golf course will have open entrances, pockets and sandy areas to capture the ball and keep it from going to the desert, and green contours that are manageable in the wind,” he said in a press release. “People will want to play it over and over again because the conditions will change with the wind.” Owen Perry and Luz Maria Torres sure hope he’s right, because they’re marketing Villa del Palmar as a “unique vacation experience.” At build-out, the community is expected to feature more than 300 vacation houses and condos, a spa, a beach club, and a golf practice center.
Phú Quốc Island, Vietnam. Vietnam’s biggest and most ambitious golf venture, a 14-course complex, will take shape on Phú Quốc Island, off the nation’s southwestern coast. The Mission Hills-inspired venue doesn’t yet have a name -- it hasn’t even been formally announced -- but plans have been laid for a complex that, if fully realized, will almost certainly make Phú Quốc, Vietnam’s largest island, one of Asia’s top golf destinations. Vingroup’s complex will feature seven celebrity-created courses, among them a Nicklaus Design layout, and seven others that will likely be produced by IMG Golf. The “signature” architects in the mix are said to be Gary Player, Ernie Els, Annika Sorenstam, Nick Faldo, and Colin Montgomerie. “I didn’t even know that Phú Quốc Island existed until a couple of years ago,” says Brit Stenson, IMG’s director of design. “It already has a lot going for it, including an airport and beautiful beaches, and it’s going to have houses, casinos, and big hotels. It’s definitely a place that people will visit.” Indeed, some travel-industry observers believe that Phú Quốc will eventually compete for vacationers with Phuket in Thailand, Bali in Indonesia, and Hainan Island in China. The island attracted roughly 600,000 tourists in 2014, and government officials predict that it’ll get 2 million or more by 2030.
The original version of the preceding post first appeared in the January 2016 issue of the World Edition of the Golf Course Report.
Tappahannock, Virginia. Diatomite Corporation of America has selected the architect for the golf course it plans to build on property where Captain John Smith once battled Virginia’s indigenous people. It’s Lester George, a Richmond-based designer whose portfolio includes two well-regarded layouts in the state, Ballyhack Golf Club and Kinloch Golf Club, and who now has an opportunity to create what’s been described as a “world-class” layout at Diatomite’s Fones Cliffs Resort. “Lester George has a proven, award-winning record of creating challenging, playable, beautiful, and environmentally sustainable destination golf courses,” a spokesperson for Diatomite said in a press release. Fones Cliffs, which will take shape on 1,000 acres along the Rappahannock River, will include 700 single-family houses and other housing types, a lodge with rooms for 116 overnight guests, retail and commercial areas, an equestrian center, and other attractions. George believes that the property is “one of the most fascinating and beautiful sites” he’s ever seen, and he’s promised to design the golf course with “a very soft hand.”
Andros Island, Bahamas. Some U.S. investors aim to build what they think might be “the most important new development in the Western Hemisphere,” and they’re putting a familiar name on their golf complex. A group operating as Solar Verde Bahamas, Ltd. has reportedly secured government approval for “a self-sustaining community” that will be regarded as “the Jewel of the Bahamas” and “the Beacon of the Caribbean.” The community, to be called Solar Verde Bahamas, will take shape along Andros Island’s southeastern coast, and it’ll include a waterfront hotel, a marina capable of berthing yachts, a retail/commercial center, and a pair of 18-hole golf courses created by Tommy Fazio, the son of Jim Fazio and a nephew of Tom Fazio. Tommy, who’s out to make a name for himself, has designed Great River Golf Club in Milford, Connecticut and the New track at Trump National Golf Club Bedminster, in New Jersey, and he’s overseen upgrades at several other Trump-branded properties. The CEO of the development group expects his course to take her community to “an entirely new level.”
The original version of the preceding post first appeared in the February 2016 issue of the World Edition of the Golf Course Report.
County Durham, England. The members of Darlington Golf Club, a venue that’s operated in northern England since 1908, have overwhelmingly accepted an offer to sell their property and make a fresh start with new facilities. A price hasn’t been announced, but the amount was previously described as a “substantial sum of money.” Darlington views the offer, made by Theakston Estates, Ltd., as “a win-win situation for us, the developer, and the town,” and one that it hopes will guarantee decades of financial viability. “Over the past few years, we and most other golf clubs have been struggling to make ends meet, and the signs indicate that things could and probably will get worse as we all fight for a limited number of members,” the club’s chairman, David Peat, told the Northern Echo. Darlington will be moving to Theakston-owned farmland just north of its current home. No date has been set for the relocation, but Peat told the Echo that it would happen “without any disruption to playing golf,” which suggests that the new course will be built before Theakston razes Darlington’s Alister MacKenzie-designed course and replaces it with houses.
Cairo, Egypt. A well-known, Dubai-based conglomerate intends to make a “picturesque” golf course the centerpiece of an “all-encompassing” high-end community in the Middle East’s largest city. Al Habtoor Group believes its Al Habtoor City Cairo will be “a vibrant community” and “a new landmark” in the capital city. The 198-acre community has been master-planned to include 204 villas, three high-rise residential towers, six apartment buildings, three hotels, a shopping area, an international school, two polo fields, and the aforementioned golf course. “We have been studying the idea for some time,” Khalaf Ahmad Al Habtoor, the company’s chairman and one of the richest people in the United Arab Emirates. “Egypt is ready for an investment of this scale.” Al Habtoor City Cairo has been modeled almost exactly on Al Habtoor City Dubai, which is expected to open in 2017. One big difference between the communities: The one in Dubai will reportedly feature a pair of penthouses priced at $250 million each.
