The Week That Was, november 11, 2018

     Fallout from the murder of Jamal Khashoggi is rippling through the golf industry, as the European Tour is having second thoughts about holding one of its events in Saudi Arabia.
     The tour isn’t saying so out loud, of course, because if it complained in public about a journalist’s slaying or a tragic war in Yemen, it would be pressured to withdraw. So instead, the tour is simply trying to avoid talking about where it’ll be in late January and early February.
     The Irish Times reports that the tour’s press release announcing its 2019 schedule didn’t mention the Saudi International, an event that was much ballyhooed several months ago, when the contract for it was signed. What’s more, Keith Pelley, the tour’s CEO, only reluctantly answered questions about the event. In a gaggle with reporters earlier this month, he acknowledged that he’s “heard some of the criticism of the region” – who hasn’t? – and promised “to monitor the situation,” which translates as, “No, we aren’t going to change our schedule.” It’s a message that Saudi Arabia is thrilled to hear, because the cache of a big-time professional golf tournament is worth its weight in gold to a nation that desperately needs to diversify its economy.
     More troubling to me, however, was something else Pelley said. He claimed that he’s had “no dialogue” with the tour’s “partners, with our own [British] government, with the Saudi Arabian Golf Federation, or anybody from Saudi Arabia.” This is shocking. When it comes to negotiating sensitive situations where both reputations and millions of dollars are on the table, one of a CEO’s primary responsibilities is to consult with each and every one of the stakeholders who might be affected. If Pelley was telling the truth – if he really isn’t taking and considering advice from everybody the tour does business with – then he’s doing a disservice to his constituency.
     Right about now, it’s legitimate to wonder if Pelley regrets calling Saudi Arabia, a nation with hardly any golf courses and no history with the sport, “a perfect fit for the European Tour.”

     While we’re on the subject, Tiger Woods has turned down a guaranteed £2.5 million – nearly $3.25 million – to play in the Saudi International. Woods hasn’t explained why he declined the offer, but the optimist in me wants to believe that he’s making a statement how a homicidal regime in Saudi Arabia should be treated. If that’s the case, good for him.

     South Caicos, described by CNN as “a delightfully sleepy Caribbean retreat” and a “pristine paradise,” may soon get its first golf course. The course will serve as an attraction for the nearly two-year-old Sailrock Resort, which is envisioned to emerge as the centerpiece of a resort community that will feature, among other things, “a collection of residential neighborhoods,” “overwater bungalows,” and more hotels. The community will be created by Sailrock Development, Ltd., which is said to own 2,400 acres – nearly half of the island. To put the developers’ plans into perspective, CNN helpfully notes that South Caicos, part of the Turks & Caicos Islands, is home to “about a thousand locals” and has so far this year attracted “only about 7,500 overnight visitors.”

     Pipeline Overflow – Chris Wilczynski, a protégé of Arthur Hills, has been hired to design his second course at Lakewood Ranch, a huge master-planned community outside Sarasota, Florida. In a press release, the Ann Arbor, Michigan-based architect said the track would take shape on “a relatively flat piece of land” (hey, it’s Florida) with “a nice pastoral aesthetic” and promised that the final product “will not feel like a typical residential golf course.” . . . The new leadership at Wynn Resorts, Ltd. has set out to re-open Wynn Golf Club, the venue on the Las Vegas Strip that it closed late last year. Tom Fazio has been directed to create two new holes for the 18-hole track he designed in 2005 and to spiff up the others. Wynn hopes to debut the new course next fall. . . . Phil Ryan, an Australian course designer, has been commissioned to produce an 18-hole track for a proposed “retirement lifestyle” community in metropolitan Hyderabad. India is familiar territory to Ryan, who’s designed a handful of courses in the nation (among them Oxford Golf & Country Club in Pune and Clover Greens in Bangalore) and redesigned probably a half-dozen others.

