Cliffs Communities Faces Up to Bad Economy and Ties to Tiger Woods
Cliffs developer Jim Anthony attends Tiger’s apology while Cliffs’ financial advisory board supports Anthony’s plan to borrow money from club members.
Palm Coast, FL – February 22, 2010 – Cliffs Communities founder Jim Anthony’s plan to raise $60M to $100M from members received support from the community’s financial advisory board. Meanwhile, Anthony exhibited his ongoing support for Tiger Woods by attending Woods’ public apology Friday. Tiger’s golf course design company is building its first U.S. golf course to anchor Anthony’s latest community, Cliffs at High Carolina near Asheville, N.C.
Like other developers of private luxury communities, Anthony was hit hard by the Great Recession when real estate sales ground to a halt. The collapse of the housing and financial markets hit just as Anthony launched Cliffs at High Carolinas, his most ambitious project to date. Add to that Tiger’s recent image issues. Anthony was one of only a handful of people invited to attend Tiger’s public apology. Read more and watch Upstate Developer withTies to Tiger Speaks Out.
Developers unable to find financing to carry them through until the luxury housing market recovers have few options. Witness the rash of high profile foreclosures, bankruptcies, and asset fire sales. Anthony reportedly has commitments from Wall Street for additional funds, but the money would be expensive and the result of a possible default could be the breakup of his string of successful communities, decreasing their value. But Anthony has something many developers lack; satisfied property owners who believe in him enough to put their money on the line.
Read more about plan to borrow from members: Cliffs Developers Seek $60M-$100M from Club Members
Toby’s Commentary: If Jim Anthony is successful in his efforts to gain financial support from his members, the show of community solidarity should help boost future sales.
Ain’t happening…
Nice thought there on the $60-100mm of new funding from the current residents, we’ll see how loyal they are when it comes time to write the check.
Don’t Underestimate…
the power and satisfaction of The Cliffs brand. The quality of life that is evolving from within will speak loudly when it’s time to protect the investment.