The Snowbird Canyon Racquet Club, stage for some of Utah's greatest tennis, could be reduced to a pile of rubble in 15 months to make way for homes and businesses.
Castlewood Development announced late Friday it has signed a 15-month purchase option on the property.
"What that means," said Dave Fields, public relations director at Snowbird ski resort, "is that Castlewood has put down earnest money on the property, and it has 15 months to exercise the option.
"Quite frankly, we've received a lot of offers on this land. It's very valuable. This is the one offer that we felt was best for all those concerned."
The club, with 15 outdoor tennis courts, 10 indoor courts, a fitness center, restaurant and pro shop, was built in 1974 by Sam Park. It was owned for several years by Gerald Bagley, developer of Jeremy Ranch Golf Course and community. Snowbird took ownership in 1990.
"Since we've owned the club, we've never been in the black. We lose money every month we operate. With new fitness centers entering the market, and now with the different counties competing with recreation centers of their own, we've had to take these offers more seriously."
Duane Rasmussen, a partner in Castlewood with Jeffery Duke, said that currently there are no concrete plans for the land.
"We're in the process of investigating our options," he said. "This means we'll need to meet with neighbors, planning commissions and county officials before we make any decisions.
"What we're talking about is a combination of retail, some residential, some office space and restaurants. We don't see keeping any of the current facilities. The club is functionally obsolete.
"We want to be sensitive to Snowbird and the members, but as things stand now the club could be closed in 15 months."
He said he hopes to have some decisions on building plans within 60 to 90 days.
The club has never been a profitable venture. Previous owners have pointed to high maintenance costs and a reluctance to charge high fees for mounting debts.
From the day the club opened in 1974, it has been considered one of the finest tennis facilities in the country. The club has been site of several men's and women's national indoor events, as well as college championships and most recently the women's pro circuit.
Currently, the club has around 800 members.
"This is a wonderful facility that my family and many others have enjoyed every day for years," said Bob Bonar, president of Snowbird.
"Yet as public and private fitness facilities flood the market, it is increasingly difficult to make the club economically viable."
The club sits on 11 acres of some of the choicest land in the area.
"When we purchased the club," continued Fields, "we did not buy it for the real estate but as a place for our guests. It's worked out well, but after 12 years of losing money, it's time we looked at our options."
Castlewood could choose not to exercise its option, but because of the value of the land other suitors are likely to follow.
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