Loading...
Proposal - Troon GolfTROON GOLF Via Morning Priority Federal Express November 25, 2003 Mr. Mark Weiss Assistant Executive Director/ Project Manager La Quinta Redevelopment Agency 78495 Calle Tampico P.O. 1504 La Quinta, California 93353 Re: Troon Golf Response to the Golf Course Management Request for Proposal - SilverRock Ranch Dear Mr. Weiss: Pursuant to your Submittal Procedures this letter is to serve as the requested cover letter. Enclosed are eleven (11) separate envelopes. The ten (10) envelopes identified by the marking "Work Proposal" are Troon Golfs Response to items l(B)-1(D), under the Submittal Procedures. One (1) separate envelope identified by the marking "Cost Proposal" will serve as Troon Golfs cost proposal for the services identified in the Work Proposal. Please be advised that I, Andrew J. Anderson, shall be Troon Golf s contact person for the remainder of the selection process. I can be contacted twenty- four hours a day as follows: Andrew J. Anderson Vice President, Business Development Troon Golf L.L.C. 15044 North Scottsdale Road Suite #300 Scottsdale, Arizona 85254 (480) 477-0575(Fax) (480) 606-1000 (Main Switchboard) (480) 477-0425(Direct Line) (480) 695-4158 (Cell Phone) Aandersonaa troon olg from (email) Please be advised that I have included a package of Troon Golfs collateral information in each Work Proposal. Should you need additional copies of Troon Golfs collateral, please feel free to contact me. Troon Golf does not anticipate the use of any subconsultants other than those hired or retained by the La Quinta Redevelopment Authority. Troon Golf would be honored to be awarded the opportunity -to work with the prestigious team in place on this high profile project for the La Quints Redevelopment Authority. If you have any questions regarding any of the items enclosed, I encourage you to call me. Thank you for The Boards' time and consideration in this matter. Very ly, yours, An ew J. ers Vice President Business Development Enclosures �i TROON GOLF Table of Contents I. Corporate Qualifications and Expertise.............................................................1 II. New Management Contracts Within Last Five Years......................................4 III. Current Management Contracts.........................................................................6 . IV. Financial Stability Statement..............................................................................8 Ve Golf Management Experience for Public Entities ............................................. s VI. Project Understanding and Approach...............................................................8 VII. Scope of Services Provided by Troon Golf. ........................................................ 9 VIII. Conclusion.........................:...................................................................................18 sw 9 Exhibit A: Troon Golf References 9 I. Troon Golf Corporate Qualifications and Experience A. Company Overview Troon Golf was founded in 1990. Dana Garmany, Troon Golf s Founder, Chairman and CEO, envisioned the concept of serving the public golfer as a "member for a day", believing that public and resort golfers were looking for a higher quality public golf experience. This concept was initiated at Troon North Golf Club in Scottsdale, Arizona. The overwhelming success of Troon North Golf Club led to more golf course owners and developers desiring to emulate the "Troon Golf Experience." As a result, many turned to Troon Golf, the recognized innovator of this concept in the industry. Troon Golf now offers comprehensive services in the areas of golf course management, development consulting, and marketing. Troon Golf has become the world leader in upscale golf course development and third party management and currently operates some of the world's finest golf facilities including Troon North Golf Club in Scottsdale, Arizona, The Westin Turnberry Resort in Ayrshire, Scotland, The Ocean Club in the Bahamas and Brookwater Golf Club in Brisbane, Australia. Troon Golf is the only third party golf development and management firm that limits the facilities that it operates pursuant to a definite and stringent set of criteria, thereby allowing Troon Golf to create a recognizable brand within the golf industry based on agronomy and service standards. In total, our team is responsible for the development and operation of more than 130 high -end daily fee, resort and private golf clubs throughout the United States, Puerto Rico, Mexico, Bahamas, Dominican Republic, England, Scotland, Italy, United Arab Emirates, Australia, Fiji and Japan. Troon Golf s overall corporate structure is unrivaled by any third party golf development and management firm in the golf industry. Troon Golf oversees more than 7,000 employees, including more than 90 associates at the corporate headquarters located in Scottsdale, Arizona, with additional staff in global regional offices in Tokyo, Japan, Brisbane, Australia and Milan, Italy. Troon Golf offers more corporate support, experience and expertise than any other third party operator. Since Troon Golf has very few owned assets, the corporate employees' sole responsibilities are to serve our clients and their respective interests. Below is a summary of Troon Golfs key executive employees. B. Corporate Executives and Key Departments Troon Golf s key senior executives and key employees include the following individuals listed below. Dana R. Garmany Chairman and Chief Executive Officer Dana Garmany has over 20 years' industry experience developing and operating golf facilities worldwide, as well as involvement in more than 40 construction projects. Garmany was also named by Golf Inc. Magazine as one of "Golf s 25 Most Powerful People", one of the "25 Most Influential People in Golf', and one of the "21 Most Innovative People in Golf'. A member of the Professional Golfers Association of America since 1983, Garmany founded Troon Golf in 1990 with his first property, the renowned Troon North Golf Club in Scottsdale, Arizona. Garmany continues to lead and set standards for domestic and international high -end daily fee, resort, and private golf courses. Hud Hinton President and Chief Operating Officer Hud Hinton is widely recognized as one of the hospitality industry's most experienced brand, franchise and third - party management experts. Prior to joining Troon Golf in 1999, Hinton was Executive Vice President -Hotel Operations, North America, for Starwood Hotels and Resorts Worldwide. Previously, Hinton served more than seven years as Senior Vice President -Operations for Westin Hotels and Resorts. Hinton also has been General Manager of the world-renowned Plaza Hotel in New York City and the Arizona Biltmore in Phoenix, Arizona. 10 Dick Trueblood Executive Vice President Chief Financial Officer Richard Trueblood joined Troon Golf in 2001 and is an experienced executive with 30 years of experience in the financial field. He moved to Troon Golf from Heritage Property Investment Trust, where he served as Chief Financial Officer for the $2 billion real estate investment trust. Prior to that he held the position of Senior Vice President - Finance with Promus Hotel Corporation following a 23-year tenure as a Partner with KPMG Peat Marwick LLP. John W. Easterbrook, Jr. Executive Vice President, Operations John Easterbrook, Jr. has more than 20 years experience in the golf industry. Prior to joining the Company in k sent five ears' as head of Golf Operations for all Hyatt Hotels' golf properties, as well as 1997, Easterbrook p y OP Y nine years with Marriott Golf in various capacities, including Regional Director of Golf Operations. Easterbrook was appointed to his current position in 1998, and is responsible for oversight of operations at all Troon Golf facilities. Timothy J. Greenwell Senior Dice President, Sales & Marketing Tim Greenwell has over 17 years marketing experience in the golf industry including positions with the Arizona Golf Association, the USGA, and the PGA of America. Greenwell was hired by the Company in 1997 and is responsible for the development of all advertising, sales, marketing, and