City Needs Investor To Buy Cimarron ASAP
It was standing room only inside the city council’s chambers on Monday, as Cimarron property owners attended the public hearing on the creation of a public improvement district (PID) that could bring the golf course and country club back to life.
Despite the large showing, only two Cimarron property owners addressed the council and thanked them for acquiring the private club. No other Mission residents addressed the council, and no questions were asked about how the PID might work or how potential fees to pay for improvement costs would be handled.
Before opening the very brief public hearing, city manager Mike Perez announced that the 18-hole golf course was donated to the city, and the Mission EDC spent $5 million to purchase 13-acres which holds the clubhouse, tennis courts, swimming pool, pro shop and other amenities.
“The creation of the PID is to provide a mechanism in which the property owners from Cimarron Country Club can participate with the city, as we start to look for a third party who will bring back the country club the way it used to be,” Perez said.
Until that time, the city will maintain the property, so it’s important to sell it quickly, Perez said.
“We’d love to sell it for $5 million, but there might have to be some kind of discount there,” Perez said. “Despite all the other hurdles that we’ve crossed over, this is the hardest part: finding a buyer.”
Perez said the rehabilitation of the golf course is expected to be expensive, and the buyer will have to undertake that challenge with PID support.
“This is where the PID comes in,” Perez said. “The PID is going to have to fill the gap.
“For example, if the buyer says, ‘This is going to take $8 million and I only have $6 million,’ the PID will have to finance the rest,” Perez told the Progress Times.
A PID is a designated area which imposes taxes or fees on property owners within it, and then uses those funds to pay for improvements. Only Cimarron property owners will have to pay for any upgrades made to the golf course, club house, or infrastructure such as drainage or new streets.
City funds were used to acquire the club with the hopes of recouping the money with the sale.
Rumors have swirled for months that a certain McAllen millionaire will acquire the club, but Perez said the city has not identified a buyer.
“Unless you hear it from the buyer, the mayor or me, it’s not true,” Perez said. “We closed on the property last Thursday and on Friday we found some small details missing and we worked on that to finalize it.
“A buyer will want to inspect the clubhouse buildings for example, and none of that has occurred,” Perez said.
After the public hearing, a Cimarron property owner who asked that his name not be used, said he was still confused about how the PID would work.
“If we get a buyer, and I’m hearing that we have one, will we still have to fund the projects or does the buyer assume all that?” he said. “I have questions, and I didn’t want to ask them here, I’m a little embarrassed.
“I got a notice in the mail telling me I should be here, so I came to the meeting,” he said. “But it’s not real clear to me yet on how all this works.”
Perez said property owners will be represented by the Cimarron homeowner’s association, which will collaborate with the city and MEDC to find an appropriate buyer.
“It was made very clear to the mayor and the council that they (property owners) want a golf course there,” Perez said. “The previous owner was planning to build townhouses all over the golf course, so we need to find a third party that we think has the financial wherewithal to get this done as soon as possible.
“Cimarron property owners want to be part of the selection of a buyer,” Perez said. “Their voice will continue to be there for that phase and at least three people from the neighborhood will be on the PID board, when we get to that point. We’re moving very cautiously, and things will become more clear with each step.”
Perez said the buyer will also have a position on the PID board, as well as someone from the city council.
“The city itself can’t justify beyond what we’ve already done,” Perez said. “We can’t do any more than this (the purchase). The PID will have to be finalized and step in at some point, but everything is up in the air until we talk to a buyer.”
Shary Golf Course
At the same meeting, the council authorized Shary Golf Course Director Mike Fernuik to proceed with the construction of a water well at the nearly 100-year old facility.
“The well will help water the entire golf course,” Perez said. “Right now, it uses a lot of potable water, and you can see the river levels are coming down, so this is all part of our conservation plan. Under that plan, you can’t water the golf course, so we’re anticipating this and getting ready.”
J4 Waterworks, LLC of El Campo submitted the lowest bid at $128,497 and the council authorized Fernuik to award the contract with a construction schedule of 39 calendar days.