The original version of the preceding post first appeared in the February 2016 issue of the World Edition of the Golf Course Report.
Baja California Sur, Mexico. Rees Jones has designed or redesigned dozens of golf courses in the United States, Canada, England, Japan, Puerto Rico, and Spain, and this month he unveils his first layout in Mexico. Jones’ Danzante Bay Golf Course is the centerpiece of Villa del Palmar at the Islands of Loreto, a tony resort community near Loreto, off the eastern coast of Baja California Sur. Jones made his reputation by preparing already difficult courses for the highest-caliber professional competitions, but he created the 18-hole track at Danzante Bay for casual golfers. “This golf course will have open entrances, pockets and sandy areas to capture the ball and keep it from going to the desert, and green contours that are manageable in the wind,” he said in a press release. “People will want to play it over and over again because the conditions will change with the wind.” Owen Perry and Luz Maria Torres sure hope he’s right, because they’re marketing Villa del Palmar as a “unique vacation experience.” At build-out, the community is expected to feature more than 300 vacation houses and condos, a spa, a beach club, and a golf practice center.
Sunday, April 17, 2016
The Week That Was, april 17, 2016
It appears that Jack Nicklaus is about to take control of a valuable golf property on Long Island, and with it a design commission. The North Palm Beach, Florida-based “signature” architect and a residential developer are in the late stages of negotiations to lease Cold Spring Country Club, which features an 18-hole, Seth Raynor-designed golf course. The course dates from 1947, and Newsday says that Nicklaus is going to “completely redesign” it. No specific plans have been outlined, but Nicklaus told the newspaper that he plans to treat the course “like a raw piece of property,” suggesting that little or nothing of Raynor’s work will remain. Cold Spring is in Huntington, New York, on the grounds of the historic Oheka Castle, and it belongs to Gary Melius, a former VIP who’s now virtually broke and desperate to make this deal happen. Melius’ proposal has won the hearts of the club’s equity members, who’ll each reportedly get $150,000 if all goes as planned.
China’s government appears to be softening its position on golf. Less than a year after Community Party members were unceremoniously banned from golf clubs (according to the prevailing rhetoric, a golf course was “a muddy field” where dishonest government officials and businessmen “trade money for power”), the official voice of the nation’s anti-corruption agency has, according to Time, “revoked the golf ban.” Here’s the declaration from Discipline Inspection & Supervision News: “Since it is only a sport, there is no right or wrong about playing golf.” The agency didn’t explain its change of heart, but the Olympics are looming and it might be difficult to justify sending players to Rio to engage in a form of corruption. But remember: Talk is cheap. It’s nice for China to decree that playing golf “is not a wrongdoing,” but it would be nicer if the nation lifted its ban on golf construction.
Regarding ClubCorp’s recent purchase of Santa Rosa Golf & Country Club: A sales price still hasn’t been announced, but a club official told the Santa Rosa Press Democrat that “it will look like a $5 to $6 million transaction” on ClubCorp’s books. Some part of that amount, even perhaps all of it, represents club debt that the new owners have agreed to pay. Santa Rosa borrowed $12 million to build a new clubhouse in 2001. Since then, the club has reportedly “struggled with declining membership” and “felt itself in a precarious position,” and more than 90 percent of its members supported ClubCorp’s offer.
Gifts of Gab: ClubCorp may be our nation’s largest owner and operator of private golf venues, but golf is by no means its raison d'être. “We don’t like to consider ourselves a golf company,” the company’s CEO, Eric Affeldt, told the Dallas Morning News. “We’re in the membership business, and we make money by creating an environment that would be [appealing] to people that aren’t just golfers.” Affeldt didn’t mention that one of ClubCorp’s corollary lines of business is “Building Relationships and Enriching Lives,” a phrase it’s trademarked.
Okay, so Donald Trump has small hands. Is that why he has such a jones for 80-foot flagpoles? The Candidate has erected them, in defiance of local ordinances, at his golf properties in Palm Beach, Florida and Rancho Palos Verdes, California, each time complaining that the local elected officials who protested were insufficiently patriotic. “The day you need a permit to put up the American flag,” he once lamented, “that will be a sad day for this country.” Sadly, such an argument holds no water, unless you believe that it’s possible to measure a man’s patriotism by the size of his flagpole. Besides, Trump’s great big love for our nation doesn’t explain why he also put up an 80-footer at his resort in Aberdeenshire, Scotland.
China’s government appears to be softening its position on golf. Less than a year after Community Party members were unceremoniously banned from golf clubs (according to the prevailing rhetoric, a golf course was “a muddy field” where dishonest government officials and businessmen “trade money for power”), the official voice of the nation’s anti-corruption agency has, according to Time, “revoked the golf ban.” Here’s the declaration from Discipline Inspection & Supervision News: “Since it is only a sport, there is no right or wrong about playing golf.” The agency didn’t explain its change of heart, but the Olympics are looming and it might be difficult to justify sending players to Rio to engage in a form of corruption. But remember: Talk is cheap. It’s nice for China to decree that playing golf “is not a wrongdoing,” but it would be nicer if the nation lifted its ban on golf construction.
