In these tough economic times, it appears that even players in the “sport of kings” are tightening their waistbands to the dismay of golf course owners and their financial backers. Many posh private courses have had to delay improvements, lower their membership fees, and allow public play for daily greens fees. While this has been a pleasant proposition for the public golfer, it hasn’t made the members who paid hefty membership fees during healthy economic times very happy. The combination of decreased income, increased expenses, and unhappy members has put the golf course portion of the real estate market “in the rough”.
In Arizona alone, 15 golf courses have gone into foreclosure or bankruptcy since the middle of 2008. To date, all golf courses remain open, but many have changed ownership, often at fire-sale prices. Some prestigious courses have sold for as low as ten cents on the dollar. The multi-million dollar Club West Golf Course in Phoenix was recently sold for only $500,000, less than the original price for many homes in the area. Residential properties that border golf courses are also experiencing price drops and foreclosure increases. Continue reading “Golf Course Owners in Rough Situation” »
