The Malibu Golf Club is finally emerging from the financial muck of the recession. The 650-acre property sold for $30.5 million to Chinese company Shinhan Golden Faith International Development Ltd. after being in the hands of a court-appointed receiver.
Former Lehman Brothers Chief Executive Dick Fuld and some partners purchased the site in 2006 for $32.8 million and borrowed millions to restore the site, nestled in the Santa Monica Mountains. The venture crumbled under debt amid the recession and the partnership, Malibu Associates, was forced to file twice for bankruptcy, first in 2009 and then in 2015.
Bill Hoffman, chief executive of property management firm Trigild, the receiver, said he vetted numerous offers, including a handful from the property’s former owners and investors, but was looking for a buyer who could quickly and reliably pay the full amount in cash. Shinhan fit the bill – even if the transaction required a series of interpreters and 3 a.m. phone calls. The company did not disclose its plans for the site, but is thought to be considering several options, including renovating the putting greens or building homes.
A team at Beverly Hills brokerage Kennedy Wilson led by Fred Cordova marketed the property, snagging a price higher than initially expected for the much neglected swath of land.
“I keep hearing in the back of my head, ‘650 acres with a Malibu address,’” Hoffman said, describing the potential appeal of the site once a new buyer spruces it up. “Everyone was happy.”
For reprint and licensing requests for this article, CLICK HERE.