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1500 NORTHWESTERN FINANCIAL CENTER
7900 XERXES AVENUE SOUTH
BLOOMINGTON, MINNESOTA 55431
TELEPHONE: (612) 835-3800
TELECOP!ER: (612) 835-5102
LARKIN, HOFFMAN,
DALY & LINDGREN, LTD.
ATTORNEYS AT LAW
2000 PIPERJAFFRAY TOWER
222 SOUTH NINTH STREET
MINNEAPOLIS, MINNESOTA 55402
TELEPHONE: (612) 338-6610
TELECOPIER: (612) 338-1002
May 14, 1986
Local Board of Review
City of Shorewood
Shorewood Board of Review
City Hall
5755 Country Club Road
Shorewood, Minnesota 55331
Re: James Winstead - 25-117-23-41-0040
19425 Highway 7, Shorewood
Dear Members of the Board of Review:
Our firm represents the above-referenced claimant with regard to the
January 2, 1986, assessment of the above-referenced property.
Pursuant to Minn. Stat. ~~ 271.01, subd. 5, and 278.01, subd. 1, we
are mailing this letter to you on behalf of the claimant as an
appearance by written communication before 'this Board to appeal the
assessment of the property. We do not intend to make a personal
appearance.
Please direct all further communications regarding this matter to the
undersigned. Thank you.
s~relY,
~~;,~~
LARKIN, HOFFMAN, DALY & LINDGREN, Ltd.
dp
cc: James Winstead
ADG:BE6
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The following is a summary of golf courses either municipally or
privately owned which are open for public play:
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BROOKVIEW
HOLLYDALE
HA1WTON HILLS
MAJESTIC OAKS
sur-lDANCE
OATONA
GREEN H.lWEN
COON RAPIDS
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municipal 18 72 6,720
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36,800
18 71 confidential
18 71 6,176 66/67 confidential
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2
N.A.
N.A.
18 1 ate N . A .
71
18 72 6,800
municipal 18 71 6,200 37
municipal 18 72 6,670
municipal 18 71 6,200 19
72
FRANCIS GROSS 3 municipal 18 71 6,361 25
THEODORE WIRTH 3 municipal 18 71 5,380 16
9 27 1 ,240 62
COLUMBIA3
BROOKlAlm3
BROOKl YN PARK
COUNTRY CLUB
municipal 9 27 1,031 64
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VILLAGE GOLF
BRIGHTWOOD HILLS D.f.
ELM CREEK
9 32 2,355
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municipal 9 27
9 30 1,721 69
9 34 2,417
9 27 1,293
tickets
25,144
40,000
39,466
in 1967
55,504
34 ,293
34,127
8,000
64
25,000
23,000
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190 4.25 3.75
2.75
3.85 2.50 X
4.00 3.50
2.60 2.35 X
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3.85 X
2.50
4.50 3.50
3.75 2.50
4.25 3.50 X
2.50
4.75 4.00 X
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3.75
3.75
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2.00 2.00 X
3.60 3.60 No
2.60 2.35
1 Daily fee course.
2 Not availavle.
3 Indicates some type of discount - student, twilight, Minneapolis Park Board tickets,
etc.
15
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Brookviel';
F 0 I'm e I' 1 y il P r i vat (' c 1 u b c 0 u r s e pur c hilS (' d by t h (' V ill age 0 f G old e n
Valley. Recently remodeled, to ildd a driving range. The former club-
house is used as a community recreation area including s~limming pool.
^ slightly rolling course with a creek running through it, fairly
o p (' n II u t \'1 i t h 111 a t 1I1' C t r c c s .
Hollydale
A daily-fee 18, enlarged from an original 9-hole layout, this is
essentially an open, flat courSe with a few hills and relatively few
mature trees. While not a difficult test, the course has adequate
length, is very well maintained, and provides enjoyable golfing.
Should be considered as one of the better daily fee courses in this
area.
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Hampton Hills
Opened about six years ago as a 9-hole layout, the course has recently
been expanded to 18 holes, short but within regulation length.
Moderately rolling and with a good number of trees, the course is not
irrigated as has yet to reach the quality of the better public courses
in the metro area.
Majestic Oaks
Completely rebuilt in 1971 over the site of a mediocre pasture course,
this will open shortly as a complete, 27-hole, daily-fee operation,
consisting of a regulation 18 of championship design, plus a 9-hole
"executive" length layout, and a driving range for lessons and prac-
tice. As the terrain varies from well-wooded hills to sandy, slightly
rolling farmland and reclaimed marsh, the course is alternately tight
and wooded, or long and open, with abundant trapping, multiple tees,
and a variety of water hazards. Clubhouse facilities are quite com-
plete, and membership will be available. Opened this year, its input
on the market area cannot yet be determined.
Sundance
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A daily-fee 18, opened late last season in a relatively undeveloped
area northwest of Osseo, almost bounding Hennepin County's Elm Creek
Park Reserve. The course is rolling but virtually treeless; hence.
fairways lack definition at present. The course is fully irrigated
and owner designed by a long-time top local amateur. Men's and
women's clubs have been formed, and a club pro retained. The clubhouse
is quite small, and an existing barn is retained for storage. It
has been promoted and could develop into a good public course.
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Green Haven
A regulation lB-hole course operated adjacent to U.S. Highway 52.
Moderately rolling with a good number of mature trees, the
COUI'se opened in 1937, with a second nine added in 1955. The course
has men's and women's clubs, quite complete clubhouse facilities,
is fully irrigated with a manual system, and is \'Iell patronized--
though not pressed near capacity.
Coon Rapids
An excellent municipal 18 of championship length and potential,
with an unconventional fan-shaped layout ideal for tournament
spectator ac6ommodation. Opened a half dozen years ago, the course
is set on slightly rolling, very sandy ground with rather sparse
stands of red oak. A large practice fairway is located in the
center of the course. Generous greens and tees, ample trapping,
and several water features combine for a challenging layout which
has seen steadily increasing patronage. A good example of a quality
course building its own market.
