Reinventing Palm Springs

The golf and real-estate market is in a major shift right now, across the world these planned communities appeal primarily to a disappearing demographic - the baby boomer golfer and second home buyer/vacationer. Palm Springs California makes a great case study for the uncertain future of golf communities, luxury resorts and the trickle-down-effect on local retailers, daily fee courses and total economic impact. 

Little boxes on the hill side...

In the recent Desert Sun article (found on mydesert.com) Mike Perrault reviews the situation in Palm Springs and offers some insight from developers, operators and patrons in the region. 

From the article: 

"The recession exposed the vulnerability of the business model that created an unbreakable linkage between golf and real estate. We're entering a new normal; we're in a recasting era,” said Pete Halter, chairman of The Halter Companies, an Atlanta firm that advises developers. “We can't think that this will be over soon. Things have changed for good.”

"Fewer people play golf, and baby boomers don't have the time, money or interest in the game their parents did. The number of golfers in the U.S. has fallen by 13percent in the past five years."

"A glut of club memberships. There are at least 12,000 openings in the Coachella Valley. Nationally, golf memberships have dropped by a million since the early 1990s."

"The housing bust. Nearly 25percent of homes for sale in the Desert Multiple Listing Service are on golf courses."