SL Solow,
The chapter 11 issue only works if you can get rid of all the debt.
About two months ago they were down to about 138 members with plenty of debt.
Slapper, I tend to agree with you.
As to development, stating that development would be high density condos is disengenuous.
Shack sits in a fairly nice neighborhood of single family homes.
Site wise, there are water issues, but plenty of single family homes could be built on that property, although, not in this market.
Shackamaxon is an interesting study, a study in how dumping money into a clubhouse, a dysfunctional clubhouse, over and over again can ruin a golf course.
If you look at the photo of the 9th green, one of the first island greens in the U.S., you can see the old clubhouse, which I believe burned down. The replacement clubhouse NEVER worked well and was redone and/or added to several times. Had they replicated or created a mini-replica they would have been far better off.
If there's a lesson to be learned, it's that clubs should AVOID DEBT at all costs.
If there's a second lesson to be learned, it's that you shouldn't pour good money after bad when financing clubhouses, or functionality should trump glitz.
As to Trump, many members have transfered to Trump and other courses.
When you look at where Shack drew their membership from, Trump is a good alternative for many of them.
It's unfortunate as Shack's a nice golf course.
As to penison liabilities, NY State's NON-NYC pension liabilities are about to go from roughly 3 billion to 16 billion over the next few years.
Driving business away won't fix that.
Raising taxes on those who make $ 200,000 or more won't pay for that.
Like the ball, there has to be a rollback, and 20 and out, with triple overtime the last two years to retire on more than you made, has to be revised and eliminated.
You can't allow people to contribute $ 100,000 and take out $ 3,000,000, with the excess funding coming from taxpayors.
But, back to Shack.
Mortgaging the future did them in. Bad decisions, decisions to enjoy the facility today but pay for it in the future killed Shack.
The leadership AND the membership is to blame
PAY AS YOU GO IS THE ONLY WAY TO GO