Vail Valley: Gypsum golf course hits the market
Vail, CO, Colorado
The “for sale” sign has officially gone up at the Cotton Ranch Club, in the Vail Valley town of Gypsum but don’t expect to see the listing in this paper’s real estate classifieds.
The club earlier this year went to a foreclosure sale, where it was purchased by its lender, PMC Capital Partners. At the time of the sale, a company representative said the course would go on the sale block as soon as possible.
Edge Golf Group of Castle Rock is handling the sale, and broker Matt Call said selling a golf course is a lot different than selling a home or other commercial property.
“It’s a very comprehensive package,” Call said of the sales kit. Adding surveys, environmental reports and other information to the usual profit and loss statements, Call said it’s not unusual to see a sales report exceed 250 pages.
That report will end up in the hands of potential customers in and around the golf industry.
There’s no way to know just who might be interested in the Gypsum course, but Call said potential buyers could include private equity companies, or, perhaps, even individuals who might want to run a golf course. The town of Gypsum has expressed some interest in the course, but town manager Jeff Shroll said the current asking price is quite a bit higher than the price the town was willing to pay some time ago.
Shroll said the town council will continue to talk about the course, but said there’s not a plan right now to put in an offer.
Scott Gordon and other Cotton Ranch members lost their stake in the club – as well as their membership fees and dues – the moment the foreclosure sale closed. Hoover, one of the first members of the club, said he understands the golf course’s fate is out of club members’ hands now, so he he’s adjusted his expectations for the future.
“The home owners are concerned that the course remains viable,” Gordon said. “Our property values are tied to the success of the golf course. Right now, all the homeowners are looking for is for the course to stay open, operational and stays in good shape.”
Gordon said the golf course has been losing money for years, but that doesn’t mean a new owner will have the same problem.
“I think somebody creative could make it work,” he said.
And, given the times, the course could be something of a bargain at the right price.
“You don’t get the opportunity to own a Pete Dye-designed golf course very often,” Call said. “The demographics in the Vail Valley are fantastic, and you’re got a season in Gypsum that’s longer than other courses in the valley by as much as four to six weeks.”
And, while the course wasn’t on the market three years ago, Call said the asking price today is quite a bit less than the course could have commanded just a few years ago.
“I think down the road, somebody’s going to say he got a heck of a deal buying this course now,” Gordon said.
Business Editor Scott N. Miller can be reached at 970-748-2930 or firstname.lastname@example.org.