Columbia
The second Park Board course in Minneapolis, it opened in 1919 with
six holes and a 5~ fee. The large clubhouse dates from 1925. Always
hilly and far shorter than regulation length, Columbia has been .
closed for several years of extensive rebuilding, much of which
consists of lengthening the course and lowering some of the hills.
It should be open for play this year and will take some pressure
off the heavily-played Francis A. Gross Golf Course.
Francis A. Gross
Most heavily played of the Minneapolis Park Board courses.
The pressure has been even greater since the closing of Columbia for
rebuilding. Opened in 1925, it was bought on installments from course
revenue from the original owner, Armour & Co. and operated meanwhile
by the Park Board, being named Armour Golf Course. Located on some
of the highest ground in the city, the course is of average length,
moderately rolling with mature tree cover.
Theodore Wirth
Formerly called Glenwood, this is the oldest and probably the most
scenic of the Minneapolis Park Board courses. First opened in 1916
with no greens fee, the course enjoyed heavy patronage from the outset,
seeing an all-time maximum of 63,762 rounds in 1922. The chalet was
opened in 1923 and there has been a winter skiing program for many
years. The course was partially rebuilt in 1970, cutting down the more
hills but causing a slight patronage slump in 1971 as players temporar-
ily moved elsewhere. Well covered with mature trees, the course is
also bounded by Basset's Creek. A nine-hole Par 3 layout was added
in 1962, and has seen almost an equal number of yearly rounds to the
regulati.on 18.
.
18
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Broollilnd
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A very short, flat, open course purchased a few years ago
by the Village of Brooklyn Park. The clubhouse is small,
parking very limited, and the blandness of the layout may
contribute to the limited patronage this course has received
___ below capacity. While not a course for the serious golfer,
it seems well suited to beginners, and has an active instruction
program.
Brooklyn Park Country Club
A daily-fee nine of "executive" length, that is, about 2/3 the
length of the regulation nine.- The course is flat and open,
but has several water features and is crGssed by Shingle Creek
west to east. Fronting on U.S. Highway 52, the course is very
accessible and is operated in conjunction with a driving range.
The course is formerly named Osseo Park Brook.
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Brightwood Hills
Located north of 1-494 in New Brighton, this 3-year old, daily
fee "executive" nine is slightly rolling with several 'rlater
features, generally open with small greens, but nicely wooded around
the clubhouse. There are no traps. Full irrigation, with water'
taken from one of the ponds. The course was supplemented by a well
last year. The clubhouse snackbar is quite attractive, housing the
owner's law office. Season tickets are available, and patronage has
been increasing steadily on this attractive course.
Village Golf
This 9-hole Par 3 course was purchased last year by the Village of
New Hope. Brauer & Associates, Inc. had previously prepared a
report for the Village outlining limitations and improvements required
because of the hole layout, unusable areas, and poor condition of the
course due to lack of maintenance. This last factor has been corrected,
and the course is presently an attractive asset to the Village.
Elm Creek
Two daily fee nines of par 27 and 34, at the intersection of T.H. 55
and T.H. 101, but difficult to find in Hamel, run as a family operation.
The course was designed and constructed over a period of about five
years by the owner as a hobby. The layout includes several ponds
which require accurate shots. The topography is very steep over half
of the course, and a mature oak forest gives much of the course a
beautiful setting.
.
19
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ANALYSIS
The population of the market area (ilpproximate 10 mile radius) in 1971
was estimated at 488,000. It contained 20 total courses, 1 private
course, 11 public courses, and 8 9-hole courses, These figures will
be compared with National Golf Course Foundation figures for 1971 for
state and national ratios, relating the number of courses to the
population. The unit of measurement used here is population per
18-hole regulation public course. Each 9-hole course counts as 1/2
a unit. The market area has 15 such l8-hole equivalents.
However, we feel that the Brookland, Brooklyn Park and Brightwood
Hills courses will
lation course. are 9-hole Par 3 courses; the two in the City
are short, of marginal quality and offer little challenge or attraction
to the serious golfers. The Brightwood Hills course is also a 9-hole
Par 3 but is located so far away as to attract few golfers from the
Brooklyn Park area. Par 31s have limited appeal and drawing power,
therefore, these three courses should be given a smaller value for
calculation purposes. The following is a comparison of population
to public golf facilities:
National
State
Metro
Market Area
Population per 18-Hole
Regulation Course
40,667/course
40,9l8/course
51,800/course
35.000/course
This indicates that at present, the market area has slightly more
golf courses than the state and nation in terms of golf facilities
available to the public, while the metropolitan area overall has a
comparative shortage of courses.
This particular area has an unusual distribution of existing courses.
A look at the accompanying plate shows almost all 18-hole courses
tncluding the good ones (Theodore Wirth, Francis Gross, Columbia,
Hollydale, Brookview, Coon Rapids and Majestic Oaks), all occur at
the extreme edge of the lO-mile radius. The only courses within the
immediate vicinity of the City and proposed sites are three 9-hole
Par 3's. None of the communities making up the bulk of the market;
Brooklyn Park, Brooklyn Center, New Hope, Crystal, Fridley, etc. have
18-hole courses. These communities alone have a population of over
130,000 and an estimated population of over 200,000 by 1990. Thus,
the overall market areas ratio of courses to population is somewhat
misleading. A course in the proposed location would have a good
competitive position.
In addition to the number of courses and their location, it is necessary
to look at how heavily the courses are played.
.