public relations strategies for Troon Golf and each of its facilities. Jeffery S. Spangler Senior Vice President, Science and Agronomy Jeff Spangler received his agronomy degree from the Ohio State University. He served tenures at Scioto Country Club and Muirfield Village Golf Club before being hired by The Pebble Beach Company in 1987. Spangler € served in Superintendent positions at Troon Golf and Country Club and Troon North Golf Club before being promoted to Troon Golfs Director of Agronomy in 1993. Spangler was appointed to his current position in 1998, and is responsible for the oversight of all agronomic programs for Troon Golf facilities. Jim Bellington Senior Vice President, Development Services Jim Bellington with over 25 years' experience in the golf industry, leads Development Services for the Company. In his current position Bellington provides oversight of all phases of course and clubhouse design, development. and construction services. Prior to joining Troon Golf in 2001, Bellington spent 14 years with Four Seasons Hotels and Resorts where he served as Director of Golf. During his tenure he provided oversight of golf operations at Aviara Golf Club and the Las Colinas Sports Club. Bellington's role with Four Seasons also involved the development of golf facilities both domestically and internationally. A graduate of the University of Arizona, Bellington has been a member of the Professional Golfers Association of America since 1981. Ronald A. Despain Vice President, Golf Course Design and Development Ron Despain has over 20 years' of experience in residential and golf course development, including overseeing development of the Troon Village and Troon North Golf Club master planned golf communities. Despain is a Registered Land Surveyor and Professional Engineer in the state of Arizona. Despain joined the Company in 1991 as Director of Engineering, and was promoted to his current position in 1996. Despain is responsible for the oversight of golf course, clubhouse and associated residential development for Troon Golf facilities. 2 11. Cynthia C. Anderson Vice President, Retail and Clubhouse Development Cindy Anderson has over 17 years' of management experience in the golf and hotel industry. Her career in the hotel business launched shortly after college holding such prestigious positions as Regional Director of Sales and General Manager. She became the youngest female to hold the position of General Manager in the state of Arizona at age 26. Anderson began her career with Troon Golf in 1994 as VP, Clubhouse Development. She was appointed to her current position in 1997, and is responsible for oversight of clubhouse design and construction for all Troon Golf Facilities. Cary T. Westmark Vice Presiden4 Information Technology Cary Westmark received his undergraduate degree from Western International University and a degree in Applied Science of Electronics from DeVry Institute of Technology. Prior to joining Troon Golf in 2000, { Westmark served in the technology industry for 13 years, including positions with Tosco Marketing Company i and McDonnell Douglas Helicopter Company as Technology Manager.. Westmark is responsible for development of technological strategies and implementation for all Troon Golf facilities. Gloria McKee Vice President, Human Resources r Gloria McKee has twenty years of experience in human resources with companies such as Joske's, Ritz Carlton, and Robinson May. McKee joined Troon Golf in 1996 and is responsible for benefit administration, human resources, and management training for over 7,000 employees. Charlene Lowry Vice Presiden4 Procurement Charlene Lowry has over 17 years experience in the hospitality purchasing industry. She served seven years in various purchasing capacities with the Phoenix -based Doubletree Hotels Corporation, most recently as Director of Purchasing. Immediately prior to joining Troon Golf in 1999, Lowry served as Director of Purchasing for the Gettys Group, a Chicago -based interior design and architecture firm serving the hospitality industry. Lyn Bickle Vice President., Corporate Controller Lyn Bickle has over 14 years experience in accounting, including SEC filings, debt offerings, securitizations, derivatives, internal control assessment, banking, real estate, transactions, forecasting and budgeting. She joined Troon Golf in 1998 and is responsible for corporate oversight of Troon Golf s Finance Division for both U.S. and International operations. Sickle received her degree in accounting from the University of Georgia, and is a Certified Public Accountant in the state of Arizona, Michigan, and Georgia. Paul M. Hadreas Director, Corporate Food A Beverage Paul Hadreas joined Troon Golf in 2000 and is responsible for Troon Golf s corporate oversight of food and beverage operations. Prior to joining Troon Golf, Hadreas managed the food and beverage operations at such renowned facilities as Congressional Country Club in Bethesda, Maryland, The TPC of Avenel in Potomac, Maryland and the Inn at Spanish Bay in Pebble Beach, California. In addition, he has managed food and beverage operations for several PGA Tour tournaments as well as supervising and managing formal dinners for the Chaine de Rotisserie and the Rolls Royce and Mercedes Benz motor companies. 3 12 II. New Troon Golf Management Contracts Within Last Five Years Pursuant to the La Quinta Redevelopment Agency's request, below is a list of new contracts for similar services that Troon Golf has entered into with its clients within the last five (5) years. 1998 Westin LaCantera Resort San Antonio, TX 36 Operating Westin Turnberry Resort Ayrshire, Scotland 54 Operating Westin Mission Hills Rancho Mirage, CA 36 Operating Eagle Glen Golf Club Corona, CA 18 Development Legacy Golf Club Bradenton, FL 18 Operating Eagle Ridge Inn and Golf Resort Galena, IL 63 Operating Westin Savannah Harbor Savannah, GA 18 Development 1999 The Crosby Club Rancho Santa Fe, CA 18 Development Fox Acres Country Club Red Feather Lakes, CO 18 Operating Quintero Golf and Country Club Peoria, AZ 18 Development Maderas Golf Club Poway, CA 18 Development Woodyard Savannah Quarters Savannah, GA 18 Development Westin Kierland Resort and Spa Scottsdale, AZ 27 Operating Shadow Lakes Golf Club Brentwood, CA 18 Development Branson Creek Golf Club Branson, MO 18 Development Turner Hill Golf Club Ipswich, MA 18 Development 2000 Ocean Club Paradise Island, Bahamas 18 Development Golf Club at Boulder Ridge San Jose, CA 18 Development Whirlwind Golf Club Chandler, AZ 36 Development Old Works Anaconda, MT 18 Operating Carmel Valley Ranch Carmel, CA 18 Operating Wyndham El Conquistador G & C.C. Fajardo, Puerto Rico 18 Development Lodge at Ventana Canyon Tucson, AZ 36 Operating Monarch Beach Golf Links Dana Point, CA 18 Operating Talking Stick Golf Club Scottsdale, AZ 36 Development Whitney Oaks Golf Club Rocklin, CA 18 Operating CapCana Punta Cana, D.R. 54 Development 2001 The Sagamore Club Indianapolis, IN 18 Development Brookwater Queensland, Australia 18 Operating Palmer Course at LaCantera San Antonio, TX 18 Development Vita Ridge Erie, CO 18 Development Black Creek Club Chattanooga, TN 18 Operating Teravista Round Rock, TX 18 Development Huntingdale Golf Club Victoria, Australia 18 Operating Robinson Ranch Santa Clarita, CA 36 Operating Prescott Lakes Golf Club Prescott, AZ 18 Operating Rose Creek Edmund, OK 18 Development The Rocks Private Residence Club Scottsdale, AZ Operating Montgomerie Dubai Dubai, U.A.E. 36 Operating Paradise Village Golf and C.C. Nuevo Vallarta, Mexico 18 Development Kitago Golf Club Miyazaki Pref., Japan 54 Operating Tom Watson Golf Course Miyazaki Pref., Japan 36 Operating Giants Ridge Golf and Ski Resort Biwabik, MN 36 Operating Phoenix Country Club Miyazaki Pref., Japan 27 Operating Kogen Country Club Miyazaki Pref., Japan 36 Operating Oblong Valley Golf Club Amenia, NY 18 Development Ambush Golf and Country Club Santaquin, UT 18 Development 4 13 f - 2002 Anthem Golf and Country Club Anthem, AZ 36 Operating Anthem Country Club Henderson, NV 18 Operating Horseshoe Bay Golf Club Egg Harbor, WI 18 Operating Estrella Mountain