Regarding ClubCorp’s recent purchase of Santa Rosa Golf & Country Club: A sales price still hasn’t been announced, but a club official told the Santa Rosa Press Democrat that “it will look like a $5 to $6 million transaction” on ClubCorp’s books. Some part of that amount, even perhaps all of it, represents club debt that the new owners have agreed to pay. Santa Rosa borrowed $12 million to build a new clubhouse in 2001. Since then, the club has reportedly “struggled with declining membership” and “felt itself in a precarious position,” and more than 90 percent of its members supported ClubCorp’s offer.
Gifts of Gab: ClubCorp may be our nation’s largest owner and operator of private golf venues, but golf is by no means its raison d'être. “We don’t like to consider ourselves a golf company,” the company’s CEO, Eric Affeldt, told the Dallas Morning News. “We’re in the membership business, and we make money by creating an environment that would be [appealing] to people that aren’t just golfers.” Affeldt didn’t mention that one of ClubCorp’s corollary lines of business is “Building Relationships and Enriching Lives,” a phrase it’s trademarked.
Okay, so Donald Trump has small hands. Is that why he has such a jones for 80-foot flagpoles? The Candidate has erected them, in defiance of local ordinances, at his golf properties in Palm Beach, Florida and Rancho Palos Verdes, California, each time complaining that the local elected officials who protested were insufficiently patriotic. “The day you need a permit to put up the American flag,” he once lamented, “that will be a sad day for this country.” Sadly, such an argument holds no water, unless you believe that it’s possible to measure a man’s patriotism by the size of his flagpole. Besides, Trump’s great big love for our nation doesn’t explain why he also put up an 80-footer at his resort in Aberdeenshire, Scotland.
Friday, April 15, 2016
Desolation Row, april 15, 2016
New Bern, North Carolina. After operating for a half-century, time has run out on Carolina Pines Golf & Country Club. Joe and Jeannette Mospaw closed the slowly deteriorating venue earlier this year, blaming its demise on disappearing rounds and revenues. “Our membership has aged out, and nobody’s joining country clubs,” Joe Mospaw told the New Bern Sun Journal. “Every golf club in the area is having the same problem. We’re all fighting and scratching to get new members.” The Mospaws reportedly bought Carolina Pines in 2001. At the time, they say, it had about 200 members. At the time of its closing, it had 51. The 109-acre property has an assessed value of $1.67 million.
Tallahassee, Florida. Regarding Killearn County Club, Barton Tuck’s wish has been granted. Tuck has closed Killearn’s North nine, a rarely played track that dates from the early 1980s, and he’s promised to invest the profits he realizes from redevelopment into long-overdue improvements on the club’s original 18-hole layout. The plan had stirred controversy in the club’s accompanying community, for Tuck, the principal of Greenville, South Carolina-based Wingfield Golf, had threatened to close Killearn’s entire 27-hole complex as soon as he could -- that would be in 2021 -- if he didn’t get his way. To mend fences with the home owners he’s alienated, Tuck has guaranteed to maintain the surviving holes until 2061.
Fallbrook, California. The battle between Jack Lamberson and the members of a group called Save the Fallbrook Golf Course may not be over, but it’ll rage on without Fallbrook Golf Course. Lamberson pulled the plug on the 18-hole, Harry Rainville-designed track in March, claiming that he can’t continue to cover its mounting losses. “I can’t even think about keeping it open anymore,” he told the San Diego Union Tribune. The course opened in 1962. Lamberson thought he’d sold part of it earlier this year, but the sale fell through.
Birmingham, Alabama. A home builder has agreed to buy Eagle Point Golf Club, which means that the end is near for the venue’s 18-hole, Earl Stone-designed golf course. Highpointe Properties’ plan still needs a thumbs-up from Shelby County officials, but the club’s fate appears to be sealed. “The golf course was going to be sold one way or another,” a Highpointe representative told 280 Living. “Somebody was going to develop it. We’re glad that it’s going to be us.”
Fairfax, Minnesota. With losses continuing to pile up, Minnesota’s department of natural resources has decided to close the nearly 90-year-old golf course in Fort Ridgely State Park. According to the Mankato Free Press, the nine-hole track has suffered from “years of steep deficits.” It rang up a measly 2,609 rounds of golf last year, generating just $24,186 in revenues -- by my math, about $9.25 a round. Red ink flowed to the tune of roughly $125,000. The DNR hasn’t yet said when it plans to turn out the lights, but it’ll be sometime this year.
Edgmont, Pennsylvania. More houses are coming to suburban Philadelphia, and they’ll be built on the 190 acres formerly occupied by Edgmont Country Club. The club, which opened in 1963, had catered to what’s been described as “the middle-class golfer.” Its 18-hole course was designed and built by Frank Mariani and his uncle, Nazz Mariani, and had remained in the family until it was sold, in late March. “We worked very hard to keep the course open, but it didn’t work out that way,” Frank Mariani told a local newspaper. The Marianis tried to sell Edgmont to the owners of other golf properties in the area, but they couldn’t find any takers.
Livermore, California. You can forget about celebrating the 50th anniversary of Springtown Golf Course this summer. Six months after the course’s private-sector operators went out of business, and after giving concerned citizens a last-ditch chance to save it, the city has closed the nine-hole, money-losing track. The property will likely remain as open space.
