1. I heard (not a member, so second hand) that the board took on a lot of debt to upgrade the club, but that many members were not happy when this decision was being made. This probably increased the number of defections.
2. Bad timing. Things looked pretty good in Vegas in 2006/7. Fooled a lot of people including those at Spanish Trail.
3. Water is probably the single largest expense at any club in the area. I have heard that the water budget at my club is over 1M a year.