Thursday, February 2, 2012

Members of The Point Lake and Golf Club "overwhelmingly" want to sell to Trump, developer says

Members of The Point Lake and Golf Club near Mooresville voted Wednesday to sell the luxury club to the Trump Organization, according to Eric Trump, resurrecting a deal that had been killed because of what the developer had called "a lack of direction at the club."

Trump, son of real-estate mogul Donald Trump, told the Observer Thursday that members during a straw poll had voted "overwhelmingly" in favor of the sale, which he called "good news."

The Trumps had been talking for more than a year with the Point's nine-member advisory board of governors and developer Crescent Communities about purchasing the luxury golf club near Mooresville.

But the Trumps cancelled negotiations amid rising concern among club members.

Crescent developed the exclusive community on Lake Norman in the late 1990s. Members own the golf club but Crescent controlled it until early this year. Crescent was scheduled to transfer control of The Point to members, on Jan. 1, in exchange for $3 million.

The Observer wasn't able to reach board members immediately this morning.

Trump has said he and his father planned to put tens of millions of dollars into The Point to make it "amazing" and the best course in the state. The golf business is a passion of the father-son duo, Trump said.

Some club members, however, feared the deal was happening too quickly. They worried about possible side effects, such as Trump raising fees or changing the intimate feel of the quaint, Nantucket-style community.

In light of the tension, the Trump Organization in December said it no longer wanted to buy the club, citing a lack of direction and indecision from club members and Crescent Communities as the reason.

"There's a lot of confusion at the club. A lack of direction, " Trump told the Observer. "It's a great asset, and with a lot of capital could have been terrific. But we don't want to get bogged down with a deal that has a lot of different parties all moving in different directions at the same time."

Later that month, Trump came back to say he may reconsider, depending on the results of a community straw vote.

The Point could hold a formal vote on a Trump sale by the end of February or beginning of March.

With a reputation for being lavish and high-end, Trump golf clubs often feature bright, open floor plans, ornate decorations and massive chandeliers. Equally upscale are the prices and fees the clubs charge, say people who have visited the property.

The Point's 900-lot golf course community was built by Crescent Resources in the late 1990s and has attracted NASCAR drivers, sports figures, medical professionals and executives from the nearby Lowe's Cos. headquarters. The median house size is 4,500 to 5,000 square feet, and the average lot size is an acre. In 2006, the average home price was more than $1 million.

With gray, Cape Cod-style buildings and streets named Easton and Moor's End, the community offers club facilities, a tavern, a general store, a cobbler, a village green and a meeting house connected by a cobblestone road.

All homeowners must be club members and pay annual dues ranging from $2,100 to $6,600in addition to initiation costs and other fees. More than 60 percent of club members hold an equity stake.

Trump has said he and his father are not looking to buy development rights at The Point. The sale would be a strict golf play, he said.

23 comments:

Anonymous said...

Big mistake. The Donald will make their lives a living hell.

Anonymous said...

I have been looking at homes at The Point for some time now. It’s a great community. However given the uncertainty of what the future holds, I’m looking elsewhere. Whether or not the Trump deal goes through or not, there are a lot of unknowns. Will there be a significant increase in club fees? What changes to the club will be made? Are the members going to be hit with a huge assessment?

Anonymous said...

It is not true that a Point homeowner must belong to the club. More misinformation and stupidity from the Observer.

Anonymous said...

Yes, all homeowners must belong to the club. There are different levels of membership, with the most basic being a 'neighborhood' member (or some similar title), that doesn't grant any access to the golf course or pools.

Bono said...

Don, we need the Red Line. Make some moves and get it going, okay.

The value of your place will only go up.

Anonymous said...

If we can't sell our house at a million, what makes you think I can sell it at 1.5 million...

Anonymous said...

"put tens of millions into the club"

Right. The shoveling of you know what has already started. I have no doubt that this will appear to start well but how it ends will be very interesting.

Anonymous said...

Trump bought a club in NY in a town I used to live. Said all his BS about a majot PGA tour would come there, but never did.Gaudied up the course with waterfalls and really took out anything that looked like nature. The clubhas lost most of its members. It was all Trump hype and BS.On the other hand you can say your club is owned by the future President of the US

Anonymous said...

