Trump bets on PGA for gold course win

Two men near the stairs leading to the clubhouse at the Trump National Golf Club. Washington Post photo by Salwan Georges.

Two men near the stairs leading to the clubhouse at the Trump National Golf Club. Washington Post photo by Salwan Georges.

Published Jun 4, 2017

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Washington - A little after 1 p.m. last Thursday, anybody

watching the Senior PGA Championship on the Golf Channel got to see a little

bit of American history.

A man came on the screen during a commercial break to praise

the golf course hosting the event - a course that happens to be owned by the

president of the United States.

"This world-class venue features the best panoramic

views of the historic Potomac River," said Paul Levy, president of the PGA

of America.

The commercial showed beautiful views of the Trump

National Golf Club in Virginia, which charges new members a $60 000 fee to

join. It ended with a shot of the championship trophy in front of a man-made

waterfall, a setting that can be rented out for weddings.

"It's the greatest marketing in the world,"

Eric Trump, the president's son and an executive of the family company, said in

an interview later at the course. He was celebrating the good publicity that

the course had received related to the tournament.

As a golf tournament, this event is nothing unusual: one

of five annual "majors" on a PGA tour for golfers 50 and older.

But the event, which runs through Sunday at this plush

property just 25 miles from the White House, is a remarkable moment in

President Donald Trump's young White House tenure - illustrating how the

longtime businessman has retained some of his old identity as a golf-course

empresario even as he adjusts to the presidency.

Spectators watch golfers practicing at the Trump National Golf Club. Washington Post photo by Salwan Georges.

The success of this course, one of 16 worldwide that bear

his name, is the result of meticulous effort by Trump the golf-course owner,

who made $25 million in upgrades to the Virginia course that are lauded by

golfers and who also inked a bigger tournament, the 2022 PGA Championship, for

his Bedminster, New Jersey, course.

Reminder

The weekend's festivities also offer a reminder of the

complications surrounding the promise from Trump's lawyers that he would not

use the presidency to boost his businesses. Trump has retained ownership of his

real estate and branding empire - including the Virginia golf course - despite

criticism from Democrats and ethics experts that he stood to personally profit

from his public duties.

In this case, it's unclear whether Trump's business is

getting a cut of the ticket revenue. But the business, and the Trump brand more

broadly, certainly stands to gain positive publicity.

The Golf Channel broadcast Friday's round and NBC, the

network that made Trump a star with the "The Apprentice," will

broadcast the final two rounds Saturday and Sunday. Nine golfers are wearing

Trump-brand gear while they compete.

"This course is going to get TV time. It's going to

get status. The world's best players are going to be playing there on national

television," said Andrew Wood, a golf marketing expert who has advised

hundreds of course owners. Wood said that might cause the course to rise in

national rankings and to attract more dues-paying members and more events for

the course's ballroom.

There is also a crucial boost to the owner's status in

the world of golf.

"It's ego," Wood said.

It's not clear, for now, whether Trump himself will

attend. The president will be back in Washington on Sunday from his trip

overseas, in time for the tournament's final day.

His arrival would bring the spotlight of the White House

press corps to the tournament and this course, and it could allow a struggling

president to associate himself with a success from his past life.

The White House won't say for certain if he plans to

attend.

"This event is not on the President's

schedule," White House spokeswoman Lindsay Walters wrote to The Washington Post. "Happy to

circle back if that changes."

She declined to answer questions about whether Trump's

advisers had considered the ethical implications of showing up at the course in

the middle of a tournament.

Historical marker

Trump bought this course, formerly known as the Lowes

Island Club, in 2009. He added a historical marker commemorating a Civil War

battle on the site - though historians have said no such battle occurred there.

He rearranged the two courses so that the holes got

longer and more challenging, and so that the most beautiful holes along the

Potomac were linked into a championship-level course.