Huntsville, Alabama. As it turns out, Sunset Landing Golf Course was only temporarily grounded. The 18-hole track, located adjacent to Huntsville International Airport, was closed earlier this year but has reopened with new private-sector managers. “We’re very excited for this new endeavor and for the potential we believe Sunset Landing offers,” said Mike Parrish, one of the new operators. “Our goal is for Sunset Landing to become a premier public golf course in the Huntsville area.” Of course, the contract that The Birdie Boys II has signed only delays the inevitable, as the Port of Huntsville eventually plans to use the course’s 100 acres for airport expansion.
Tallahassee, Florida. Regarding Killearn County Club, Barton Tuck’s wish has been granted. Tuck has closed Killearn’s North nine, a rarely played track that dates from the early 1980s, and he’s promised to invest the profits he realizes from redevelopment into long-overdue improvements on the club’s original 18-hole layout. The plan had stirred controversy in the club’s accompanying community, for Tuck, the principal of Greenville, South Carolina-based Wingfield Golf, had threatened to close Killearn’s entire 27-hole complex as soon as he could -- that would be in 2021 -- if he didn’t get his way. To mend fences with the home owners he’s alienated, Tuck has guaranteed to maintain the surviving holes until 2061.
Fallbrook, California. The battle between Jack Lamberson and the members of a group called Save the Fallbrook Golf Course may not be over, but it’ll rage on without Fallbrook Golf Course. Lamberson pulled the plug on the 18-hole, Harry Rainville-designed track in March, claiming that he can’t continue to cover its mounting losses. “I can’t even think about keeping it open anymore,” he told the San Diego Union Tribune. The course opened in 1962. Lamberson thought he’d sold part of it earlier this year, but the sale fell through.
Birmingham, Alabama. A home builder has agreed to buy Eagle Point Golf Club, which means that the end is near for the venue’s 18-hole, Earl Stone-designed golf course. Highpointe Properties’ plan still needs a thumbs-up from Shelby County officials, but the club’s fate appears to be sealed. “The golf course was going to be sold one way or another,” a Highpointe representative told 280 Living. “Somebody was going to develop it. We’re glad that it’s going to be us.”
Fairfax, Minnesota. With losses continuing to pile up, Minnesota’s department of natural resources has decided to close the nearly 90-year-old golf course in Fort Ridgely State Park. According to the Mankato Free Press, the nine-hole track has suffered from “years of steep deficits.” It rang up a measly 2,609 rounds of golf last year, generating just $24,186 in revenues -- by my math, about $9.25 a round. Red ink flowed to the tune of roughly $125,000. The DNR hasn’t yet said when it plans to turn out the lights, but it’ll be sometime this year.
Edgmont, Pennsylvania. More houses are coming to suburban Philadelphia, and they’ll be built on the 190 acres formerly occupied by Edgmont Country Club. The club, which opened in 1963, had catered to what’s been described as “the middle-class golfer.” Its 18-hole course was designed and built by Frank Mariani and his uncle, Nazz Mariani, and had remained in the family until it was sold, in late March. “We worked very hard to keep the course open, but it didn’t work out that way,” Frank Mariani told a local newspaper. The Marianis tried to sell Edgmont to the owners of other golf properties in the area, but they couldn’t find any takers.
Livermore, California. You can forget about celebrating the 50th anniversary of Springtown Golf Course this summer. Six months after the course’s private-sector operators went out of business, and after giving concerned citizens a last-ditch chance to save it, the city has closed the nine-hole, money-losing track. The property will likely remain as open space.
Huntsville, Alabama. As it turns out, Sunset Landing Golf Course was only temporarily grounded. The 18-hole track, located adjacent to Huntsville International Airport, was closed earlier this year but has reopened with new private-sector managers. “We’re very excited for this new endeavor and for the potential we believe Sunset Landing offers,” said Mike Parrish, one of the new operators. “Our goal is for Sunset Landing to become a premier public golf course in the Huntsville area.” Of course, the contract that The Birdie Boys II has signed only delays the inevitable, as the Port of Huntsville eventually plans to use the course’s 100 acres for airport expansion.
Sunday, April 10, 2016
The Week That Was, april 10, 2016
McConnell Golf has set out to create a revenue stream in daily-fee golf operations. The Raleigh, North Carolina-based company has leased the Raleigh Golf Association’s 27-hole complex, an affordably priced public venue that John McConnell views as a place where “the average high-handicap golfer can play and feel good about his or her game.” The RGA facility opened in 1929 and is reportedly the second-oldest golf property in the capital city area. McConnell plans to add a McConnell Golf Training Center to the complex, so he can introduce the sport to a new generation of players. “We want to offer lessons at a very reasonable price to people wanting to learn the game,” he told the Raleigh News Observer. McConnell, who’s purchased a dozen private clubs in recent years, called the arrangement with the RGA “a beta test,” an indication that similar ventures may be on the horizon.
