Daufuskie Island Resort Goes Chapter 11
Another major golf property heads to bankruptcy court: Daufuskie Island Resort, located just off Hilton Head Island, whose two courses were designed by legends Jack Nicklaus and Tom Weiskopf, filed for Chapter 11 protection Tuesday.
According to The Island Packet, Daufuskie's revenues dropped from $27.5 million in 2007 to $17.3 million last year. But financial turmoil is nothing new at the resort. In 2002, at the depths of the post-Sept. 11 recession, economic woes forced its previous owner to sell. In recent years, a lawsuit filed by a group of Daufuskie members (the island includes several hundred full-time residents) has hampered the resort's business operations, says a spokesman for its current owners, Gayle and Bill Dixon. In spite of this, Daufuskie Island Resort has continued to operate.
"We've been through this before and we weathered it," one local journalist said.
Indeed, a spokesman for the current owners said the bankruptcy filing would allow the resort to reorganize and still open for the 2009 season in March, as planned.