Ranch Golf Club Goodyear, AZ 18 Operating Tres Vidas Acapulco, Mexico 18 Operating Whitetail Club McCall, ID 18 Operating Glacier Club Durango, CO 18 Operating D'Andrea Golf Club Sparks, NV 18 Operating The Phoenician Scottsdale, AZ 18 Operating Denerau Golf and Racket Club Nadi, Fiji 18 Operating t Sheraton Steamboat Springs Steamboat Springs, CO 27 Operating Haig Point Daufuskie Island, SC 36 Operating The Revere Golf Club Henderson, NV 18 Operating Hillcrest Golf Crest Hollywood, FL 18 Operating Colonial (Sheraton) Wakefield, MA 18 Operating Colonial Country Club Ft. Myers, FL 18 Development The Georgia Tech Club Alpharetta, GA 18 Development Flying Horse Ranch Golf Club Colorado Springs, CO 18 Development Palmilla Resort & Golf Club San Jose Del Cabo, Mex. 27 Operating r Gaillardia Golf &C.C. Oklahoma City, OK 18 Operating Arabian Ranches Dubai, U.A.E 18 Operating Canyon RidgeGolf Club Rising, Fawn, GA 18 Development Wildflower Resort Grand Prairie, TX 36 Development r Popular Hill Golf Club Y Farmville, VA 18 Development 2003 The Grove Chandlers Cross, England 18 Development Sierra Nevada Golf Ranch Genoa, NV 18 Operating The Vintage Golf Club Sydney, Australia 18 Operating _ TPC Snoqualmie Ridge Snoqualmie, WA 18 Operating Green Academy Country Club Fukushima, Japan 18 Operating Corte Bella Golf Club Phoenix, AZ 18 Development Traditions Club at Texas A&M Bryan, TX 18 Development Lake Of The Isles Golf Club Mashantucket, CT 36 Development Elkhorn Golf Club Sun Valley, ID 18 Operating Peninsula Golf Club Sussex County, DE 18 'Development ` Wentworth Estates Naples, FL 18 Development Ocotillo Golf Resort Chandler, AZ 27 Operating Costa Palma Mazatlan, Mexico 18 Development Diplomat Country Club & Spa Hollywood, FL 18 Operating The Retreat Corona, CA 18 Development Moon Valley Country Club Phoenix, AZ 18 Operating Entrada at Snow Canyon St. George, UT 18 Operating Stone Quarry Golf Club New South Wales, Aus. 18 Development Twin Creeks Golf Club New South Wales, Aus. 18 Operating Kooinda New South Wales, Aus. 18 Development The Palm Dubai, U.A.E. 36 Development Dubai Sports City Dubai, U.A.E 18 Development Bearwood Lakes Golf Club London, England 18 Operating Castiglion Del Bosco Tuscany, Italy 27 Development III. Current Troon Golf Management Contracts Pursuant to the request of the La Quinta Redevelopment Agency's request, below is a list of Troon Golf s current contracts. Unfortunately, Troon Golf is unable to identify its contracts that are renewing within the next five years, as requested. This information is proprietary to Troon Golf. Providing information of this nature to The La Quinta Redevelopment Agency would put the information into the public stream and could compromise Troon Golf s relationships with our clients and our retention efforts. Attached on Exhibit "A" are the names and contact information for Troon Golf s clients who serve as references for Troon Golf. Since Troon Golf is actively engaged in business development, our clients frequently receive reference calls. As a result, we utilize a revolving list. The attached list represents Troon Golf s clients who are currently in the reference rotation at this time. Please note that references for two facilities that we manage for public agencies are included in the list. Please feel free to contact the references at your convenience. Year Facility Location Holes Stage Retained 1990 Troon North Golf Club Scottsdale, AZ 36 Development 1996 The Ridge at Castle Pines North Castle Rock, CO 18 Development 1997 Legend Trail Golf Club Scottsdale, AZ 18 Development Westin La Paloma Resort and Spa Tucson, AZ 27 Operating Westin Innisbrook Golf Resort Palm Harbor, FL 72 Operating 1998 Westin LaCantera Resort San Antonio, TX 36 Operating Westin Turnberry Resort Aiyshire, SL 54 Operating Westin Mission Hills Rancho Mirage, CA 36 Operating Eagle Glen Golf Club Corona, CA 18 Development Legacy Golf Club Bradenton, FL 18 Operating Eagle Ridge Inn and Golf Resort Galena, IL 63 Operating Westin Savannah Harbor Savannah, GA 18 Development 1999 The Crosby Club Rancho Santa Fe, CA 18 Development Fox Acres Country Club Red Feather Lakes, CO 18 Operating Quintero Golf and Country Club Peoria, AZ 18 Development Maderas Golf Club Poway, CA 18 Development Woodyard Savannah Quarters Savannah, GA 18 Development Westin Kierland Resort and Spa Scottsdale, AZ 27 Operating Shadow Lakes Golf Club Brentwood, CA 18 Development Branson Creek Golf Club Branson, MO 18 Development Turner Hill Golf Club Ipswich, MA 18 Development 2000 Ocean Club Paradise Island, Bahamas 18 Development Golf Club at Boulder Ridge San Jose, CA 18 Development Whirlwind Golf Club Chandler, AZ 36 Development Old Works Anaconda, MT 18 Operating Carmel Valley Ranch Carmel, CA 18 Operating Wyndham El Conquistador G & C.C. Fajardo, Puerto Rico 18 Development Lodge at Ventana Canyon Tucson, AZ 36 Operating Monarch Beach Golf Links Dana Point, CA 18 Operating Talking Stick Golf Club Scottsdale, AZ 36 Development Whitney Oaks Golf Club Rocklin, CA 18 Operating CapCana Punta Cana, D.R. 54 Development 6 2001 The Sagamore Club Indianapolis, IN 18 Development Brookwater Queensland, Australia 18 Operating Palmer Course at LaCantera San Antonio, TX 18 Development Vita Ridge Erie, CO 18 Development Black Creek Club Chattanooga, TN 18 Operating Teravista Round Rock, TX 18 Development Huntingdale Golf Club Victoria, Australia 18 Operating Robinson Ranch Santa Clarita, CA 36 Operating Prescott Lakes Golf Club Prescott, AZ 18 Operating Rose Creek Edmund, OK 18 Development The Rocks Private Residence Club Scottsdale, AZ Operating Montgomerie Dubai Dubai, U.A.E. 36 Operating Paradise Village Golf and C.C. Nuevo Vallarta, Mexico 18 Development Kitago Golf Club Miyazaki Pref., Japan 54 Operating Tom Watson Golf Course Miyazaki Pref., Japan 36 Operating Giants Ridge Golf and Ski Resort Biwabik, MN 36 Operating Phoenix Country Club Miyazaki Pref., Japan 27 Operating Kogen Country Club Miyazaki Pref., Japan 36 Operating Oblong Valley Golf Club Amenia, NY 18 Development Ambush Golf and Country Club Santaquin, UT 18 Development 2002 Anthem Golf and Country Club Anthem, AZ 36 Operating Anthem Country Club Henderson, NV 18 Operating Horseshoe Bay Golf Club Egg Harbor, WI 18 Operating Estrella Mountain Ranch Golf Club Goodyear, AZ 18 Operating Tres Vidas Acapulco, Mexico 18 Operating Whitetail Club McCall, ID 18 Operating Glacier Club Durango, CO 18 Operating D'Andrea Golf Club Sparks, NV 18 Operating The Phoenician Scottsdale, AZ 18 Operating Denerau Golf and Racket Club Nadi, Fiji 18 Operating Sheraton Steamboat Springs Steamboat Springs, CO 27 Operating Haig Point Daufuskie Island, SC 36 Operating The Revere Golf Club Henderson, NV 18 Operating Hillcrest Golf Crest Hollywood, FL 18 Operating Colonial (Sheraton) Wakefield, MA 18 Operating Colonial Country Club Ft. Myers, FL 18 Development The Georgia Tech Club Alpharetta, GA 18 Development Flying Horse Ranch Golf Club Colorado Springs, CO 18 Development Palmilla Resort & Golf Club San Jose Del Cabo, Mex. 27 Operating Gaillardia Golf &C.C. Oklahoma City, OK 18 Operating Arabian Ranches Dubai, U.A.E 18 Operating Canyon RidgeGolf Club Rising, Fawn, GA 18 Development Wildflower Resort Grand Prairie, TX 36 Development Popular Hill Golf Club Farmville, VA 18 Development 2003 The Grove Sierra Nevada Golf Ranch The Vintage Golf Club TPC Snoqualmie Ridge Green Academy Country Club Corte Bella Golf Club Traditions Club at Texas A&M Lake Of The Isles Golf Club Elkhorn Golf Club Peninsula Golf Club Chandlers Cross, England 18 Development Genoa, NV 18 Operating Sydney, Australia 18 Operating Snoqualmie, WA 18 Operating Fukushima, Japan 18 Operating Phoenix, AZ 18 Development Bryan, TX 18 Development Mashantucket, CT 36 Development Sun Valley, ID 18 Operating Sussex County, DE 18 Development 7 16 Wentworth Estates Naples, FL 18 Development Ocotillo Golf Resort Chandler, AZ 27 Operating Costa Palma - Mazatlan, Mexico 18 Development Diplomat Country Club & Spa Hollywood, FL 18 Operating The Retreat Corona CA 18 Development Moon Valley Country Club Phoenix, AZ 18 Operating ' Entrada at Snow Canyon St. George, UT 18 Operating Stone