Thinking about joining a La Quinta golf club but unsure what “equity membership” really means? You are not alone. Choosing between equity, non‑equity, and hybrid memberships can change both your lifestyle and your total cost of ownership, especially if this is a second home. In this guide, you will learn how the main membership models work, what fees to expect, how refundable deposits actually function, and a simple framework to compare top options like PGA West, The Hideaway, and Madison Club. Let’s dive in.
What equity means in La Quinta clubs
Equity memberships: ownership and voting
An equity membership usually means you buy a share or ownership interest in the club, often through an initiation deposit or capital contribution. You may receive voting rights, a say in major capital projects, and access to transparent budgeting and board elections. The club typically caps the number of memberships, which can create a resale market when you decide to leave.
Non‑equity memberships: license to use
A non‑equity membership is a license or contract to use the club. You pay an initiation or license fee along with recurring dues, but you do not own a piece of the club. The operator controls pricing, terms, and membership supply, and initiation fees are often nonrefundable.
Hybrid and transitional models
Some clubs offer hybrids that combine elements of both. For example, you might see a refundable deposit that does not convey ownership or an equity program with limits on transfer. Clubs can also change structures over time. Always verify the current model in the membership agreement and governing documents.
What you pay: deposits, dues, and assessments
Initiation deposits and refund potential
Initiation deposits work differently across models. In equity clubs, the deposit can be fully or partially refundable based on the bylaws and resale rules. In non‑equity clubs, initiation fees are commonly nonrefundable. Ask to see the membership agreement and refund formula, including whether repayment requires a resale to a new member and what transfer expenses apply.
Recurring dues and planned increases
Dues fund daily operations like staffing, course maintenance, and clubhouse services. Request a history of dues increases and any schedule of planned adjustments. Confirm how dues are prorated at the time of transfer so you know what will be owed at closing.
Capital assessments and reserves
Equity clubs may vote to approve special assessments when large projects arise and reserves are not sufficient. Non‑equity clubs may pass through capital costs under your contract. Review financial statements and any reserve study to understand likely assessments and the club’s planning approach.
Transfer fees, resale commissions, and ROFR
Clubs often charge a transfer fee when a membership changes hands. Some also charge a resale commission for marketing a membership on a secondary market. Many private clubs maintain a Right of First Refusal, which allows the club to match your resale offer and purchase the membership. Ask for the resale and transfer policy and a sample settlement statement so you can model your exit costs.
Other costs to plan for
- Cart fees per round or an annual cart pass
- Guest fees for hosted players
- Food and beverage minimums or dining charges
- Locker or bag storage fees, and handicap fees
- Surcharges for seasonal or non‑resident tiers, if offered
Refundable deposits and how they are handled
Refund models you will see
Refundable deposits can work in different ways. Some refund when you resign or resell, often less transfer expenses. Others refund only after a set time period. Refund amounts may be fixed, prorated, or tied to resale proceeds. Many proprietary programs are clearly nonrefundable. Read the exact formula, timing, and conditions.
Where deposits are held and your protection
Deposits may be held by the club, recorded as member equity or liabilities on financial statements, or placed in escrow during transfer. Ask whether deposits are segregated, how refunds are funded, and whether there is any guarantee. Financial statements help you evaluate the club’s ability to honor refunds and support capital needs.
Documents worth a close review
- Membership Agreement
- Club Bylaws and Articles of Incorporation, if equity
- CC&Rs and any rules that tie club membership to homeownership
- Resale and transfer policy, including ROFR
- Recent audited or reviewed financial statements and any reserve study
If the property you are buying sits in a planned community, California’s Davis‑Stirling framework governs the HOA, separate from the private club’s corporate rules. Confirm whether club membership is mandatory for owners and how terms change at resale.
Inclusions and restrictions at La Quinta clubs
What is usually included
- Unlimited or capped golf rounds depending on tier
- Practice facilities like the range and short game areas
- Clubhouse, locker rooms, lounges, and dining
- Fitness center, pool, and spa access, where offered
- Member events, social calendar, tournaments, and handicap services
- Guest privileges with limits
What often costs extra
- Cart fees or an annual cart pass
- Guest and caddie fees
- Food and beverage minimums
- Private lessons or clinics
- Banquets and private dining beyond inclusions
Rules that matter for second‑home owners
- Renter and guest access can be limited or require your presence
- Tee‑time priority and seasonal blocks vary by tier
- Membership tiers differ in access and cost, such as full golf, social, junior, and non‑resident
- Some clubs offer reciprocal access to partner clubs
How to compare PGA West, The Hideaway, and Madison Club
A step‑by‑step research plan
Use the same process for each club on your shortlist:
- Request the Membership Agreement, Bylaws, resale and transfer policy, and ROFR notice.