No it is not true that you must belong to the club, to own property in the Point. You do have to belong to the HOA but not the Club.

David said...

Sounds like the members couldn't come up with the $3 million, so now Trump looks like the way to bail out. Glad I don't live there!

Anonymous said...

Members of The Point Lake and Golf Club near Mooresville did not vote Wednesday to sell the luxury club to the Trump Organization.
It voted in a non-binding straw vote preferring to resume negotiations with The Trump Organization.

This vote remains a contentious issue that continues to divide our Club and the Point Community.

Anonymous said...

You know what this reminds me of?

Remember those old Little Rascals movies? And they'd have a donkey on a treadmill, dangling a carrot in front of him to make him run and power this gizmo or another?

Guess who's the donkey here?

Anonymous said...

Nice to see the "concern citizens" out in full force on this website as well. Well, you elected a pro member owned board and it blew up in your face.

Check out the financial projections-a member option doesn't work with a large resignation list. By the way, over 75% of golf community voted in favor of Trump- and guess who pays the bills at The Point?


A donkey would join a club that you can't leave- ever! Call me a donkey that wants the chance to get out!

George Hanson said...

Anon 2.32pm has it correct, membership is the club is not mandatory for homeowners. The club will tell you that if you do not join at the time of home purchase there's a good chance you will never be allowed to join, but that's a bunch of BS. They are so desperate for members that as long is your check is good, you are in.

Anon 3.47pm, what is the name of that club?

This news does not surprise me as the costs of transfer and operation are currently more than the existing membership can afford -- period.

Anonymous said...

I sold my house at The Point in 2007. No regrets. Good luck with the the merger.

Anonymous said...

Anonymous said...

Our family loves living in The Point. We are Sports members and have other family members that are Golf members. We all voted against the Trump deal. Unlike the may comments the club did not need Trump to acquire the club. The financing of three million was offered by numerous lenders. The clubs assets are worth on a bad day in EXCESS of 9.5 million plus. Trump is taking over the club for no money. He will be able to refinance withever he puts into the club asap. The board members are weak and allowed Trump to intimidate them. Donald you are a great business man and a great marketer!!! I only hope and pray you will keep the community feel at The Point Lake and Golf Club. I moved here from the New York area a few years ago because I was looking for a picture perfect community with wonderful schools to continue to raise my family. Please dont overdo the fountains and chanderliars. We are not certain areas of the North east. Please keep it simple and down to earth.

George Hanson said...

Anon 9.24pm,

Being able to access a loan to pay the $3,000,000...

...and having the ability to pay back said loan...

...are entirely different things.

Can you share with us the basics on the loans that were offered? Rate, term, etc...?

Lastly, curious as to how Trump intimidated board members?

Anonymous said...

GOLF MEMBERS PAY THE BILLS

Are you kidding!!!!!! The biggest expense is maintaining the golf course at the Point!!!!! All members pay to maintain the golf course and only golf and sports members can use it!!!!!

Anonymous said...

Trump or no Trump

The Point Lake and Golf Club is a one of a kind lakefront community.
Currently we have a shortage of homes available for sale at the club.

huh? said...

If that were true housing prices there would be going up bidding wars ensuing.

Are you seeing bidding wars?

Anonymous said...

The golf members get 4 votes to 3 for sports members, 2 for swim/tennis and 1 for community. If you own property at the point you are minimally a community (or social) member. So the straw vote to bring the sale deal to Trump up for the binding vote may not have been approved by a majority of homeowners just by more golf/sports members as their votes carry more weight. Why the members don't even want to try to run a member owned club before selling out later on if it doesn't work out is a mystery to me. If nothing else, Trump knows a good deal when he sees one.

Anonymous said...

I agreed. This may not be the majority vote of all the members of the club. The Donald is getting a great deal!!!!

Ladies Left Handed Golf Clubs said...

The Point Lake and Golf Club is a one of a kind lakefront community.

Ladies Left Handed Golf Clubs