One upscale gated Utah golf/ski community developer appears headed for economic oblivion, according to yesterday's story in NewWest.net:
Creditors for the Promontory Club near Park City, Utah, are trying to force the upscale, gated golf community into bankruptcy.Are plush, gated McMansion communities "a sure thing" for Utah economic development?
An “involuntary petition” was filed in bankruptcy court Friday, about two weeks after a Utah judge said the club would likely seek bankruptcy protection if it couldn’t find funding to solve its financial woes.
The club, suffering from stagnate home sales, owes international banker Credit Suisse about $280 million, but it was a handful of other banks with smaller claims that filed the paperwork Friday. (Fully secured creditors cannot file involuntary petitions.) [...]
Promontory filing for bankruptcy protection appeared to be imminent after it and Credit Suisse didn’t come to terms on the sale of Promontory’s operating and development companies to the bank. Credit Suisse then sued Promontory claiming the club had not fulfilled obligations to the lender, according to a story that ran in the Park Record. [...]
Promontory, three miles east of Park City, dubs itself “a family-friendly, luxury second-home community in the heart of Utah’s Rocky Mountains, where legendary skiing meets world-class golf.” The development plan includes about 2,000 homes on 7,000 acres and boasts a Jack Nicklaus Signature Design golf course.
Is the golf & ski nexxus a formula for certain success?
Evidently not...
Hopefully Boss Godfrey and his crony Chris Peterson are taking careful notes.
3 comments:
Two things of note in today's S-E.
First, I notice that in the post-Adam Aircraft economic development climate, expanding the Taco Maker is the future of Ogden's economy. High adventure indeed.
Second, the state has appropriated $3.2M for a new juvenile justice center to be built between 21st and 22nd, Pingree and Wall.
The land belongs to five people, said Steve Allred, deputy director of the Office of the Legislative Fiscal Analysts.
Since the ever-incurious Mr. Schwebke cannot be bothered to find out who the five lucky property owners are, could someone here look that up and post back?
(Just in case they are Friends of Matt. Not that the city would use its legislative influence to enrich FOMs. No sir. Not implying that at all.)
Rudi, Rudi, Rudi... you just stubbornly refuse to see the simple fact that lies behind this pending bankruptcy. All right, once more, here it is: Promontory Club did not include a gondola connecting it to downtown Park City. And so of course it was doomed to fail. Did they really think a Jack Nicholas-signature golf course and world class skiing and a drop-dead gorgeous mountain setting and walls to keep out the canaille would be enough, by themselves, without a gondola? If only Credit Suisse had consulted with Mayor Matthew Godfrey's Crack Development Team first, it could have saved itself this bad investment. There are none so blind as those who will not see.
Boss Godfrey and Chris Peterson take notes? Ya gotta be shittin me Rudi, taking notes is suspiciously close to doing due diligence. That just ain't these dude's style.
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