The Wigwam faces foreclosure...Auction December 7

[Steve_ Shaffer]

and the golf courses at the Biltmore...

www.bizjournals.com/phoenix/stories/2009/04/20/daily33.html

[Jed Peters]

Ironically, the same management company that is the brains behind the Peacock Gap renovation/taking private....

[C. Sturges]

That is bad news, I really liked it when I played there last winter.  The courses feel more like Florida than the desert.  I am sure someone will step in and keep the resort going.

[mike_malone]

 Steve,

   You are depressing me!!! Stop reporting on the demise of golf courses.

[Steve_ Shaffer]

And a potential buyer has emerged:

http://www.azcentral.com/community/swvalley/articles/2009/11/20/20091120swv-wigwam1121.html

[cary lichtenstein]

Steve,

   You are depressing me!!! Stop reporting on the demise of golf courses.

This, unfortunately is the story of supply and demand and will end eventaully when that happens. It has happened over and over again, industry after industry.

My dad told as a button salesman for men's pants, guess what, someone invented the ZIPPER!!!!!!!!!!!!!!!

[Forrest Richardson]

This news is expected. It has bee brewing for the past 12 months.

Facts: The Arizona Biltmore golf courses yield plenty of revenue and a very healthy profit. They have performed well, even in bad economic times. The Wigwam golf courses have done O.K., but the resort has fallen on hard times as competition and the tourism trade has fallen to all-time lows. Frankly, the Wigwam resort has bled red ink and that has caused the whole situation.

Result: Because the properties are tied to the same loan (Peacock Gap is not) it means that the bank(s) have a right to call the loan. Which they have.

The new (likely) owners — a great group with a great track record  — will turn things around. Of course, it helps to have a newly restructured loan...perhaps 40% less owning than the current owners. I believe both properties will emerge well. We may even see completion of many of the plans proposed during the past 4-5 years.

[Bill_McBride]

Forrest, you've renovated Blue and Gold at Wigwam and the Biltmore Adobe?  What else is in the planning stages?  That would be very good news!

[Forrest Richardson]

The Arizona Biltmore Courses (Adobe — c.1928 and Links — 1970s) were about 40% complete. We did virtually nothing to The Links and about 80% of the planned work to the Adobe.

The Wigwam Gold was mostly completed, but a few tees and some turf conversion remains. The Blue course was 35% completed. The red Course had no work except some mitigation to permit a new subdivision (1999). The Wigwam was about 1/3 completed from the full plans.

It would be good to see the work fulfilled, but I remain a partner in responsible spending — I am guessing we may see some work undertaken over the next few years. Certainly not a huge undertaking in this economy. As noted — the golf operations still are favorable contributors to the bottom line, even without being fully completed to the original vision.

[Bill_McBride]

The Arizona Biltmore Courses (Adobe — c.1928 and Links — 1970s) were about 40% complete. We did virtually nothing to The Links and about 80% of the planned work to the Adobe.

The Wigwam Gold was mostly completed, but a few tees and some turf conversion remains. The Blue course was 35% completed. The red Course had no work except some mitigation to permit a new subdivision (1999). The Wigwam was about 1/3 completed from the full plans.

It would be good to see the work fulfilled, but I remain a partner in responsible spending — I am guessing we may see some work undertaken over the next few years. Certainly not a huge undertaking in this economy. As noted — the golf operations still are favorable contributors to the bottom line, even without being fully completed to the original vision.

As you know from personal experience, I loved your work at the Wigwam Gold except for those pimples in the 18th fairway.  I now call those "The Forrest of Pimples (sic)!"       Some architect put those pimples right in the garden spot of that fairway!  Imagine that!

[Steve_ Shaffer]

Bill

Thanks for reminding me of the "pimples" on 18.

Wigwam Gold is a good change of pace course for those wishing an escape from desert golf.

[Forrest Richardson]

The "pimples" have a story. Better for a full, face-to-face conversation.   

[Bill_McBride]

The "pimples" have a story. Better for a full, face-to-face conversation.   

Planning to be out there sometime this winter, but maybe based in Tucson where my brother has a house.  It would be good to get together for a drink or two.

[Forrest Richardson]

We can discuss the pimples.

[Bill_McBride]

We can discuss the pimples.

 

[Steve_ Shaffer]

The deal has been approved:


http://www.azcentral.com/12news/news/articles/2009/12/08/20091208wigwam1207-ON-CP.html

[Lou_Duran]

The way it should have worked for GM, Chrysler, AIG, and a number of "too big to fail" entities.

[Jim Sweeney]

The purchase of the Wigwam is good news for golf, and it is great news for the City of Litchfield Park.

The Wigwam has been the center of west valley society for eighty years. More importantly in today's economic environment, the Wigwam produces the lion's share of the city's income from payroll and gross reciepts taxes. The Park is very small, and there is very little other commercial property. The tax revenues from the Wigwam have meant that the there is no property tax, making the village a very desireable residential location. In the past decade several small businesses have located to the Old Litchfield Road commercial area. Now they have hope and a reason to stay.

And just FYI, guys, whenever I go I always plan to get a haircut at the village barbershop- they are that good! Be sure to make an appointment.