2023 Annual Report

Meeting Agenda

Saturday, February 17, 2024

Call to order: 9:00 AM

Expected adjournment: 10:00 AM

Call to Order - Jim Zielinski

Required Meeting Actions – Patti Leibach

SIRE Report - Tom Peck

President’s Remarks – Jim Zielinski

Treasurer’s Report – Todd Lynch

Employee Assistance Fund (EAF) – Lucy Walton

Long-Range Planning - Lynn Lillibridge

Employee & Manager of the Year – Mitchell Laskowitz

Election of Directors – Jim Zielinski

Bylaws Results – Patti Leibach

Recognition of Departing Board Members – Lynn Lillibridge

Member Q & A - Jim Zielinski

From the President

Jim Zielinski President, Board of Governors

2023 wasn't just a year of activity; it was a year of transformation for Seabrook Island Club. Building on the momentum of 2022, we focused on projects that directly enhance your Member experience and prepare us for a successful future.

This past year we added a Member-only “beach” area to Ocean Terrace, began the irrigation and pond/bulkhead projects on Crooked Oaks, completed the renovation of the Racquet Sports Clubhouse along with new landscaping and walkways, updated the first floor decor of the Island House, improved the women’s golf locker room, replaced our aging golf carts, purchased a “food truck” to enable F&B opportunities at venues other than the Island House/Pelican’s Nest area, repaired our Club Maintenance facility, and replaced aging kitchen/bar equipment at Pelican’s Nest and the Island House.

We will be finishing work on Crooked Oaks by early spring 2024 and believe that our Racquet Sports project will be completed by the time of the Alan Fleming Tennis Tournament in October 2024

Operationally, we saw continued improvements in food service and dining throughout the Club and continued a heavy calendar of “Pop-Up” and regular events during the year. The Men’s and Women’s Member Guest Golf Tournaments were the highlights of golf this year with record attendance and new formats that were very well received The Fourth of July fireworks event was a big hit with hundreds of Members, families, and guests who attended. The Alan Fleming Tennis Tournament was a huge success with a record number of participants and flawless execution by our Racquet Sports team and volunteers.

In the area of Club governance, we completed a by-laws review and made several necessary changes to improve our by-laws, conform to current SC law, and remove inconsistencies. We will now have an up-to-date document to guide activity at our Club, including a vote at this Annual Meeting by Members on several important governance/by-laws topics. We also revised our Rules and Regulations to conform to changing conditions around the Club and to align properly with our by-laws

Charting a course for tomorrow, we concluded a comprehensive Strategic Plan, ensuring continued success in the face of evolving challenges and opportunities. The next step in this overall process will have our Club working with Master Planning consultants to identify specific projects for possible implementation, after a full Member review

Membership saw several new changes, including an increase in the joining fees for full Members after a diligent competitive analysis To better align Member benefits with dues levels and prepare for increasing numbers of new Members, we instituted new Membership categories starting in 2024 for those who join our Club. Our former Membership categories, particularly Social and Community, will no longer be offered but will continue for current Members who hold those Membership types and elect to stay in these categories.

We were fortunate to have the efforts of several Club volunteers who started a process in 2023 that resulted in the establishment of the Seabrook Island Club Employee Assistance Fund. This charity fund will assist our employees in times of distress and demonstrates our commitment to supporting our dedicated staff.

Before becoming Club President, I was Club Treasurer, and as I finish my term as President, I am most pleased with the financial condition of our Club We will end this year 2023 with $11 million in cash while continuing to reduce our bank debt (currently at $12 million) and at the same time investing about $9 million in capital projects over the past 2 years.

We worked hard to increase communication through hundreds of emails, meetings, and in-person “coffee chat” conversations with Members. Additional information about our Club was posted to the Member website to improve transparency.

Many thanks to our team of dedicated real estate professionals at Seabrook Island Real Estate who worked with Members and newcomers to our Island to assist them during challenging market conditions.

In closing, I would like to acknowledge the Members of the Board of Governors who worked diligently on the many projects we concluded in 2023. They contributed their time, talents, and energy to improve our Club, and I am grateful to them for their efforts and the support they gave me as President. We benefitted from excellent contributions from our committee Members who gave suggestions and guidance applicable to all areas of our Club. I also want to recognize our incredible Staff and team Members who make Seabrook Island Club the special place that it is today; their dedication, energy, and professionalism is incredible. And to our members –thank you for supporting our efforts to guide and improve your Club.

