Beach Front Amenity FAQ
- Why do we need a beach club?
One of the primary goals identified in our 2017 strategic planning was to acquire property, along with developing a better sense of community and finding a balance between fulltime residents and investment property owners. In the fall of 2018, owners shared their thoughts and desires for amenities that might enhance the livability, attractiveness and property values within Palmetto Dunes. The most requested amenity, by far, was a beach front club and clubhouse. Given most owners purchase in Palmetto Dunes to access or enjoy the beach, we wanted to explore potential options for the community.
- What beach club options were explored?
The committee examined virtually every foot of land from north to south—from Coco’s to Leamington. We considered undeveloped land, residential spaces and commercial partners. As Palmetto Dunes is virtually fully built-out, few locations remain viable for a beach club with unobstructed views.
- Why would we partner with the Dunes House?
Through discussions with several potential partners, it became clear there is a unique opportunity to partner and re-envision the Dunes House. First, the Dunes House resides in a commercial zone on scarce oceanfront property. Secondly, the Dunes House could benefit from a substantial renovation. Given changing building and flood codes, it’s possible to build a new structure that includes the Dunes House and oceanfront deck on the first floor, with a POA clubhouse on the second floor accompanied with a POA rooftop deck.
- Who owns what?
The Dunes House continues to own the land, and the POA will own the new building. 99-year renewable leases will grant the POA use of the land, and will grant the Dunes House use of the first floor.
- How will the beach club be used?
The second floor will act as a community center with a large, dividable meeting room (approximately 1,650 square feet of air conditioned/heated space). The facility will be used by clubs (Women’s Club, mahjong, etc.) that currently gather at the firehouse, homes or other locations—and other clubs that have yet to be formed. The second floor and rooftop deck can be used for social gatherings, holiday parties, wine tastings, seminars/speaker series, educational demonstrations, television-based sports parties—and the sky is the limit. Importantly, optional food and beverage service will be available, and the facility can also be rented for special events.
- What features will the beach club offer?
The facility will offer 2,500 square feet of conditioned space that includes:
- Large dividable meeting room with stunning ocean views
- Catering/prep kitchen
- Elevator providing secure access to the club
- Food and beverage service
- It also includes a 2,100 square foot rooftop deck with an outdoor lounge, bar and plenty of seating.
- Who will have access to the beach club?
The beach club is for Palmetto Dunes property owners (excluding Leamington and Shelter Cove) and their accompanied guests. Access will be restricted via electronic pass cards or FOBs.
- Can the beach club be rented for private parties?
Yes. We envision owners being able to reserve and rent the facility for events. To offset operating expenses, we will also enable the Dunes House to rent the facility for weddings and special events—with advance permission and notice.
- Will I have to pay a fee to use the beach club?
No. The facility is an owner’s amenity that can be visited by any property owner within Palmetto Dunes and their accompanied guests. Like any other eating establishment, owners and guests will obviously have to pay for any food and beverage ordered while at the club.
- How much will the beach club cost?
Based upon the construction costs of neighboring beach clubs, we believe the total cost of the project to be approximately $3,372,000.
- What impact does the creation of a beach club have upon my assessment?
None. The project will be paid using the ½ of 1% fee that is paid by owners when purchasing property (called the Community Enhancement Fee) within Palmetto Dunes.
- Will there be any assessment impact associated with the operation of the beach club once it’s built?
Just like your home, the POA will have to pay taxes, insurance, utilities, maintenance and other operating costs. It is expected that many of these expenses will be offset by rental income—resulting in a nominal impact.
- Why are POA funds being used to benefit the Dunes House?
They are not. POA funds are being used to help every owner with a cost-effective access to a new beach club and rooftop deck. Without such a partnership, costs more than double and it’s possible a beach club might be out of the question. A completed shell space will be delivered to the Dunes House and they will be responsible for all first floor interior construction and equipment.
- Why would I want a beach club if I don’t believe I would use it?
Given Palmetto Dunes is an oceanfront residential resort community, the opportunity to meet, gather and enjoy the beach from the comfort of an owners-only climate-controlled facility is consistent with the reason most owners purchase here. Beyond the social aspects, a differentiated beach club (we’ll be the only owner’s club on Hilton Head Island with a second story view, rooftop deck and ongoing food and beverage service) will increase the desirability of Palmetto Dunes, enhancing property values for every owner.
- Will there be enough parking?
Parking has always been a challenge at the Dunes House and a key consideration for any beach club. With the redevelopment of the Dunes House, Dune House Lane will also be redesigned and repaved to increase traffic flow. We are also exploring several owner-only parking solutions as well as guest parking solutions near the Trent Jones clubhouse and expanded Dunes Buggy service between the Dunes House and Centre Court.
- When will the beach club be completed?
There are many tasks yet to be completed before a formal schedule can be developed. First, community feedback indicating the desire for a beach club is needed. And if desired by owners, we can then:
- Commence the lease development and negotiation process
- Establish a committee to further define the use requirements, policies, etc.
- Engage an architect and builder
- Apply for construction permits
And while we have explored many of the above items, it’s possible that roadblocks might be encountered. We expect that construction would begin in the fall of 2021 (but quite possibly in the fall of 2020) and complete the following March.
- What’s next?
We encourage you to consider all of your amenity options and determine which you prefer first. Feel free to ask questions, read the accompanied information and discuss with your fellow owners. You will be requested to share your thoughts so we understand the needs of the entire community.
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