IRI takes over course, restructures debt

(Golf Inc.) IRI Golf Management has added The Golf Club at Vistoso in Tuscon, Ariz., to its portfolio of 20 courses and restructured its debt on several other properties this year, according to chairman Jeff Silverstein.

ARIZGG LLC, an investment group, acquired The Golf Club at Vistoso in July, and signed a long-term management agreement with IRI, which also operates four other properties in Tucson. Silverstein brought together the group of Los Angeles-based investors to acquire the foreclosed property from Textron Financial for $3.7 million, which included equipment and carts. Silverstein has ownership interest in ARIZGG, LLC as well.

“It was an opportunity for us to acquire our number one competitor [to the Arizona National Golf Club],” Silverstein said. “It is a fabulous property.”

The Golf Club at Vistoso cost $10 million to build in 1996, and has been voted one of the top courses in the state. The company plans to make immediate capital improvements to the Tom Weiskopf-designed 18-hole course.

“Arizona has been hit so hard that it was the financial structure of the course more so that the actual numbers of the course [that led to the foreclosure],” Silverstein said.

IRI also recently restructured and recapitalized two Arizona properties — Arizona National Golf Club and Forty Niner Country Club. The restructure entailed the raising of new equity and a modification of its debt agreement with Textron Financial.

Silverstein said Textron Financial has been great to work with, and that he felt the acquisition of Vistoso helped get the deal done. IRI was able to extend its term five years and get a very good interest rate. This restructure follows a similar transaction which closed Feb. 2, 2010 involving eight properties in North and South Carolina as well as Texas.

In a separate announcement, the company announced an agreement in principle to restructure its debt for San Ignacio and Canoa Hills, two courses located in Green Valley, Arizona. IRI has corporate offices in Charlotte, North Carolina and San Diego, California. The company owns and operates golf courses and provides course management and administration.

Comments

Yet another golf property for Mr. Silverstein to bring to ruin.

IRI saved our course. Vistoso was one of the best in AZ and in just two months they have infused capital and programing. I saw what a great job they have done with AZ National formally the Raven and the Wildcat Trail they introduced is a great deal and received very well. it should be noted they also have donated significant dollars to junior golf.

I played at Arizona National over Labor Day weekend in a Patriot Days event held in support of Folds of Honor. It was a good experience. Nice to see companies like IRI giving back.

Our group plays regularly at San Ignacio a course IRI bought 10 years ago where the staff takes good care of us and the course is great.

I have participated in IRI's Get Golf Ready workshops and they have really helped me with my game. My last session was at Arizona National and the staff was extremly friendly and the course was in great shape. I think they are doing a great job.

These management companies need to focus on Jr Golf and speed of play. All we ever read is what they acquired or will start to manage. i would like to hear what they are doing to promote the game

Could not agree more,we need more golfers and programs promoting golf

I have heard a number of peers being left out to dry when IRI-like companies need an exit strategy (or lack a strategy all together). BTW, some of the below comments look an awful lot like defense... very weak
JackC's picture

If you post disparaging remarks about IRI or any other company, we will delete them unless you include your name and contact information.

Info is all there, I was under the impression that the comments section is for sharing of opinion and perspectives.

jordan spizike, I accept alternate in IRI's Get Golf Ready workshops and they accept absolutely helped me with my game

Add new comment

If you enjoyed this article and would like to sign up for a FREE digital subscription, click here!