For the second time this year, a survey has determined that those nasty, ill-informed, and controversial statements that Donald Trump is making on the campaign trail may be doing lasting damage to his namesake brand. In January, a division of Young & Rubicam, the big advertising company, determined that “the value of the Trump name is collapsing” among “the people Trump’s business depends on,” which it defined as folks who earn more than $100,000 a year. Now Forbes, citing the results of a survey of 500 U.S. residents who earn at least $200,000 a year, has concluded that the Candidate is “alienating a broad portion of the demographic that makes up the core clientele for his high-end golf course and hotel properties.” Penn Schoen Berland, which did the polling, reports that 53 percent of the respondents are now either less likely or much less likely to patronize a Trump-branded hotel than they were previously, as opposed to the 11 percent who are either much more or somewhat more likely to do so. In addition, the survey’s results indicate that 45 percent of Trump’s prime demographic “would make a specific point of not visiting Trump-branded hotel or golf properties over the course of the next four years,” while only 7 percent would. Despite these findings, it’s worth noting that Trump’s golf properties are still on track to host some of our industry’s most coveted events, among them next year’s U.S. Women’s Open, next year’s Senior PGA Championship, and the PGA Championship in 2022.
In a scathing analysis, a New York City-based hedge fund contends that ClubCorp’s stock is a risky investment because the self-described “World Leader in Private Clubs” is wildly over-valued. Kerrisdale Capital Management, which is short-selling ClubCorp’s stock, finds much to dislike on the Dallas, Texas-based company’s balance sheets. It complains of ClubCorp’s “billion-dollar debt burden,” its annual losses, the lack of membership growth at its “same-store” properties, and its weak profit margins, which “have been flat or down over the past five years, even as the number of clubs in its portfolio has grown almost 40 percent.” After talking with the general managers of more than a dozen competing private clubs, Kerrisdale has concluded that ClubCorp differentiates itself from its competitors by “targeting lower-end customers and skimping on service,” and it asserts that ClubCorp’s properties “appear to perform worse than average,” with “member attrition three times the industry median,” “lax course maintenance,” and “bad customer service.” Boil it all down, and Kerrisdale contends that ClubCorp’s stock, currently priced at just over $12 a share, should be trading at less than $3.
For what it’s worth, the Street also recommends that investors sell their shares in ClubCorp. The Street is bothered by ClubCorp’s “deteriorating net income, generally high debt management risk, disappointing return on equity, poor profit margins, and generally disappointing historical performance in the stock itself.” If you’re wondering how such analyses are playing on Wall Street, ClubCorp’s stock ended last week trading at just over $12. In July 2015, the price was nearly $25.
My Bad: In last Sunday’s post about ClubCorp, I wrote that the company’s golf and country clubs division generated revenues of $694,680 last year. The number was wrong in two ways. First, it came from the column of 2014 results, not 2015 results. Second, I neglected to measure it in thousands: The number is $694,680,000, or $694.7 million. In 2015, ClubCorp’s golf and country clubs division actually generated revenues of $842.6 million. I apologize for the mistake.
For the second time this year, a survey has determined that those nasty, ill-informed, and controversial statements that Donald Trump is making on the campaign trail may be doing lasting damage to his namesake brand. In January, a division of Young & Rubicam, the big advertising company, determined that “the value of the Trump name is collapsing” among “the people Trump’s business depends on,” which it defined as folks who earn more than $100,000 a year. Now Forbes, citing the results of a survey of 500 U.S. residents who earn at least $200,000 a year, has concluded that the Candidate is “alienating a broad portion of the demographic that makes up the core clientele for his high-end golf course and hotel properties.” Penn Schoen Berland, which did the polling, reports that 53 percent of the respondents are now either less likely or much less likely to patronize a Trump-branded hotel than they were previously, as opposed to the 11 percent who are either much more or somewhat more likely to do so. In addition, the survey’s results indicate that 45 percent of Trump’s prime demographic “would make a specific point of not visiting Trump-branded hotel or golf properties over the course of the next four years,” while only 7 percent would. Despite these findings, it’s worth noting that Trump’s golf properties are still on track to host some of our industry’s most coveted events, among them next year’s U.S. Women’s Open, next year’s Senior PGA Championship, and the PGA Championship in 2022.
In a scathing analysis, a New York City-based hedge fund contends that ClubCorp’s stock is a risky investment because the self-described “World Leader in Private Clubs” is wildly over-valued. Kerrisdale Capital Management, which is short-selling ClubCorp’s stock, finds much to dislike on the Dallas, Texas-based company’s balance sheets. It complains of ClubCorp’s “billion-dollar debt burden,” its annual losses, the lack of membership growth at its “same-store” properties, and its weak profit margins, which “have been flat or down over the past five years, even as the number of clubs in its portfolio has grown almost 40 percent.” After talking with the general managers of more than a dozen competing private clubs, Kerrisdale has concluded that ClubCorp differentiates itself from its competitors by “targeting lower-end customers and skimping on service,” and it asserts that ClubCorp’s properties “appear to perform worse than average,” with “member attrition three times the industry median,” “lax course maintenance,” and “bad customer service.” Boil it all down, and Kerrisdale contends that ClubCorp’s stock, currently priced at just over $12 a share, should be trading at less than $3.
For what it’s worth, the Street also recommends that investors sell their shares in ClubCorp. The Street is bothered by ClubCorp’s “deteriorating net income, generally high debt management risk, disappointing return on equity, poor profit margins, and generally disappointing historical performance in the stock itself.” If you’re wondering how such analyses are playing on Wall Street, ClubCorp’s stock ended last week trading at just over $12. In July 2015, the price was nearly $25.