Quarry Golf Club New South Wales, Aus. 18 Development Twin Creeks Golf Club New South Wales, Aus. 18 Operating A Kooinda New South Wales, Aus. 18 Development The Palm Dubai, U.A.E. 36 Development Dubai Sports City Dubai, U.A.E 18 Development Bearwood Lakes Golf Club London, England 18 Operating r ' Castiglion Del Bosco Tuscany, Italy 27 Development IV. Financial Stability Statement Troon Golf is one of the most financially stable companies in the golf industry. Troon Golf, by business plan, is a third party manager, which shields Troon Golf from market fluctuations experienced by owner/operators, who have a substantial investment in their managed properties. Troon Golf s income is generated from management fees. Since Troon Golf has ownership interests in less than 10% of all of the courses that it manages, its balance sheet is virtually free from financial leverage. Troon Golf's ownership structure also provides solid financial backing, since it is owned by entities related to Goldman Sachs and Starwood Capital, with the remainder owned by individual shareholders. Troon Golf s profitability is based on economies of scale generated from its position as the largest third party manager in the industry. In addition, Troon Golf's growth has been reasonable, with a balance of delivering the corporate support our clients expect while reserving financial resources for challenging times. V. Golf Management Experience With Public Entities Troon Golf currently manages two golf facilities for two different public agencies. Since 2000, Troon Golf has operated The Old Works Golf Course in Anaconda, Montana for the City of Anaconda, Deer -Lodge County, the owners of the golf course. The Old Works Golf Course is an 18-hole facility designed by Jack Nicklaus. It is currently the number one daily fee golf facility in the State of Montana and has been recognized in that regard since its opening. Old Works is a tremendous source of pride for the City of Anaconda and Deer -Lodge County. Troon Golf has managed the golf operations at Giants Ridge Golf and Ski Resort in Biwabik, Minnesota since 2001 for the Iron Range Resources and Rehabilitation Agency, a division of the State of Minnesota. Giants Ridge is comprised of two 18-hole golf courses designed by Jeffrey Brauer, two practice facilities, and two clubhouses (one is currently in the planning stages). The Legend, the first course at Giants Ridge, has been recognized as the number one daily fee facility in the state of Minnesota by several publications since it's opening. Over the last eighteen months, Troon Golf has overseen the construction of the second golf course, The Quarry. The Quarry opened last July with extremely positive reviews. In both cases, Troon Golf has been a good partner with these respective public agencies and enjoys excellent working relationships with them. VI. Project Understanding and Approach The City of La Quinta's vision for SilverRock Ranch as a premiere hospitality and golf destination is consistent with the operating philosophy that has been the foundation for Troon Golf; to build the only true luxury brand development and management company in the golf industry. We hope that as you review our qualifications and collateral materials, you will notice a distinct difference between our firm and others. The type of golf courses operated by Troon Golf is restricted by stringent and definite standards. As a result, we are able to market an identifiable brand within the golf industry that is recognized by the quality of facilities, the superior agronomic 8 17 conditions, and the extraordinary service provided at those facilities. We are confident that Troon Golf would be the best selection as the manager of golf operations and maintenance at SilverRock Ranch based on our understanding of the La Quinta Redevelopment Agency's project objectives and commitment to delivering a quality product to its guests. If selected as the manager for SilverRock Ranch, we would immediately schedule an internal transition meeting to engage the various departments within Troon Golf to brief them on the project. At that time, specific individuals would be assigned to the project team, including development, marketing, operations, human resources, accounting and technology. The depth of the. Troon Golf management team will allow for immediate engagement by all areas and a seamless transition through all phases of the construction, grow -in, and pre - opening of the facility. A Regional Vice President of Operations would be assigned as the team leader and contact person for the City. r ° The Regional Vice President would begin to prepare a business plan to present to the City, taking into ti consideration the City's vision for La Quinta city residents, outside play, and the desire to attract a PGA tour event. The business plan would include a market analysis, operations and maintenance programs, detailed marketing plan, and operating and capital budgets. The team would also begin working closely with other contractors on the project to ensure that the master plan theme and history of the area is incorporated into the i operations of the golf course. VII. Scope of Services Provided By Troon Golf A. Development and Construction Oversight Troon Golf has been involved in the development of more than 40 upscale daily fee, resort and private golf facilities from the planning stages through the opening of those facilities. As a result, our in-house development team of land planners, architects, engineers, interior designers and project managers have a wealth of experience in the development, design and construction oversight of golf courses, golf course facilities and clubhouses. The goal of the development team is to utilize their expertise and Troon Golf s ability to deliver cost savings to build the highest -quality golf course, clubhouse and facilities within the owner's budgetary parameters, at the same time maintaining functionality and efficiency of design. Troon Golf s experience helps to prevent costly and unnecessary mistakes. We also understand the objectives of cost control and value engineering and can deliver a significant amount of our experience to ensure that these objectives are achieved. If retained for the project, Troon Golf would immediately become engaged in the development process by offering the all of the services requested by the La Quinta Redevelopment Agency's Request for Proposal and the following services. 1. Development • Visit project site and review project master plans, and provide Client with an evaluation of each. • Work with golf course architect to evaluate golf course design with respect to playability, safety, construction costs, schedule, grass variety selections, and relationship to clubhouse, maintenance building, and other portions of the development. Assist the golf course architect and Client in determining the program and location of practice facilities. • Assist in the coordination and review of the activities of the various design professionals through the plan review process and assist the Client in its efforts in obtaining the required approvals and permits. Coordinate design professionals activities with the Client's overall project construction manager. • Work with the irrigation designer to develop a design that maximizes irrigation efficiency within the irrigation budget. 