Golf Course Project FAQs

PROJECT COSTS /FUNDING

42. Do the proposed assessment estimates factor in the anticipated attrition? Will you be presenting a worst-case scenario in terms of what the assessment will actually be based on projected attrition? For instance, if 10% of the members leave, the assessment could go up to $75,000. GGA’s experience with similar large -scale projects shows that clubs generally experience twice the normal member attrition. Over the last three years Glenwild has experienced an average of 20-25 member resignations per year. Our base case assumption is that we will lose 40 members due to this project. Our base case modeling is based on 285 members down from our current 325 roster. The estimated assessment cost is based on the project cost/equity golf membership cap (325). We will use an estimated $4M of cash reserves to fund the difference between 325 and the active membership at the time of assessment. Therefore, the assessment will remain constant until the cash reserves have been depleted. Using this method, the table below illustrates approximate estimates for dues and assessment for all proposed projects at 285/250/225 member levels.

2027 GCRP Pro Forma (Projected)

2024 Budget

2025 Budget

2026 Budget

2028 Budget

2029 Budget

Total Dues

Total Assessment

Base Plan - 285 Base Plan - 250 Base Plan - 225

Dues with no debt Dues with no debt Dues with no debt

$ 27,500 $ 28,875 $ 30,319 $ 32,725 $ 33,821 $ 33,700 $ 130,565 $ $ 27,500 $ 28,875 $ 37,250 $ 36,700 $ 37,801 $ 37,150 $ 148,901 $ $ 27,500 $ 28,875 $ 40,750 $ 40,250 $ 41,150 $ 40,300 $ 162,450 $

67,000 71,038 78,915

Membership @ 285

325 325 325

325 325 325

325 260 235

285 250 225

305 270 245

325 290 265

250 225

43. What are our cash reserves? We are projecting to maintain a $3.2M liquidity reserve and to utilize an additional $4M of cash reserves toward project costs in 2026/2027. 44. What is an assessment with refundable rights? The assessment with refund rights is one funding option being presented to the membership. For additional funding details, please refer to the Plan Book emailed to you and available in the member section of the Glenwild website. Here are the assessment with refund rights details:

● Assessment will be calculated based on total costs/equity golf membership cap.

● Cash reserves would be used to fund the difference between total cost and active member assessments collected.

● Refund schedule would be active for 5 years; amortized over 5 years

● Participating members would be eligible for reimbursement based on the assessment refund schedule.

● Resigned members would be placed on the assessment refund list.

● Assessment refunds shall be payable with similar terms as the existing refund policies.

Glenwild Golf Course Project Plan FAQs | 13