As a follow-up to the information session held on Thursday 6th June with David Cullen from Oakstand, Friends of Vincentia Golf Club Inc. submitted the following set of questions to the Country Club's CEO on Monday 10th June asking how the process will be managed by the CC.
Before going down the path of what a development looks like, let's get answers to these questions first.
All CC members need to be kept informed!
1. At what stage will the Core/Non-core vote be held?
It was suggested "sooner rather than later" within the 90 day Phase 1 period.
Noting that sufficient information needs to be provided to members with time to make an informed decision prior to the vote, it is not clear how this will dovetail into the 90 day period. Particularly since financial viability is a key document & unclear how this could be articulated before the Phase is complete.
2. What information will be shared with members?
Other Clubs that have followed similar processes whilst keeping members fully informed include the Newcastle Golf Club (2020), Merewether Golf Club (2023) and Strathfield Golf Club (2016-19) and Cumberland Golf Club, each with vast amounts of detail provided on the Club's website and/or passed to members. Will the CC provide similar information?
Will CC share the business analysis supporting the proposed development (estimated operating costs and revenue plus business risks and management actions) before the EGM to assure members of the future viability of the remaining VGC assets?
3. Why is an asset sale in the best interest of members?
The developer has stated that lease is an option instead of sale. Is that an alternative that the CC would consider?
Given you are only talking to one developer, how did you determine the value of the assets to be sold?
The Oakstand development appears to be equivalent to Scenario 5 of the Tully Heard report (albeit a different parcel of the course). Given the TH report assessed this as Very High Risk, what in this proposal guarantees the long term retention/survival of the Vincentia clubhouse and course?
4. While Phase 1 concentrates on turning a concept into a design, where do decisions about the build plan get made?
For example, is it one development build, or a staged development occurring over time?
5. When will the financial return of the design be assessed?
That is, will the CC's financial objectives be factored into the Phase 1 design?
Is there a risk that the CC will modify the agreed Phase 1 design in order to meet financial targets?
As a simple example, if the Phase 1 design includes development of additional top 5 holes, might the CC then decide not to complete that action in order to save money?
What are the expected sale proceeds and how will they be invested?
6. What control will there be of design changes?
At the end of Phase 1, there will be a design, and the CC will enter a binding contract with Oakstand.
During Phase 2 (DA preparation), there will be consultation with the wider community and changes required for DA submission.
Is there a concept of a governing representative body/committee to oversee this?
7. What is the separation between the developer's and CC's activities on the site?
For example, is the developer only responsible for anything non-golf course-related within the blue box footprint?
Is the CC responsible for any work on golf holes outside the footprint (re-working existing 1st and 13th, development of additional top holes)?
Is there a risk that the developer completes as per their design, but the CC chooses not to proceed with their commitments?
Is the CC responsible for all maintenance of the golf course during and after the development work, including re-positioning the maintenance sheds?
Will the CC lease the new Clubhouse facilities from the residential operational contractor (and continue to operate the CC liquor and gaming licences for CC members and visitors)?
8. What is the Plan B if the DA is unsuccessful?
9. Given approximately 3 years until commencement of the build, will the CC work to maximise the return of the existing premises in the meantime?
FoVGC has suggestions to improve return and would welcome the opportunity to discuss.
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