9 18 -a • Assist landscape architect and golf course architect in the development of landscape plans for the golf course. Review plant selections and locations to ensure compatibility with the golf course turfed areas. • Provide input to Client on permitting requirements and/or studies necessary to obtain golf course water allocations. Work with Client's consultants to complete a study of available water a versus projected golf course water usage to help determine if additional water sources will be needed. • Review water quality testing reports and assist Client's consultants in determining if water treatment is needed. Make recommendations on type of treatment required to ensure that water quality is compatible with the requirements for quality turf growth. • In conjunction with the Client's overall construction manager, prepare construction and operating budget estimates for all aspects of golf course development including golf course grow -in and recommended maintenance equipment purchase. Show financial implications of purchase versus lease options on golf course maintenance equipment. • Work with building architects and design professionals to determine facility programming that ensures maximum flexibility and efficiency in building design. Coordinate reviews of site and landscaping plans to ensure compatibility with golf course operations. • Coordinate kitchen design with clubhouse architect and kitchen consultants to ensure that kitchen is sized and laid out appropriately. • Review engineering and architectural design plans through the design development phase to ensure conformance to Client's design intent. • Assist Client in obtaining and evaluating construction estimates and schedules for all structures including site work, landscaping and FF&E. • Provide input to the various design professionals during the development of their detailed design plans and specifications for bidding. Review all plans and supply Client with value s engineering ideas for all aspects of the project. Review golf course and clubhouse architect's specifications and make recommendations for modifications as needed. • Assist the Client with the preparation of bid documents and contracts. If the Client chooses to negotiate contracts, assist Client in the contract negotiations and provide an analysis of the contractor's proposals. • Attend pre -bid conferences. Answer questions and provide clarifications on items raised throughout the bidding process. • Analyze all bids, review for consistency and accuracy, and prepare a bid analysis for the Client. Make recommendations to the Client on which contractor's bid should be accepted. 2. Construction • In conjunction with the overall project construction manager, the golf course architect, the clubhouse architect, and the various golf course and clubhouse contractors, assist in the preparation of detailed construction schedules on all project elements. Coordinate golf course schedules with overall development schedules to resolve conflicts in scheduling. 10 19 • Coordinate with the project construction manager on the installation of roadway infrastructure and utilities to service the golf course. • Attend field walks with golf course architect to determine limits of clearing, adjustments to routing, and review of on -going construction. Assist golf course architect in creating a golf course that matches the Client's needs and one that can be maintained within the operating budget parameters. • Provide periodic site visits, attendance at construction meetings, and inspection of contractors' work to ensure compliance with plans and specifications. Review construction methods and procedures to ensure quality control during all aspects of golf course construction. is • Review and assist in field layouts of irrigation systems. Review hole -by -hole irrigation head counts to keep costs in line with budgets. Work with golf course architect to adjust grass lines to maximize irrigation efficiency. • Establish grassing and grow -in schedules for the golf course. Assist in coordinating the placement of the golf course superintendent and integrating them into the construction process. i (Typically the golf course superintendent is in place no later than the start of the irrigation installation). s• Review all materials tests provided by the contractors for proposed greensmix, bunker sand, gravel, and other materials, and provide recommendations on whether the proposed material is r suitable for use on the project. ' • Assist golf course superintendent and golf course architect in establishment of a contractor's punch list prior to final payment to contractor. Coordinate with contractor and superintendent on establishment of a schedule to complete punch list items. • Assist in final acceptance of all golf holes and in the turn over of the golf holes from the contractor to the Client for grow -in and maintenance. • Assist project construction manager and clubhouse architect in reviewing the progress of all building construction, construction invoices, change orders and RFI's to ensure adherence to construction schedules and budgets. Provide value -engineering recommendations during construction to maintain project within approved budget. • Attend construction meetings as requested by the Client to evaluate construction progress, adherence by the contractor to approved plans and specifications; and quality of construction. • Assist in the acquisition of all golf course purchases and recommend the timing of said purchases. Utilize Troon's national account status to negotiate lower prices on golf course irrigation equipment, pump stations, and other construction items as applicable. 3. Pre -Opening • Utilize Troon's national account status to negotiate lower prices for golf course maintenance equipment, golf carts, operating systems equipment and software, and other equipment and supplies as applicable. • Work with the interior design team retained by Client to review, evaluate, and make recommendations regarding the selection of FF&E and assist with installation. 11 20 • Provide Client with options on operating systems and integrate operating systems with systems from other portions of the development. Work with the appropriate design professionals on the system designs and assist with the installation of the systems. • Provide marketing assistance, including assisting Client in selecting a firm for logo development and advising such firm, aiding in the creation of public announcements and' directing pre -opening marketing activities, including incorporation into Troon's national advertising efforts. • Coordinate and assist with grand opening events and promotion. • Coordinate the clubhouse retail operation including set-up of golf shop and ordering of golf shop inventory. • Establish detailed maintenance and clubhouse operating budgets, operational schedules and safety programs. Assemble and coordinate clubhouse and maintenance staffs. B. Professional Management In All Phases of Operation By Industry Leading Experts 1. Golf Operations In order to create the most value for the owners of Troon Golf operated facilities, Troon Golf s goal is to deliver unparalleled levels of customer service and superior golf course conditioning. Troon Golf s management philosophy is to deliver guests to the facility and provide them with a world -class golf experience. In doing so, Troon Golf operates the facility efficiently and in a manner that generates maximum profitability for the facility's owner. The success of each facility's golf operations is dependent upon the hiring and training of quality employees, the implementation of Troon Golf s proprietary Operating Standards, and the depth of the corporate organization that support our employees at each facility. A key factor in the success of Troon Golf and the facilities it operates is the quality of its associates at the facility level. Troon Golf has been able to attract the best career golf employees. In an industry notorious for high 4 > employee turnover rates, Troon Golf has retained its employees because of the quality of the facilities in the Troon Golf portfolio and the possibility for advancement as Troon Golf grows. Our extensive benefit programs, g regular training seminars, and Troon Golf s industry leading operating standards have also contributed to an extremely low employee attrition rate. The stability of our personnel has made it possible to deliver consistent ' guest service without interruption. Troon Golf's General Managers, Food and Beverage Managers, and Golf Professionals are the most sought after . facility operators in the golf industry based on their experience of operating under Troon Golfs proprietary operational standards at some of the world's most renown golf facilities. Troon Golf would recommend candidates for these positions to the La Quinta Redevelopment Agency for consideration. Troon Golf s Operating Standards were assembled and implemented