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There are approximately 200 playing days per year in this
climate, A review of National Golf Foundation statistics for
puhlic courses in the midwest region indicates an average of
slightly less than 40,000 rounds, per year (pro-rated on 200
playing days per year) for 18-hole courses. With this amount
of play, courses are full to capacity during weekends and peak
afternoon hours. At this level, golf reaches a less enjoyable
1 eve 1; i n ill) i 1 i t Y tOg c t tee t i Iii e s, 1 0 n g, t i III C - con s u:n i n 9 r 0 u n d s
and crowded courses are comlllon to many golfers at this time.
A summary of the 18-hole regulat~on courses in the market area
indicates the following amounts of play:
Brookviel'l
Hollydale
Hampton Hills
Francis Gross
Theodore Wirth
Coon Rapids
Sundance
Majestic Oaks
Columbia
Datona
36,800
confidential
confidential
55,504
34,293
40,000
new course
reopened this year
reopened this year
not available
Francis Gross and Coon Rapids are the only courses that reach or
exceed this level. (Francis Gross has traditionally been one of
the heaviest played courses in the Twin Cities.) Where the level
of play was below this level, an attempt was made to determine the
cause. Both Brookview and Theodore Wirth have experienced recent
remodeling, and Brookview has had a history of peat problems. Two
courses, Hollydale and Hampton Hills; did not wish to divulge their
rounds of play. However, Hollydale is well played, and reservations
are needed during weekends. Hampton Hills probably has less play.
Three courses with no recent record are entering the market area
this year.
Given this lack of complete information and the new courses, it is
difficult to accurately a~sess the current market, but it seems
evident there is some capacity for more golf in the areas just in
the existing courses. However, the addition of new, good-quality
courses in an area can generate increased interest and play in the
region. School systems can use the courses to teach golf and
introduce new golfers to the game.
If the projected population rates are realized, the course to popu-
lation ratios will increase radically. The population of the market
area will be almost 3/4 of a million people by 1990. Many projections
indicate that leisure time available to people in our society will
increase greatly in the next two decades. This can already be seen
in the advent of the 4-day workweek and in increased vacations. This
factor, plus projected increases in discretionary income will increase
consumption of all recreational services.
.
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The remainder of this section is broken down as follows:
1. A s a In p 1 e 0 f the rat i n 9 she e t s h 0 \'i i n gal 1 the f act 0 I' sin vol v e d
and the relative values in the selection process.
2. A bl'ief description of each of the factors and their impact
on golf course development.
3. Ratings of each site with an accompanying evaluation of the
relative strengths and weaknesses of each.
4. An overall summary of the sites.
SITE EVALUATION CRITERIA
Location
Vehicular Access - The ability to reach the course easily from all
portions of the market area is a primary element in the success
of any recreational facility.
Pedestrian Access - This is directly related to adjacent land use and
whether there are people living and working in the area who can
walk to the course. This is more of a bonus than a major factor
in overall feasibility.
Urban Suitability - What effect will the course have on the city and
its growth pattern? Is a golf course compatible with existing
land use patterns, parks, or projected community and regional plans?
Exposure - The visibility of the course and facilities to the general
public. This can be a strong element in the marketability of the
course. Also, will the green space afforded by a golf course
have a maximum impact upon the city and its image?
Tax Base - This refers to the loss of future tax revenues from using
a site for public purposes rather than permitting private develop-
ment. Is the site good developable land or of marginal quality
unsuited for construction?
Design Factors
Size:Overall - Is there sufficient gross acreage to support a quality
golf facility; 18 or 27-holes?
Size:Usable - Are there portions of the site which cannot be used
for golf due to soils, topography, deed restrictions, easements,
drainage, etc.
Shape:Orientation - Will the site in question lend itself to a proper
golf layout, fairway orientation, sequence of holes, flow of
traffic and safety of play, etc.?
Topography - Rolling or undulating land is an asset to
providing visual interest and range of challenges.
graphy can be wasteful, costly and frustrating for
player while a flat site is bland and monotonous.
a golf course
Severe topo-
the average
.
Vegetation - Mature trees and plant materials provide much of the
character of any golf course. They provide scale, background and
framing for greens and fairways and are a primary factor in pro~
viding a more challenging and enjoyable experience for the golfer.
25
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,~~:r:-,~>::;~Y~-~~: ,0_ ,.,~' " ',>- '~-"::,:~,:,4'C'-:_~~t";~:_-'~
. ," - . , ,~ <' . I" ,~ ":i
.,,1 ~J"'. ,ft.,\, "'N-~~:' l _,ot 4~'\:J '~"i. ",~.~~~!t?~f'! l'.'" ~: ~'1't. i -,,,-:.....-.,. . t"'" ~ ~,'.
"7ft..~. ' ;"4"" ," ,~.Jo,,, ~,r,; if+ t ,."" l<'~'" - . \; "';0" -L" ,
'.. ~ f'~'r:~\f,.t t~ft.'...8..; ">>, ,,~ "\:'tf~.tl,;:.~,l). ~~~tj: l "', ~ t l,> 'Jl~",.I..,. ~~:r '"
SITE EVALUATIOrJ
BflCKGROUiiD
The City of Brooklyn Park reviewed a wide range of potential sites
throuqhout the community. These were narrowed down to the four most
favorable sites. The function of this report is to provide a
thorouoh evaluation of these four sites as to their suitability
for a golf course.
PROCESS
A wide range of factors must be considered in any golf course site
selection. As in any comparative evaluation process, a set of con-
sistent criteria must be established and applied to all the alternative
choices. In this analysis a total of 29 factors have been set up,
and the potential sites judged against these factors in the following
manner:
* A numerical rating system is employed with each factor having
a range from 9 (Excellent) to 1 (Unsatisfactory).
* These individual site factors are weighted to give the most
emphasis to those factors most critical to golf development.
This is also done on a numerical basis from 9 to 1.
* An assessment of each of these concerns is made after an exami-
nation of site conditions, projected community plans and all
available background material. Each factor then receives a
numerical score consisting of the numerical rating of the site
multiplied by its relative weight.
