LA\u2019s highest-end golf clubs are in the rough with a local politician who wants to drastically raise their taxes after learning that the private plots have a sweetheart deal dating back to the \u201970s. But the new rates would be so high, they could mean extinction for the elite enclaves.<\/p>\n
A consortium of the clubs agreed to negotiate with the pol before a decision is put to the public in the form of a November ballot measure. But there\u2019s dissension in the ranks, scratch sources say, and one of the most prominent clubs has gone rogue as the city\u2019s most privileged duffers gear up to fight for their right to tee off.<\/p>\n
Last month, LA City Councilman\u00a0Adrin Nazarian\u00a0proposed a November ballot measure that aims to remedy a decades-old tax loophole allowing six private country clubs \u2014 Bel-Air, Brentwood, Hillcrest, Lakeside, LACC and Wilshire \u2014 to pay a fraction of what other landowners pay in property taxes.<\/p>\n
A ballot measure aims to remedy a decades-old tax loophole allowing six private country clubs, including Bel-Air Country Club, to pay a fraction of what other landowners pay in property taxes Getty Images<\/p>\n
Together the six clubs pay $811,000 a year in property taxes, although they occupy nearly 1,000 acres of land valued in excess of $15 billion, according to Nazarian.<\/p>\n
The council member who represents much of the San Fernando Valley and proposes a $4 per-square-foot \u2018parcel tax,\u2019 got the idea to fix this situation which dates back to the 1970s after listening to a\u00a0Malcolm Gladwell\u00a0podcast.<\/p>\n
In the episode, Gladwell estimated that the clubs should pay as much as $140M in taxes. If successful, the ballot measure could raise the targeted clubs\u2019 tax rate by 160 times more than what they currently pay, which would more than likely put them all out of business, sources say.<\/p>\n
Five of the six clubs quickly banded together to try to reach some sort of settlement with Nazarian and the city to stave off a ballot measure that seems likely to pass. (The current political climate isn\u2019t exactly friendly to the gilded class and their golfing buddies.)<\/p>\n
However, Page Six Hollywood has learned that the Bel-Air Country Club is breaking ranks and holding out.<\/p>\n
Chris O\u2019Donnell WireImage<\/p>\n
Earlier this week Bel-Air Country Club president\u00a0Brett Wyard\u00a0sent out a memo, seen by P6H, in which he wrote: \u201cOn Friday, the Councilman who introduced the motion withdrew it after signing an agreement with six of the seven affected clubs to form a \u2018working group\u2019 that would continue to study his proposal. Bel-Air was the one club that did not join the agreement.\u201d<\/p>\n
The memo goes on to state: \u201cAt the end of the day, we decided that joining the other clubs in signing the agreement, and committing to the obligations it imposed, was not in our Club\u2019s best interest.\u201d<\/p>\n
It\u2019s somewhat unclear what the ramifications are of Bel Air Country Club breaking ranks. A source close to Nazarian told P6H that they were aware of the fissure, but felt that talks between the city and the other clubs could still move forward.<\/p>\n
A longtime LACC member said the move was in keeping with the profile of Bel-Air Country Club members. \u201cIt\u2019s less traditional over there. They are younger and cockier and my take is they\u2019re just like \u2014 f\u2013k it. Let\u2019s fight it,\u201d said this source. LACC gained national exposure when it hosted the 2023 U.S. Open, marking the first time the tournament was held in LA in 75 years. <\/p>\n
Within the hierarchy of LA\u2019s country club pecking order, most would put LACC at the top of the list, but Bel-Air is no slouch. Its grounds are considered an architectural marvel and include an 18-hole course, tennis courts, multiple dining spaces, a spa and wellness center.<\/p>\n
Famous members of the club, founded in 1926, have included\u00a0Clint Eastwood, Jason Bateman, Luke Wilson, Dennis Quaid, Pete Sampras\u00a0and\u00a0Chris O\u2019Donnell. Jerry West was reportedly the club\u2019s foremost greens reader, and when famed golf architect\u00a0Tom Doak\u00a0redid the course in 2016, he was allegedly urged to consult with the Lakers legend on his vision. <\/p>\n
When former MPAA chief Chris Dodd was in LA for business, he often liked to squeeze in a round at Bel-Air. Initiation fees can range, but mostly run in the low six figures.<\/p>\n
The clubs\u2019 sweetheart deals date back to the state\u2019s seminal 1978 Proposition 13 ballot measure, which capped property taxes at 1% of assessed value. The amount being paid was reportedly set at a 1975 rate, with annual increases limited to just 2%.<\/p>\n
Billy Bush Getty Images for Operation Smile<\/p>\n