early in the firm's history, after a comprehensive facility level analysis of the criteria for superlative guest service, outstanding food and beverage preparation and presentation, and world class agronomy from our own facilities and other industry leading firms in the hospitality and service industry, including Four Seasons, Nieman Marcus and Nordstrom's. This well - integrated proprietary approach to golf facility management in the areas of golf operations, agronomy, and food and beverage provide the foundation for extraordinary facility management, efficiency and financial results. The implementation of our Operating Standards ensures consistency of the service levels, food quality, and agronomic conditioning at the each Troon Golf managed facility. These operating standards would be implemented at the SilverRock Ranch. Troon Golf s employee training program is one of the most sophisticated in the golf industry. Facility Managers that are selected from outside the Troon Golf system are trained in Troon Golf s corporate office in the "management -training incubator." If the Facility Managers have been promoted or have been transferred from a 12 21 Troon Golf property, training is generally not required since the candidate is familiar with the Troon Golf Operating Standards and understands what is expected of them. Golf Professionals and Food and Beverage Managers customarily are also promoted from within the Troon Golf s system. However, if a candidate from outside the Troon Golf system is selected, they are sent either to Troon Golf s corporate office or an existing Troon Golf facility for training. Prior to the opening of the SilverRock Ranch, Troon Golf s Employee Training Team will train all of the facility's employees. Troon Golf s Employee Training Team includes representatives from the Human Resources, Operations, and Accounting Departments. This training focuses on Troon Golfs guest service requirements, employee empowerment, and other employee training. Additional proprietary information A regarding Troon Golf s employee training practices can be provided at a presentation before the representatives i - of the La Quinta Redevelopment Agency. If retained, Troon Golf would perform the following operational and management tasks at the SilverRock Ranch: • Hire, train and supervise daily operations including facility staffing, operation and promotion of golf course and golf shop, facility food & beverage including, if applicable, banquet operations, course maintenance, and periodic activities such as tournament or other event coordination; • Develop and coordinate a business plan for each calendar year meeting the agreed upon objectives of the Client; • Provide Centralized Services including Facility accounting and payroll, financial reporting, and human resources administration; • Provide detailed monthly operating budgets to Client for all aspects of Facility operation • Utilize its national account status to obtain favorable pricing on golf shop merchandise, apparel, operating equipment and supplies and food and beverage supplies; • Coordinate with Client concerning ongoing capital expenditures, including the replacement of equipment and the expenditures of the Capital Reserve; • Prepare monthly operating reports comparing actual results to budget and analyzing financial performance monthly and year-to-date for each period; • If applicable, assist in the coordination of a membership plan at the facility. Services would include sale of memberships, as well as ongoing operation of membership programs; • Assist in the establishment of a golf school at the facility, if possible, with a nationally recognized golf school; • If applicable, assist with the operation of additional recreational amenities at the Facility. We understand that one of the goals of this project is to have SilverRock Ranch host the Bob Hope Chrysler Classic and possibly, a second significant tour event. Troon Golf has unparalleled experience both at the corporate and field levels to support this endeavor and ensure that any event held at SilverRock Ranch will be well received by the players and fans. Troon Golf has held and managed events on every American tour and several other major tours at courses under its management. Our General Managers, Superintendents and their golf operations staff understand what the American professional golf tours demand in golf course agronomic conditions, tournament operations, event coordination, and event marketing. Following is a list of the events that are hosted at our clients' courses under our management. In addition, scores of regional, state and local events are held at Troon Golf managed courses each year. 13 22 E= Gila River Classic Chrysler Championship Liberty Mutual Legends Of Golf Silver Dollar City Pro -Am Nationwide Tour Chattanooga Classic Valero Texas Open T_ C_ Loc- Nationwide Whirlwind Golf Club Chandler, AZ PGA The Westin Innisbrook Palm Harbor, FL Resort The Westin Savannah Legends Harbor Golf Resort & Spa Savannah, GA Nationwide Branson Creek Golf Club Branson, MO Nationwide Black Creek Golf Club Chattanooga, TN PGA The Westin La Canters San Antonio, TX Resort MasterCard Masters Australian European Dunlop Phoenix Tournament PGA European British Open (rotation) PGA European Senior British Open Senior European Weetabix Ladies British Open PGA European Michael Jordan Invitational Celebrity Huntingdale Golf Club Victoria, Australia Phoenix Country Club Miyazaki, Japan The Westin Turnberry Resort The Westin Turnberry Resort The Westin Turnberry Resort Ocean Club Ayrshire, Scotland Ayrshire, Scotland Ayrshire, Scotland Paradise Island, Bahamas These events have previously been held at Troon Golf managed go f facilities. Hyundai Team Matches PGA Monarch Beach Golf Links Dana Point, CA Chrysler Championship PGA The Westin Innisbrook Resort Palm Harbor, FL Office Depot Father Son Senior Ocean Club Paradise Island Bahamas 2. Agronomic Expertise Troon Golf s mission is to provide extraordinary guest service at golf facilities with superior playing surfaces. The backbone of Troon Golf s success is the superior agronomic condition of its facilities. This commitment to agronomic superiority is a focus of Troon Golf s proprietary Agronomy Standards. Our Agronomy Standards are the most exacting and detailed standards in the golf management industry. Golf course maintenance and agronomic programs tailored to the facility are developed and assembled prior to 14 41� T opening. Detailed schedules and programs for the golf course are established utilizing Troon Golf s proprietary agronomic programs. These programs are based on agronomic expertise involving complex scientific principles and a deep respect and understanding of the natural environment. The flow of information between the Troon Golf corporate office and the network of facility superintendents helps every facility maintain the best possible playing conditions. Jeff Spangler, Troon Golf s Senior Vice President of Science and Agronomy, is one of the most respected agronomists in the golf industry. Mr. Spangler's background includes an Advanced Agronomy degree from Ohio State University and more than 20 years of facility experience at some of the finest golf facilities in the country including, Pebble Beach and Muirfield Village. SilverRock Ranch will realize the benefits of Troon Golf's proprietary Agronomy Standards, the expertise and experience of Jeff Spangler, and a Troon Golf Regional Agronomist, along with a network of the industry's most respected team of Superintendents to ensure that the facility's agronomic conditions are optimized and the long-term health of the surfaces are closely monitored. Troon Golf s precise Agronomy Standards, world -class corporate agronomic oversight, and an information network of industry -leading Superintendents has proved to be a successful combination for Troon Golf s facilities, guests and clients. Recently, Troon North Golf Club's Pinnacle Course was named "The Best Conditioned Golf Course in America" by Golf Digest magazine. This coveted industry award is a confirmation of Troon Golf s philosophy regarding the priority of agronomic conditions at its facilities. Since our firm was built on our reputation for outstanding agronomic conditioning of our desert courses, SilverRock Ranch can be assured of receiving the same exacting attention to detail and focus that Troon Golf clients have come to expect. 