By: R W Duncan
28 March 2015
The study performed by Professor Pingle and Mr. Belt definitely looked at sources of information on Gated Golf Course communities and their conclusion is “…variations in data collection imply that specific estimates reported in this study can only be considered very rough approximations of what might be experienced in ArrowCreek.” This final statement in the report is very telling. From a qualitative analytics perspective the study leaves some critical thinking and analysis to the reader. It is not clear what the two gentlemen were given as direction, but clearly their paper is not directly applicable to the ArrowCreek Home Owners Association (ACHOA) as it portrays a community that only partially exists. The ArrowCreek golf course is not an ArrowCreek amenity. The ArrowCreek Articles of Incorporation declare the following items to be the amenities of the ArrowCreek gated community:
- Private Roads within the Subdivision
- Swim and Tennis Club
- Staffing and Maintenance of Security Forces
- Common Area Lighting
- Entrance Gates
- Snow removal and storage areas
- Common Area landscaping including along private streets, or landscaping along ArrowCreek Parkway
- Fire and fuel breaks
- Detention basins and accumulated sediment
- Equestrian/pedestrian trails
- Bicycle and pedestrian paths
- Golf cart crossings
- Off-site residential parking areas
Notice that the Golf course is not captured as an ‘amenity’ but in fact is captured in the Declaration Covenants, Conditions and Restrictions (CC&Rs) as “Provisions for NON-Residential Uses” separate and separable from the ACHOA.
Table 1 is a compilation of data from available Reno resources. Notice from the Sotheby’s data that the value of a property on the golf course at ArrowCreek was only 1% higher than property not on the golf course. A key find of this data mining was that properties outside of ArrowCreek were actually selling at a premium of 1% over those in our gated community. One percent is again definitely not a significant difference. This data certainly leads to questions as to why the ‘premier’ ArrowCreek community isn’t at the top of the price per square foot competition.
Table 1. Comparative Southwest Reno Real Estate Sales Values |
|||
|---|---|---|---|
| Pingle Value Difference Golf vs. Non-Golf Course | Sierra Sotheby’s ARROWCREEK Year End Report 2014 Golf vs. Non-Golf | The Good Life South Reno March 2015 | ARROWCREEK vs. Non-ARROWCREEK |
| No. Prop = 60 | No. Prop = 23 | ||
| Avg Sale Price /Sq Ft. | Avg Sale Price /Sq Ft. | ||
| Golf = $212.63 Non-Golf = $209.86 | Non-Golf = $238.97 | ||
| 6% | 1.01% | -1.13% | |
What is of significance is the fact that there is minimal difference between homes on a golf course and a home not on a golf course. This then brings into question the drive by the ACHOA Board to “purchase the golf course to preserve property values.”
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