Cedar Hills mulling golf-course restructuring

CEDAR HILLS — Cedar Hills officials are considering a golf course restructuring proposal designed to relieve the city of its bond debt and build a clubhouse for the financially troubled Cedar Hills Golf Club.

RC Management, which operates the city-owned golf course, recently presented preliminary details of the plan to Cedar Hills Mayor Mike McGee and the City Council.

"We saw that the city is in need of a plan to help the golf course get out of its financial purgatory," said Cecil Read, co-owner of RC Management.

The proposal calls for a portion of golf course property to be sold for residential development. RC Management has identified property on the east side of the course — the area of hole Nos. 13, 14 and 15 — as a candidate for such development.

Read estimates sale of the property will generate about $8.5 million, allowing the city to pay off the $6.25 million, 20-year bond it sold in November. The sale would also fund a new clubhouse and build three new holes on remaining course property, according to the plan.

"We don't want to sacrifice the holes or change the course dramatically," Read said. "We think it's a great course as it is, but we're kind of left with no other alternative."

Under RC Management's proposal, the course likely would drop from par 72 to 71 or 70, he said.

"We don't think that's a big enough change to really throw the average, everyday golfer for a loop," Read said. "We think it's still going to be considered by most a very good golf course."

Read said he believes a clubhouse would increase revenues by about 15 percent to 17 percent.

Residential development on the east side of the course could face a roadblock from The Cedars subdivision.

Steve Lee, a board member for The Cedars' Homeowners Association, says RC Management's proposal could be hindered by geotechnical concerns with the hillside east of the course.

Also, owners of the condominiums in that area paid premiums for lots bordering those east-side holes, Lee said.

"To find themselves a year from now with those views impaired, I don't think that would sit well with a lot of residents," he said.

RC Management's proposal was one of two scheduled to be heard by the City Council this week. The other was expected from investors from Southern California, but the group bowed out just prior to Tuesday's meeting.