At least an astonishing 21 golf clubs have come onto the UK market in the last 13 weeks – and the figure excludes a major golf hotel and a huge Irish golf club that have also been put up for sale.
The rate of nearly two golf clubs hitting the market a week is the fastest the industry has seen since the economic downturn started in 2008.
At the end of August Fingle Glen Golf Hotel in Exeter was put on the market for £3m. The 112-acre site comprises an 18-hole golf course and a two-storey clubhouse with bar, restaurant and nine en-suite bedrooms. It also features 24 log cabin holiday lodges. Income at the venue is generated through conferences and functions, including weddings. Annual turnover is estimated to be £1.1m.
At the same time, Huntswood Golf Club in Buckinghamshire became available at a guide price of £1.75m. The 18-hole golf course features a putting green, practice hole for teaching purposes and a greenkeepers’ building. The spacious modern clubhouse includes a recently refurbished bar and restaurant area that opens onto an outdoor terrace with views over the golf course. Within the clubhouse there is also a shop, changing rooms, meeting room, kitchen and first floor loft conversion currently used for office space. Turnover was approximately £760,000 last year.
In September, Eccleston Park Golf Club in Merseyside was put on the market at a guide price of £1.45m. The 18-hole course is on the 123 acre site near Rainhill and includes a clubhouse and practice facilities. The business has an operating profit of £160,000 on a turnover of about £750,000.
A few days later, Stockwood Vale Golf Club in Bristol was offered to the market at a guide price of £1.425 million. The club comprises a high-quality 18-hole 6,060 yard (par 71) golf course, 14-bay floodlit golf range, practice facilities and an attractive two storey clubhouse (which includes a three bedroom apartment), along with a modern greenkeeping complex. The profitable family-owned business has more than 550 members and generates turnover of approximately £800,000.
In October it was revealed that Windwhistle Golf Club in Somerset had been sold to local businessman, Steve Hill, who has rebranded the club, on behalf of a private client. The 18-hole golf course opened in 1932 and includes a putting green and 10,000 square feet clubhouse.
Hill said: “I have been a member at Windwhistle for many years and having seen the return to agricultural use of many local golf courses I was determined for Windwhistle to continue and make it a premier golfing destination.
“Changes have already begun with a rebranding to Cricket St Thomas Golf Club, which signifies a fresh start for the club, plus the appointment of PGA professional Paul Deeprose as the new general manager.”
The site also has planning permission to build 47 self-contained accommodation units and two squash courts.
Also last month Wirral and West Cheshire councils announced they had put up for sale seven municipal golf clubs: Arrowe Park, Brackenwood, Bebington, The Warrens at Wallasey, Hooton, Knights Grange and Westminster Park.
The two authorities say the proposed sell-off will ensure improved facilities and the preservation of a ‘pay and play’ policy for golfers who do not want to go to the expense of club fees.
Councillor Stuart Parker, Cheshire West and Chester council’s executive member for culture and economy, said: “Many private sector courses are providing pay and play rates that compete with municipal courses.
“Consequently, the council has agreed to look at the market to provide golf course operation, secure capital investment to improve the courses and reduce current subsidy.
“A combined package across the two boroughs would be an attractive offer to customers and operators.”
The biggest sale of them all also took place in October, when a billionaire American business tycoon became the latest foreigner to buy a major UK golf club in 2014 – Lough Erne Resort in Northern Ireland.
The five-star hotel enjoyed global exposure last year when it hosted the G8 leaders, including US president Barack Obama and Russian president Vladimir Putin.
The resort has been sold to Lough Shore Road – a private hospitality company led by US-based investor Tralee Portfolio Management, an affiliate of the Saliba Family Office.
Chicago businessman Tony Saliba is a former market trader dubbed as the ‘Market Wizard’.
The price paid for the Lough Erne resort, which was placed into administration in 2011, was not revealed although it is understood to have been sold for less than £8m – a fraction of the original £30m asking price.
Then, in November a housing developer approached Cambuslang Golf Club in Scotland with a view to purchasing the nine-hole course.
Also this month, Carden Park Hotel, Golf Resort and Spa broke away from the De Vere Group after 14 years to become a fully independent venue.
The liquidity in the market is not just confined to the UK.
Waterford Castle Hotel in Ireland, which has been put into receivership, is up for sale. The venue includes an 18-hole golf course as well as a clubhouse and 48 garden lodges. The sellers are hoping to receive more than £3.6m. It’s previous owner ran up debts of about £27m.
And offers are being invited in the region of £7 million for The Marine Hotel, a four-star hotel situated next to Royal Troon Golf Club’s 18th hole. Built at the turn of the 20th century, the 89-bedroom coastline hotel, which offers spectacular views across the Firth of Clyde to the Isle of Arran and Ailsa Craig, is one of the most well-known and iconic hotels in Scotland.
Asked why the market appears so busy at the moment, Ben Allen of agent GVA, said: “This summer has demonstrated the strength of the market’s appetite for golf clubs. Purchasers are attracted by a property backed investment that offers a good return on investment, pride of ownership and also the chance of future gain through further development.”
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