Listing ID: 73824
Highlights for Income Producing 18-Hole Golf Course with over 135 Acres of Land and improvements. It is operating year-round and has gone through several improvements.
This 18-Hole year-round Golf Course has attractive landscaping and offers numerous amenities:
It offers a combination of Water, Hills, Wooded Areas and “Happy Grass”.
Has a Bar & Grill open all year;
Has On-Site Pro-Shop; Retailer shop with exclusive brands.
It is Hosting Golf Tournaments; Growing league memberships.
It has optimal facilities maintenance with new equipment.
Has newly resurfaced/maintained Large Parking area.
Utilities: Water, Gas , Electric.
The Owner has recently upgraded the entire facility including Greens.
Financial Performance: Annual Gross Income in 2020: $919,150 and est. Cash Flow: $243,472; 2021 is expected to be better (YTD Revenue as of 9/30/21 was higher by 18% compared to the same period in 2020). 2020’c Cash Flow yielded about 11%;
The 2020/21 Gross Revenue was a record year aided by Covid-19 “stay-home” requirements, closed gyms, a milder winter than 2019, etc. The Seller is working on bringing more golf leagues to sign up (helped partially by the closing of another golf course.)
Operating Staff: Seller is very happy with the employees and requires Buyers’ discretion.
Asking Price: $2.50 million with an estimated CAP Rate of about 11% (or better in 2021).
For more information please contact Elias E. Ladon,
Real Estate Agent, Pro-Classic Real Estate Inc.
Agent’s Address: 3659 Green Road, Suite 100, Cleveland, OH 44122;
Broker’s Address: 14381 Alexander Road, Walton Hills, OH 44146
Email: elias.ladon@EnterpriseDR.com ;
CALL Aget: 216-295-1136 (m/t); 216-803-0107 (f); Broker: 440-221-4109
PLEASE NOTE: Seller will be pleased to entertain visits by interested parties after they sign a Non-Disclosure Agreement and Buyer Profile demonstrating their ability to finance the transaction. Detailed financial information will be prested to interested parties after a mutually accepted Letter of Intent is in place.
CO-BROKERING FEE ALLOWANCE: Selling Broker is Offering 1% (one percent) of the Transaction Consideration to the Buy-Side Broker.
- Asking Price: $2,500,000
- Cash Flow: $277,978
- Gross Revenue: $1,053,219
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Has a Bar & Grill open all year; adequate are for parties. Has On-Site Pro-Shop; Retailer shop with exclusive brands.
Seller and key employees will be willing to help in the transition. The Seller is running this business on part time basis.
A competing golf course in the surrounding area ceased its operations due to repurposing of its facilities by the buyer of the property.
While the closing of the competing golf course is bound to help, continuation in the offering of good services, expansion of its special receptions, events, and increase in the offering of league services are bound to help. The financial information in this advertisement is based on 2020 financials and 2021 financials which came in stronger after a revenue increase as well an increase in the Cash Flow of the owner..
Why is the Current Owner Selling The Business?
There are all kinds of reasons people resolve to sell operating businesses. Nevertheless, the genuine reason vs the one they say to you may be 2 entirely different things. For instance, they might state "I have too many various commitments" or "I am retiring". For numerous sellers, these factors are valid. But, for some, these might simply be reasons to attempt to conceal the reality of transforming demographics, increased competitors, recent decrease in profits, or an array of various other factors. This is why it is really important that you not count completely on a vendor's word, however instead, utilize the vendor's answer in conjunction with your general due diligence. This will paint a more realistic image of the business's present circumstance.
Existing Debts and Future Obligations
If the existing business is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Numerous companies take out loans with the purpose of covering things like inventory, payroll, accounts payable, and so on. Remember that occasionally this can imply that earnings margins are too small. Many organisations fall into a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future commitments to consider. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with vendors that need to be fulfilled or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the area bring in new consumers? Often times, businesses have repeat customers, which create the core of their everyday earnings. Certain elements such as new competition growing up around the area, roadway building, and also personnel turnover can affect repeat customers and adversely affect future profits. One crucial point to take into consideration is the area of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Clearly, the more individuals that see the business regularly, the higher the chance to develop a returning consumer base. A last idea is the basic area demographics. Is the business situated in a largely inhabited city, or is it situated on the outside border of town? How might the neighborhood average home earnings impact future revenue potential?