Should You Buy a Golf Course? Reality Check & Tips
A Practical Guide to Golf Course Investment
Owning your own golf course sounds like a dream come true for any golf enthusiast.
The idea of having unlimited access to play whenever you want, creating memorable experiences for guests, and potentially turning a profit is incredibly appealing.
But before you take the plunge into golf course ownership, here's what you need to know.
The Reality Check: It's Harder Than It Looks
Picture this: You've just signed the papers on your dream 18-hole course.
The rolling fairways stretch out before you, and you're already imagining your morning rounds with unlimited tee times. Then month three hits, and you're staring at a €50,000 irrigation repair bill.
Start with realistic expectations.
The old saying in the golf industry goes: "How do you make a small fortune owning a golf course? Start with a large fortune."
While this might sound harsh, it highlights an important truth. Golf courses are notoriously difficult businesses to run profitably.
Industry veterans consistently warn that most golf courses operate on thin margins, even successful ones.
Financial experts who work specifically with golf course owners note that courses face significant challenges maintaining profitability due to high operating costs, capital expenditure needs, and vulnerability to external factors.
Before getting excited about potential profits, understand that you're more likely looking at a lifestyle investment rather than a money-making venture.
Key Questions to Ask Before Buying
Imagine walking the property with the current owner, who keeps mentioning how "peaceful" and "relaxing" it is to run the course.
But when you ask about last year's financials, they suddenly need to take an important phone call.
Why is the current owner selling?
This is the most important question you can ask. If a golf course is for sale, there's usually a reason, and it's rarely because it's too profitable to handle.
What are the actual financials? Don't just look at revenue. Examine the complete picture including:
Annual operating costs
Maintenance expenses
Staffing costs
Seasonal revenue patterns
Local competition
The 18-Hole Rule
Serious golfers expect 18 holes.
If you're planning to attract golf tourism or corporate groups, nine holes typically won't cut it.
Most destination golfers won't travel significant distances for a nine-hole experience when 18-hole courses are available.
Understanding what makes golfers travel for the complete 18-hole experience can help you evaluate whether your property meets those expectations.
Consider whether you can expand to 18 holes or create multiple tee positions to offer variety.
Some courses use different tee boxes to make nine holes feel like 18 by changing the approach and difficulty.
Location Makes or Breaks Success
You fall in love with a breathtaking mountain course. Eagles soaring overhead, not another building in sight.
Then reality hits: your nearest golfer lives 45 minutes away, and your head groundskeeper just quit because the commute was "killing him."
Proximity to population centers matters.
Remote locations with stunning views might seem romantic, but they create major challenges:
Limited local customer base
Higher transportation costs for supplies
Difficulty attracting and retaining staff
Weather-dependent access issues
Weather considerations are fundamental.
If you're looking at locations with challenging weather patterns, factor in:
How many playable days per year
Seasonal closure periods
Indoor alternatives during bad weather
Maintenance challenges from extreme weather
For inspiration on what makes certain courses worth traveling to despite location challenges, explore these breathtaking hidden gem golf courses that have overcome geographic limitations through exceptional experiences.
The Hidden Costs of Golf Course Ownership
It's 6 AM on a Tuesday, and you're standing on the 7th green watching your superintendent explain why three greens need complete renovation, this month.
The number he mentions makes your morning coffee suddenly taste very bitter.
Maintenance is expensive.
Each green can cost €10,000-20,000 annually to maintain properly.
This includes:
Specialized equipment
Fertilizers and chemicals
Irrigation systems
Skilled groundskeeping staff
Golf industry experts point out that thousands of courses built during the 1990s are now reaching that critical 30-year mark where irrigation systems, equipment packages, bunkers, cart paths and facilities are reaching their service lifetimes.
This creates a massive wave of capital expenditure needs that many owners haven't adequately planned for.
Staffing challenges are real. You'll need:
Head groundskeeper/superintendent
Pro shop staff
Food and beverage team
Maintenance crew
Administrative support
Finding qualified staff in remote locations can be particularly challenging and expensive.
Legal and Insurance Realities
Here's something most prospective owners don't consider: golf courses face significant liability risks.
Legal experts who specialize in golf course litigation report that settlements against courses often range anywhere from $100,000 to $3 million.
Industry data reveals that someone dies once a month on a golf cart in North America.
