CLIENT FEATURE

Resort Clubs
International gives
golfers a pass
to the best golf

Are you a golfer who would love to play some of the best private clubs in the country, with deluxe accommodations at a great price? Well, if so, Resort Clubs International has created something that will have you thrilled.

Resort Clubs International has been a rousing success in the golf-membership world for more than 11 years. While Resorts Club International has stayed small in comparison to many of the big players in the golf industry, they may become the Goliath with their new product launch of ClubShare.

The concept of ClubShare is to provide the traveling golfer with a membership to the top private and resort courses when they travel for business or pleasure. This concept has been available to wealthy and high-profile golfers at some of the most prestigious courses in the country for years. Now, Resort Clubs International has taken this concept of a national membership and made it affordable for the average traveling golfer with ClubShare.

ClubShare originated about 15 years ago when the principals of Resort Clubs International were asked to help some new private golf courses in Florida find additional markets to sell equity memberships at their golf club. The concept was to offer the traveling golfer a national membership at the club, while only paying a pro rata share of the initiation fee to join the club.

"What we did in the local market is sell one membership to four people," said Resort Club International CEO Bob Johnson. "That's kind of the initiation period where we cut our teeth on the project."

The new launch of ClubShare takes this exact premise and expands it to a national level. Johnson said the expansion is due to Resort Clubs International now having the accommodations they need to give a golfer the type of deluxe golf vacation they are after.

"When we were doing it before, we simply didn't have the accommodations, now we have much more," said Johnson. "Now, every member has their own bedroom, everyone has a real nice lifestyle they can take advantage."

ClubShare Membership Program

The ClubShare membership program has been developed as an answer to the demand of the traveling golfer for access to quality golf facilities as a reasonable price in national resort areas.

ClubShare creates a "Group Plan for Golfers" by making available a limited number of memberships at five to 30 of the finest private and resort golf facilities in North America. This benefits the golf courses by allowing them to sell memberships instead of tee times and control outside play in favor of its members. This program allows the golf course to maintain their exclusivity while still maintaining their profitability goals.

This non-intrusive program provides substantial revenue opportunities for the club as a traveling member will normally out spend the local member on a 5-to-1 basis. This benefits all the support services of the club such as restaurant, bar, pro shop, golf lessons and driving range.

"We don't ever want to jeopardize the local memberships," said Johnson. "The challenge for private clubs us they have to protect the members they have locally and protect fee integrity. But now we've come and offered a better alternative. Our members will utilize the golf course more than your members, and there will only be a couple of them on the course at a given time."

The Trophy Club

The goal of the Trophy Club national membership is to provide the highest quality total golf vacation to the most discriminating traveling golfers. The primary market for these memberships will come from the private country club sector but will also appeal to the growing list of upscale daily fee golfers who are concerned about the quality of courses they play while on vacation.

"It's the closest thing they can come to replicate their home club experience for a golfer," said Johnson.

In January, Resort Clubs International will launch its national campaign and provide a special introductory offer of a $299, 3-day 2-night trip to any of their affiliated resorts for the traveling golfer looking for the "Perfect Golf Membership."

The company will have only high-end resorts or private clubs in its Trophy Club offering. They currently have Cuscowilla Golf Club in Georgia, which is always rated as one of the top courses in Georgia to play. In 2006 they expect to have four additional premier properties in St. Augustine, Orlando, Las Vegas and Phoenix. The company plans to add five top courses a year to its member clubs.

Joining the Club

While all the other fractional real estate companies are trying to sell $250,000 shares, Resort Clubs International feels comfortable with giving a great value for memberships starting at $12,000. While the cost for a membership is starting low, there is a reason: with 80 percent of traveling golfers making less than $100,000 a year, you need to have a product that they want and they can afford.

"This isn't like a timeshare," said Johnson. "Our program is only about golf, and by the way, you'll have a place to stay and it costs less than $12,000 to start, making it affordable to 50 percent or more of avid golfers in the U.S."

Memberships will be offered to accommodate the entire gamut of traveling golfers from the single golfer who travels with a non-golfing spouse, to a foursome of men or women, each requiring their own sleeping and bathing quarters. The pricing of the memberships is based on both a refundable initiation deposit and an annual maintenance fee that includes annual golf membership fees, concierge service, maid service, reserves for repairs and replacement, and all other costs associated with maintaining the cottage units to the highest standards.

Structure

The membership is based on a minimum allocation of seven days annually of golf and accommodations, structured as a transferable full equity membership. The program works similar to other equity golf clubs where, if the member leaves, he can sell his membership for a transfer fee. The resell policy is based on the following:

1. Equity memberships can be sold for 70 percent of the current value of the membership after full membership is attained. Full membership is defined as 640 membership units per location.

2. Prior to full membership, 70 percent of the current value on a 5-to-1 plan. The 5 to 1 plan allows the company to market one resell membership for every five new memberships sold.

3. The first 200 members will become "Founder Members" and will receive favorable price concessions, priority reservation placement and inscription on the Founders Plaque to be displayed at each resort.

"We're coming out lower than we should be, so the early birds will get the best deals," said Johnson. "We're really about a good value. Why not play better courses and stay at better places."

Any opinions expressed above are those of the writer and do not necessarily represent the views of the management. The information in this story was accurate at the time of publication. All contact information, directions and prices should be confirmed directly with the golf course or resort before making reservations and/or travel plans.