LTC 197-2003
CITY OF MIAMI BEACH
Office of the City Manager
Letter to Commission No. /Cf7. ~C3
m
Subject:
Mayor David Dermer and
Members of the City Commission
Jorge M. Gonzalez ~ _ ~
City Manager () (f"' 0
Miami Beach Golf Club Progress Update
Date: August 27,2003
To:
From:
The following is a progress update of the Miami Beach Golf Club through June, 2003. As
you are all aware the course opened on December 21, 2002. Since that time the golf
course has been very well received by our residents, players from the South Florida area
and tourists from around the world. Additionally, the Miami Beach Golf Club has received
positive attention from local, national and international media, all focusing on not only the
Miami Beach Golf Club but the splendor of our beautiful City, in general. Attached for your
information is a chart summarizing a number of statistics including revenue budgeted vs.
actual and total players both on a monthly and year to date basis. As indicated the Miami
Beach Golf Club is exceeding projections for the year to date.
Also attached is a Statement of Operations - FY 2003 for the Miami Beach Golf Club. The
report is a composition of actual income and expenditures YTD as of June and a projection
for the remainder of the fiscal year (July - September). It is important to note the
statement includes expenses for the October - December golf course grow-in period as
well as costs (approx. $ 160,000) associated with the installation of the temporary
Clubhouse and cart barn. As indicated in the report, the Miami Beach Golf Club is
projected to exceed the annual budgeted revenue by $171,162 and operating expenses
are forecast to be $242,579 below budget. It should be noted that Included in this year's
operational budget is approximately $110,000 earmarked for FF&E that was to be
purchased for the new clubhouse and the new golf course maintenance facility. This
amount will be deducted from the $242,579 and carried forward to the FY 03/04 budget.
The Miami Beach Golf Club budget, as approved, projected a deficit of approximately
$800,969 which represents debt service for the year, Based on the forecast, the deficit will
be reduced substantially which is commendable for the facility's first year of operation.
During this period the Miami Beach Golf Club was visited by world renowned golfers
Raymond Floyd, winner of over 60 tournaments including the 1976 Masters Golf
Tournament and 1986 United States Open Championship, Bruce Fleischer, 2001 United
States Senior Open Champion and Greg Norman, winner of 20 Professional Golf
Association tournaments. All the players were extremely complimentary about the
conditions of the golf course, the challenge of the layout and the use of the paspalum
grass.
Mr. Floyd visited with his golf course architect to consider the paspalum for a new course
he is building. Mr. Fleischer was so impressed with the course he was quoted as saying
the Miami Beach Golf Club has the "best new greens I've ever played" and Mr. Norman is
considering using the turf on a golf course he is currently designing.
In February the Administration was informed by the Golf Course Architect, Arthur Hills that
the Miami Beach Golf Club has been nominated to be included in the Golf Digest
magazine's Top 10 New Golf Courses in the United States for 2002. This rigorous analysis
is a year long evaluation that will conclude in November with the selection being published
in the last annual issue of Golf Digest. To be nominated in itself is a major honor and
accomplishment because rarely will Golf Digest consider a reconstructed golf course in this
category. In general they will only evaluate new developments in this competition. The fact
that they selected the Miami Beach Golf Club in this category speaks volumes to its quality
and playability.
The Miami Beach Golf Club continues to receive positive recognition in various media.
Attached please find two promotional pieces that appeared in golf magazines during this
period. The first piece was in Links Golf Magazine with a distribution of over 700,000 and
the second in Florida Golf Central with a distribution of approximately 75,000. In addition,
a video segment focusing on the environmental benefits of using paspalum sod on the golf
course was taped to be shown on the National Geographic channel. The date of this
showing is pending.
Throughout this period, the Miami Beach Golf Club has offered introductory specials for
our residents and has established a summer membership as well. Attached for your
information are copies of these promotional pieces.
In late July the management of the Miami Beach Golf Club was contacted by a sports
marketing representative to discuss the possibility of hosting an LPGA (Ladies Professional
Golf Association) Pro-Am-Celebrity event in early 2004. These discussions are on-going.
The Administration remains encouraged at the positive response the Miami Beach Golf
Club has received and will keep you informed of its progress. Should you have additional
questions, please advise.