He also enhanced that view by cutting down 465 trees near

the river. That move did not violate laws, but it alarmed environmentalists,

who said it would cause more erosion and more sediment clouding the Potomac.

"It is now the single largest stretch of Potomac

shoreline on either side of the river - from American Legion Bridge up to

Harpers Ferry - without any trees on it," said Hedrick Belin, president of

the nonprofit Potomac Conservancy. That is a stretch of roughly 50 miles.

Trump praised his work using the same metric: "You

can go 20 miles up and down the river and there's nothing like it," he

told a Virginia reporter.

The goal, all along, was to compete for big tournaments -

to be on par with courses like Congressional Country Club in Maryland, which

has hosted three U.S. Opens. "Congressional doesn't have a chance,"

Trump told The Post in 2009.

It took years. It took planning. It worked.

In 2014, before Trump began his presidential bid, the PGA

of America awarded the Senior PGA Championship to his Virginia course.

And the PGA kept it there, shrugging off the

controversies surrounding Trump's campaign and his young presidency. Trump has

worked hard on this relationship: Golf.com reported in February that he'd spoken

three times since the election to Pete Bevacqua, chief executive of the PGA of

America. They met once at Trump Tower. They golfed in Florida. And Trump called

Bevacqua out of the blue to talk golf, the magazine reported.

How did the PGA decide that Trump's politics were not an

issue?

"The PGA of America is not a political organization.

Our association with the Trump organization is strictly as a developer of golf

facilities," a spokesman wrote in an emailed statement.

The PGA said that the commercial shown Thursday on the

Golf Channel, touting the virtues of Trump's course, was a standard gesture.

For Trump, like other course owners, the tournament

itself is unlikely to be a big moneymaker - at least not right away.

Two men near the stairs leading to the clubhouse at the Trump National Golf Club. Washington Post photo by Salwan Georges.

Neither the PGA nor the Trump Organization would give

details of their financial arrangement. Experts on the golf business said that,

in general, the host club may get a share of the revenue from ticket and

concession-stand sales - or perhaps a flat "site fee." In some cases,

the course gets nothing and the PGA keeps it all.

For the tournament's corporate sponsors, the benefits of

supporting the tournament could extend beyond the four-day event itself.

Inked in February

A sign for one sponsor - Telos, a cybersecurity

contractor that does millions of dollars in business with the government - was

placed at the first tee in April, weeks before the tournament began. Trump has

visited the course twice since then, once stopping in the clubhouse restaurant

at the same time Telos chief executive John B. Wood was having lunch.

A Telos spokeswoman said the company signed the deal with

the PGA in February, after Trump had taken office. She said that the

sponsorship was intended to honour military veterans, who are working as

volunteers at the tournament.

Eric Trump said corporate sponsors had signed on to

support the competition years before his father ran for president and were

deals with the PGA, not his company. He said the event - and the club - would

be successful because of the quality and location of the facilities, not his

father being president.

"This tournament is a validation of everything that

we've done," Eric Trump said. "This course will stand against any

course in the world at this point and that's why this event is here."

He said he doubted that his father's election had much

effect on whether people were willing to sign up as members, its main source of

revenue.

"I don't think you do that because somebody holds a

political office," he said.

Read also:  Should Trump earn a salary?

For Trump himself however, any visit to the tournament on

Sunday would bring new questions.

Already, he has brought the presidential spotlight

repeatedly to his for-profit businesses. He welcomed visitors at the Mar-a-Lago

Club, which is taking new members at $200,000 each. He golfed at Trump National

in Bedminster, where it's at least $75,000, according to documents sent

recently to prospective members. Trump ate at the Trump International Hotel in

Washington, where the cheapest steak costs $52.

The idea that Trump might show up in person seems to have

intrigued some potential ticket-buyers. Kurt Knapper, a PGA official, said

before the tournament began that he'd heard the question repeatedly. Will the

president show?

"I just give them the same answer," said

Knapper, "which is that I don't know."

WASHINGTON POST

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