Tommy, I beleive the only way the area can truly grow is to have a private course somewhere. This allows people to have 2nd or retirment homes. Few can afford to pay daily fee rates and play 5 times a week. I do hope there is a private course in the offering. It does not need to be the Cypress Point of the area. I think more of a MPCC would be perfect. In fact a parkland course might suffice. I do not think it is in the cards anytime soon though.

Tommy, I think JB is on track with the concept of retirement-second homes adjacent to a decent Bandon area course.  Not an upscale mansion district, but more of a get-away club.  That way, Keiser might be able to market some sort of membership perk like a certain number of free plays in the off season, or reduced fees in-season at the other two courses and make it up on the yearly membership fee at the private club.  It could be a win-win for members and ownership alike... and add a win for the area.  With the greying of America, such retirement community private courses (even in so-called remote areas) might be attractive.

Pat, Also, what would Friars Head have to do with Bandon?

Tommy,

While the acquisition of land, and its cost has been taken care of, there is still the cost to design and build a golf course and a club house and possibly other buildings along with the operating expenses associated with running same, year round.  These costs would have to be recouped from the members ?  Staffing full time, for food and other services is also expensive, and would drive up the dues on an underutilized facility.

You have to ask yourself, how many prospective members want to pay initiation and dues at a club that they have no say in ?  A private club, with an owner other then the members running the show ?

You also have to ask yourself, will the club take in anybody who has the money, or will they be selective in their membership process ?

I mentioned Friar's Head because it has access to 15,000,000 people, sit's on a bluff overlooking a large body of water, has a superior golf course, and is in an area where people will build second or third homes.

I don't know what the population of Portland, Eugene, Florence are, but, I'd guess it's a few shy of 15,000,000.

I would think that Mike Keiser has the right idea in creating four (4) or five (5) distinct golf courses as an attraction for visiting golfers.  I think he's creating good accomodations for those visiting, and providing good food and other services,
all of which are profit centers to make the operation successful.

How long would he retain a private club if it lost money every year, and what would be the shelf life of those members subjected to increasing dues to meet escalating operational costs each and every year ?

The economy may be an impediment as well.

Realistically, I don't see a truely private club anytime in the near future.

Jeff Fortson,

Palm Springs is an hour or two or so from 20,000,000 people and has a spectacular winter climate that people, especially older people, love.

I didn't see a lot of pools and tennis courts in Bandon.

One look at the cars in the parking lot of the casino tells you all you need to know.

The comparison is absurd.

Wasn't there a time when Palm Springs was "remote" and "too hot"?

Jeff F.

Jeff- About the same that Hollywood started making movies, Palm Springs was indentified as the place to spend the winter from LA, Hollywood and Beverly Hills-- New York had the Hamptons in the Summer, SoCal had Palm Springs in the winter--

Golf has exploded since the canels were built that brought water to the desert-- but long before then the housing with tennis courts and swimming pools brought the people--

I had the pleasure of stopping in at Bandon on Thursday on my way back from Australia.  They will have an announcement about their next course on August 1.

Yes, I do know who it will be, but I won't spoil the announcement.  It is to be the third resort course.

As for a private course, I don't think they are going to do it anytime soon, or at least Mike Keiser isn't likely to.  One of the reasons we stopped presses on The Sheep Ranch was precisely because Mike thought the rumors of a private course next to the resort would upset resort guests paying top dollar.  I don't think he's changed his mind on that topic yet.

pat, there is alot of difference in land costs and labor at Friers Head than southern Oregon. It does not take multi 6 figure fees to make a club work in that fact situation. that is not a good analogy..

Mike, Your wrong!:)

Actually I'm joking, Once again, I'm asking the question, not stating a belief. But I want you to consdier somehting. Taking a guess, I would say at least a 85% portion of the people in the Palm Desert utilize their places as SECOND clubs. Their not there year round. Now I'm not trying to say picture a Coachella-like populating of Bandon, but picture something n a more tasteful level. People going there to their second homes, and thenhaving th Bandon complexes there not unlike Pinehurst with several options to play, including a private one.

ONce again, I'm not advocating. I'm asking what if?

Tommy, I'll confess that I've never been to the Palm Desert area so I really know nothing about it, but am I right in guessing that most of the people there with second homes are driving over from L.A. and the rest of SoCal?  I just see Bandon as being too far away and too inaccessible from population centers to make a private course viable.  

And think of it this way - how many of us guys could convince our spouse to buy a second home at Bandon so we could play golf?  Unless your spouse is a golf nut too, she ain't gonna be too excited about the crappy weather and the complete lack of anything else to do.  Talking her into a second home in Palm Desert is one thing, Bandon might be just a wee bit tougher!    

Tommy,

People with second homes need activities.  The Palm Desert has art, terrific restaurants, culture, vast movie theaters, world class shopping, tons of lesbians  , etc.  Bandon has .... A cheesy casino and a teeth optional downtown bar.  I do not believe Bandon could support the high-end community necessary for a successful private club.  On top of those challenges, the public golf is so good that private is even more challenging.

Here is a corollary.  Look at Querencia in Los Cabos.  Los Cabos has everything you would want for a private club.  In addition, the course is wonderful.  They struggle for membership though because the public is so good and available.  Here is quick math.  Public golf in Los Cabos averages $180 per round.  Private fees (Caddie, cart, etc) average $30.  You save $150 per round being a member.  Dues are $400 per month - $4,800 per year.  At 32 rounds per year (A lot for a second home) you would break even.  Factor in a $60,000 downstroke, and you would save money on your 400th round in excess of 32 a year.  If you played 60 rounds a year (Almost unheard-of for a second club, the math would make sense in 15 years ((And I am not factoring in the time value of money))).  Where private clubs work in resort areas are if the public golf is substandard so that you need private golf to enjoy or where there is a ton to do (Palm Desert, Northern Michigan, etc.) so people stay up for 3 months or more.

Pat

There has not been a "no cost" land deal since Adam took an option on a few acres in the garden of Eden........