JM /
F~OUS\KEVIN\CITYMAN\CM.L TC_Miami Beach Golf Club Update_June, 2003.doc
c: Robert C. Middaugh, Assistant City Manager
Kevin Smith, Parks & Recreation Director
MIAMI BEACH GOLF CLUB
Playerl Revenue Summary for February - June, 2003
Februarv 2003 YTD
Total players 3,227 Total players 7,726
Total projected revenue $379,350 Total projected revenue $878,050
Total revenue collected $356,729 Total revenue 8114,711
March 2003 YTD
Total players 3,379 Total players 11 ,1 05
Total projected revenue $380,350 Total projected revenue $1,258,400
Total revenue collected $391,227 Total revenue $1,205,400
April 2003 YTD
Total players 3,300 Total players 14,405
Total projected revenue $286,350 Total projected revenue $1,544,750
Total revenue collected $344,730 Total revenue $1,550,667
May 2003 YTD
Total players 4,030 Total players 18,435
Total projected revenue $182,700 Total projected revenue $1,727,450
Total revenue collected $279,585 Total revenue $1,830,252
June 2003 YTD
Total players 2,749 Total players 21 ,184
Total projected revenue $156,700 Total projected revenue $1,884,150
Total revenue collected $205,905 Total revenue $2,035,348
"**A total of$150,119 was booked to the Property Management Divisions expense lines for May.
expenses are an accumulation of expenses incurred since October for the set-up of the temp, facilities
includes $133,257 for Property Maintenance charges and $16,862 for Public Works.
50% went to G&A and 50% went to ProShop, These
,e, Cart Barn and Modular for the Golf Club. This total
2/01/02, Actual opening date
incurred in Oct. & Nov 2002.
***$8457 was booked to the ProShop ComputerslIT Services/Phone System expense line for PC related expenses booked internally through the City of Miarni
Beach. These expenses are an accumulation of expenses incurred since December for the set-up of the modular clubhouse.
*Budget assumes a golf course opening date of
"Operating Expenses include grow-in expenses
Total Operating Expenses
INCOME BEFORE DEBT SERVICE
DEBT SERVICE
NET INCOME
is
12/17/02,
$2,041,17
$413,741
$800,969
-$387,228
$800,969
-$800,969
$1,535,952
$499,395
$2,067,552
-$183,402
-$531,600
$682,797
$505,219
-$85,654
$2,283,750
$0
-$242,579
$413,741
$800,969
-$387,228
OPERATING EXPENSES**
Golf Course*** *
Pro Shop***
General and Administrative****
$814,837
$438,105
$283,010
$936,979
$688,129
$442,444
-$122,142
-$250,024
-$159,434
$229,129
$143,103
$132,987
$1,043,966
$581,208
$415,997
$1,181,103
$527,218
$575,429
-$137,137
$53,990
-$159,432
REVENUE*
Golf Course Revenue
Driving Range and Misc. Rev
Interest
Other
Total
Income
$2,035,347
$1,914,945
$95,320
$25,082
$1,884,150
$1,798,000
$84,000
$700
$1,450
$151
$116,945
$11,320
-$700
$23,632
97
$419,565
$390,600
$28,350
$300
$315
$2,454,912
$2,305,545
$123,670
$300
$25,397
$2,283,750
$2,170,000
$111,000
$1,000
$1,750
$171
$135,545
$12,670
-$700
$23,647
162
Actual
YTn as of
June '03
Budget YTn
as of June
'03
Variance
YTn
July '03
Sept '03
Forecast
FY '02-'03
Actuals &
Forecast
FY '02-'03
Budget
Forecasted
Variance
FY'02-'03
Actual/Forecast
Beach Golf Club
Statement of Operations -
FY 2002
03
Miami
FY 2003
leaderbo8 rei
On Your Honor
Looking to plan a golf trip to the
Emerald Isle and need a helping
hand? Log on to www.golfadven-
tureguides.com and check out
the Ireland Golf Adventure
Guide-available to visitors on
the age-old honor system. Simply
download this
practical guide
to your com-
puter, print it
and-if you
like it-
kindly mail
a check
for $15.
You'll
have a 40-page,
full-color insider's guide that in-
cludes all the essentials on
courses and lodging, and most
importantly, an extensive road
map of Ireland. Also included are
tips on yards-to-meters conver-
sion, currency exchange and
even Irish lingo. Surely the luck
of the Irish will follow.
