I keep thinking about this course that Tom Doak mentioned in an old Fried Egg podcast (in Kenya, I believe). Would a course like this work in the States? 3x3 hole loops back to the clubhouse with barbecue + beers. "But I did see this little, this older golf course, this little thing that was almost abandoned. If you drove by it, you would think nobody plays golf there. You know, the fairways are shaggy. And they're just like sticks with a little ribbon or something for flag sticks. But, and an open air clubhouse with like a barbecue. But it's a nine hole course and it's like three loops of three. You know, you come right back around to the clubhouse, you can come right back around to the clubhouse, you can come right back around to the clubhouse. And the members that were showing us, it's just like a giant party. You never get, every third hole, you stop and have a beer and you have something to eat and then you go play three more holes and you do it again. That's all the, you know, that's the game to them. And it's just, it sounded like a blast. I mean, we were the only ones there that day, but with a bunch of your friends, that would be a perfect way to play golf. And I don't think I've ever seen a golf course laid out like that in the States.” From The Fried Egg Golf Podcast: Yolk with Doak 19: Pete Dye and Bandon vs. Scotland, Feb 26, 2020 https://podcasts.apple.com/us/podcast/yolk-with-doak-19-pete-dye-and-bandon-vs-scotland/id1131723994?i=1000466783135&r=278

I have visited this area, frequently with tee shots off of 9! Easily playable.

Start a non-US PGA Championship in Australia?

Can I play the 6th hole because I live on it?

The green is 10 steps from the canyon. The problem in my opinion with the hole is it plays away from the canyon off the tee which takes it almost completely out of play.

Its closed to resort guests.

They keep the practice area maintained for the USGA tournaments they have scheduled

I’ve worked at GGA Partners, a consultant to private clubs, residential / leisure communities, and large municipalities for five years now. Having started in 2020, I would agree that there is a burgeoning interest from less “traditional” capital partners. Not that they weren’t involved before, but I think they have seen the growth (and potential) from the COVID boom and want a piece of the pie. As it relates to your third point, deferred maintenance has to be one of the largest problems we see at our clients. Whether it’s a rogue board that hasn’t prioritized capital maintenance over the years or operators trying to squeeze out every last drop of margin, many clubs are in a very poor position. This poor position then exacerbates the interest from alternative ownership as they are usually: i) More comfortable with debt as a funding mechanism for capital, and ii) More likely to get better rates due to their purchasing / spending power. One slight pushback I have is on the point about public courses margins being thin at best. I think a more accurate statement would be they vary significantly across the market, often times dependent on ownership. Multi-course operators who are purely in the business of profit usually benefit from purchasing programs that largely reduce the cost of sales, especially within the F&B department where most clubs struggle to break-even at best. Comparatively, your local municipal course or privately owned public facility might not have the sophistication or resources to analyze trends and opportunities for improvement; once again making them ripe for private equity to enter the market. I would agree that it is too early to see the impact of PE entering the industry. While they may have a greater capability to bring golf courses to a state of sustainable maintenance, it may reveal a historical Free Rider problem that will end up costing all of us more. Time will tell! Thanks for this, Garrett.

Private equity is focused on short term success. They do not care about the long-term health of anything they are acquiring.

To trend 3, I've often longed for more bye holes on courses, not just for the selfish reasons of being a match play fan, but it should theoretically allow for courses to do maintenance one hole at a time. I realize this is probably unrealistic for most differed maintenance, but the idea of being able to do major maintenance projects without interrupting cash flows seems like a worthwhile investment.