The minimum guarantee to the city is $125,000 annually in years two and three and $191,000 a year from 2024 forward. Spirit plans to relocate the swimming pool at the club and create an events facility on the original pool site.īutterfield Trail Golf Club closed in May, but the El Paso City Council recently voted unanimously to award Spirit Golf Management Southwest a 10-year contract to reopen the club.īutterfield’s golf course is open for play, and plans for reopening the club’s bar and grill are pending.įrom now through the end of 2021, Spirit Golf Management Southwest will pay the city of El Paso a percentage of its revenues, ranging from 10% for food, 12% for green fees and 15% of alcohol sales. Picacho Hills opened in the 1970s and has a strong membership base. However, the sale was put on hold until Spirit could obtain a liquor license. Spirit Golf has managed Picacho Hills Country Club since March 2019 and expected to finalize the purchase during the summer of 2019. The two started the company in October 2019. Holcomb owned a video production company for 17 years, and Barranger is a former PGA Tour player. Spirit Golf Management Southwest is owned and operated by Holcomb and Todd Barranger. However, there is another Spirit Golf Management, which is based in New Jersey, so the New Mexico entity goes by Spirit Golf Management Southwest. Spirit Golf Management Southwest’s legal name is Spirit Golf Management. “Our goal is to have the finest golf courses in the southern part of New Mexico and west Texas,” Holcomb told the Las Cruces Sun-News. Richard Holcomb, a partner in Spirit Golf, said the company is expanding. Two weeks after taking over management of Butterfield Trail Golf Club in El Paso, Texas, Spirit acquired Picacho Hills Country Club in Las Cruces, N.M. Spirit Golf Management Southwest is moving quickly to build a portfolio in the Southwest. Spirit Golf Management Southwest expands its portfolio “We are very bullish on the business and want to purchase more clubs and reinvest into our existing ones.” -David Pillsbury, CEO, ClubCorp The three known courses in the transaction were: Brookfield Country Club in Roswell, Ga., which sold for $9 million Devils Ridge Golf Club in Holly Springs, N.C., which sold for $4 million and Quail Hollow Country Club in Concord, Ohio, which was valued at $9 million.ĬlubCorp has invested heavily in existing clubs in recent years to catch up on deferred maintenance and add new amenities. In this case, the courses were sold with 20-year leaseback agreements, meaning ClubCorp will continue to operate the clubs for at least 20 years. He said several other companies use the sale-leaseback strategy so that their capital is being used for the business and not for the land. “We are very bullish on the business and want to purchase more clubs and reinvest into our existing ones.” “We are constantly evaluating different financial strategies to provide the necessary liquidity to facilitate reinvestment and acquisitions,” he said. Details of the transaction were not released, but David Pillsbury, CEO of ClubCorp, said it was a creative strategy to manage capital. The company announced in June that it had raised $2.6 billion for its newest real estate fund.ĬlubCorp, which is owned by Apollo Global Management, is the world’s largest owner of private country clubs. Sculptor Capital Management is a New York hedge fund with $33.3 billion in assets under management, of which $4.8 billion is in real estate. Fall 2020 ClubCorp secures $64 million in financing through leasebacksĬlubCorp has sold at least three clubs to Sculptor Capital Management as part of a deal that provided ClubCorp with $64 million in financing.
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