My Bad: In last Sunday’s post about ClubCorp, I wrote that the company’s golf and country clubs division generated revenues of $694,680 last year. The number was wrong in two ways. First, it came from the column of 2014 results, not 2015 results. Second, I neglected to measure it in thousands: The number is $694,680,000, or $694.7 million. In 2015, ClubCorp’s golf and country clubs division actually generated revenues of $842.6 million. I apologize for the mistake.
Sunday, April 3, 2016
The Week That Was, april 3, 2016
Like a magician who distracts you with one hand while pulling the wool over your eyes with the other, the National Golf Foundation is trying to convince people that the “numbers remained strong” for golf in 2015 and that “interest in playing golf is at an all-time high.”
In its just-released report on golf participation in the United States, the Jupiter, Florida-based trade group draws attention to some legitimate positives -- the number of rounds played increased by 1.8 percent in 2015, and 2.2 newcomers gave the game a try -- but by and large it pleads its case by relying on irrelevant data. For example, the NGF finds potential for growth in the fact that last year 95 million Americans either watched golf on television, read about golf somewhere, or “played golf on a golf course or alternate venue.” Seriously, does the NGF think that number of rounds played at miniature golf courses predicts anything about the future of our business?
What’s more, the NGF is exploiting a trick it’s used previously, which is to highlight the enormous number of non-golfing Americans -- 37 million by the current count -- who are “interested in taking up the game,” perhaps as soon as tomorrow. “The interest is there,” the NGF argues.
All these distractions are proving their value in some golf circles -- Pete Bevacqua has called the NGF’s report “overwhelmingly positive,” and Golf Digest has decided that “the game appears to be in a healthy state” -- but the report’s key data is cause for continued concern among those of us who count dollars and cents. The NGF now counts just 24.1 million U.S. golfers, down from 24.7 million in 2014 and 25.3 million in 2012. The group dismisses the decline, contending that it’s “confined mainly to those who never really got into the game” and within the study’s margin of error, but the losses can be measured in many significant ways, most particularly by the number of courses that remain on the endangered list.
What’s more, it’s fair to question the accuracy of the NGF’s count. Even at 24.1 million, the NGF’s number is still substantially higher than the 23 million that Pellucid Corporation submitted for our consideration way back in 2014.
No matter how much the NGF wants to keep hope alive, statistical sleight of hand can’t hide the cold, hard facts: Golf participation is still shrinking and golf operations are still in trouble.
One of the golf industry’s most watched companies, ClubCorp, is touting what it describes as “another year of record revenues” and claims to be “positioned for excellent results again in 2016.” Thanks in part to numerous acquisitions (including the 39-property Sequoia Golf portfolio), the publicly traded, Dallas, Texas-based company says that it owned and operated 148 golf properties (and managed 10 others) when it closed the books on 2015. During the year, the company’s golf and country clubs division generated revenues of $694,680 (Correction: The number is $842.6 million), an increase of 21.3 percent over the amount posted in 2014, and if ClubCorp is looking forward to 2016 it’s probably because its new acquisitions haven’t yet contributed significantly to the bottom line. One concern: The number of total memberships in ClubCorp’s golf and country clubs division increased by 4.3 percent, but its “same-store” memberships -- that is, memberships in existing properties as opposed to acquisitions -- increased by less than one-half of 1 percent. No growth there. Another concern: A red flag is always waved when a company admits that some of its financial metrics “are not calculated in accordance with accounting principles generally accepted in the U.S.”
In its just-released report on golf participation in the United States, the Jupiter, Florida-based trade group draws attention to some legitimate positives -- the number of rounds played increased by 1.8 percent in 2015, and 2.2 newcomers gave the game a try -- but by and large it pleads its case by relying on irrelevant data. For example, the NGF finds potential for growth in the fact that last year 95 million Americans either watched golf on television, read about golf somewhere, or “played golf on a golf course or alternate venue.” Seriously, does the NGF think that number of rounds played at miniature golf courses predicts anything about the future of our business?
What’s more, the NGF is exploiting a trick it’s used previously, which is to highlight the enormous number of non-golfing Americans -- 37 million by the current count -- who are “interested in taking up the game,” perhaps as soon as tomorrow. “The interest is there,” the NGF argues.
All these distractions are proving their value in some golf circles -- Pete Bevacqua has called the NGF’s report “overwhelmingly positive,” and Golf Digest has decided that “the game appears to be in a healthy state” -- but the report’s key data is cause for continued concern among those of us who count dollars and cents. The NGF now counts just 24.1 million U.S. golfers, down from 24.7 million in 2014 and 25.3 million in 2012. The group dismisses the decline, contending that it’s “confined mainly to those who never really got into the game” and within the study’s margin of error, but the losses can be measured in many significant ways, most particularly by the number of courses that remain on the endangered list.
What’s more, it’s fair to question the accuracy of the NGF’s count. Even at 24.1 million, the NGF’s number is still substantially higher than the 23 million that Pellucid Corporation submitted for our consideration way back in 2014.
No matter how much the NGF wants to keep hope alive, statistical sleight of hand can’t hide the cold, hard facts: Golf participation is still shrinking and golf operations are still in trouble.
