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  • Selling a golf course

    I wonder if this took place about 30 years ago. A group of investors got together and come up with a plan

    #1 We will start a very large land development on the outskirts of Calgary without the city safe guards.  
    #2 Instead of supplying parks and rec land we will build a golf course,which will be considered green space in-lieu  of  rec land     

    Advantages of this would be::                                                          
    #1  We we sell the lots at a premium price, being on a golf course.
    #2  We will not have to pay tax on any of the land while we own it. 
    #3  We can charge what we want for membership with no guarantees of continuing golf, all with no ownership                   
    #4  We can orchestrate our books at any time to show a loss      
    #5  At a later date we can claim that the golf course is losing money and we can sell all the land for an outrageous sum 30 years in the future after not paying any tax on the land and making money as a golf course in the mean time.  

    Sounds like a heck of a good deal if you get away with it.             

    Will the authority not question why there was no tax paid on all this land, if we are just holding it for sale at a later date. 
    #2  What about the green spaces and rec land that was promised at the time of development. 
    #3 The people that bought on the course, were they not to expect always green space behind them.  
    #4  The memberships sold , did they have an end date???  
    #5 Is the authority not going to bring up that we sold some lots( which no taxes were paid on land ) cut out of the golf course to upgrade the course, where did that money go???                          

    In conclusion – This is a great deal for the investors if you can get away with it . Just my Opinion

    Frank DeVetten, A local Rocky view resident long before Lakeside Greens or City of Chestermere ever came .