* The factors are grouped into four primary areas of concern:
location, design potential, construction, and maintenance;
the scores for the factors are added and a subtotal is
established for each primary factor.
* A sum of the factors is totaled for each site with the site
receiving the highest total being the most suitable for golf
purposes.
It must be understood that these are comparative values,not hard
or absolute numbers. There is no way to place an absolute value on
intangible or qualitative factors such as topography, location,
vegetation, or orientation, etc. However, in any situation such
as this, where a great number of factors must be considered and
compared for four different sites, some type of comparative rating
system must be established.
The process presented here provides a workable framework for
evaluating the individual strengths and weaknesses of a range of
sites. It further shows how the individual factors make up the
composite potential of the site for golf development.
.
',.,
CRITERIA
SITE
u
+-' '"
c:: 4-
ClJ (l) VI
r- 0)
r- to +-'
ClJ ~ l\J
U Q) VI
>< > c
w c:( ::;:l
~!eioht 9 8 7 6 5 4 3 2 1 Score
GOLF COURSE
SITE [VALUATION
LOCATION
- vehiculcr
9
7
4
DP::TGN
Size - overall t:
Si7P - liS?)'n <}
ShaDe/OriF~tation 7
TODocra~hv 8
Veoetation /
Flexibility 7
Control 7 I
Intrusions 5 I
Overa 11 Golf Qua 1 itv 8 ,
Subtotal
Subtota 1
Tonsoi1 8
Sub-soi 1 7
Ea rth\.:ork 6
Reclamation - fi 11 7
Drainace 7
r,rnund ~;ii ter 7
Clearina [, GnJbbina 4
Pl;:>nt r.'.:>toY'i;l1 c; I 5
Utilitips I 5
Construction Cost I 7
CONSTRUCTION
Subtotal
MAINTENMlCE
Accessibilit
Draina p - Settle~ent
Soil
Off-Site Drainoge
Subtotal
TOTAL
.
26
Flexibility - This factor is a cOlllposite derived from the previous
criteria. It invulvcs the capacity of the site to provide several
good design alternatives to the course designer.
Control - This involves two factors relating to clubhouse and facility
location: First, the potential ability to easily control play
on both nines and visually supervise play (not always possible);
and second, to control unwanted ingress and egress to the site.
Intrusions - Those activities or physical factors generating noise,
odor, glare, unwanted activity or unSightly views which would
effect the quality of the golfing environment and experience.
Overall Golf Potential - Every golf course has its own image; held
by its regular golfers and presented to its visitors. This quality
is a composite of all the above factors and yet, in the case of a
golf course, the whole is more than the sum of its parts. This
quality is an intangible factor, hard to quantify or measure in
hard numbers, yet is an overriding factor in site consideration,
and we have given it a corresponding weight in the evaluation
process. The character of the land forms the basis for any course.
Is the site somewhat small, the cost higher, or harder to get to?
Perhaps any or all of these concerns may be outweighted by the
presence of a lake, stream or particularly interesting topography
or natural feature which will give the course a unique character.
Construction
Topsoil - Obviously important is maintenance of turf and plant materials
and the appearance of the course. Availability of good soil is
particularly critical in tee and green construction. If topsoil
is not available on the site, it must be acquired and construction
costs will be higher.
Subsoil and General Soil Conditions - The presence of large peat areas,
rock or boulders, large amounts of stones will increase costs.
Peat soils native to Minnesota require more costly construction
methods.
Earthwork - The amount of grading and shaping required for drainage,
playability, safety and to add interest to the course.
Reclamation:Fill - The amount of material necessary to fill or sub-
stantially alter a low bog area for the purpose of golf course construc-
tion. The presence of sufficient fill on the site is of particular
importance. If there is no source of fill immediately available,
construction cost will substantially increase.
Drainage - The ability of the site to drain water. The need for construc-
tion of drain tile, culverts, bridges, ponds or stream bed altera-
tions and improvements.
Ground Water - A high water table and poorly drained soils mean extra
expense in construction and in maintenance of the course and a less-
than-good playing surface much of the time.
Clearing and Grubbing - Any necessary tree and brush removal.
Plant Materials - How much additional plantin~ will be requir~d? Is
there planting stock available on the site?
27
f :;',.\~~( ~ C LN rTR
LARKIN, HOFFMAN,
DALY & LINDCJREN, LTD.
TEt['r H~);\f.
A TTORNEY5 AT L.-'\ \Y./
f)iPEH jA.FFHf,y TevvEH
_1.').1 ~UUTH i'-JiNIH '~rHr:[T
MINNE;\P()Li~. M1NNf.':>()['\ ,)t;;.tUc'
n-LE'f"ri()~n~' jlJI }', ~ 1('\
,;
rt~U:( \.~PiLR i,()l~) 1 .~n 1002
May 14, 1986
Local Board of Review
City of Shorewood
Shorewood Board of Review
City Hall
5755 Country Club Road
Shorewood, Minnesota 55331
Re: James Winstead - 25-117-23-41-0040
19425 Highway 7, Shorewood
Dear Members of the Board of Review:
Our firm represents the above-referenced claimant with regard to the
January 2, 1986, assessment of the above-referenced property.
Pursuant to Minn. Stat. SS 271.01, subd. 5, and 278.01, subd. 1, we
are mailing this letter to you on behalf of the claimant as an
appearance by written communication before this Board to appeal the
assessment of the property. We do not intend to make a personal I
appearance.
Please direct all further communications regarding this matter to the
undersigned. Thank you.
S~rely,
~~/~~~
LARKIN, HOFFMAN, DALY & LINDGREN, Ltd.
dp
cc: James Winstead
ADG:BE6
NO BASIS EXISTS FOR ANY CHAN~E IN LAND OR rnJILDIN~ VALUES
There was no chanpe in 1986 assessments for the ~eneral area. There
were no chanpes at the Minnetonka ~ountry Club that would trig~er
an increase. The Assessor's increase of 161% over the 1985 values
is incredible and should be disallowed in its entirety.