One of the golf industry’s most watched companies, ClubCorp, is touting what it describes as “another year of record revenues” and claims to be “positioned for excellent results again in 2016.” Thanks in part to numerous acquisitions (including the 39-property Sequoia Golf portfolio), the publicly traded, Dallas, Texas-based company says that it owned and operated 148 golf properties (and managed 10 others) when it closed the books on 2015. During the year, the company’s golf and country clubs division generated revenues of $694,680 (Correction: The number is $842.6 million), an increase of 21.3 percent over the amount posted in 2014, and if ClubCorp is looking forward to 2016 it’s probably because its new acquisitions haven’t yet contributed significantly to the bottom line. One concern: The number of total memberships in ClubCorp’s golf and country clubs division increased by 4.3 percent, but its “same-store” memberships -- that is, memberships in existing properties as opposed to acquisitions -- increased by less than one-half of 1 percent. No growth there. Another concern: A red flag is always waved when a company admits that some of its financial metrics “are not calculated in accordance with accounting principles generally accepted in the U.S.”
Friday, April 1, 2016
Transactions, april 1, 2016
Gainesville, Florida. Gainesville Country Club is no longer teetering on the edge of a financial cliff. The 95-year-old club has been rescued by a small group of members who’ve associated themselves with Brown Golf Management, a Bluffton, South Carolina-based firm that describes itself “the leader in golf facility turnarounds.” “We love the club, and to let a 100-year-old club go under was more than we could take,” one of the rescuers told the Gainesville Sun. Gainesville’s 18-hole, George Cobb-designed golf course made its debut in 1963. Years ago, the club had 500 golf members and a waiting list but today it reportedly counts less than 150 members. Citing sources at the club, the Sun says that Gainesville was “on the brink of closing” due to “unpaid bills and declining memberships,” “poor management,” “bookkeeping issues,” and other problems. Brown Golf, which owns and/or operates nearly two dozen golf properties, took a 25 percent stake in the club in exchange for $500,000 worth of promised upgrades.
Moreno Valley, California. First, the good news: Moreno Valley Ranch Golf Club, which was shuttered last year, is going to reopen, perhaps sometime this summer. The bad news? The club is going to lose its driving range and nine of its 27 Pete Dye-designed holes. At least that’s what Bridge Investment Group intends to do with its recently acquired 112-acre property, pending approval of its plans by city officials. Bridge plans to turn the club’s Valley course into a park and replace its range with 450 apartments. “Having a healthy, viable golf course there will actually increase our land values and property values,” a Bridge official told the Riverside Press-Enterprise. Bridge paid $5.25 million for Moreno Valley Ranch, which by my math is $1.29 million more than Shaco, Inc. paid for it just last summer.
Lincolnshire, Illinois. Bricton Group and some partners have reportedly paid more than $20 million for the Marriott Lincolnshire Resort, a 175-acre spread that includes a 389-room hotel, an 900-seat theater, meeting space, and Crane’s Landing Golf Course. The 18-hole track was designed by George Fazio and opened in 1975. The seller was Strategic Hotels & Resorts, which had reportedly owned the resort since 1997.
Galion, Ohio. At a recent auction, an investment group led by John Gleason, a New Albany-based lawyer, bid $700,000 for Galion Country Club. The club, which opened in 1926, has seen better days, as it reportedly currently has just 85 members. “Our goal is to make it successful,” Gleason told the Morrow County Sentinel. The transaction is scheduled to close later this month. Galion describes its original nine holes as “a typical ‘old design,’ ” and it says that Jack Kidwell produced the second nine, in the late 1960s. As part of the sale, Gleason’s group promised to operate the property as a golf course for three years.
Monroe, Michigan. Gary Campbell and Robert “R. J.” Regan didn’t hang on to Monroe Golf & Country Club for very long. Less than two years after Campbell and Regan purchased Monroe, they defaulted on a loan and watched the 97-year-old private club sell at a public auction. The new owners are Jon Syrocki and his uncle, Matt Syrocki, who appear to have paid $850,000 for Monroe and its 18-hole, Donald Ross-designed golf course. “We’re looking forward to making it more of a family establishment,” Jon Syrocki told the Toledo Blade. “That’s something that’s missing in this town, and we want to connect with the community and become part of it again.” To help make the connection, the new owners plan to open the 179-acre property to the public.
Seward, Nebraska. The city of Seward has purchased Seward Country Club, a nine-hole course that will celebrate its 50th anniversary next year. The price: $348,750. The venue now operates as Seward Community Golf Course.
Bainbridge, Georgia. The Bainbridge-Decatur County Recreation Authority has, in the words of a local newspaper, “accepted responsibility, financially and operationally,” for the Pines Golf Course. It may not be a long-term relationship, because the 18-hole course reportedly had just 3,600 players last year (3,300 in 2014) and the authority so far hasn’t made any promises about the future. The Pines, which has been in business since the mid 1940s, is owned by Decatur County.
Grinnell, Iowa. Grinnell College has purchased Grinnell Golf & Country Club, a venue that was founded faculty members way back in 1899. “The opportunity to pick up 56 acres of beautiful space that we already use for our own golf team, directly adjacent to campus, was something that doesn’t come along very often, if at all,” a spokesperson for the college told the Scarlet & Black. The college hasn’t revealed what it paid for the club and its nine-hole course, but the spokesperson noted that the property has been “in a death spiral” in recent years. There was no debate about the club’s future, for its members reportedly approved the sale by a vote of 107-1.
