Let's make a deal: Private club pain may work to your advantage

         In real estate, everything is negotiable -- property prices, home prices, even the agent's commission rate.  And for the many private golf clubs worried about refreshing their member rolls in a bad economy, club initiation fees are negotiable as well, despite what the membership director may tell you initially.  Desperate times call for desperate measures, and some private golf clubs are responding to the times with deep discounts.  A few have even eliminated the joining fees, at least for the year.

A month ago, for example, the golf rich Landings on Skidaway Island announced an initiation fee reduction from $55,000 to $30,000.  Divide its well-kept and diverse roster of six courses and three clubhouses by the new initiation fee, and the charge appears quite reasonable for private clubs (about $5,000 per course).  The Landings, which is a mature, decades-old community has virtually no unsold properties remaining, but club members are residents who understand that their home values depend on a brisk resale market.  The lower initiation fees will encourage sales activity. 

Just last week, the elegant, 900-acre enclave of Briar's Creek, on Johns Island just south of Charleston, announced it was dropping its fees from $160,000 to $100,000 -- and an additional $30,000 for those who purchase a home site from the developer's relatively large remaining inventory.  Incentives are the common currency of developers pressured to move "dirt," as unsold lots are termed, but a price reduction of nearly 60%, especially at such a refined club with a wonderful Rees Jones layout, is unprecedented in my experience, except for a number of courses that are eliminating fees altogether.

For private club members, big reductions in new member initiation fees are less drastic than the alternative -- opening for public play.  Those who have dreamed of joining a top-flight private club but couldn't afford it might look again.  Golf is on sale.

 

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