SE Valley Private Club Sink? or Swim?

[vallygolf]

I have posted before I am sick of my over crowded "private" club at Seville. Course is just above average, practice area is great, conditions pristine, but for a foursome within a week there is no chance of playing before 1 pm. No exaggeration. Irrespective of day (later on weekends). For the same course I would be willing to pay a much higher initiation fee (Im assuming it is about 8K to join now, and I pay over $700/month dues) and higher dues to get a legit private experience. Yes it is club corp (revenue over experience) and I knew that from the beginning, it was just the recession had membership at an all time low.

 

That brings me to my question. Unlike other parts of the valley, Gilbert has a derth of private golf. Lets assume you could create a quality course (Im assuming Desert Forest type track), limit membership to say around 250 golf only members. Does it sink or swim drawing from the SE valley?

 

I would join today @ 100k initiation and 1500 monthly.

[NickGerst]

Sounds like club corp should make better rules about when people can and cant play golf. like spouses of the top tier membership can only play on xyz, or senior members can only play zxy.

 

Sink. $1,500 would demand top of the line facilities. the cost to create your image would require a bank note greater than the ability for 250 members to repay and pay for ongoing operations. Unless they would also be willing to stroke a check every year or operating/capital shortfalls. $18,000 x 250 = 4.5M 2Million in golf course maintenance each year. 2.5M to subsidize the rest of the operation + capital + bank note. That sounds like a lot of money, but the bank note in principal and interest will be at least $1M per year. Then you have $1.5M of which about $1M will go to club house amenitites depending on size.

 

The place would have to be golf only at those membership numbers. Not sure we have enough people who want to only have golf. Southern Dunes tried that method and couldn't sustain.