Cookeville, Tennessee. Lanny Dunn has given Cookeville Golf Club, a property that’s said to be worth $2 million, to Tennessee Tech University. “We are excited about the ways in which this gift expands the university’s ability to offer students added experiences that makes their Tennessee Tech degree distinctive,” the school’s president told the Cookeville Herald-Citizen. Cookeville’s 18-hole golf course, which has operated since 1947, figures to become the new home of the school’s golf teams.
East Longmeadow, Massachusetts. Dave Fleury, a Massachusetts-based golf course architect, has acquired his second golf property. At a foreclosure auction in January, Fleury and some partners reportedly agreed to pay $1 million for Elmcrest Country Club, a 110-acre venue outside Springfield that opened in the mid 1960s. Fleury, a partner in Roger Rulewich’s design firm, purchased Crestview Country Club in nearby Agawam in 2012. In a conversation with the Republican, he called the golf business in western Massachusetts “a little bit of a struggle” and explained his purchases as a consequence of “my love of golf.”
Moreno Valley, California. First, the good news: Moreno Valley Ranch Golf Club, which was shuttered last year, is going to reopen, perhaps sometime this summer. The bad news? The club is going to lose its driving range and nine of its 27 Pete Dye-designed holes. At least that’s what Bridge Investment Group intends to do with its recently acquired 112-acre property, pending approval of its plans by city officials. Bridge plans to turn the club’s Valley course into a park and replace its range with 450 apartments. “Having a healthy, viable golf course there will actually increase our land values and property values,” a Bridge official told the Riverside Press-Enterprise. Bridge paid $5.25 million for Moreno Valley Ranch, which by my math is $1.29 million more than Shaco, Inc. paid for it just last summer.
Lincolnshire, Illinois. Bricton Group and some partners have reportedly paid more than $20 million for the Marriott Lincolnshire Resort, a 175-acre spread that includes a 389-room hotel, an 900-seat theater, meeting space, and Crane’s Landing Golf Course. The 18-hole track was designed by George Fazio and opened in 1975. The seller was Strategic Hotels & Resorts, which had reportedly owned the resort since 1997.
Galion, Ohio. At a recent auction, an investment group led by John Gleason, a New Albany-based lawyer, bid $700,000 for Galion Country Club. The club, which opened in 1926, has seen better days, as it reportedly currently has just 85 members. “Our goal is to make it successful,” Gleason told the Morrow County Sentinel. The transaction is scheduled to close later this month. Galion describes its original nine holes as “a typical ‘old design,’ ” and it says that Jack Kidwell produced the second nine, in the late 1960s. As part of the sale, Gleason’s group promised to operate the property as a golf course for three years.
Monroe, Michigan. Gary Campbell and Robert “R. J.” Regan didn’t hang on to Monroe Golf & Country Club for very long. Less than two years after Campbell and Regan purchased Monroe, they defaulted on a loan and watched the 97-year-old private club sell at a public auction. The new owners are Jon Syrocki and his uncle, Matt Syrocki, who appear to have paid $850,000 for Monroe and its 18-hole, Donald Ross-designed golf course. “We’re looking forward to making it more of a family establishment,” Jon Syrocki told the Toledo Blade. “That’s something that’s missing in this town, and we want to connect with the community and become part of it again.” To help make the connection, the new owners plan to open the 179-acre property to the public.
Seward, Nebraska. The city of Seward has purchased Seward Country Club, a nine-hole course that will celebrate its 50th anniversary next year. The price: $348,750. The venue now operates as Seward Community Golf Course.
Bainbridge, Georgia. The Bainbridge-Decatur County Recreation Authority has, in the words of a local newspaper, “accepted responsibility, financially and operationally,” for the Pines Golf Course. It may not be a long-term relationship, because the 18-hole course reportedly had just 3,600 players last year (3,300 in 2014) and the authority so far hasn’t made any promises about the future. The Pines, which has been in business since the mid 1940s, is owned by Decatur County.
Grinnell, Iowa. Grinnell College has purchased Grinnell Golf & Country Club, a venue that was founded faculty members way back in 1899. “The opportunity to pick up 56 acres of beautiful space that we already use for our own golf team, directly adjacent to campus, was something that doesn’t come along very often, if at all,” a spokesperson for the college told the Scarlet & Black. The college hasn’t revealed what it paid for the club and its nine-hole course, but the spokesperson noted that the property has been “in a death spiral” in recent years. There was no debate about the club’s future, for its members reportedly approved the sale by a vote of 107-1.
Cookeville, Tennessee. Lanny Dunn has given Cookeville Golf Club, a property that’s said to be worth $2 million, to Tennessee Tech University. “We are excited about the ways in which this gift expands the university’s ability to offer students added experiences that makes their Tennessee Tech degree distinctive,” the school’s president told the Cookeville Herald-Citizen. Cookeville’s 18-hole golf course, which has operated since 1947, figures to become the new home of the school’s golf teams.
East Longmeadow, Massachusetts. Dave Fleury, a Massachusetts-based golf course architect, has acquired his second golf property. At a foreclosure auction in January, Fleury and some partners reportedly agreed to pay $1 million for Elmcrest Country Club, a 110-acre venue outside Springfield that opened in the mid 1960s. Fleury, a partner in Roger Rulewich’s design firm, purchased Crestview Country Club in nearby Agawam in 2012. In a conversation with the Republican, he called the golf business in western Massachusetts “a little bit of a struggle” and explained his purchases as a consequence of “my love of golf.”
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