UPDATE #21
Fellow Members and friends of Gulf Harbour,
Consider this a State of the Renovation address.
Here’s a summary of where we are on the Clubhouse Renovation project, as of February 10, 2026:
• Schedule: We’re 60-days behind and focused on a December 2026 reopening.
• Cost: The project remains within our cost budget, including contingencies. and falling interest rates has generated a favorable funding variance.
• Quality: The project will meet our quality standards and expectations.
• Pool & Tiki: Closed until work on the building’s west side is more complete.
• Communications: Feedback on our approach to communications has been positive.
Schedule Update – We’re behind and focused on a December 2026 reopening.
The period from November 2025 through January this year has fallen short of my expectations, our teams’ and yours for progress on our Clubhouse Renovation schedule. I want to be clear about that from the outset. What we have seen during this timeframe does not reflect the standard of execution, focus, or urgency that this project demands from our chosen construction contractor, Curran & Young Construction. We estimate we are at least 60 days behind our initial schedule, which called for the Clubhouse to be completed by September 2026. Our latest completion date is now estimated to be early December 2026, in time for the holidays, but with little room for delays or missteps.
As you may recall from earlier updates, we initially encountered delays in securing all necessary permits and approvals, but once received, we officially began the construction project on July 7th, 2025. As construction progressed, several unforeseen infrastructure conditions were identified that could not have been reasonably anticipated during the initial planning phase. Lonnie highlighted those in earlier updates. Additionally, numerous errors were made by subcontractors during demolition. Design changes became necessary, and schedules had to be altered. Furthermore, expectations were set and then reset. Difficult conversations have taken place between me and the executive leadership team at our construction contractor, Curran & Young Construction. And I assure you we have taken the necessary initial steps to protect ourselves legally and fiduciarily. But it doesn’t change the fact that we are behind our initial completion date.
The Board of Governors assures you that we are doing everything possible to exert appropriate pressure to push this project forward and find ways to accelerate work activities and installation dates.
Last month, Lonnie and I again met directly with the principals of Curran & Young to express our concerns, displeasure, and need for greater progress. That meeting was necessary, candid, and firm. We expressed our dissatisfaction with the pace of work and the lack of meaningful forward momentum. As a result, we conducted a full reset and reached agreement on a revised path forward, which we are operating to.
The schedule is dependent on delivery of structural steel, which has been – and remains – a critical path item. I’m pleased to report that we began to receive structural steel on Friday, February 6th and should be receiving more structural steel each week over the next three weeks. As Lonnie and I walked the project last Sunday, interior columns and beams were already being installed.
Cost Update – We are within budget, and no additional assessments or funds are needed.
On the financial front, and seven months into the project, the Board still believes the Member-authorized $19 million total cost is attainable. But we still have an estimated nine months until completion. Much has to go “right” from here on out, and our contractors are aware of that. Let me be as clear and reassuring as I can at this time, the Board has reviewed the details of our spend-to-date and that which remains to be spent, as well as detailed cash flow projections moving forward, and we remain confident that the project budget remains intact. I repeat, NO additional assessments or funds are expected to be required from our Members. That commitment which the Board made to you remains unchanged.
We have collected $10.8 million so far, most of which was from Members prepaying up front. We have used $6.5 million for construction costs to date so we currently have just over $4 million in cash earning interest. We therefore don’t anticipate tapping our bank line of credit for the project until April/May this year. Additionally, and for those closely following the financial market, interest rates have improved nicely since we started this project, which lessens our expected debt service and provides a favorable funding variance versus our original models, once we begin to draw on the loan.
Quality Update – The project will meet our quality standards and expectations.
Build quality on a project of this scale demands continuous, disciplined oversight, and it remains a central focus of our management team and the daily interactions we have with our contractor. Our Owner’s Representative and Quality Manager are exercising the appropriate level of scrutiny to ensure workmanship meets our standards, despite significant challenges presented by the contractor. We remain confident that the finished product will align with our quality expectations.
Importantly, as construction has advanced, we have integrated several design enhancements that elevate aspects of the design, architectural detailing, and overall finish of the Clubhouse. We believe these improvements—though requiring careful coordination—meaningfully enhance what Members will experience upon completion and further underscore our commitment to delivering a first-class facility.
Pool and Tiki Update – Closed until work on the west side of the building is more complete.
As you know, our Clubhouse Renovation is a significant and transformative project for Gulf Harbour. Throughout the planning process, our hopes and intentions were to keep the pool and Tiki-Hut available for Member use during construction. Unfortunately, as work has not progressed as planned, construction activity in the immediate vicinity of the pool has increased to a level that we believe poses safety concerns for our Members and guests. That level of construction activity will only increase as structural steel is placed in this area and our expanded footprint begins to take shape on the southwest corner of the building.
With all that in mind, and with sincere regret, the Board has determined that we must delay the opening of the pool and Tiki-Hut until construction advances to a point where we can ensure a safe environment. At this time, we estimate this may require approximately two to three additional months of closure. However, because construction conditions can change, we cannot commit to a fixed reopening date today.
We understand how disappointing this news is, especially as many of you look forward to enjoying the pool during this part of the year. Please know that this Board decision was not made lightly. The safety and well-being of our Membership remain our highest priorities, and we are working closely with our construction team to accelerate progress wherever possible.
The moment it is deemed safe to re-open the pool area and Tiki-Hut—even earlier than estimated—be assured we will do so. We will continue to keep you updated as the project advances and as the timeline becomes more definitive.
Renovation projects of this magnitude can be frustrating for everyone involved – Board members, project partners, and most importantly, you, our Club Members. I regret being the bearer of this news, but transparency matters, and sugarcoating reality would do no one any favors.
Communication Update – we will continue to provide regular updates
The Board commends Lonnie for his exceptional leadership of the Club during this challenging project and for his clear, consistent communication of renovation updates to the Membership. We thank him for his efforts, diligence and candor. I also want to acknowledge the truly extraordinary efforts being put forth by Doug Glover, who is acting as our Owner’s Representative and Char Mohr, our Quality Manager, as well as the deep involvement and assistance of Gulf Harbour Members: Mark Walsh, Michael Sklorenko and Jim Spangler. These individuals have collectively spent thousands of hours assisting with design details, interpretations and answers to requests for information, logistics, sequencing, coordination, and cost control. Despite their tireless involvement and support, we remain frustrated by the slow pace of progress to date, but we remain diligent in our efforts to push our Contractor and optimistic and encouraged by the future we are creating for Gulf Harbour.
Overall, this project is complex. It is testing. And it is not moving as quickly as any of us want. But I assure you that leadership is engaged, pressure is being applied where it belongs, and accountability is front and center. Members of the Board, and Club Members such as Doug Glover, Mark Walsh, Michael Sklorenko, Jim Spangler, and of course Lonnie and his team, are spending countless hours to assure this project is completed by December of this year.
We thank you for your patience, your understanding, and your continued trust as we work through an exceptionally challenging phase of this renovation.
We will provide another schedule, cost and quality update each month to keep you informed. Lonnie, as he’s done in past updates, has provided the attached photos showing the latest state of progress.
Sincerely, Bill Lambert, President, Gulf Harbour Board of Governors
