The 231-acre lakefront Tobiano golf resort near Kamloops, forced into receivership in 2011 with debts of approximately $31 million, could be sold as early as April 26, but creditors are expected to challenge the deal.
"We have an offer. We are just waiting for a court date," said NAI Commercial agent J.D. Murray. NAI has been trying to sell the high-end resort for two years on behalf of the Bowra Group, the receiver. The list price had been $5.5 million. Murray would not release the price of the "accepted offer," but said it was from a B.C.-based golf operator.
Tobiano, a Thomas McBroom-designed 18-hole course ranked among the top golf courses in Canada by ScoreGolf magazine, was seized by the Business Development Bank of Canada and put into receivership in May of 2011. The Bank of Montreal, owed an estimated $5 million, is among a long list of creditors.
The purchase would still require approval through B.C. Supreme Court. Murray said NAI expects "challenges" to the offer from some creditors. The deal is expected to seek court approval around the end of April, and Murray is confident the long-awaited sale will go ahead. "The fat lady wants to sing," he said.
Also in play is the Okanagan Golf Course near Kelowna, a 300-acre development, a going concern, with two 18-hole golf courses currently leased to Golf BC. It is listed at $12 million and rumours are that interested parties are circling. The property includes about nine acres for future development.
For a report on the business of buying and selling golf courses, see the May issue of Western Investor.