In the past the Assessor's office had a special "squad" that re-
viewed polf course values and so-called t1equali~ed them" where nec-
essary. Their representative came out to measure and value our
buildin~ for assessment purposes and even supplied a copy of his
print for our files. Increases have been made in our assessment
to reflect chanpes in real-estate values over the years and there-
fore our 1985 assessed values are up-to-date.
THE ORCHARD CARDENS COUNTRY CLUB CASE CLEI\RLY DEMONSTRATES THAT
THE METHOD OF VALUATION USED BY THE ASSESSOR IS ILLEGAL.
The Assessor values shown in ~hibit #1 and an analysis thereof
on Exhibit #2 clearly shows how ludicrous and illoP'ical their data
is. The Supreme Court held: "Under the Minnesota Open Space Prop-
erty Tax Law, Minn. Stat. # 273.112 (1978) the Dakota County Assess-
or may not determine that the open space value per acre for all p'olf
courses in Dakota County is equal." Exhibit #3 illustrates the form-
ula used by our Assessor: nUsin1'" $950.00 Acre as the Value of Land
Suitable for a Golf Course.1t Accordin~ to the Hennepin County Assess-
or Lafayette's lake-shore property is worth $950 per acre. Assuming
an acre of land with 200 feet on the lake shore, at a current value
of $2000.00 per front foot, Lafayette's m~rket value would approxi-
mate $400,000.00 per acre. Professional appraisers have" advised
that there is no basic value for wet peatland such as ours.
In the .supreme Courts's rulinp: "The Tax ~ourt found that the open
space value had been arbitra rily set at $2,200 for each acre of
golf course land. The ~ourt concluded that the open space value
should be directly oroportional to the market value of the land....t1.
It is to be noted that our Assessor had arbitrarily set a value of
$950 an acre, has arbitrarily set a golf course size of 170 acres,
(Mtka has 116 acres), has arbitrarily ignored any market value of
land.
Exhibi t No. 2 shows the "Open Space Illa lue per J\cre". You w ill note
that the Minnetonka Country Club has the third highest valuation.
We ere higher than such Clubs as Interlachen, Oak Ridge, Wayzata,
Woodhill, Minneapolis, Golden Valley, etc. Visualize real-estate
values in those areas closer in to MinaBDolis and hi~hly developed,
high priced realestate, as compared with our location with our wet-
peatland type of p'olf course
We also have an oddity in our situation. The golf course is besic-
aly situation on peat land. History has shown that it's highest
and best use is as a golf course. Under the open-land law the
assessor is forbidden to tax such land at its market value (its
hiphest and best use). It would f~llow therefore, that by taxing
Minnetonka Country ~lub as a polf course the Assessor is v ioletinp:
the law again. The Land should be taxes as wet peat-land, not
-1-
at $9,189 per acre. Weare being assessed on an open space value
which is hi~her than our market value.
LAND VALUE:
The ~olf course is situated on low-lyin~ land, approximately 80% of
which is wet-peatland. Exhibit #5, showin~ the Basic ~olf course
layout, indicates via the pink shading the extent of our peat land.
The areas colored in blue are actual open draina~e ditches which
were dug, as a last-ditch effort, to drain the land so a person
could walk on it. ~he normal buried drain tile method cannot
drain peatland.
The ~olf course property can be compr:red to the center of a saucer.
All the surrounding property on all sides drains onto the ~olf course.
There ere culverts under Country Club Road, Yellowstone Trail which
drain directly on the ~olf course. The land to the west and north
of club property also drain onto the golf course. The water table
on the golf course is down only 2-3 feet.
There is one 12" drain f or the golf course and the entire surround-
in~ area, which runs under Yellowstone Trail, under Hiway 7, and
drains into Minnewashta Lake. This is a man-made drain. In the
past it has often plu~ged up from excessive rainfall, with a result-
in~ lake, 3 feet in depth,coverin~ fairways #14, 15, 2, 1, 16, 13,
4, 8, 5, and part of 9. We had to build a cart path elevated three
feet above ground level on #4 fairway so golfers could I1walkl1 through.
The land surface is so ungt~ble it is not posstble to drive regular
equipment without trackin~ up, cutting into, and ~ettin~ stuck. We
have purchased specially designed lipht-weight equipment to minimi~e
tearing up the surface. When we were forced to dig the "blue" drain-
a~e ditches it had to be scheduled for the winter months, until the
~round was frozen down at least two feet so that standard small
trucks could haul.
We are the only golf course in the Twin City area that owns its own
trench-dirtrlm,: machine. This was necess8ry because we are constantly
intallin~ new plastic drain lines to feed into the draina~e ditches.
Water will not drain laterally throu~h peRt, so where one drain line
will handle 8 wide area of regular ~round, peRt requires drain lines to
be installed much closer to~ether. After two or three winters, the
freezinr ection heaves up the peat and the drain line and thus disrupts
the flow of water, requirin~ new lines to be installed adjacent to
the old lines. Last week four new drain lines were installed, with
many more on the schedule to handle recurrin~ wet spotso
If the rolf course were to be abandoned, the only buildinr lots
feasible would be those fronting on Smithtown rioad, Country Club
Road, and perhaps two or three lots on Yellowstone Trail. All other
land is wet peatland wi th no roads possible because the r round is not
stable to carry the loads and buildin~ foundationso
-2-
BUILDING VALUES:
The Clubhouse buildin~ value does not refledt the application
of the Open Space Law. The Hennepin ~ounty Pssessors have advised
that if the buildinp is a special-purpose buildin~ for use as a
private country club its valuation would be lower than the rep-ular
market-value based on the fact that if the p'olf course were to be
abandoned, the buildinp' would have a severely-limited re-sale value.
