GOLF AND ECONOMIC DEVELOPMENT

 

The world of golf today is a changing landscape.  Rounds are stagnant. New players are not coming into the sport in the numbers that we need.  We continually have conferences about the future of golf and how to eliminate the barriers of cost, time and intimidation for new players to take up the sport.  Yet, most courses that are being developed are related to real estate or they are upper end private clubs that don’t and probably can’t address these issues.  

 

There are great programs for juniors, such as First Tee, that are introducing young people to the game from both traditional and non-traditional backgrounds.  However, once introduced, where can these juniors continue to play and to stay involved in the game?

 

There is a perception within the industry that stand-alone golf courses can no longer be profit centers.  Seemingly gone are the days of stand-alone golf courses as community resources.  Despite this perception, I strongly believe that if the proper facility is developed correctly these stand-alone courses can be profitable.  More importantly, I believe that they can also serve to break down the barriers of cost, time and intimidation.

 

So if entrepreneurs are not going to take up creating stand-alone community golf courses, does that leave this role to municipalities and other government or educational entities to fill?  And if so, how do these entities justify both the both short term and long term costs of developing these facilities?  The simplest answer is economic development.  

 

Just as governmental entities grant incentives to companies to come to their community,

because they know these new companies will bring future tax revenue to the community thru the jobs they create, the products they sell and the related industries that are improved by the need for homes, groceries, and all other requirements of daily life, government entities should grant these same incentives to golf courses.  

 

In short, these entities take a long-term view on the return of their investment in business, and should take a similar view to their investment in golf.  By taking this approach, you can justify and retire the debt over the long-term.  With the capital costs eliminated from the equation, the facility can be operated at a reasonable cost for the golfer, and programs can be created to remove both the intimidation and the cost to new players.  By constructing alternative facilities and special programming of course usage and routing, you can easily address the “time” factor.

 

 

It is critical that governmental entities take a new look at the economic benefits of golf and its associated amenities that can be combined with it to provide the foundation for the long term good and growth of the game.  This approach will not only benefit golf but the institutions and its constituents as well.