A Sea Of Red

Poplar Grove, the premier golf course in the area, was just sold for $100,000 in a forclosure auction. Seems like a pretty cheap buy to me.

http://www2.newsadvance.com/business/20 ... ar-460365/

Poplar Grove Golf Club sold this morning for $100,000 in a foreclosure auction on the front steps of the Amherst County Courthouse.

The auction covered the clubhouse and 500 acres of land, including the golf course, forest land and lots that were planned for residential sales. Residential lots already sold were not affected.

Poplar Grove is the best course in the Lynchburg area. I don't see how it sold for only $100,000. That has to be wrong or an inside deal of some sort.

Courthouse auctions have some tough stipulations that make it challenging to bid. But there likely is more to this story as far as the books are concerned about why it ran into the rocks in the first place.

Wonder what happened to LU? I heard a rumor they were going to buy it for $105,000. The reason it is so cheap is because of the inability so far to attract enough members, sell enough houses, or attract enough regular players. This goes to the price and the location.

Golf courses often change hands at least twice before they begin to turn a profit. Most of the time, this occurs before foreclosure is reached, but even that isn't entirely uncommon.

That said, the greens alone @ Poplar are worth nearly $100k.

I would imagine there is some debt that was taken on as part of the deal cause 100k is dirt cheap.

Beat me to it.

I can promise you that they are going to incur hundreds of thousands if not millions in debts. I believe they may even owe on some of the development of property's for homes there too.

Hopefully the new owners can get things back on track. Poplar Grove is a great course. My brother was the assistant pro there for a short time soon after they opened.

JK37 wrote:That said, the greens alone @ Poplar are worth nearly $100k.

One decent quality green at a nice course can cost $30,000-$50,000+ to build so it would be a safe bet to say that they're worth way more than that.

adam42381 wrote:

JK37 wrote:That said, the greens alone @ Poplar are worth nearly $100k.

One decent quality green at a nice course can cost $30,000-$50,000+ to build so it would be a safe bet to say that they're worth way more than that.

I'm well-aware of what they cost to build, but worth is equal only to what one is willing to pay. If PG were to fold entirely, they couldn't get $30k/green.

Good point. The value of the greens should still be worth well over $100,000 to a new owner I would think.

adam42381 wrote:Good point. The value of the greens should still be worth well over $100,000 to a new owner I would think.

Agreed.

Hold My Own wrote:Beat me to it.

I can promise you that they are going to incur hundreds of thousands if not millions in debts. I believe they may even owe on some of the development of property's for homes there too.

"According to a Forbes.com business executive profile, Walters is president of C.W. Cobb & Associates, the mortgage firm that loaned Poplar Grove about $8.8 million and foreclosed on the property. The profile also states he is co-owner of several real estate companies."

It is hard to owe yourself money! They just got one of the top courses in the Mid-Atlantic for 8.9 million!

is it still operating? I was planning on getting out there this fall.

You guys must not have been there in a while...it is not nearly in the same shape it was when it first opened....and the greens have been pretty bad as well...