The Assessed buildinp' values as shown in Exhibit #1 show the dis-
crepancies in comparinpo Minnetonka' s buildin.~ to those at the
"luxury cltl.bs.tt Lafayette for example is only $240,000 hi~her, yet its
buildin~ is four times our size, not to mention the $400,000.00
spent on their swimminp' pool buildin~. Golden Valley is also only
$240,000.00 hi~her with a clubhouse twice our size, and also with
a swimminp pool complex. Similpr comparisons can be made with the
other clubs in the exhibit.
GO:t.F COURSE uQUALITY" RATINGS:
The Assessor attempted to rate the "quality' of the courses li~ted
in Exhibit #2. The rankin~ of the courses as indicated by the
"Value Per Acre" shows Minnetonka the third hi~hest, exceeded only
by Lafayette and Bdina. Accordin~l~ Minnetonka has a better polf
course than Oolden Valley, Interlachen, Minneapolis, Oak Rid~e,
Wayzata, Woodhill, Olympic Hills etc.
The above rankinp' has brought snickers from the members of the
Minnesota Section of the Professional Golfers Association. These
men have played all the courses mentioned inumerable times and are
in a far better position to evaluate the "quality" of a p-olf course.
Exhibit #6 is the photostat from their pUblication,"1986 Minnesota
PGA Annual't pap'es 42 and 43, entitled "Best 18 Holes...." and
"The 20 Best Golf <'-ourses in the l'1innesota Secti(m." 1'1innetonka
Country (jlub is conspicuous by its absence from both pa~es, yet the
Assessor says we pre better than all except Edina Country Club.
Prestigous tournaments soonsored by the United States Golf Associa-
tion have never been held at Minnetonka. Durinp' the current ~olf
season four US".A tournaments will be held as follows:
June 17 Senior Open Qualifyinp' Golden Valley
Aup'. 12 Amateur-Qualifyinp. Olympic Hills
Sept. 8 Mid-P.mateur Qualifyinp: Way~ata
Sept 15-20 Senior Amateur Championship Interlachen
The "quality" of a p'olf course is reflected in the cost of member-
shlp. Exhibit #7 shows the relative costs of the private clubs in
the Assessor's jurisdiction. Minnetonka has the second lowest
over-all cost. After addin~ the yearly dues and assessments, to the
amortized cost of the entry fees, the total yearly cost of the
other clubs shows a ranp'e of 50-100% hi~her than what l'1innetonka
can char~e its members.
Minnetonka <'-ou~trl Club is considered a "second-class" club be-
cause of its "wet' p'olf-course. Jlfter a heavy rain we have to close
the course to members for a day or more. Our members are then
forced to go to other courses to play. As a result many of our
-3-
members have transferred to the other clubs with a dry course. We
have never been able to have a full membership of 325-350. Our
aVera~e over the years has been 200-225.
IN SUMivrJ'~ RY :
The Plymouth City Council at their tax-review meetin~ held on
June 2, 1986 completely rejected the Hennepin County Assessor's
valuation as shown in Exhibit #1, and concluded that there should
be no chan~e over the 1985 assessed valuations. The ~ol~ courses
involved there were, Elm Creek, Hampton Hills, and Hu~h's nrivin~
Ranpe.
The Eden Prairie City Council at their tax-review meetin~ held
on June 3, 1986 also completely rejected the Hennepin County
Assessor's valuations and concluded that there should be no chan~e
over the 1985 assessed valuations. The ~olf course involved
there was Edenvale.
Minnetonka country Llub respectfully holds that the 1986 assessments
should not be increased over the 1985 assessments"
(~'
~'---< ('I
,~fl
---
/ i 21(.
-4-
MINNESOTA OPEN SPACE PROPERTY TAX LAW
Laws 1969, Chapter 1135
(M.S. 273.112)
Subdivision 1. This section may be cited as the "Minnesota Open Space Property Tax Law."
Subd. 2. The present general system of ad valorem property taxation in the State of Minnesota does not
provide an equitable basis for the taxation of certain private outdoor recreational, open space and park
land property and has resulted in excessive taxes on some of these lands. Therefore, it is hereby declared
that the public policy of this state would be best served by eq\1alhing tax burdens upon private outdoor,
recreational, open space and park land within this state through appropriate taxing measures to encouraae
private development of these lands which would otherwise have to be provided by goveI'lllllental authority.
Subd. 3. Real estate shall be entitled to valuation and tax deferment under this section only if it is:
(a) actively and exclusively devoted to golf or skiing recreational use or uses and other recreational
uses carried on at such golf or skiing establishment;
(b) five acres in size or more; and
(c) (1) operated by private individuals and open to the p\1blic; or
(2) operated by firms or corporations for the benefit of employees or guests; or
(3) operated by private cluhs having a membership of SO or morc.
Subd. 4. The value of any real estate described in subdivision 3 shall upon timely application by the
owner, in the manner provided in subdivision 6, be determined solely with reference to its appropriate
private outdoor, recreational open space and park land classification and val\1e notwithstandina Minnesota
Statutes 1961, Sections 272.03, S\1bdivision 8, and 273.11. ln determining s\1ch value for ad valorem tax
purposes the assessor shall not consider the val\1e s\1ch real estate wO\1ld have if it were converted to com-
mercial, industrial, residential or seasonal residential use.
Subd. S. The assessor shall, however, make a separate determi nation of the market val\1e of such real estate.
The tax based \1pon the appropriate mill rate applicable to such property in the taxing district shall be
recorded on the property assessment records.
Subd. 6. Application for deferment of taxes and assessment under this section shall be made at least 60
days prior to Jan\1ary 2 of each year. Such application shall be filed with the assessor of the taxina district
in which the real property is located on such form as may be prescribed by the Convnissioner of Taxation.
