Back from the Brink
Green Hill
The recession hasn’t sent every club running for cover.
“The Wall Street Journal” read: Country Clubs Fight An Exodus.
Economic woes are straining private clubs as members flee.
That headline captured the reality at Green Hill Yacht & Country Club — a Lower Shore institution since 1927. Up until that point, there were more than 500 members at Green Hill. By February 2009, the membership had dwindled to just over 200 members — the lowest since the Club’s reopening after World War II in 1949! Adding to the crisis, an aggressive new corporate bank called in outstanding loans for many local businesses including Green Hill.
It was a difficult time. “Certainly one of the options being discussed at Board meetings was the possibility of filing bankruptcy. The bank wasn’t making it any easier — they gave us an ultimatum and a very short time frame. And we knew filing bankruptcy could be the beginning of the end for Green Hill. Ultimately, we called a meeting of the entire membership to present our options,” recalls Bob Wilson, former president of Green Hill’s Board of Directors. “I remember a member I didn’t recognize asking some pointed questions from the back of the room that evening. The next day I got a call from him asking to meet with the Executive Committee to discuss Green Hill’s position. All he said was that he might be able to help. So I agreed to arrange the meeting,” said Wilson. That member was Dave Riley. In 2002, he and his wife Anne moved from Baltimore intending to retire on the Lower Shore. Aside from the natural beauty, the Rileys were pleasantly surprised to find what they considered a well-guarded secret — an affordable country club where they could enjoy their leisure years and entice their children and grandchildren to return summer after summer. Add to that the bonus of meeting new friends and becoming a part of the Salisbury community, and the Rileys were sold.
Riley met with the Green Hill Board and explained that what he saw was not just a very difficult challenge, but also a unique opportunity. From his perspective, the recession would allow Green Hill to reposition itself as the premier country club on the Lower Shore. “We can offer an experience at Green Hill that will make families rethink those vacation plans at expensive resorts in other parts of the country,” said Riley. He continued, “We not only have a one-of-a-kind facility, never to be duplicated, it’s all here on the shores of the Wicomico River with spectacular views of wildlife and setting suns over the river on late summer evenings. It’s a location that can only be described as spectacular.”
No other facility within hundreds of miles offers those who value it such a challenging and unique golf course — one that has hosted the Salisbury Pro-Am Open for years and supported local charitable events year after year. As one would expect from a well-established high-end country club, the amenities include a par 72, 6,563-yard championship golf course — where members can play a leisurely round in under four hours any day of the week. Couple that with a driving range, practice chipping green, tennis courts, Olympic-size swimming pool with locker rooms to match, different dining facilities along with a regionally recognized chef, and one can understand why a Green Hill membership is considered a prized possession. Add to all that a staff who knows every member’s name and personal preferences and it becomes clear why members are so passionate about Green Hill.
Riley and the Board understood that Green Hill needed strong financial and management leadership. Riley, with 30 years of business consulting experience, suggested he take on those responsibilities as the interim General Manager. His compensation — $1 per month and he continues to pay his membership dues. The Board accepted Riley’s proposal and he immediately began implementing a three-part plan.
The first step was to get the bank to back off. That is exactly what they did. Why? Simply put, renewed confidence. Members contributed to a special fund and retired $150,000 of bank debt. The bank saw that members were willing to support the club even in difficult times and they agreed to compromise. Today, the relationship with the bank is solid. Not surprisingly, some good has come from the bank’s initial aggressive position. “Now it’s definitely a culture of ‘pay as you go’ as opposed to ‘let’s just borrow more,’” said Gordon Gladden, Green Hill’s new president of the Board. He continued, “Although there is now a much smaller membership at Green Hill, those that remain are more committed than ever. It might cost more to be a member than it did in the past, but the membership knows it is a good value, and are thrilled that the future of Green Hill is now under our control instead of the bank’s.”
Part two of the plan was to raise enough funds from current members to keep the club solvent while it rebuilds the membership. “Our goal was to raise $500,000. We wanted to pay off more bank debt, take care of deferred maintenance around the property, and have enough cash on hand to make up any shortfall while we rebuilt the membership,” said Riley. As of today, Riley reports the club is just $50,000 short of reaching the goal.
Green Hill has also focused on taking care of deferred maintenance. Members report that the golf course has never been in better or more beautiful shape than it is now. The pool was repainted along with a complete upgrade of the pool locker rooms. Grillroom renovations included the addition of two, 50-inch high definition televisions. Soon to be called “Nick’s Place” in honor of Green Hill’s regionally recognized chef, the renovations proved to be well received. Just how well? In the two months following the renovations, 280 more meals were served than in the same period last year — with 50 percent fewer members!
“The grillroom (Nick’s Place) used to be just a place for a cold beer after a round of golf. Most members didn’t think of it as an entertainment destination. They just didn’t think about coming by on a Friday or Saturday to see who else they’d run into, play some dice or cards, throw some darts or try one of the new wines on the menu,” says Riley. “Now it’s the place to go. A place where everybody knows your name! The kids play Wii on the 60-inch TV in the family room while their parents enjoy high definition sports on multiple flat screen TVs and a new menu in the grillroom. It’s no longer wise to stop by without a reservation on a Saturday or Sunday,” warns Riley.
The third part of the plan is the most far reaching. “Creating an atmosphere where each member feels special every time they visit their club is the only way Green Hill can compete against all the other options out there,” explained Riley. “Frankly, our members can afford to go to any resort or golf club in the country. We have to make sure what we offer in their own hometown is a better value and more enjoyable experience than they can get anywhere else. With all that Green Hill has to offer, it’s just a matter of our staff treating members like royalty every time they’re here. We can do that. And the truth is, the success of Green Hill Yacht & Country Club is a triumph for the whole community,” said Riley.
So, if you would like to know more about Green Hill or are interested in being considered for membership, please give them a call at 410-749-5119 or visit the Web site at www.greenhillcountryclub.org. They always welcome the opportunity to show prospective members around the facilities, have you enjoy a round of golf as a guest or join members for a meal in Nick’s Place. Come on over and find out more about the Eastern Shore’s “Best Kept Secret!”