3. Food and Beverage Expertise Troon Golf s philosophy on food and beverage and related service at its golf properties is that the food and d beverage and related service should be commensurate with the extraordinary golf experience at each facility. Troon Golf s proprietary Food and Beverage Standards are based on the food and beverage standards of the most f respected hote1jers in the world. These standards ensure that Troon Golf s high level of food and beverage quality remains constant at each facility over time and constant across Troon Golf s family of facilities. Paul Hadreas, Troon Golf s Food and Beverage Director, is responsible for the implementation and compliance of Troon Golf s proprietary Food and Beverage Standards at Troon Golf s facilities. Paul Hadreas has over 20 years of experience in the industry and was formerly the Food and Beverage Director at Congressional Country Club in Bethesda, Maryland and has managed the food and beverage operations at the Tournament Players Club at Avenal and the Inn at Spanish Bay. Troon Golf operates a wide variety of food and beverage operations at its various facilities. From the five-star dining experiences at Troon North Golf Club and The Club at Savannah Harbor to the casual atmosphere of the snack shop operations at Branson Creek Golf Club, Troon Golf s proprietary Food and Beverage Standards, management expertise, and well -trained associates ensure that each facility's guests enjoy their dining experience as much as their golf experience. 4. Marketing SilverRock Ranch Troon Golf markets the golf facilities that it manages on a national, regional and local basis. Marketing efforts are focused on building public awareness of not only each individual facility, but also the Troon Golf brand. Due to the number of Troon Golf facilities, maximum advertising exposure is realized for the most competitive rates in most markets. As a result of extensive marketing coverage, Troon Golf managed facilities are the most visible and recognized facilities. Troon Golf s facilities will have more than 340 million impressions by the end of this year. That amount of exposure will only benefit SilverRock Ranch as its notoriety quickly advances. In conjunction with the expertise and experience of McMurray, SilverRock Ranch will benefit from a powerful marketing team. By building brand awareness and consistently delivering positive experiences, Troon Golf assures its customers that they will "Experience Troon Golf' at any Troon Golf operated facility. Our strong relationships with upscale golfers, who have come to seek out the "Troon Golf Experience," drive more rounds at higher rates. In addition, 15 24 innovative products such as the Troon Two-Somd Card, Troon Rewards, and Club Troon have been developed to aid facilities to capture rounds that may otherwise have gone unused. SilverRock Ranch will have access to Troon Golfs frequent guest database of more than 2.5 million individual and more than 32,000 groups. If retained, Troon Golf will provide the following marketing support to the SilverRock Ranch: • Assist McMurray in the creation of local, regional and national marketing plan to facilitate maximized use at the Facility; • Coordinate Facility Public Relations efforts including event assistance and press release distribution; • Integrate marketing plan and Internet strategy; • Include Facility in national and regional promotions; • Assist in the development of products and yield -management tools such as custom golf packages and local -use card programs; • Provide database and direct mail opportunities including specific promotions and general Facility marketing; • Add Facility to 1.888.TROON U.S. router system to drive telephone reservations and traffic to the Facility; • Use best efforts to utilize its national account status to obtain favorable pricing on advertising opportunities; • Coordinate Facility photography; • Focus on relationships with travel providers to enhance Facility attractiveness to third -party golf travel vendors; and • Create a national group sales program utilizing growing Troon Golf database of mid -size to large groups. 5. Technology Services Provided To The SilverRock Ranch Troon Golf s Information Technology staff has been involved in the evaluation, design, and installation of complete information technology systems for more than 40 golf facilities. Troon Golf's Information Technology staff is available to evaluate your facility's technology needs pnd make recommendations for optimum system efficiency. The Information Technology staff is familiar with both Fore! Point of Sale and Peachtree accounting software. Troon Golf s national account purchasing arrangements with hardware and software suppliers enhances the benefit of operating these systems. If retained, Troon Golf s Information Technology staff will provide the following services: • Position the Facility on the cutting edge of modern technology in the golf industry by offering a fully - integrated reservations, property management, and point -of -sale solutions; • Administer the Facility's tee times electronically; • Facilitate inclusion in the Troon Golf web site (www.troongolf.com) and coordinate a Facility web strategy including the maintenance and/or establishment of the Facility's web page and Internet applications; and 16 25 Manage the Facility's supply chain and inventory with software applications or through the Internet. 6. Comprehensive Professional Human Resources Services ' Troon Golf provides comprehensive human resources services for all of its employees without the use of a third party consultant or employee leasing company that commonly add costs to the facility and ultimately, the owner. The employees at SilverRock Ranch would be employees of Troon Golf. Troon Golf employs more than 7,000 associates worldwide. Troon Golf s Human Resources department provides all of the services of a Fortune 500 company's human resources department. The department ensures that all employees are recruited, hired, trained, administered and in some unfortunate situations, terminated with most professional processes in the business, with a continuing focus on the importance of our people and their direct relationship to the success of each facility. All of the Troon Golf employees are trained on an annual basis in. such topics as Troon Golf service standards, first aid, CPR, sexual discrimination, and harassment. At SilverRock Ranch, our staff would train in English and Spanish, and our corporate staff has Spanish-speaking representatives as well. Our on-line Human Resources service allows employees to make benefit changes at their convenience. In addition, we have a 24- hour employee hotline, and our Human Resources department replies to all of their incoming calls within 24 hours. 7. Accounting Services Provided to SilverRock Ranch Troon Golf will provide comprehensive accounting oversight services from the corporate office without the use of third parties or consultants. Our Regional Controller system continues to be a highly successful and cost effective method to provide C.P.A. level oversight to each facility. Weekly, monthly, quarterly, and annual reports are provided to the owners to ensure that operational decisions are made on current information and controls reflect accurate data. Troon Golf s Accounting Operational procedures are modeled after that of most of the large hotel operators in the United States. The Accounting staff currently works with Peachtree accounting software at other Troon managed facilities. 