Rim Golf Club members can no longer sit down to a hot meal after a rousing game of golf after the main clubhouse was closed Sunday due to budget concerns.
Staffers say the 29,000-square-foot clubhouse will likely be closed until April when the spring season starts.
The golf course, pro shop, lounges and men’s and women’s locker rooms will remain open along with a smaller clubhouse between holes 10 and 11 that will serve sandwiches and lighter food options.
With the main clubhouse shutting down for the winter, several staff members have been laid off to further lower expenses.
A remaining staff member explained this is the first time the clubhouse has had to close and is a direct result of their parent company filing for bankruptcy in June.
“We don’t have enough revenue,” the staff member said, “After the developer defaulted on their responsibility.”
Crescent Resources, the Rim Club’s parent company and its developer Rim Golf Investors filed for Chapter 11 bankruptcies in a Texas court earlier this year. Months before filing, the developer began defaulting on payments that helped keep the golf course running. This left members the burden of paying an additional expense to keep the golf course open. Golf club member Bob Purkey thought closing the clubhouse was a good idea given the fact that far fewer golfers come up in the wintertime.
“We are somewhat of a seasonal club,” he said, “although many members live in Arizona, they have other clubs in the Valley that they go to so they won’t come up here.”
Purkey, who visited the clubhouse for lunch several times a week, said he is disappointed the clubhouse had to close and people were subsequently laid off.
“It is pretty expensive to run for a limited number of players and diners,” he said.
With the developer on a payment hiatus, members like Purkey were left to pick up the extra cost to run the club.
Currently, about 150 members continue to pay their monthly $1,000 membership fee.
Since this is not enough to keep the club running, members have made extra payments “to fill in the gap,” Purkey said.
Purkey said members are willingly to pay extra to keep the club operational because its existence affects the value of their homes.
“The perceived value of the homes is predicated on the presence of amenities,” he said. “They are protecting an investment.”
Before filing for bankruptcy, the developer had attempted to sell lots and memberships without paying off its half a million in debt to the club, according to the Rim Golf Members Association (RGMA), a nonprofit organization formed to represent Rim Golf Club members.