New golf course in Pasadena expected to lose money in 2004

Developer's documents put shortfall at $1.1 million

February 06, 2004|By Childs Walker | Childs Walker,SUN STAFF

The quasi-state agency developing Compass Pointe Golf Course in Pasadena expects to lose money on the operation this year - projecting a loss of up to $1.1 million as recently as last fall - and Anne Arundel officials say the county probably will be asked to make up some of that shortfall.

In documents given to the county in late November, officials from the Maryland Economic Development Corp. said they planned to ask for $732,000 to help cover the operating shortfall, which the officials blame mainly on bad weather.

Those documents also show that the corporation, which is developing the public golf course under a contract with the county, planned to seek a county loan to cover a projected $2.1 million in construction overruns. County officials said they have rejected that idea.

But the November figures represented a worst-case scenario and probably are obsolete, said Hans F. Mayer, executive director for the corporation. The agency uses state bonding authority to fund economic development projects and reports to the governor's office.

"We're not actually knowledgeable about what the numbers are now, but all that [November] presentation was was an attempt to bring the county up to date," Mayer said. "It was not something official in any sense. ... We just did not want the county not to know we might be facing some issues."

The shortfalls at the $17 million Compass Pointe project are the latest problem the agency has faced at that course.

The county briefly shut down construction because sediment was running into streams. The agency's Rocky Gap Lodge and Golf Resort near Cumberland reported $18 million in losses for its first four years.

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