To: Honorable Chair and Members of the Golf Commission
From: Justin Long, Recreation and Parks Director
Re: Review and Comment on the Corica Park Rate Increases
BACKGROUND
The Greenway Golf (Greenway) lease with the City of Alameda (City), requires that Greenway provide discounted rates to City residents, seniors and students. It also requires that the City approve these fees, however the City may not deny approval if the proposed rates are commensurate with the rates at comparable golf facilities. These comparable facilities are specifically listed to include, but not be limited to, Monarch Bay and Metropolitan Golf Courses.
DISCUSSION
Exhibit 1 is a spreadsheet from Greenway detailing the Corica Park new rates, effective March 22, 2025, and includes comparable rates at various other public golf courses in the Bay Area.
Greenway submitted the following information:
The existing North 9-hole resident rates have been unchanged since approved by City management in Oct 2021. Additionally, Oct ’21 was the last, and only, time the South Course resident rates have been adjusted since opening in June 2018. Although there have been significant impacts from inflation the past 3+ years, in celebration of completing all the course construction and the overall vision for the property, no adjustments are proposed for the South Course residents’ rates.
In determining resident rates for the North 18, the current 9-hole North rates, which were approved by the City Oct 2021, were simply extended to an 18-hole rate equivalent. Which is to take the current 9-hole rate and adjust it on an average of 2X, to account for going from 9 to a full 18. In reviewing this structure, some of the days rates were adjusted down slightly from this 2x calculation to be a cleaner number in relationship to the discount from regular public rates. In support of resident players seeking greater value, rates do vary by course, and discounted senior rates, which make up 40% of all resident play, will be offered on the North and continued unchanged on South.
The rates are supported by the level of the quality of the courses and resident programs are in line with similar % discounts offered to residents of other local municipal courses. Additionally, rates should be evaluated on the merits in which they also generate additional revenues for the City that fund programs that can benefit a larger percentage of residents beyond those that play golf.
Demand on the North Course under the existing 9-hole rates has been strong and is expected to continue for 18-hole play.
FINANCIAL IMPACT
There is not an immediate direct fiscal impact to the City by this rate implementation. The City receives annual rent from Greenway in the amount of approximately $500,000 per year. The annual rent varies as it is a calculation based on a percentage of gross revenues.
RECOMMENDATION
To discuss and provide comment on the Corica Park rate increases.
Respectfully submitted,
Justin Long, Recreation and Parks Director
Exhibits:
1. Corica Park 2025 Rate Adjustment and Comparable Golf Course Rates