Auction start marks end for elite club
POTS and pans, a ball autographed by Tiger Woods, marble-topped tables and polo shirts are among the items being picked over by prospective bidders as an online auction opened today of the assets of the troubled Peregian Springs Golf Club.
The items represent the assets of a club which once sold golfers membership shares for $25,000 each but is now in administration and heading for liquidation.
Former CEO Declan McCollam spoke out on Wednesday claiming FKP-Aveo had controlled the club while it ran up losses of $1 million a year before responsibility was dumped on members last November.
Shortly afterwards Aveo offered a $900,000 bail-out in the form of the purchase of three lots which form part of the course to allow it to develop residential lots subject to approval by Sunshine Coast Council to rezone the land from sport and recreation.
Club members are waiting impatiently in anticipation of the expected release by close of business Friday of a key planning document which may well determine whether the once elite golf course will be maintained or developed for residential housing.
The document is expected to be included in the agenda for the August 18 ordinary general meeting of the council.
Aveo, which controls Peregian Springs Golf Holdings Pty Ltd - the owner of the golf course and clubhouse - this week said it would continue selling golf frontage lots, the first indication it was committed to maintaining the golf course long term.
The collapse in value of prestige high-end homes, which have lost between $150,000 and $180,000 in the past 12 months as the club's woes worsened, has prompted discussions between owners about a potential class action against Aveo if the course closed.
One new owner, who moved into the estate during the past 12 months, has written to the Daily saying they had already instructed their lawyers to start drafting a claim for compensation from Aveo.
In a statement released Wednesday Aveo said once the administrator vacated the premises Peregian Springs Golf Holdings would maintain the golf course.
"In addition, Holdings will, over coming months investigate future, viable options for the clubhouse and the golf course,'' the statement said. "However, it is highly unlikely that any such option would include a re-opening of a member-based golf club."
The auction of four lots containing the goods and chattels of the club, including half-filled bottles of cleaning agents, will progressively go on line over the next three days.
The auction includes the sale of 40 new electric golf carts.
Administrator Gavin Morton of Morton Solvency Accountants is expected to vacate the golf club premises on August 19, by which stage it is expected everything from pictures to water pitchers will have been sold.