     ClubCorp has created a free-standing management division that aims to take over operations at private clubs, resorts, and daily-fee golf courses. On its website, ClubLife Management claims to have a dozen properties in its portfolio, among them Mossy Oak Golf Club in West Point, Mississippi and Engineers Country Club on New York’s Long Island. It’s worth noting, however, that at least three of the listed properties – River Run Country Club in Davidson, North Carolina; Canebrake Country Club in Hattiesburg, Mississippi; and Fort Collins Country Club in Fort Collins, Colorado – were formerly operated by another ClubCorp affiliate, Sequoia Golf Management, while others had also previously been part of the ClubCorp family. ClubLife is being led by Seth Churi, who once worked for Sequoia, and Doug Hellman, who comes over from KemperSports.

     The rate of U.S. golf-course closings continues to far outpace openings, and keeping up with all of them is difficult. Here’s a capsule accounting of some that have recently departed:
     – Cahoon Plantation Golf Club, a Wallace Cahoon-owned venue in Chesapeake, Virginia. According to the Virginian-Pilot, the club’s management posted a sign at the 18-hole, Ault-Clark design saying that its demise was “due to uncontrolable [sic] circumstances.”
     – Hombre Golf Club, a 27-hole complex in Panama City Beach, Florida. The club’s owner, George Roberts, reportedly closed nine holes earlier this year, and he shut down the remaining 18 after they were damaged by Hurricane Michael.
     – Masonboro Golf Club, an 18-hole, Gene Hamm-designed course in Wilmington, North Carolina. Originally opened in 1984 as Cape Golf & Racquet Club, the last straw for Masonboro was reportedly “damage from Hurricane Florence.”
     – Rutherfordton Golf Course, a nine-hole, municipally owned but privately operated layout in Rutherfordton, North Carolina. The course, which opened in 1929, closed due to what’s been called “a decrease in play.”
     – Lupton City Golf Club, which is said to be the last remaining nine-hole track in Chattanooga, Tennessee. BlueCross BlueShield of Tennessee has sold the club, which has operated since 1939, to a residential developer.
     – Overton Community Golf Course, a nine-hole, 60-year-old, municipally owned track outside Tyler, Texas. The Kilgore News Herald cited “several years of slow business, an aging group of regular players, and low fees” as reasons for its passing.
     – Evergreen Golf Course, an 18-hole venue in Grand Haven, Michigan. Brent Fredericks, who built the course in 2000, has sold it, and the new owners apparently have other plans for the 74-acre property.
     – Fig Garden Golf Course, an 18-hole layout in Fresno, California. The 60-year-old, Nick Lombardo-designed course will go dark before year’s end.
     – Fort Steilacoom Golf Course, a 57-year-old municipal layout in the southern suburbs of Tacoma, Washington. The nine-hole, Forest Richardson-designed course was said to be “the perfect golf course for golfers of every skill level,” but a local newspaper said that it was “grossly underused.”

     Duly Noted – Greg “the Living Brand” Norman, who’s designed three golf courses in Vietnam, is about to become the socialist republic’s tourism ambassador. During his three-year (2019-21) appointment, according to a press release, the LB will promote golf tourism by “organizing international competitions” “and building new, high-class golf courses in unique locations.” . . . For the second consecutive year, the World Golf Awards have named the Luke Donald “signature’ layout at Bà Nà Hills Golf Club as Vietnam’s Best Golf Course. (Last year the track, created in collaboration with Brit Stenson of IMG Golf, was also named as the Best Golf Course in Asia.) Nobody takes this award very seriously, but clearly, Bà Nà Hills is providing an experience that resonates with some golfers. . . . Though he’s been deceased for more than two years, Arnold Palmer still earned $35 million over the past year, according to Forbes’ ranking of the highest-paid dead celebrities. The King ranked third on the magazine’s list, after Michael Jackson ($400 million) and Elvis Presley ($40 million).

     Are you wondering how much of a week’s golf news I cover in this blog? The answer, unfortunately, is just a fraction of what passes my way. The golf business, particularly the development side of the golf business, has unquestionably perked up over the past year or two, and there’s no way for me to address all of it. So if your business requires a more comprehensive news digest, contact me via e-mail at golfcoursereport@aol.com. I’ll send you a sample issue of either U.S. or International Construction Clips, depending on your needs.