The a~sessor may req\1ire proof by affidavit or otherwise that the property qualifies under subdivision 3.
Subd. 1, When real property which is being, or has been, valued and assessed under this section is sold
or no longer qualifies under subdivision 3, the portion sold or the portion which no longer qualifies under
subdivision 3 shall be subject to additional taxes, in the amount equal to the difference between the taxes
determined in accordance with subdivision 4. and the amount determined under subdivision S, provided, how-
ever, that the amount determined under subdivision 5 shall not be great.er than it would have been had the
actual bona fide sale price of the real property at an arms length transaction been used in lieu of the
market value determined under subdivision 5. Such additional taxes shall be extended against the property
on the tax list for the current )'ear, provided, however, that no interest or penalties shall be levied on
such additional taxes if timely paid, and provided further, that such additional taxes shall only be levied
with respect to the last seven years that the said property has been valued and assessed under this section.
Subd. 8. The tax imposed by this section shall be a lien upon the property assessed to the same extent and
for the same duration as other taxes imposed upon property wi thin this state. The tax shall be annually ex-
tended by the county auditor and shall be collected and distributed in the manner provided by law for the
collection and distribution of other property taxes.
Subd. 9. This section shall apply to assessments for tax p\1rposes made beginning in 1970 used to determine
taxes payable in 1971.
HC211
Commissioner of Taxation Fora 132
APPLICATION FOR VALUATION AND TAX DEFERMENT OF PRIVATE OUTDOOR
RECREATIONAL, OPEN SPACE AND PARK LANDS
Laws 1969, Chapter 1135
(M.S. 273.112)
To
Assessor, County of
State of ~Iinnesota.
, beina first duly sworn, deposes and says that_he_ is/are the owner(s), or a
duly authorized officer of such owner(s). of the followina described real estate situated in the
of
, in said County of
, State of Minnesota:
Affiant herewith requests that the aforesaid real estate be valued in the forthcomina assessment and that taxes based on
any such higher valuation be deferred under the provisions of the Minnesota Open Space Property Tax Law, Laws 1969, Chap-
ter 1135. In support of this request affiant submits that the conditions of use and of ownership of the above described
property does, as herein provided, meet all of the requirements of this act.
1. The above described real estate is actively and exclusively devoted to golf or sHine recreational use or uses
and other recreational uses carried on at such golf or ski ing establishment. "Yes" or "No"
2. The above described real property consists of five or more acres. uYes" or "No"
3. All of the above described real estate is operated in accordance with the requirements of this law and is:
(a) Operated by private individuals and open to the public. "Yes" or "No"
; or
(b) Operated by firms and corporations for the benefits of employees or guests. "Yes" or "No" ___.; or
(c) Operated by private clubs having a membership of 50 or more. "Yes" or "No" _
hereby declare .that I have read the provisions of this act and that the information contained in this application
is, to the best of my knowledee, true and correct.
further agree to provide information relating to the operation. use
or the sale of ..ny portion of the real estate described herein which would cause this property to be no longer eligible
for the deferment of taxes under provisions of the law.
Subscribed and sworn to before
me this_ day of
SI~ATUAE
19
tITLE
N.IME OF OVINER
O~ER' S AOORESS
STATEMENT OF ASSESSOR
certify that I have reviewed the aforegoing application and upon due consideration do herewith APPROVE _ DENY
(cross out one) such request for consideration in assessment for the year beginning January 2, 19_.
19_
ccu.TY ASSESSOR
Application for deferment of valuation with respect to taxes payable under the provision of this act shall be filed
annually on or before November 3rd of the year prior to the assessment date on which such taxes are based.
...
SITE EVALUATION CR1TER1A
location
Vehicular Access - The ability to reach the course easily from all portions
of the mat"ket area is a primary element in the success of any recreational
facility.
Pedestrian Access - This is directly related to adjacent land use and whether
there are people living and working in the area who can walk to the
course. This is more of a bonus than a major factor in overall feasibility.
Urban Suitability - What affect will the course have on the city and its growth
pattern? Is a golf course compatible with existing land use patterns,
parks, or projected community and regional plans?
Exposure - The visibility of the course and facilities to the general public.
This can be a strong element in the marketability of the course. Also,
will the green space afforded by a golf course have a maximum impact upon
the city and its image?
Design Factors
Size:Overall - Is there sufficient gross acreage to support a quality golf
facility; 18 or 27-holes?
Size:Usable - Are there portions of the site which cannot be used for golf due
to soils, topography, deed restrictions, easements, drainage, etc.
Shape:Orientation - Will the site in question lend itself to a proper golf
layout, fairway orientation, sequence of holes, flow of traffic and
safety of play, etc.?
Topography - Rolling or undulating land is an
visual interest and range of challenges.
wasteful, costly and frustrating for the
site is bland and monotonous.
asset to a golf' course providing
Severe topography can be
average player while a flat
Trees - Mature trees and plant materials provide much of the character of any
.golf course. They provide scale, background and framing for greens and
fairways and are a primary factor in providing a more challenging and
enjoyable experience for the golfer.
Overall Golf Quality - Every golf course has its own image; held by its regular
golfers and presented to its visitors. This quality is a composite of all
the above factors and yet, in the case of a golf course, the whole is more
than the sum of its parts. This quality is an intangible factor, hard to
quantify or measure in hard numbers, yet is an overriding factor in site
consideration, and we have given it a corresponding weight in the evaluation
process. The character of the land forms the basis for any course. Is
the site somewhat small, the cost higher, or harder to get to? Perhaps
any or all of these concerns may be outweighted by the presence of ~
lake, stream or particularly interesting topography or natural feature
which will give the course unique character.
Maintenance
Turf - The ability of the topsoil to maintain a good turf cover.