Insurance companies are becoming increasingly strict, with some literally telling clubs they insure that coverage will not be renewed unless they implement stronger risk reduction measures, including proper waivers and safety protocols.
Making It Work: Success Strategies
Focus on the complete experience.
Successful golf course businesses often succeed by offering more than just golf:
Quality food and beverage service
Corporate event hosting
Wedding and special event venues
Accommodation options
Golf instruction and clinics
Learning from established courses about transforming member experience can provide valuable insights into creating lasting value for your guests and members.
Consider the boutique approach.
If you can't compete on size, compete on exclusivity and quality. High-end, intimate experiences can command premium prices and create loyal customers.
Plan for multiple revenue streams. Don't rely solely on green fees:
Membership programs
Corporate packages
Event hosting
Golf lessons
Equipment sales
Accommodation bookings
Your pro shop can become a significant revenue source by stocking essential golf bag items that golfers need during their rounds.
Financial Planning Essentials
You bought the course for €500,000, thinking you were getting a bargain.
Eighteen months later, you've spent another €1.2 million on "essential improvements" and still haven't seen your first profitable month. Welcome to golf course ownership.
Have significant reserves.
Plan to invest 3-5 times the purchase price in improvements and operations before seeing profits. This isn't unusual, it's standard.
The National Golf Course Owners Association, which has supported golf course owners since 1971, emphasizes that successful operation requires understanding that golf encompasses many different businesses into one complex operation.
Their experience managing multiple golf course assets confirms that intelligent purchasing decisions significantly increase the opportunity to build a profitable business.
Model worst-case scenarios.
Create financial projections assuming:
Lower-than-expected visitor numbers
Weather-related closures
Economic downturns affecting discretionary spending
Unexpected maintenance issues
Consider partnership opportunities.
Solo ownership means solo responsibility for all costs and challenges. Partners can share financial burden and bring complementary skills.
When Golf Course Ownership Makes Sense
You have significant disposable income. Only consider this if you can afford to lose your entire investment without affecting your lifestyle or retirement.
You're passionate about the industry. Successful golf course owners are typically deeply involved in daily operations and genuinely love the golf business.
Understanding what drives golfers' enjoyment can help you create experiences that keep players coming back.
You have relevant experience. Background in hospitality, grounds management, or business operations gives you a significant advantage.
You're thinking long-term. Golf course investments often take years to become profitable, if they ever do.
Alternative Approaches
Start smaller. Consider investing in driving ranges, putting courses, or golf simulators before jumping into full course ownership.
Look for partnerships. Join with other investors to share costs and risks while gaining experience.
Consider management roles. Managing an existing course can provide valuable experience without the ownership risks.
Managing the Social Dynamics
It's Saturday morning, and you're mediating between a frustrated foursome who've been stuck behind slow players for two holes, while simultaneously explaining to an angry member why the pro shop ran out of his favorite golf balls.
This is your new normal.
Running a golf course means dealing with diverse personalities and skill levels.
Understanding proper golf etiquette and how to handle difficult playing partners isn't just helpful for your own game, it's essential knowledge for creating a welcoming environment that encourages repeat visits and positive word-of-mouth.
You'll also need to understand your target market.
Knowing how golf handicaps work helps you design appropriate course challenges and create fair tournament formats that keep players engaged regardless of skill level.
Final Recommendations
Golf course ownership can be incredibly rewarding for the right person with the right circumstances.
However, it should be approached as a lifestyle choice rather than a business investment.
The most successful golf course owners are those who can afford the financial risks and are genuinely passionate about creating exceptional golf experiences.
Before making any decisions, spend significant time at the property during different seasons and weather conditions. Talk to local golfers, nearby course owners, and industry professionals.
Most importantly, ensure your family is fully on board with what will likely become an all-consuming passion project.
If you're asking whether you can afford it, you probably can't.
Golf course ownership is for those who can comfortably absorb substantial ongoing costs while potentially never seeing a return on investment.
The dream of golf course ownership is beautiful, but the reality requires careful planning, substantial resources, and realistic expectations.
Whether you're offering simple tips to help players enjoy their rounds or creating championship-level challenges, success comes from understanding what golfers truly value in their course experience.
Ready to improve your golf game and share your own tips?
—Hakan
Founder, ParTalk.com | X/Twitter: ParTalkGolf | Instagram: @golfingphoto