While playing a well-regarded equity club recently, my host mentioned that they had a rather large waiting list of members wishing to sell their memberships. Apparently, the club was looking at ways to boost demand- it had only one new member in the prior year- and lowering the initiation fee was the way they were heading. Unfortunately, the club imposes a sizable transfer fee ($25k-$30k), which, in effect, sets a floor on the "market" price that's not often cleared.
What struck me most, however, is that he thought there should be some consideration given to members with financial hardships, say, widows, who have a hard time paying the $600-$700 monthly dues and are legally on the hook until their membership can be sold. It never occured to me that a member couldn't just walk his membership and be absolved of any future liability for dues and assessments.
It seems to me that with the long term economy not showing much promise for disposable income, taking on the financial obligation of an equity membership in all but the top clubs is very risky. And with modern careers often requiring numerous changes, perhaps this model of private clubs requires a major adjustment.
But with an abundance of quality courses with relatively low green fees, high monthly dues as an option are constrained. Apparently Roger has found a sweet spot. I wonder how much of an exception the Carolina Club represents.