Valued Members, Customers, Employees and entire Creeks Family,
This correspondence is a follow up to our letter dated August 28, 2019 where we updated you on the status of our golf business as it relates to the EF-1 tornado that damaged our property on July 20, 2019. Please reference our August 28th letter which is posted on our website here: http://www.golfthecreeks.com/updated-status-tornado-at-the-creeks/.
We are still recovering from this tornado which left in its wake hundreds of thousands of dollars and damages. To make matters worse, we had a dispute with our property insurance carrier and, as a result, were left no choice than to file suit against our carrier for breach of the insurance contract. In the meantime, we are doing our best with the little money that we received to make urgent storm damage repairs. That said, the lack of course revenue since the storm and the disappointing situation with our insurance company has forced our business to the brink of insolvency.
Please understand that as owners, we are doing everything in our power to avoid bankruptcy so our business can survive. We understand that these events have caused you further interruption in your ability to support The Creeks with your golfing and leisurely activities and has also brought many of you great concern over the future of our business. This concern is warranted but please understand that our goals are unchanged. We do have concern over the timeline of how this lawsuit affects our ability to remain a golf course. Once May 2020 is here, the golf course will require significant continual maintenance, regardless of whether the golf course is open to golfers. This will require us to replace a damaged cart fleet, buildings, maintenance equipment and irrigation system. It will also require the ability to afford the necessary maintenance payroll. We are unable to fund these fixes and this labor with business capital and therefore, we rely on the insurance money to fund these endeavors, which are rightfully covered under our insurance policy. Hopefully a settlement will be quickly forthcoming. If this lawsuit takes longer, we owners, are exploring all options to fund these necessary fixes until the lawsuit is settled.
At a best-case scenario, it seems very unlikely that we will be able to open the golf course before mid-summer. However, it is too early to say with any certainty if and when the course will reopen. When this insurance matter is finally settled, we will do everything in our power to do right by our loyal patrons!
Bill Verbrick will field questions related to these matters on behalf of the owners of The Creeks at Ivy Acres. Please understand there isn’t much more to say than what has been said in this letter. He can be best reached via email at email@example.com.
The ownership group
The Creeks at Ivy Acres