STRATEGIC ANALYSIS OF OF PUBLIC GOLF Executive Summary

1. STRATEGIC ANALYSIS OF OF PUBLIC GOLF Executive Summary NGF Consulting PGA Tactician Corp. Golf Map 5PARS April 30, 2019

2. OBJECTIVES OF PROJECT

3. METHODOLOGY OF PROJECT • 18 independent sources • Site inspections of all City facilities • 10 yr. review of market studies • 15 yr. review of historical performance • 20 yr. review of demographics • 20 yr. review of supply/demand Competitive markets (success/failure) • Local, regional, national golf trends • Site visits in competitive markets • Strategic review of City golf acreage • Summarize results and options

4. CITY GOLF MARKET OVERVIEW • 4 City Supported Golf Facilities • Historical monopoly on public golf • 15 public golf facilities in Pulaski County today • 120,000-140,000 annual rounds to breakeven • 49,800 actual rounds played in Little Rock (2018) Market trends have been unchanged since 2006 • Generational, economic, demographic trends are changing “traditional” golf usage

5. COMPETITIVE GOLF ASSETS Burns Park Course The Links at the Rock Eagle Hill Golf & Athletic Club The Greens at North Hills Country Club The Links at Sherwood Pine Valley Golf Course Deer Run Golf Course LRAFB Hurricane Golf and Country Club Greens at Longhills Hickory Creek Golf Course Southern Oaks Country Club Little Rock supported: War Memorial Golf Course The First Tee of Central Arkansas Rebsamen Park Golf Course Hindman Golf Course

6. SYSTEMIC MUNICIPAL CONDITIONS • Budget constraints • Often no strategic plan recognizing markets/resources • Inability to reinvest in golf courses • Modest to poor playing conditions • Poor facilities and poor food & beverage service • Poor “quality experience” lowers demand • Lower demand triggers more cost cutting • Financial losses balloon • This spiral describes most municipal golf today

7. MARKET COMPARABLES 2016 – 2018 Annual Average

8. DEFICIT CITY FUNDING OF MUNICIPAL GOLF

9. FINANCIAL RESULTS OF CITY GOLFASSETS

10. 2018 GOLF BY THE NUMBERS

11. SUCCESSFUL MODELS“A Rising Tide Lifts All Boats” • Master Plan-Strategic and Long Term • Balance Supply and Demand Master Plan—Strategic and Long Term Balance Supply and Demand Create Golf “Destinations” Targeting Growing Demographics Non-Traditional Golf Entertainment Venues Target Young Families, Women, Youth, Visitors, Seniors, Veterans • Include/Unite Surrounding Neighborhoods (use, employment, etc…) • Consolidate Management/Marketing—All Golf • Target Special Events, Leagues, Corporate/Civic Outings • Sophisticated Online Marketing • Public/Private Partnerships For Highest and Best Use of Land • High Quality Experience • Experienced Golf Management • PGA Instruction

12. REBSAMEN-POTENTIAL OPTIONS • 1. No Change. City funding will continue and likely increase. • 2. Refurbish/build efficient facility to attract all demographics and for hosting events (includes maintenance). • 3. Improve playing conditions and showcase views of downtown. • 4. Add modest, low-cost Golf Learning Center, add PGA resources and re-establish Rebsamen as a premier, public practice/teaching facility in the City. • 5. Public/private enterprise to re-purpose “short nine” land for potential riverfront/golf frontage development (part of self-funding plan).

13. FIRST TEE-POTENTIAL OPTIONS 1. No change. City subsidy will likely continue and increase. 2. Examine master plan options for all City land holdings in the area (“First Tee”, Western Hills and Hindman) as part of “University District” to include affordable housing, UA-Little Rock campus connected by transportation, corporate offices (perhaps ASGA, USGA, etc…), parks, soccer fields, walking trails, etc… 3. Add 9 holes and cart paths to provide a “new” high quality 18 hole golf facility on land adjacent to the existing facility. This would complement the “short nine” and practice area already in place and make for a great family destination and the centerpiece for a new and vibrant community. 4. City to manage all golf assets and operations. First Tee to be responsible for its unique programming. All parties to re-emphasize that mission. . .

14. HINDMAN-POTENTIAL OPTIONS • 1. No change. Understand that City funding will continue and almost certainly increase for the reasons below. • 2. Facility is in the flood plain and the course floods 8-10 times annually as Brodie Creek and Fourche Creek converge on or near this site. • 3. Given the flood plain restrictions, the City does not have the ability to control flooding or make on site improvements. Literally most repair work is washed away with the next flood. • 4. Facility entrance is the first area to flood in a storm. • 5. Consider working with Federal and State authorities to re-purpose the area for flood control (system of retention ponds, other mitigation). This use might help the City control flooding for surrounding neighborhoods. • 6. Consider re-purposing area as open park, paths for biking/walking, dirt bike course, disc golf, etc….

15. WAR MEMORIAL-POTENTIAL OPTIONS • 1. No change. Understand that City subsidies will continue and likely increase. • 2. Re-evaluate the master plan for this site given its unique location as a park in the central city. • 3. Consider as a site for a 9 hole course with the remaining land repurposed or incorporated into a true park master plan for families. • 4. Consider as a site for a privately funded, non-traditional golf venue (Top Golf, Big Shots, etc…) which requires central location, high traffic volume and high visibility. • 5. Value the land and analyze the highest and best use for City. • 6. Consider a public-private partnership to implement any plan for this site.