Golf Club Share Based Membership - Killeen

[BobbyFowler]

A buddy of mine is selling his Golf Share in Killeen Golf Club & I'm thinking of taking it off his hands. I know all the shares in the Club were sold out around 2 years ago. They don't seem to have appreciated since then though. Going rate seems to be @15-15.5K. Having seen how Clubs have been bought out by developers over the last year or so, is it worth a punt? I play a bit of Golf so I'll be getting that use from it at the very least. You can sell the share on at any stage & you get the full whack without having to give the club anything back.

 

[Luternau]

There is a list of members wishing to sell if you contact the club-Dont be blinded by loyalty to your friend if you can get it for less.
Re the property developers coming in and making an offer-not so sure kileen is close enough to current urban development. By the way the shareholders do not own the land, just the club. The members are not entitled to a share of the profits from the property company that owns the land.
AFAIK the property company can redeem the shares of the members for what they paid, and then sell the land. Finally if you pay 15k and the original owner only paid 10k, its value if redeemed by the club is only 10k, its fully paid up price.

 

[BobbyFowler]

Wow, that's really interesting! I know a few of the lads in the club & the impression I was always given was that the members owned the 'whole kit and kaboodle' (had to check the spelling of that before posting). The lads seem to have the wrong impression then. I'll clarify all this before doing anything.....

 

[Luternau]

Please note i was not specifically referring to Kileen, just the principle of the preference share memberships in general. Eg. neither members of Carton, Millicent or Sth Co Golf Club own the land the course is on. The land is owned by the ordinary share holders-not the preference share holders. Preference share holders own a share of the members golf club and nothing more than that. The owners lease the land to the club. The ordinary shareholders take the profits from green fees, shop sales, food and drinks, not the members. To know for sure, you have to refer to the contract associated with the purchase. I quote from an application to join a course near Dublin;

The xxxxxx club PLC is a public company which operates as xxxxxxxxx golf club. xxxxxx golf club has 2 subsidiary companies, (1)the mens club and (2) the ladies club, These clubs are commonly refered to as xxxxxx golf club. The subsidiary clubs... operate under licence from the proprietor (xxxx club PLC),.....The emphasis of the golf club is to implement the rules of golf...

 

[BobbyFowler]

It may be different in Killeen then. I do know that the lads explained how South Dublin Golf Club (which you mentioned) differs from their setup. I was definitely under the impression that the members also owned the course. Anyway.....I'll check that out. Cheers.