New Carlsbad course takes its place in golf landscape

By: MARC FIGUEROA - Staff Writer | Wednesday, August 8, 2007 10:04 PM PDT

Logo for The Crossing at Carlsbad golf course.
JOHN RAIFSNIDER For the North County Times
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NORTH COUNTY -- When the phone lines opened for Carlsbad residents to make tee times at their new municipal golf course, the phone system, unable to handle the volume of calls, shut down.

The tee sheet for the two days for residents to "preview" the course filled up in 20 minutes.

"The buzz has been phenomenal, off the charts," said Jeff Perry, general manager of The Crossings at Carlsbad, which opens to the public on Saturday. "When you have a course that's (17) years in the making, you tend to get excited right near the end."

Because of its $68 million price tag, which started at $7 million, and lengthy development time -- it was approved by a public vote in 1990 -- The Crossings is one of the most highly anticipated golf course openings in county history.

But several months from now, long after the yellow ribbon has been cut and the welcome wagon has packed up and left, where will the 18-hole, city-owned course be left?

There are choices

With nearly 60 public golf facilities in San Diego County alone and plenty more in neighboring Orange and Southwest Riverside counties and Baja California, golfers have a wide range of options.

There are now 15,990 golf courses in the United States, according to the National Golf Foundation (NGF), over 3,000 more than when The Crossings was approved. Fourteen new courses (counting public, private and par-3 layouts) have opened in San Diego in the last 10 years. Eleven of those are in North County.

Meanwhile, the number of rounds played has been flat since the late 1990s. Total U.S. rounds, according to the NGF, actually dropped 4 percent from 2004 to 2005.

From '05 to '06, rounds were down 1 percent in California and Arizona. And for the first two months of this year, rounds were down 15.8 percent, the weakest performance in three years over the same time period.

"Just because a new course opens up doesn't mean that 35,000 more rounds (a year) are being played," said John McNair, vice president of operations for JC Golf, which manages nine courses in San Diego and Temecula, including The Crossings' neighbor, Encinitas Ranch, and inland courses such as Twin Oaks in San Marcos, the Rancho Bernardo Inn and the par-3 Reidy Creek in Escondido. "The Crossings is going to take a chunk from everyone."

It's not all roses

Therein lies the problem. When a new course opens, it takes a piece of a pie that's not getting any bigger.

"It's a tough market, especially when you're a stand-alone property," McNair said.

The Crossings manager Perry, who opened Riverwalk in Mission Valley in 1998, understands that his new golf course's honeymoon isn't going to last forever.

"After a month or two, we're going to be no different than anybody else in trying to command our fair share of rounds," he said. "In order to do that, we have to be competitive. We're receptive to the market and the conditions around us."

That translates to pricing, which is a delicate dance between operators, who have bottom lines, and customers, who seek value.

"You have to have a great product and provide value for the golfer," said McNair.

The cost factor

Gary Keough, a hotel bellman from Carlsbad, is one golfer who watches his wallet when choosing where to play. You'll never see him at Maderas or La Costa because, he said, "I have a problem paying $10 to $15 a hole." But since he gets to play The Crossings for $60 Monday through Thursday and $80 on the weekends, he said he looks forward to playing it soon.

"I don't know why (the cost) went to $68 million, but at least they're spending money on something that I'm going to use," said Keough, 55. "I don't know if the city will ever get back the $68 million, but I'm glad it's there."

The golf market has become so competitive in the last decade, it has prompted many courses to come up with innovative value packages to promote repeat businesses. JC Golf promotes heavily its JC Players Card, which starts at $259 per year and offers five free rounds of golf, discounted rates, and priority tee times. Other course operators have similar programs.

Call it amenity

Officials at KemperSports, which manages The Crossings, have discussed incentive programs, Perry said, but nothing has been finalized.

"We are going to be lumped in with Aviara, La Costa and Encinitas Ranch, and we're looking to survive in the market just like they are, and the way you do that is to listen to your customers," Perry said.

The Crossings isn't just about turning a profit. Since it's owned by city residents, city officials have said since the beginning that the course should be viewed as an amenity.

"I feel the costs are exorbitant, but I also feel that in the long run it will be a great benefit for the city," Carlsbad Mayor Bud Lewis said. "This is a futuristic approach that will last well beyond my time frame of being in local politics and my life span."

And where will it fit in with the rest of the market?

"We're certainly going to find out," he said.

-- Contact Marc Figueroa at mfigueroa@nctimes.com.

