National Golf Properties acquires Creekside Golf Club in Salem, Ore
The purchase price was $3.5 million. Creekside represents National Golf Properties’ third golf course acquisition in 1995. National Golf Properties acquired 20 golf courses in 1994.
Creekside will be leased to American Golf Corp., which operates more than 180 courses throughout the United States and United Kingdom. Pursuant to a triple net lease, National Golf Properties will receive guaranteed minimum annual rent equal to approximately 10.5 percent of its initially invested funds.
Guaranteed minimum rent will be adjusted in specified years based upon increases in the CPI. In addition, a percentage rent feature will allow National Golf Properties to participate in growth in revenues at Creekside.
Completed in 1994, Creekside Golf Club is an 18-hole, high-quality golf facility designed by PGA touring professional Peter Jacobsen. Creekside is currently operated as a semi-private club, but will ultimately be a private club as full membership is achieved. Club operations are currently conducted from a temporary clubhouse that includes a pro shop, restaurant and office.
National Golf Properties expects to commence construction of a permanent 20,000-square-foot clubhouse in the spring of 1995.
National Golf Properties, a self-administered real estate investment trust, is the largest publicly traded company in the United States specializing in the acquisition and ownership of golf course properties.
National Golf Properties currently owns 73 courses — 72 geographically diversified among 23 states and one course in the United Kingdom. National Golf Properties’ portfolio consists of 39 daily-fee courses, 18 private country club courses and 16 resort courses.
CONTACT: National Golf Properties Inc., Santa Monica
Richard C. Price/Neil M. Miller, 310/260-5500