Resort tells residents: no more free golf

Jack Nicklaus tees off at Kinloch. Photo / Sarah Ivey

Owners of sections alongside Taupo's troubled Kinloch golf resort are fuming that their right to complimentary membership has been axed.

The promise of a free lifetime membership was a key attraction for many who bought sections facing on to the Jack Nicklaus-endorsed course.

Troubled finance company Hanover put most of the $57.7 million resort up for mortgagee sale in July.

The Fairways subdivision was not included, and this week independent owners of around 25 sections in The Fairways received a letter from the new owners of the resort, Coromandel Investment Trustees.

"Due to the unfortunate circumstances of a mortgagee sale of the remaining sections within The Fairways subdivision, we wish to bring to your attention that ownership within The Fairways subdivision does not entitle the owner to free golf at the Kinloch Club," sole director Roy Brown wrote.

"We welcome your patronage to the Kinloch Club as a green fee playing [sic] guest."

Green fees at Kinloch are $175 a round in summer, and $160 in winter.

Section owners Joyce and Ian Watson, who also own the Kinloch Store, are "very pissed off".

"We were sold the section with the belief that we had the right to play there. Now it's been ripped away from us," Mrs Watson said.

Another owner, who did not want to be named, said different promises were made at different stages.

He was one of the first to buy, in early 2005, and had correspondence stating he was entitled to membership.

"But there was nothing ever legally written into the title that said that."

He said he was still "holding out for the day" when he was offered membership, but if that did not eventuate he would start legal proceedings.

Blenheim-based owner Richard Olliver had also bought on the basis that membership would be included.

While he doubted owners had any legal comeback, he believed Coromandel Investment Trustees had a moral obligation to section owners who had put their faith in the project.

"As a golf course you need people using the course and spreading the word ... "

Fellow owner Blair Major, of Taupo, said the developers had not made good on promises of other facilities such as spa pools and tennis courts, and it was "incumbent" upon the new owners to let section owners play free.