8. Procurement and Risk Management for SilverRock Ranch Troon Golf will provide the purchasing power of more than 100 golf courses to SilverRock Ranch. Through Troon Golfs national purchasing agreements, Troon Golf will provide an unparalleled opportunity to leverage all of Troon Golf s purchasing relationships. Troon Golf s national purchasing agreements include multiple vendors for golf course maintenance equipment, golf carts, golf shop hard and soft goods, food and beverage supplies, and golf course maintenance supplies. Purchasing these items at lower cost and on superior terms will ultimately provide the best opportunity to reach its economic potential. SilverRock Ranch will receive the economic and service benefit of Troon Golf s in-house Insurance Risk Manager, who will ensure that all risk management policies are implemented at SilverRock Ranch in order to minimize exposure to the risks of operating a golf facility. The Risk Manager will also seek out the most appropriate and competitive insurance policies and coverages for SilverRock Ranch. This service can represent a significant savings to SilverRock Ranch without any additional cost to the facility or the City of La Quinta. 17 26 VIII. Conclusion Troon Golf clearly understands the La Quinta Redevelopment Agency's objectives and goals. If retained, we will undertake our role in this project with the significance and care that it demands and deserves. We are prepared and staffed to immediately deliver all of the services requested by the La Quinta Redevelopment Agency's Request for Proposal Scope of Services and provide additional services not included, but customarily provided, by Troon Golf to its clients. Our associates and our company have substantial experience in developing and operating golf courses for public agencies and operating some of the most respected resort golf facilities in the country. The depth of our corporate infrastructure to support our field level employees is unparalleled in expertise and experience. Troon Golf has significant experience in attracting and conducting high quality professional events to its owners' r - facilities. Troon Golf s marketing expertise and brand awareness will assist SilverRock Ranch in building a destination name and identity. Troon Golf would make SilverRock Ranch a golf destination that the citizens of La Quinta would be proud to have in their city. Troon Golf, L.L.C. 15044 N. Scottsdale Road Suite 300 Scottsdale, Arizona 85254 ^tl., Executed thisof Jioyftber, 2003 M1 ZA2 WFLlT + r 18 27 Ms. Linda Roketa General Manager Giants Ridge Resort P.O. Box 190 Biwabik, Minnesota 55708 Phone: 218-865-4143 I _ i TROON GOLF Exhibit "A" Troon Golf References Giants Ridge Golf and Ski Resort (Public Agency Reference) Mr. Rich Rivers Old Works Golf Club Rivers & Rivers (Public Agency Reference) Old Works Golf Course Auth. Bd. Member 110 West 3rd Street Anaconda, Montana (406) 463-3811 Mr. Mark Beaudoin Legend Trail Golf Club Ziff Brothers Investments Citicorp Center 153 East 53`d Street, 43`d Floor New York, New York 10022 Phone: 212-292-6511 Mr. Mick Inoue The Ridge at Castle Pines North Senior Vice President Suncrown Development 8777 E. Via De Ventura, Suite 250 Scottsdale, Arizona 85258 Phone: 480-607-3900 Mr. Steve Shalit Westin La Paloma Owner's Representative Westin La Paloma 3800 East Sunrise Drive Tucson, Arizona 85718-3302 Phone: 520-742-6000 Mr. Greg Mowatt Kierland Golf Club Senior Vice President, Chief Financial Officer Woodbine Development Corporation 1445 Ross Avenue, Suite 5000 Dallas, Texas 75202-2785 Phone: 214-855-6000 Mr. Sam Mitts Vice President USAA Real Estate Company 9830 Colonnade Blvd., Suite 600 San Antonio, TX 78230-2239 Phone: 210-498-8184 Mr. Scott Kusy President Big Moon Development, L.L.C. 8425 La Senda Avenue Scottsdale, Arizona 85255 Phone: 480-585-6348 Mr. Richard Vann Executive Vice President Sunroad Enterprises 1455 Frazee Road, Suite 1000 San Diego, California 92108 Phone: 619-692-3220 Mr. Steve Couig Chief Operating Officer Capital Pacific Holdings 4100 MacArthur Blvd., Suite 200 Newport Beach, CA 92660 Phone:949-622-8400 Mr. Gary McClung Midway Trucking Centers 4404 NE Courtney Drive Lee's Summit, MO 64064 Phone: 800-598-2285 14300 North Northsight Blvd., Suite 228 Scottsdale, Arizona 85260 Phone: 816-455-3000 Mr. William Kubly CEO Landscapes Unlimited, LLC 1201 Aries Drive Lincoln, NE 68512-9338 Phone: 402423-6653 Mr. Peter Bridges Vice President Newland Communities 4308 Live Oak Lane Rocklin, California 95765 Phone: 916435-0413 The Westin La Canters Resort Talking Stick Golf Club Maderas Golf Club St. Regis Monarch Beach Golf Links Quintero Golf & Country Club, Haig Point The Sagamore Club Whitney Oaks Golf Club D'Andrea Golf Club Teravista Golf Club 29 Ms. Karin T. Krogius Robinson Ranch Golf Club Executive Vice President Pacific Bay Homes, LLC 4041 MacArthur Blvd., Suite 500 Newport Beach, CA 92660 Phone: 949-440-7202 Mr. John Scovell Kierland Golf Club Chairman of the Board Woodbine Development 1445 Ross Avenue, Suite 5000 Dallas, TX 75202 Phone: 214-855-6000 Mr. Ben Redman Anthem Country Club - Phoenix Vice President/General Manager Anthem by Del Webb 3701 West Anthem Way Anthem, AZ 85086 Phone: 623-742-6024 Mr. Chris Haines Anthem Country Club — Las Vegas President Nevada Operations Del Webb Corporation 11500 South Eastern Avenue Henderson, NV 89052 Phone: (702) 9144901 Mr. Todd Tupper Estrella Mountain Ranch Golf Club SunChase Estrella 3010 East Camelback Road Suite 100 Phoenix, Arizona 85016 Phone: 602468-0800 Mr. Barry L. Talley Vista Ridge Golf Club Vista Ridge Development Corporation 1333 West 120'h Avenue Suite 100 Westminster, Colorado 80234 Phone: 303-795-2800 Mr. Robert Kolb Rose Creek Golf Club President Georgia Tech Golf Club The Melrose Company Traditions at Texas A&M 200 Merchant Street Hilton Head Island, South Carolina 29926 Phone: 843-785-6688 Mr. Rick Hearden Horseshoe Bay Golf Club President Horseshoe Bay Golf Club, Inc. 5335 Horseshoe Bay Road Egg Harbor, W154209 Phone: 920-868-9141 30 :TROONGOLr ATTACHMENT 2 Via Morning Priority Federal Express November 25, 2003 Mr, Mark Weiss Assistant Executive Director/ Project Manager La Quinta Redevelopment Agency 78-495 Calle Tampico P.O. 1504 La Quinta, California 93353 Re: Troon Golf Cost Proposal - SilverRock Ranch Dear Mr. Weiss: Troon Golf, L.L.C. ("Troon") is pleased to send you this Cost Proposal, which sets forth the fee structure for Troon to provide Development/Construction/Pre-Opening Services for, and to enter into a management agreement to manage on behalf of La Quinta Redevelopment Agency ("Owner"), that certain golf facility, located in La Quinta, California and known as SilverRock Ranch. 1. Development/Construction/Pre-Opening Services. Troon *Golf shall provide the development, construction and pre -opening services described in the Work Proposal, in connection with the development of the golf facility at SilverRock Ranch in exchange for a fee equal to $7,000 per month, to be pro -rated for any partial month. The development, construction and pre -opening services are anticipated to begin as soon as reasonably possible, and continue until the opening day of the golf facility at SilverRock Ranch. 2. Management Agreement Base Fee. Troon Golf shall provide the management services described in the Work Proposal, in connection with the management of the golf facility at SilverRock Ranch in exchange for a Base Management Fee of $6,500 per month, to be pro -rated for any partial month. The Base Management Fee shall begin on the opening day of the golf facility at SilverRock Ranch and continue for a term of five (5) full years. The Base Management Fee shall increase annually by CPI. 3. Management Incentive Fee. Troon Golf shall receive an Incentive Management Fee equal to two percent (2%) of gross revenues generated from the golf facility paid monthly. Subject to Owner's approval, all reasonable out-of-pocket expenses incurred by Troon in providing the Development/Construction/Pre-Opening and Management Services, such as travel (at coach rates), mileage and lodging expenses, shall be paid by Owner within thirty (30) business days of Troon's presentation to Owner of an invoice for such expenses. Thank you for your time and consideration. Very truly yours, Y Andrew J. Jerso Vice President Business Development Management - Development - Marketing 15044 North Scottsclale Roacl, Suite 300 - Scottsdale, Arizona 85254 Tel 480.606.10oo - Fax 480.606.1oio 77