Valencia is Spain’s third largest city with over 2 million inhabitants. The purchase price of £3.6 million has been settled by way of cash and the assumption of a bank loan of £2.3 million. El Bosque’s previous owners are said to have spent over £10 million on its development. The club currently has 250 local members and is breaking even at the level of operating profit.
El Bosque has an 18 hole championship golf course designed by Robert Trent Jones senior which was built in 1972. The club has hosted various major tournaments including the European Open and the European Seniors Open. The 1998 US PGA Champion Vijay Singh is the joint course record holder along with Swedish Ryder Cup player Per Ulrich-Johanson.
The property includes a two tier driving range and extensive practice facility, a three storey clubhouse with two restaurants and bars, a separate village development with swimming pool, restaurant, bar, shopping plaza and 35 completed and part completed 4 star apartments, 18 completed clubhouse compartments together with a further swimming pool, a plot of land measuring 11,000 square metres, adjacent to the 18th hole, which has planning consent for the construction of up to 60 further apartments.
As stated in Clubhaus’s interim statement for the six months ended 30th June 1998, the provision of a warm weather destination for the Clubhaus Group’s 16,000 members has always been a strategic priority. Not only will a warm weather facility help reduce any seasonality experienced by the Group, as does the recent move into health and fitness, but it will also represent an additional attractive incentive to becoming a member of a Clubhaus club. Accommodation, flights, transfers, tee times and customised tuition can all be organised at El Bosque by Clubhaus for its members. The provision of further such resort destinations is at the core of the Clubhaus strategy today.
“We are delighted to announce this acquisition which fulfils an objective that we set out in our prospectus in November 19995,” says Charlie Parker, managing director of Clubhaus. “ There is tremendous potential at El Bosque to exploit its developed and undeveloped assets. Following this acquisition Clubhaus will have 12 golf facilities in England, three of which will have health and fitness facilities attached by next summer, three golf courses in Germany, one in France and one in Spain in addition to the Fox Club in London.
“As well as driving the organic growth of the Group we will continue to seek out quality facilities at the right price in Europe. However, although prices for such quality assets in the UK are currently becoming too high, there are good opportunities in continental Europe. Any such acquisitions will further strengthen Clubhaus’ position as the leading owner operator of golf and leisure facilities in Europe.”
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