Drainage - Involves possible siltation and erosion resulting from flooding
caused from conditions up-stream from the site. Also refers to the
ability to drain water from the site.
Watering System - Manual to fully automated, sprinklered greens to fully
sprinklered course.
Accessibility - The ability to get maintenance equipment to all site areas.
(F't.~; sr:.(l
TOP GOLF COU::SE
170 ACRES, 18 Hole Galf Course with t~E Highest Possible Score cf
91:)0 Points
Using S950jAcre as the ValJe of le~d Suitable for a GJlf C~urse
Land:
170 Acres @ S950!Acre =
S lE-l,OOa
Improve~ents: 18 Greens @ S20,OOD =
$1,440,000
(SeO,OOO/green represents the estis2ted cost
to construct the top quality golf course)
Total
Sl,601,5CID
51.601,500
13 Greens
=
s
E:2.972
sey
s
89,OOO/Green
This value per Green is used as the Base to Calculate an Open
Space Value for Each Golf Ccurse.
PM R 3 ..:. : ; L) ~', IN I 9 :-: ;J L E
GOLF COIJRSES
say
S 28,500
$ 450,000
S ':78,500
$ 53,166
~. 53,000
30 Acres X 9S0/Acre =
9 Greens X S50,OOO/Green =
$473,500 t 9 =
,,' )
PID
33-117-23-24-0013; 33-117-23-31-0002
33-117-?3-31-0004: 33-117-?3-32-0014
MUNIC
NAME:
Shorewood
Mi nnetonka
I I I
I 51 4 3 2 1 SCORE
CRITERIA WEIGHT 9 8 71 6
I
i- f
Location I x I
Wei ht Ra te ,- Sc ore
t I I i
Access 10 I X I 60
Urban Suitability 20 X , 100
Exposure 6 X 36 I
!
t ,
j
DESIGN
Size 6 X 18
t
Shape/Orientation 7 X 42 I
,
Topography 8 I X 56 I
I I
I
Trees 7 I I
X 49 I
Overa 11 Golf Quality 10 X 70 !
j
MAINTENANCE - CONDITION I I
I
Turf 8 X 56 i
Drainage 7 X 42
Watering System 7 X 49
Accessibility 4 X 24
I
,
TOTAL SCORE , 100 602 I
,
r--
:z:
I.J...I
.-J
.-J
I.J...I
U
><
I.J...I
I.J...I
c.!:l
c::r::
oc.
w
>
c::r::
>-
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o
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u
c::r::
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......
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c::r::
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:z:
=>
score (Mtka CC)
perfect score
602
90iJ
= .6689
X 89000
Per Hole
(perfect
course)
= 59531
i3er hole
~ltka CC)
X 18 holes = 1,071,600
tentative
1987
taxable
land value
. .. ..."'.
NAtv1E : M I NNETONKA C C
DATE: 1-2-86
I.D.# / ADDRESS: 33 117 23 31 0004
APPRAISER: R ERICKSON
4 OCCUPANCY
5 BUILDING CLASS
BUILDING QUALITY
6 EXTERIOR WALL
7 NUMBER STORIES
HEIGHT
8AVERAGE FLOOR AREA
9 AVERAGE PERIMETER
10 EFFECTIVE AGE
A LIFE EXPECTANCY
CONDITION
AREA
SECTIOr,J 1
COUNTRY CLUB
c
SECTION 2 SECTION 3
8ASEMENTTENNIS 8LDG
C C
(JOC)D GOOD
vJOOD
SECT I.ON 4
GOCJD
8R I U(
1
1::::
11 305
~;02
20
50
GOOD
1 1 305
10::::37
864
o
11 BASE SQ. FT. COST
57.41
1'='
'.J
14
12 HEAT VENT COOLING
13 ELEVATOR DEDUCT.
14 MISCELLANEOUS
2. :~:5
2.35
15
TOTAL
5';::'.7.5 10 14 2.35
1 .00 1 .00 1 .00 1 .00
1 .0,::;. 1 .00 1 .00 1 .00
. '7',;::. 1 .00 1 .00
1 .01 1 .00 1 .00 0.00
16NO. STO MULTIPLIER
17 HT/STO MULTIPLIER
18FLR AREA/PER MULTP
19COMBINED MULTPLIER
FINAL CALCULATIONS
20REFINED SQ FT COST
21 CURRENT COST MULT
22 LOCAL MULTIPLIER
23 FINAL SQ FT COST
24 AREA
25 AREA X COST
26 LUMP SUMS
27 REPLACEMENT COST
28 DEPRECIATION %
29DEPRECIATION AMOUN
30 DEPRECIATED COST
60 .4,:::' 1::::.00 14.00 0.00
1 .01 1 .00 1 .00 1 .00
1 . 1 1 1 .00 1 .00 1 .00
67. ::::::;: 1::::.00 14.00 0 .00
1 1 ::::05 10:::::37 864 0
766::::27 1'~50 1~1'::' 12096 0
766827 1 '7'50 ~1e.1 12096 0
.~'j r~::- 0'"jC" .35
. 0:::'-'_' . '-"'0_1
26::::::::::::':';' 6B27~: 4234 0
4984:3:::: 12'~17'7':3 7862 0
63~:,~,17';::
633700
TOTAL DEPRECIATED
13t.Df- ROUNDED VALUE
June 3, 1986
Villap;~.of Plymouth
City Clerk: Lorri Houk
559-2800
City Assessor: Scott Hovett
Golf Coursea Involved:
~lm Creek
Hampton.Hills
Hugh's Drivln~ Range
MEETING HELD ON MONDAY June 2, 1986, BY THE VILLAGE COlJCIL
TO HEAR PROTESTS ON 19Ab REAL-ESTATE ASSESSMENTS:
The Villa~e touncl1 rejected the new 1986 valuea completely
and ruled that there should be no increase on the 1985 values.