The New Year is starting with some great pricing on some high potential golf courses. For example, courses are available for less than $1,000,000 in the following specific areas:
Myrtle Beach
Atlanta
Smokey Mountains
Middle Tennessee
South Carolina Mountains
Further, more and more financial institutions are recalling loans and/or foreclosing on golf courses. Purchase opportunity coming available almost daily. The problem appears to be that many golf course owners are in a dilemma. The revenue generated (even with reduced rounds) is sufficient to generate a profit for owners OR service the debt but, NOT both. Cash buyers without a debt to service can realize a nice ROI with good management and marketing.
If there is interest in investigating a good purchase opportunity, give Golf Course Advisors a call at 904-571-4375.
Filed under: Golf Course News by Golf Course Advisors
If you ever had an interest in becoming a golf course owner, now may be the time to begin a serious investigation. Through recent searches of various web sites, my staff found more golf courses available with owner financing than ever before. Many are being made available for acquisition for reasons other than the recent downturn in the economy.
Also, Golf Course Advisors is currently working with several financial institutions that are will to sell good courses at much less than the appraised value.
However, price alone should not be the only consideration. Courses that are part of large real estate developments require extensive due diligence. In most cases, golf courses that wind through real estate developments are destined for poor profit performance until the homeowners understand and agree that some financial support (i.e. fees payable through the Home Owners Association) will be necessary. To protect home values, some small monthly contribution must be mandatory from each home owner to assure that the course is well maintained. Noted golf course consultant Mike Kahn has some interesting case studies on his web site available at the following link:
http://www.golfmak.com/residential%20golf%20course%20dilemma.html
Golf Course Advisors would welcome the opportunity to find you the right course at the right price with the right terms. Please feel free to contact us at 904-571-4375 or via email at awest123@comcast.net for a free consultation.
Filed under: General by Golf Course Advisors
As part of Warrior Custom Golf’s plan to standardize and improve their golf course operations and investigate other golf courses for sale, they are forming a new golf course management company. The first step in this process is to bring an experienced industry veteran to lead this new company. As a result, they announced the hiring of Michael Jory as Chief Operating Officer of the new company. Michael has 21 years of successful management experience with private, semi-private, resort and daily fee facilities. Over the course of his career he has managed properties for Troon Golf, American Golf, Cobblestone Golf Group and Synergy Golf Course Management. Prior to coming on board with Warrior, he held the position of Senior Vice President for Synergy Golf Course Management. As additional corporate support for the golf clubs currently owned, Warrior Custom Golf also hired Cindy Merritt as Corporate Controller and Janeal Merritt as Corporate Payroll / HR Specialist.
Warrior has retained Golf Course Advisors (Art West, Broker) as their exclusive agent for all areas of the United States to explore additional expansion opportunities. Golf course owners/operators and other brokers should direct all inquiries to Golf Course Advisors.
Phone – 904-571-4375
Email – awest123@comcast.net
Filed under: General by Golf Course Advisors
Golf courses for sale are currently coming on the market at record pace. I just returned from a trip to the mountains of North Carolina and Tennessee to preview several courses. The “Resorts” of Maggie Valley and Etowah (near the Greater Asheville Airport) are now being highlighted on several web sites.
The Maggie Valley Resort is obviously suffering from the downturn in tourism in the area but does have several condominiums that could probably be included with any purchase. Etowah could be brought back to its former prominence as a “stay and play” facility with some course TLC and an updating of the approximately 70 motel type units. Etowah is a 27 hole facility that offers a huge development potential with a conversation of the North Course to residential and there is also a large tract of land adjacent to the course for sale.
I also visited a well conditioned course just over the mountain on I-40 that I think has tremendous future potential – - Smokey Mountain Country Club (SMCC). SMCC has been operated as a private club that just recently opened its door to the general public. The long term potential is there based on the course proximity to the 10 million tourist that visit the Gatlinburg/Smokey Mountains/Dollywood area each year. The Club has spent zero on marketing, has no relationships with the many hotels within 3 miles of the course – - in fact is not even listed in the area golf course directory. The course has over one mile of road frontage on I-40 and some areas on the course are perfect for “stay and play” cabins. All maintenance equipment and carts are owned. This one is a truly turn key operation. An owner/operator could produce a reasonable ROI with a marketing budget!
If there is interest in any of the above, contact Golf Course Advisors at 904-571-4375.
Filed under: General by Golf Course Advisors
It has always been difficult for golf course brokers to secure an understanding from golf course owners on the true value or appropriate selling price for their facility and on the reverse side; buyers have been unable to determine a realistic offering price. As the saying goes, the times they are a changing!
There are more and more distressed properties on the market. In most cases, net operating income is disappointing to say the least. With institutional financing no longer available, different approaches must be considered by both seller and buyer to structure a transaction.
Many sellers are now willing to offer seller financing when the buyer can offer a significant down payment and/or sellers are giving strong favorable consideration to all cash transactions.
In just the past months, several golf courses in good locations with good potential for positive cash flow have been sold for as little as $750,000 or 1.5 to 2 times gross revenues. In some cases, seller financing has been made available. Similar attractive properties are now available as are some good courses that are currently closed due to slow residential lot sales in the planned development.
If you are a seller, we can help you structure a price and deal that will attract potential buyers. If you are interested in buying a golf course, now is the time to investigate the market. We can help. Give Golf Course Advisors a call at 904-571-4375.
Filed under: General by Golf Course Advisors
Warrior Custom Golf adds Cimarron Golf Resort in Cathedral City to their golf course portfolio. This acquisition is course number eight for Warrior and is the first 36-hole facility to be purchased. Other golf courses are owned in Florida, Texas, North Carolina and South Carolina.
The Boulder Course received one of golf’s top honors being selected as one of Golf Digest’s Best Places to Play in 2003 along with highest of rankings in the ESPN Zagat Survey and Palm Springs Life. Locally, it continues to be renowned for as having best greens in the entire valley.” This challenging but friendly golf resort layout provides a great test for the lower handicappers but a rewarding experience for the weekend players. The Boulder Course offers four sets of tees that make it fun for golfers of abilities.
The Pebble Course was recently voted the Top Shorter Length Course in California. If you are looking to hit every club in your bag, finish an 18 hole round in 3 hours and have plenty of energy left to enjoy the rest of the day, the Pebble Course is for you. Pebble course is very popular with couples, juniors and skins games, not to mention that you have 17 chances to make a hole in one.
Acquisitions of addition facilities are near the contract stage as Warrior’s expansion plans continue to develop. Look for future updates here.
At Golf Course Advisors Inc. we offer our clients professional and comprehensive services in the acquisition or sale of golf course properties worldwide. Please contact us if you are planning to buy or sell a golf course.
Filed under: Golf Course News, Miscellaneous by Golf Course Advisors