- Ask for current membership inventory, any waiting list, and average approval timelines.
- Request recent financial statements, reserve study, and a history of special assessments.
- Confirm whether membership is mandatory for owners in the community you are considering.
- Ask for recent membership resale listings and closed prices to gauge liquidity.
- Verify rental and guest policies if you plan to host family or short‑term tenants.
- Have a real estate attorney review transfer terms and escrow mechanics, and consult your CPA about tax treatment of initiation deposits.
Cost‑per‑year calculator you can use
Estimate your annual cost based on how you will use the club:
- Annualized initiation cost: treat as an amortized expense or apply an opportunity cost over your expected ownership period
- Annual dues: monthly or quarterly dues multiplied to a yearly total
- Cart fees: expected rounds per year times per‑round fee, or use an annual pass price
- Guest fees: expected guest rounds times the guest rate
- Food and beverage minimums: annual amount if applicable
- Expected special assessments: divide planned or historical assessments over your ownership period
- Transfer expense reserve: include transfer fees or a resale commission at exit
Sum these numbers to compare a realistic “cost per year” across clubs and tiers. For a second‑home owner, per‑round costs can be very different than for a full‑time resident, which can change which membership tier feels like the best fit.
Qualitative fit checklist
Beyond the dollars, compare lifestyle and access:
- Membership type: equity, non‑equity, or hybrid
- Membership cap and waitlist status
- Governance transparency and access to board minutes
- Resale mechanics: ROFR, transfer timeline, and resale channels
- Rental rules: whether your renters can use the club and any limits
- Access levels: tee‑time windows and tournament eligibility by tier
- Dining style and social calendar fit
- Course variety and location in relation to your home
- Course upkeep history and desert turf practices
- Reciprocal access for travel flexibility
- Financial health and reserve planning
Smart cautions before you sign
- Do not assume one La Quinta club’s policies match another’s. Verify with documents.
- “Refundable” may not mean market value or immediate repayment. Confirm the formula and timing.
- ROFR and transfer rules can affect how quickly you can resell a membership and what you net.
- Model your exit costs and timeline before you buy, not after.
- Review all official documents with legal and tax advisors before wiring any initiation funds.
Next steps
If you are narrowing choices between equity and non‑equity options in La Quinta, start by gathering documents and building a clear cost‑per‑year comparison for your actual usage. Then weigh lifestyle fit, access rules, and the club’s financial strength. A structured approach makes the decision more confident and helps you avoid costly surprises at resale.
If you want a discreet, expert perspective on how the membership model aligns with a specific home or community in La Quinta or the broader Coachella Valley, connect with Tyson Hawley to Schedule a Private Consultation.
FAQs
What is the difference between equity and non‑equity memberships at La Quinta clubs?
- Equity memberships include an ownership interest and potential voting rights with a refundable or partially refundable deposit, while non‑equity memberships are licenses with nonrefundable initiation fees and no ownership.
How do refundable initiation deposits usually work for private clubs?
- Refunds can depend on resale or resignation policies, use a set formula, and may be paid after a waiting period, often reduced by transfer fees or expenses.
What fees should I expect beyond dues at a La Quinta golf club?
- Plan for cart or trail fees, guest fees, food and beverage minimums, locker or storage charges, handicap fees, and possible surcharges for seasonal or non‑resident tiers.
How does a Right of First Refusal affect membership resale?
- ROFR allows the club to match a buyer’s offer for your membership, which can impact timing and proceeds; ask for the ROFR form and typical timeline.
Are memberships at La Quinta clubs transferable to renters or guests?
- Most clubs restrict renter access or require member presence, and guest policies typically include limits and per‑round fees; verify the rules before you rent.
What documents should I review before joining a La Quinta club?
- Request the Membership Agreement, Bylaws, resale and transfer policy, ROFR form, financial statements, reserve study, fee schedule, and relevant CC&Rs.
How do I estimate my true annual cost for a golf membership?
- Add annualized initiation cost, dues, cart and guest fees, food and beverage minimums, expected assessments, and a reserve for transfer or resale costs, then compare across clubs.