Jim Zielinski

Lynn Lillibridge

Todd Lynch

Patti Leibach President

Christine Iaconis

JT Carpenter

Barbara Vincentsen

Missy Whitmore

Vice President Treasurer Secretary

George Conbeer

Jeff Ward

Rick Grafmeyer

Seabrook Island Club

Mitchell Laskowitz

General Manager & Chief Operating Officer

Dear Members,

Time to reflect… As I sit here thinking about “what is next” I am very grateful to work alongside leaders who have embraced our vision for the past two years while intently focused on our short and long-term goals. Last year we communicated that the team was to “Embark on a Journey Designed to Build a Foundation for the Future.”

The goal that we set for the team was to initially focus on three essential elements:

• Create an Employee culture of caring

• Develop a strong relationship with our owners/Members

• Take a balanced approach to Club operations

With 2023 clearly behind us, you will see that the team kept their promises and really expanded upon our platform. As we move into 2024, our goal is consistency and our “Plus 1” vision that enables us to be “better”. Please know that the team is committed to doing their best each and every day but we do acknowledge that we will make mistakes or may not deliver what you expect… all that we ask is that you communicate with us so we can rectify the issue right then and there

We want the best possible club experience for you and your family. Thank you for another funfilled year Below you will see what the team accomplished in 2023!

SEABROOK ISLAND CLUB 2023 ACCOMPLISHMENTS

HUMAN RESOURCES

Continued Development of Seabrook Island University

GED Program

Dealing with Rude Customers

EAF Development & Rollout

Focus on Employee Experience and Retention

ACCOUNTING

Purchase Card Rollout

Controller Transition

Signature Authority Policy

GOLF OPERATIONS

Golf Experience Manager

Pushcart Policy

Dress Code Policy

Golf Pro Circuit

Play With A Pro

SIC Putting Course

Director of Player Development

GOLF COURSE MAINTENANCE

Bunker Renovation

Bulkhead Renovation

Crooked Oaks Irrigation

FOOD AND BEVERAGE

Osprey Remodel

Ocean Terrace Summer Cocktail Service

Golf Veranda F&B Service

Happy Hour Expansion

Prime Rib/Lobster Nights

Deveaux Room “Add Ons”

32nd Anniversary Party for SIC

Island House Theme Nights/Weekly

Renter To Go Menu

Island House Kitchen “Facelift”

Extended days/Hours at Pelican’s

Nest

BEACH CLUB

7 Day/Week F&B opened through

November

Ocean Terrace Member only beach

PROJECTS

Pelicans Nest Mechanical Curtains & Heaters

Landfall Way Renovation/Move In

Racquet Sports Renovation (Landscape/Hardscape)

Island House Interior Upgrade

Maintenance Cleanup

Parking Expansion

Golf Veranda Kitchen

SIC Food Truck

Refurbishment of Employee Locker Room

MEMBERSHIP / AMENITIES

New Member Orientation

Landfall Way Successful Transition

All my best, Mitchell

Club Management

Sean Hardwick

Eduard Suarasan

Nicole Watt

Daniel Doyle

Charles Hairfield

Laura Ferreira

John Fitzpatrick

Juliana Leypoldt,

Anna Zoldesy

GCSAA Class A Director of Agronomy

Matt Hoisington Director of Beach Club Operations

Assistant General Manager Executive Chef

Club Controller

Equestrian Director

Director of Human Resources Director of Engineering Director of Racquet Sports

Brian Thelan, PGA Head Golf Professional Member Experience Director

Lyndsey Arnold, CMP Membership Director

SHRM-CP

Manager & Employee of the Year

Manager of the Year

There is no denying the impact that Chef Christine has made on the elevation of the Seabrook experience since joining our Culinary team as our Pastry Chef. From her apple cider donuts to her “Sweet Treats” offerings, Chef Christine never fails to impress both our Members and Staff with her creativity and thoughtfulness when it comes to her work. Our employees said it best when nominating her for Manager of the Year- “Christine always over-delivers, and never does anything halfway”, “Christine is always happy to see everyone, her wow factor is incredible and her desserts are works of art.” Employees used the words “reliable, innovative, humble, warmth & happiness” to describe Chef Christine. Chef Christine continuously makes Members, guests, and Staff feel special through her art of baking and we couldn’t be more excited to announce her as Manager of the Year!