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putt putt wrote on Aug 8, 2007 11:31 PM:68 million bucks for 18 holes putting a little white ball. How long will the 'new' appeal last? Not in my lifetime will we see this course run in the black. Drained millions away from true needs in education, road improvements, and now we hear they can't even keep the phone lines open at a 68 million dollar golf course that took 17 years to open. Is the technology 17 years old too? I mean in our neighborhood, phone company guys are climbing the half century old poles to replace rotted cable. But of course the golfers come first right? Improve education and maybe we can graduate young adults who can read, write, add subtract, and maybe even help the CROSSINGS to keep their phones ringing.

Love the Game...reject the Cost wrote on Aug 9, 2007 7:58 AM:I just love the Game but have been turned off by the seemingly too high tee time cost. It simply too hard to enjoy what's left of my paycheck when I shell out a hundred bucks plus to play golf. The higher cost of gas REALLY made me curtail my golf. In looking to trim in order to afford a necessity, I chose (as many do) to trim the entertainment budget....thinking almost automatically "hey, one less round of golf and the gas pinch is managable." I wish I didn't have to think this way. If golf was more in the $50 to $65 range then it would have been in contention with, for example, going out to dinner once less often. But, with that big three figure target looming there with which to trim; golf became the easy choice to cut back on. I wish it weren't so.

Senior Golfer wrote on Aug 9, 2007 10:49 AM:Out of curiosity I might play The Crossings once, but then it's back to something I can afford, something like the weekday Senior Non-resident rate of $25 (including cart) provided by the new management firm at Oceanside Muni.

Really? wrote on Aug 9, 2007 1:01 PM:If this article is indeed good facts, this is just a huge waste of city money. Lessor or the same amount of rounds being played, yet they build more courses. At least Wally World builds stores where there is growth in the markets. Not shrinkage or stagnation.

Michael D. wrote on Aug 9, 2007 1:59 PM:When the citizens of Carlsbad voted for a golf course, it was based on a $7 Million price tag. When the city new the cost would be substantially higher (say for example, anything above 2 or 3 times the original), they had a duty to go back to the voters and ask for permission to spend so much more of their tax dollars on such an unnecessary amenity. After all, maybe Carlsbad citizens would prefer their tax dollars were better spent on multiple amenities that everyone would enjoy. Instead, we got an over-priced, badly designed, water sucking play ground for the "elites" that required years of costly battles with the coastal commission as well as the state and federal wildlife agencies (another hidden taxpayer expense). Sadly, city officials, who were paid by the taxpayers to serve the taxpayers best interests, breached their duties by pursuing their own agenda and wasting tax dollars; all those involved should be fired. It is a classic case of how power corrupts and how elected officials and government employees become arrogant and counter-productive after they've been in office too long. If our elected representatives and highly paid city staff were so sure the taxpayers wanted this thing, then why didn't they simply tell the truth and ask permission to spend so many of the taxpayers' hard-earned dollars on this playgroud for the few?

jack wrote on Aug 9, 2007 3:45 PM:Brilliant! Build a course on ancient sand dunes and throw away water by the acre foot! So the priviledged few can play while "others" go dry.

JOHN wrote on Aug 23, 2007 1:28 PM:If those idiot Carlsbad city council people knew any thing at all about golf, they would realise the resident fees are two times higher than other good Muni courses such as (BROWN DEER, OR Harding Park). I hope they realise golfers VOTE,4 AT A TIME. Cut the resident fees by 30 to 40 %. john

Jerry N wrote on Sep 6, 2007 3:47 PM:Now it makes sense. Perry also opened Riverwalk who initially opened up with $90-$115 greens fees!!! WAY OVER MARKET. When nobody showed up to play, Riverwalk had to not only reduce prices but go under market pricing to bring the players back. But by then they had lost the momentum of launching a new course and a ton of revenue. I suspect this hurt them for at least a couple years. If Perry has or had any say about greens fees, then he is about to repeat history. Oseanside Muni just up the road - non resident for $22 WITH a cart!!! Great layout and decent grass Guess Carlsbad officials need to go back to school.

Tee Time wrote on Mar 28, 2008 2:09 PM:68 mil... what a joke. Irresponsible spending like this is why California is running out of money. Enjoy it while there is still water available and people willing to pay… at some point the irresponsible spending, waist of a valuable resource (water), and people willing to pay will dry up… then this golf course will become a desert again. :)

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