Development News for Bella Vista, Arkansas

Golf Operations Update: Course Conditions Improve, Infrastructure Projects Advance, and Member Feedback Drives Priorities

The Golf Committee reported on course conditions, noting winter kill affecting Kingswood and Scottsdale primarily due to a late March cold snap. Remedial actions include extra fertilizer, cultural practices, and limited sod replacement. Testing of Astro Bermuda sprigging is a long-term solution. Infrastructure projects include approved boulder installations at Country Club #8, erosion repair at #1, and nearly complete root pruning across all courses. An autonomous mower is now in use for most turf areas, excluding greens at Country Club #14. Green speeds and smoothness metrics are improving. Pre-emergent applications are nearing completion on several courses. Asphalt grinders have been ordered for potential earlier corp path repairs. Britney #1-5 are approved after grinding, and Country Club #13 replacement is scheduled. Kingswood fan insulation is progressing. Tanyard Creek sidewalk grading is ongoing. Golf rounds are up significantly year-to-date (13,312), with member rounds increasing faster than guest rounds. Range bucket sales are strong, and Tanyard Creek is the busiest range in Northwest Arkansas. Pro shop sales are robust. Tournament programs are active, and junior programs are in high demand. Member feedback highlighted cart path conditions, tee box leveling, bunkers, pace of play, cart rule violations, signage, and restaurant coordination as key issues. Cart paths, tee boxes, and soy expansion are considered top capital priorities.

POA Reports Strong April Financials Driven by Golf and Water Revenue

The April financial summary for the POA and water operations shows strong performance, with EBITDA at $550,000 for the month, nearly 200% above budget and 67% higher than the previous year. This is attributed to robust golf activity and water revenue, alongside solid food and beverage results. Revenue for the month was $4.315 million, exceeding budget by $362,000. Year-to-date, total revenue is $14.5 million, with expenses and cost of goods sold below budget, resulting in EBITDA of nearly $2 million, significantly exceeding the budgeted $616,000 and last year's $1,367,000. Key revenue drivers include green fees, cart rentals, and pro shop sales. Some areas show softness, such as membership transfer fees and increased food and beverage costs, while favorable expense timing benefits are expected to reverse later in the year.

Lakes Committee Reports Full Pool, Increased Boat Registrations, and Seeks Input on Winter Drawdown

The Lakes Committee reported that Lock Leman reached full pool on April 26th. A recently installed grass carp funnel trap will be monitored by ecology staff. The committee discussed boat registration trends over the last five years, noting a 21.4% overall increase. Kayaks and non-motorized boats saw a 29.7% increase, while boats over 18 ft remained relatively flat with a 4.4% increase. Boats under 18 ft declined by 9.6%. Revenue from boat registrations is up 42% year-over-year due to increased registration costs. The committee is considering which lake to draw down for winter maintenance, tentatively selecting Lake Ann, but will seek community input before finalizing the decision.

POA Operations Show Strong Financial Performance in April, Led by Golf

The April financial summary for POA operations (excluding water) shows revenues exceeding budget and prior year, with expenses and COGS also better than budget. The monthly EBITDA was $203,000, a significant improvement from the budgeted negative $76,000 and last year's negative $16,000. Year-to-date, POA-only EBITDA is $1,058,000 better than budget. Golf operations' April EBITDA exceeded budget due to strong revenue performance, beating the prior year by $259,000. Key revenue sources for April included green fees, cart rentals, and pro shop sales. All golf locations are beating budget and prior year revenue targets. Restaurant operations exceeded their April EBITDA budget by $8,000 and year-to-date budget by $77,000, despite increased food costs impacting COGS. All restaurant locations except three specific ones beat their EBITDA budget. The recreation amenity fee brought in $98,000 in April, beating budget, and assessment income is also strong. However, membership transfer fees are lagging behind budget expectations.