Compiled by Richard J, Cerame
T D I l"Irrfi.....,'l. r;~Ai... I_~;
urbanOASIS
In a city that moves to a Latin beat and beckons revelers
with neon-bright nightlife, daytime fun is getting front-
bumered. The city of Miami Beach has invested $9.5 mil-
lion to bring back the golden age of golf within blocks
of Ocean Drive. The team of Arthur Hills/Steve Forrest
and Associates was engaged to reinvigorate the former
Bayshore Golf C.ourSt.'--past site of the PGA Tour's
Miami Open-and orchestrate its re-
birth as Miami Beach Golf Club.
Eighteen new greens were built and 85
bunkers added, and the entire course was
seeded with Seashore Paspalum turf-
which allows the use of salt water for irri-
gation-reducing the dependency on fresh
water by 76 percent.
The result is an environmentally friendly,
6.800-yard public layout that is home to hun-
dreds of indigenous plant and wildlife species. NFL Hall
of Famers Jim Brown and Llwrence Taylor have already
scooped up two of the limited memberships available.
Call (305) 532-3350 or visit www.lvliamiBeachGolf-
Clul1.com.
Links' April 2003
flORIDA ~
!~~!f~r!'JT~~~. ..
VOLUME 4, ISSUE 11 . MARCH 2003
o~
Reviva I
M1ami Reacl'l
Golf Clu 16-
~iami Beach
Miami ~Ba~nhJS seen an ongoing
revival of ils art deco district and Ocean
Drive area, Now for lhe first time in many
years the City of Miami Beach can boasl
about a fabulous new golf course 10 com-
plement the beach experience. Arthur
HiIIs/Steve Forresl and Associates have
totally revamped the old Bayshore Goli
Club into a beauty SE't belwe>en the beach
and ll.lY.
This awesome revival is the shot in the
arm lhat was needed to round out the
amenities Miami Beach has to oifer, not
only to its visitors, but to its residenls and to
all of Dade County, Miami Beach Goli Club
is the new name and the experience is one
10 be savored like fine wine.
From the first moment you drive into the
pilrkillj; lot, the allenoanls are at your vehi-
de with Gul to unload your clubs and drive
you to the temporary clubhouse ior check
in, Anthony Mandalla, director of golf, und
his staif are proud of the experience they
have to offer and it shows everywhere you
come in contact with Ihem. Ground has
been broken for the new clubhouse, which
will be completed next year according to
Johnny laPonzina, head of Professional
Course Management peM owns and/or
operates 15 golf clubs in the BrowardlDade
area and is especially pleased 10 have been
chosen to manage Miami Beach Golf Club_
The golf experience is one you will want
/0 enjoy fully. The practice facility consists
of a large lighted driving range wilh target
areas placed throughout 10 assure every
club gets the ne>eded play before venturing
to the separate chipping area or the large
pulling surface. Surrounded by lhe high-
rises and magnificent homes of Miami
Beach, the course is subtle in its design.
The 3137 -yard front nine is a greal play
with shOls around water hazards and lots of
bunkering 10 test your accuracy. The back
nine is a whole different story. The 367b
yards obviously requires more distance off
the box and smart play, ke>eping the b,111 in
the shorl grass.
let's lalk grass. In one word - Paspalum,
This newly engineered seashore turf is
<lmazing. It can be maintained using sail
water or fresh water, With the introduction
of sail waler, maintenance costs are dramat-
ically reduced, Fertilizer, insecticicle and
herbicide usage can be reduced by 25'Y"
and the savings in waler usage in all(' year
arc estimated at $200,000. Its deep rool
sy~tem makes it drought loleranl and ils
playability is unmalched. Greens, fairways,
rough, and even lhe praclice facilit~' <Ire <III
Pilspalum. Amazingly, when you hil into
thE' rough the ball sits up!
If you arc inlereslpd in visiting Mi,lrni
Beach, the Marrioll HOlel on South 3(',1(h,
.11 161 Ocean Drive is the place to stay.
