Fort Bragg Advocate-News/Staff
Slim hopes for the survival of Fort Bragg”s Redwood Health Club rest in the hands of long-time rival, Larry Hinson, owner of the Mendocino Sports Club.
“We were unable to work out financing with the bank. But we are still trying with private financing [and] would love to save it” said Hinson.
On Saturday, not a single parking place was to be found at the Redwood Health Club, located on Cypress Street across from the hospital. A big Saturday racquetball tournament drew players from around Northern California, including corporate sponsored competitors. Nearby, five members huddled in the hot tub. The couch was full of people watching the Giants game.
This was despite foreclosure proceedings and a letter owner Don Pollard sent out telling members the Club was scheduled to close on June 30.
By Tuesday, the situation had worsened at the oldest health club in Fort Bragg. Some employees weren”t coming to work. A foreclosure sale had happened that day on the courthouse steps but it was unclear what that meant to the Club or the owners. The auction did take place but this reporter was unable to learn if the bank took ownership as expected.
A clearly flustered Pollard, 79, said he didn”t know whether the bank would allow the club to remain open until the end of the month or not.
“They won”t tell me what is going on. I can”t find out anything,” said Pollard.
Pollard was faced with just one employee who told him she was about to go into overtime. Cindy Del Campo, who has worked at the club for more than 30 years, and had been running it, had to leave early after Tuesday”s confusion.
“The stress of all this is becoming overwhelming for anyone. I am not going to close the doors; the bank will have to do that unless nobody shows up to work,” Pollard said.
Scott Yandell, president and CEO of Savings Bank of Mendocino County, was unable to discuss the case.
“I would love to be able to discuss the facts and circumstances, but due to confidentiality restrictions I can”t tell you anything beyond what is in the public record,” said Yandell.
The club has been in foreclosure for a year, with back taxes among the money owed, according to county filings.
Pollard hopes the bank will find a way to work with Hinson to keep alive the only place in town with racquetball, tennis and an Olympic-size pool.
Hinson said the bank tried to arrange the financing for him to buy.
“I thought it was the slimmest of chances anyway. It”s a much different borrowing environment than a few years ago. Back then you could be unemployed and get a big loan. Now, banking is very different. It”s very difficult to get a loan,” Hinson said.
“I said when C.V. Starr opened there wasn”t room in this town for all three of us. It would be a shame this facility would close,” said Hinson.
Pollard said a short sale should go to Hinson so the community can continue to have access and the bank won”t be stuck with a quickly deteriorating building.
“They don”t need to loan him a million dollars, just get it into his name and go forward.” Such moves are difficult for anyone to accomplish when back taxes and multiple creditors are involved.
Although there are four smaller health clubs in Fort Bragg, Redwood is beloved by many.
“Redwood has the only racquetball courts in the area. An active community of about 40 people use them,” said Walt McKeown.
“This community is desperate and hope that just the courts might be leased to us with entrance through the back door. Any options other than closing would be most welcome,” said McKeown.
The facility offers a hot tub, not available at C.V. Starr and seen as crucial to healing sore muscles by adult members.
“I had a plate installed in my back a few years ago, still have a bum leg and have found that the Jacuzzi in the hot tub works wonders for leg cramps and reduction of symptoms. No other local facility has this,” said McKeown.
Colette Bailey of Fort Bragg, former co-owner of Grey Whale Inn suggested that members like herself who value the healing powers of the waters band together to help. She said the Club offers pool services more appropriate to adults like herself than C.V. Starr.
Hinson said if the clubs were to consolidate, the Mendocino Sports Club would be used as a personal training center, with the bulk of services at Redwood. Hinson tried to buy Redwood Health Club before he opened his own club.
Just a year ago Hinson offered to fold his club into the C.V. Starr Center but that sale didn”t work out. He said the Club has been growing steadily ever since.
“I hired a marketing company and it was one of the best moves I ever made,” Hinson said.
Pollard blames the economy, cutbacks in Medicare for water therapy, the closing of the mill and the uncertainty over the C.V. Starr Aquatic Center, which the City of Fort Bragg has taken over and is preparing to reopen.
“We are private and have to pay all the property taxes and they are exempt,” said Pollard. The Club owes many creditors at this point. Some point to difficulty using the Club for non-member patients as another factor.
Although Yandell couldn”t talk about this foreclosure he did say he hates to see them happen.
“In general, as a bank, we go to great lengths to avoid foreclosures. We work with all our borrowers and foreclosure is our last resort. This is never anything we want to get to this point,” said Yandell.
Pollard moved to the area in 1961 and built a business that provided union-only carpenters especially to the Georgia Pacific Mill. The Redwood Health Club was started in the late 1970s by dentist Michael Golden. Pollard joined with his family for a year and became owner in about 1979. He moved to Farmington, N. M. where he owns another health club and was dealing with his own skin cancer. He returned to take care of the Redwood Health Club foreclosure.
“This is costing me money every day it”s open. I”d like to see it continue as something for the community, not close. It would deteriorate very quickly if it was closed down,” he said.
Hinson and Pollard encourage anyone who has a solution to offer to call Hinson at 964-6290.
