The sad news that Torphin Hall Golf Club near Edinburgh, Scotland was forced to call in the Administrators this week after failing to find a buyer, highlights the increasingly worrying times facing many British golf clubs and courses.
With research from KPMG showing that membership has fallen by 20% over recent years, clubs are struggling and owners of private courses are starting to jump ship, with courses now going on the market.
So the question is, how much do you think it would cost to buy your own 18-hole golf course?
Gorilla Golf think you may be in for a surprise.
Of course if money is no object, then you can always look at the top end of the market. Sancti Petri Hills Golf Club near Cadiz in Spain, with its favourable year round climate, boasts an 18-hole course over 18-Hectares which has been recently renovated and is yours for just 4 million Euros.
If you want something a little cheaper then there’s still a choice to be had. South Weald Golf Course and Club house is available for around £1.75m, which sounds a lot but for a large amount of real-estate in the London commuter belt, actually represents great value.
Another alternative is based across the Irish sea near Dublin, where the 18 hole golf course, driving range and three storey clubhouse, plus outbuildings are all up for sale at St. Margarets Golf and Country Club on the outskirts of Dublin, all for around 1.75 million Euros.
Of course, these venues are only really viable for those individuals with millions to spend, but are there any realistic business opportunities for those on a more modest budget, of say, under £500,000?
Well perhaps surprisingly, yes there are plenty: The 87-acre 18-hole course at Seckford Golf Club, near Woodbridge in Suffolk, is available for just £350,000. Chulmleigh Golf Club in the picturesque setting of Devon will set you back £450,000 and for that you’ll get an 18-hole par 3 course, clubhouse, bar and 3 bedroom accommodation.
Feldon Valley is a 18-hole par-71 course near Banbury Oxfordshire, which boasts an 18-hole course, practice ground, chipping green, irrigated practice putting green, large clubhouse with function rooms and facilities. The price? The sellers are asking for offers in the region of £475.000.
There are plenty of other courses who have prices available “upon application” from an interested party, but if you want a real bargain then you need to head to Scotland, to a course that I have had the pleasure of playing at.
On the outskirts of Dumfries is Dumfriesshire Golf Centre, an 18-bay floodlight driving range, with outdoor bays, bunkers and chipping area, 18-hole practice green, clubhouse, kitchen and bar with its own 18-hole (par 68 course) and 4 acres of freehold land also included in the price.
How much for all this you may ask? £300,000? £400,000?
No, the vendors are asking for offers of over £190,000.
Top put that in perspective, the average price of a house in London, as of November 2013, was £393,462.
If I had that kind of money available, I’d buy that right now.
The sad state of matters is that with very few exceptions, golf clubs across the UK are struggling and their value is declining as the market stagnates and membership numbers fall.
The result is 18-hole golf courses, plus a myriad of facilities available at prices less than half of what you’d pay for an average house in London.
But before you phone the bank to make an offer, remember this; there is a reason for sale.
The fact of the matter is, unless you are prepared to make some sweeping changes to how your new purchase would operate, you are only going to inherit the same problems as your predecessors.
However, for the right investor, at the right price and with a mindset to challenge some of the more recidivist notions that still permeate the UK golfing society, there are some incredible bargains to be had.
Owning your own course is not beyond the realms of possibility in the UK, the real challenge is to change people’s perceptions of how a course has to be run, in order to make it profitable and popular again.
Images Courtesy of Gorilla Golf Stock & FotoItalia