Project Information
The KGAC was orginally developed and constructed by proceeds from charter members in 2002. Each charter member paid an initiation fee of $7,000 to help accumulate enough capital to start the project. The final cost of the KGAC was approximately $1,500,000. Approximately 50% of the start up costs were paid by charter members with the balance financed through a construction line of credit with Cashmere Valley Bank.The initial loan balance upon substantial completion was approximately $755,000. New memberships were sold since 2005 reducing the loan principal to approximately $670,000.
The KGAC currently holds a 75 year lease with the Kahler Glen Golf & Ski Resort LLC for the land and has a loan balance of approximately $540,000 with Cashmere Valley Bank and $155,000 financed by other member investors. In addition, a number of long term purchase contracts have been sold to future members that are anticipated to reduce the debt another $24,000 over the next 7 years.
In addition to the one time initiation fee to lower the construction debt, all members pay monthly dues averaging $130 per month which are invoiced at 6 month intervals. Approximately half of the monthly dues ($65/month) fund recurring operating expenses of the facility (power, janitorial, insurance) while the other portion goes toward the debt service. Please review the budget page for more detailed operating expense information.
Any members has the option to sell their membership at any time for any price by entering the KGAC resale assistance program for a fee of $300.
The project was designed by JPC Architects in Bellevue Washington.
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