A homeowner in the development and shareholder of the Ridgemark
Corp. called the sale to Silicon Valley investor John Kehriotis
a
”
great move
”
and he said the new owner has
”
absolutely stuck by
”
his word to this point.
For a prior story on the transfer of Ridgemark to investor John Kehriotis, go here.
HOLLISTER
A homeowner in the development and shareholder of the Ridgemark Corp. called the sale to Silicon Valley investor John Kehriotis a “great move” and he said the new owner has “absolutely stuck by” his word to this point.
Shareholder Rod Smith bought his home and share in the club seven years ago. He offered his thoughts about the transition, including the downside for shareholders of the corporation’s probable dissolution in the coming weeks.
Smith also mentioned he received a letter Tuesday saying there would be no changes to the club’s fee structure and that current members are “grandfathered in” on their charges.
“To me, it’s a great move – other than, the money spent for the share has become sort of worthless,” Smith said.
He purchased his share in 2002 for $7,000. Smith explained that under the corporation’s rules, new Ridgemark Golf & Country Club members were required to buy a share in the company. There are about 820 shareholders, and 91 percent of those who voted approved the deal.
Before the sale of all its property assets to Kehriotis, that corporation had owned the golf course, restaurant, clubhouse, cottages and other facilities surrounding the housing community.
Smith said shareholders had been informed about details of the impending transaction at a meeting two to three weeks before June 1, when they voted in favor of the move to approve the transfer and prevent foreclosure, he said. They were informed that the latest research showed each share potentially could garner, at most, $1,000.
Smith noted that at one point, years before he purchased his home and stock in the corporation, the estimated value of a share had been around $25,000. On the flip side, closing the doors stood to depress homeowners’ property values.
He pointed out that property values generally rise – by about 15 percent – when homes surround a golf course.
“As a homeowner, it was almost a no-brainer,” Smith said. “If they were to close the doors, we were immediately going to lose 15 percent.”
Smith was optimistic considering Kehriotis already “did dump quite a bit of money” into course maintenance and other repairs.
Kehriotis has vowed to continue facility upgrades and also has discussed such projects as a new hotel, shopping center and health spa on the grounds.
“Up until now, he has absolutely stuck by everything he has said he was going to do.”