The 236-room, trendy oceanfront hotel is
<In Art Deco revival, with outstanding serv-
k:e aocllhe ambiance of a chic houtique
hole I. This cosmopolitan location has
guestrooms with large ocean view bal-
conies thai allow you a glimpse of rhe sky-
line and buslling nightlife of Ocean Drive,
The Deco Blue restaurant and lounge
provide breathtaking oceanfront dining,
indoor or outdoor. The very private pool
sits beachside with great vistas, plus
cabanas right on the beach, The Marrioll
has great stay and play packJges and me>et-
ing space.
Now you can enjoy Miami Beach golf
while staying in luxury, Check oul the
revival at SoBE'.3
A
T
E R
I
G R E
M
CONVENTION & VISITORS BUREAU
Mialtli Ileach Golf Cluk
Tile Pre",ier Golf Dulinolion in Ihe Henri of Hi,'oric Min",i Bench.
Dear Member,
With the results of the positive feedback from our members and residents of South
Florida we will be extending our introductory rates to all through the month of April. The
City of Miami Beach along with Professional Course Management would like to say
thank you again for your support. During April all members may bring up to three guests
a day Monday through Thursday for the following special pricing. Unlike our non
members this special will include a small bucket of range balls for each player in your
party. Please enjoy your facility during this last introductory offer.
Miami Beach Resident Guests:
South Florida Resident Guests:
Out of Town Guests:
$49.00
$59.00*
$75.00
Please have your guests bring in the proper identification on the day of play to ensure
they receive the appropriate rate. * South Florida Rate is available for all guests living in
Dade, Broward, Palm Beach, or Monroe Counties. All guests must be accompanied by a
member to receive this special promotional offer. Please call up to 10 days in advance to
share this offer with your friends and relatives.
Sincerely,
Anthony Mandatta
Director of Golf
2301 Alton Road. Miami Beach. FL 33140
(305) 532,3350 Main. (305) 532,3840 Fax. IVlVw.miamibeachgolfclub,com
Managed by PCM. Preside",. John"y LaPonzma
Mia:mi Reach Golf (Iuk
The Premier Golf D..,iAalion in Ihe Hearl of Hillari. Miami Beach.
Dear Member,
The Miami Beach Golf Club has exceeded our expectations in the initial three months of
operation and the City of Miami Beach along with Professional Course Management
would like to say thank you for your support. During March all members may bring up to
three guests a day Monday through Thursday for the following special pricing. This
promotion does include a small bucket of range balls for each player in your party.
Please enjoy your facility during this special promotion.
Miami Beach Resident Guests:
South Florida Resident Guests:
Out of Town Guests:
$59.00
$69.00*
$75.00
Please have your guests bring in the proper identification on the day of play to ensure
they receive the appropriate rate. * South Florida Rate is available for all guests living in
Dade, Broward,Palm Beach; or Monroe Counties. All guests must be accompanied by a
member to receive this special promotional offer. Please call up to 10 days in advance to
share this offer with your friends and relatives.
Sincerely,
Anthony Mandatta
Director of Golf
2301 Alton Road. Miami Beach. FL 33140
305) 532.3350 Main. (305) 532.3840 Fax. lVlVw.miamibeachgolfclub.com
( Managed by PCM. Preside"t. JOh111iY LaPoRzma
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Miami Reach Golf Club-
The Pr"mier Golf De&lination in the lIe art of HiHoric Miami Beach.
Limited Number
SUMMER GOLF MEMBERSHIPS
NOW AVAILABLE
Valid May 1,2003- September 30, 2003
JOIN NOW AND RECEIVE BALANCE OF APRIL FREE
Miami Beach Residents
Single
Husband & Wife or Domestic Partners
Each Dependent (Under 18 years of age)
$1,000
1,500
200
Reeular Rates
Single
Husband & Wife or Domestic Partners
Each Dependent (Under 18 years of age)
$1,300
1,800
250
18 hole Member Cart Fee
9 hole Member Cart Fee
$20
12
Membership includes:
Free green fees.
10 day advance tee times.
State-of-the-Art GPS System.
Complimentary practice balls with each 18 hole round.
Proof of Miami Beach Residency required. All prices are subject to additional 7 % sales tax.
All summer membership dues may be paid by check or cash only.
For more information call Jackie Ryden at (305)532-3350
2301 Alton Road, Miami Beach, FL 33140
(305) 532.3350 Main. (305) 532.3840 Fax. www,miamibeachgoljclllb.com
Mallaged by PCM. Pr".ident, Johnny LaPonzilla