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Posted on Thu, Feb 4, 2010 : 6 a.m.

Washtenaw Country Club aims for April opening as sale to Polo Fields nearly finalized

By Paula Gardner

One of the oldest country clubs in Michigan is about a month away from moving from being member-owned into private corporate ownership as a part of Polo Fields Golf and Country Clubs.

The deal for Washtenaw County Club, located at Packard and Golfside roads in Ypsilanti Township for over 110 years, has closed in escrow as of Jan. 20, said Diana Kuenzli, membership and marketing director for Polo Fields.

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Washtenaw Country Club soon will start hiring so that it will be staffed to open in early April.

File photo | AnnArbor.com

Now the new owners - the Berger family, which developed the Polo Fields Golf and Country Club and subdivision in Scio Township - just await a new class C liquor license before the deal becomes finalized.

That should happen by the end of February, Kuenzli said, “and we’re looking at a possible April 1 opening.”

That opening date will conclude a years-long real estate journey for the member-owned country club, which - facing $1.9 million in debt and concerns about covering operating expenses - voted to be sold to Washtenaw Community College in exchange for the college taking over the debt.

But college officials stepped away from the deal, leaving the future of the club (located here) uncertain.

It’s a situation similar to what’s now happening at Ann Arbor Country Club, where covering both the outstanding debt and operating expenses amid a shrinking membership base threatens its sustainability.

In Ypsilanti Township, the answer is moving the club from member-owned into private hands. The transaction is aided by the lender writing off about half of the debt.

Polo Fields will operate its new facility much like the one in Scio Township, Kuenzli said, with a focus on member-driven revenue.

But it also is seeking to upgrade the liquor license so that it can offer banquet services to non-members, such as hosting weddings.

The Ypsilanti Township facility also will serve as a second “campus” of sorts for members, with visits to both facilities included in membership fees, which - based on introductory specials - hover around $5,000 per year.

As a result, Kuenzli said, “both memberships will be blended into one.”

Advantages to the combined Polo Fields clubs are giving members the choice between two golf course and two clubhouse options. The Ypsilanti Township’s facilities pool also is likely to be reopened, giving members a choice between its regulation-style lanes and the Scio Township resort-style pool.

And with more banquet space, there’s the potential for more rentals.

On the other end, Kuenzli said, Polo Fields will be identifying multiple operating efficiencies. The kitchens, for example, will be under the direction of a single chef who will tailor different menus for each.

“A lot of the management staff will be doing dual duties,” Kuenzli said.

Expanding Polo Fields appears counterintuitive as golf course revenue drops across the state and private clubs that used leverage in good times suffer under those burdens today.

But the shift, Kuenzli said, makes sense in this instance.

“This is where we think the changing face of country club ownership … is going,” she said. “We’re very excited about it.”

Paula Gardner is Business Director of AnnArbor.com. She writes this column weekly for the Business Review email newsletter. Sign up here to receive it every Thursday.

Comments

Kennedy

Fri, Feb 5, 2010 : 1:01 a.m.

The Polo Fields is delusional. This purchase will not defy the laws of logic and magically bring them members that other golf clubs can't keep. Not in Michigan where people continue and will continue to lose jobs. Not where people continue to lose their homes. It isn't going to happen. There is a reason all golf clubs across the nation is seeing a decline in membership. Survival. Great price... wrong economy. This is the type of move that catapults businesses into bankruptcy. It's a gamble. Not only against the odds. Against common sense. A sign of desperation, greed or both. My father always said... "Just because you can do something, doesn't necessarily mean you should". This is what he meant. And it isn't as if we all haven't seen the many instances of eager investors buying investment properties, only to lose them all.

lumberg48108

Thu, Feb 4, 2010 : 9:50 p.m.

"Ypsilanti Township for over 110 years, has closed in escrow as of Jan. 20, said Diana Kuenzli, membership and marketing director for Polo Fields." MORE THAN Paula... "Over" is not style correct and a designate of geography... MORE THAN -- LESS THAN Equal TOO One of these days you will get it correct! :-)

tdw

Thu, Feb 4, 2010 : 3:11 p.m.

Hope they leave the fence low so kids can feed the ducks

E

Thu, Feb 4, 2010 : 11:35 a.m.

Apparently this is another sign of our times. Very impressive that all three parties were able to get together to make this deal happen. Could be considered one of the "Deals of the Year."