Employee of the Year

Employee of the Year, Pastry Cook Sarah Bartlett, is the perfect example of an employee who embodies the characteristics of our Club motto “Warm Welcomes, Magic Moments, and Fond Farewells.” Sarah’s consistent positive attitude and passion for her pastry creations leave both Members and Staff in admiration. She continuously ensures she is delivering her best work, whether it’s a gluten/sugar-free request, or expanding the a la carte dessert program. Employees state that “Sarah continuously produces quality products in everything she does, she excels in all aspects!” and “She is always jumping in with a smile to make special memories for guests and Members ” We’re very proud that she is this year’s Employee of the Year!

Christine Clancy

Sarah Bartlett

Pastry Cook

Head Pastry Chef

Real Estate

Interim Broker-In-Charge

Once again, Seabrook Island Real Estate listed and sold more Seabrook Island properties than all other companies combined, participating in more than 60% of all closed sales here in 2023. The efforts and successes of your Seabrook Island Real Estate team brought in over $3 million over the last five years. We are proud of our part in providing funding to elevate your Club experience.

Now for the real estate highlights of 2023...

After the rush of purchasing spurred by "the COVID-19 effect", the island's available real estate inventory has dropped considerably This translated into fewer property closings overall in 2023 but at higher sales prices than in 2022.

OVERALL STATS

201 properties sold on Seabrook Island last year.

The number of sales decreased by 21.8% (compared to 254 in 2022)

The total closed dollar volume went down 11%. ($195 million in 2023, compared to $219 million in 2022)

The average sale price across all types of properties increased from $861,500 to $963,722.

SINGLE-FAMILY HOMES

59 single-family homes sold in 2023, compared to 103 in 2022.

VILLA & COTTAGE HOMES

Single-family home sales prices rose 28% from an average of $1 4 million to almost $1 78 million 102 sold in 2023 vs. 98 in 2022.

Villa sales prices rose almost 23% from $591,381 in 2022 to $726,437 in 2023.

HOMESITES

The number of homesites sold dropped from 45 in 2022 to 40 in 2023.

As with homes and villas, the average homesite sales price went up (27%) from $303K to over $384k.

The takeaway is that the rules of supply and demand hold fast. While the national market is more challenging to predict, as a Seabrook Island owner, you are well-positioned as a seller. This is due to the highly desirable property types oceanfront, deepwater, riverfront, marsh, and golf course options not to mention other in-demand features like a welcoming community and outstanding club facilities.

Let us know when you are ready to sell. We have buyers ready, and we have proven we can sell Seabrook Island better than anyone else.

Thank you,

Tom Peck

Tom Peck

Michelle Almeyda-Wiedemuth

Tom Peck & Pat Polychron

Amanda Benepe

Rochelle Gibbs

Audrey Thompson-Whaley

Joy Dellapina & Kathleen McCormack

Chip Olsen

Marc Chafe

Stuart Spisak

Sharlene Mack

John Halter

Stuart Rumph

Ingrid Phillips

Mary Ann Lloyd

Ryan Straup

Patsy Zanetti

Office Manager Administrative Assistant

Mary Legare Whaley

Kimberlee Menchel Real Estate Marketing Manager

Digital Marketing Manager

Real Estate Marketing Department

Finance

2023 was a very successful year for the Club financially despite higher than normal inflation for most of the year as well as a challenging property insurance market. Each year when we prepare our budgets we differentiate how we will fund our day to day operating costs and how we will fund our capital needs

Our 2023 operating budget was a bit unusual as we planned to utilize some of our surplus cash at the beginning of the year to avoid a significant increase in dues. Dues increased 5% in 2023 but this increase was not enough to cover ur rising property insurance costs or the general inflation rate of pproximately 8% in 2022. In other words, our 2023 operating budget anned for a cash deficit of $1.2 million after debt service.

ell, how did we perform compared to our operating plan? Our 2023 erformance was in line with our budget expectations with three notable xceptions: 1) Increased Food & Beverage (“F&B”) expenses, 2) increased roperty insurance costs and, 3) the Employee Retention Tax Credit (“ERTC”).

&B’s food quality and service improved significantly in 2023. In addition, the vailability of F&B options increased This improvement was planned and a sult of consistent membership feedback. Incremental costs were required achieve this improvement; specifically in the quality of the food sourced nd the talent of our chefs and servers. While F&B revenues increased $1.1 illion (20%) over budget, expenses increased $1.7 million (24%).

As homeowners close to the coast, we all experienced unusually high residential property insurance renewal increases. The insurance market environment was MORE challenging for commercial property insurance coverage. The annual renewal date for the Club’s properties is March 1st. While the Club budgeted for property insurance costs to increase, we did not expect for premiums to increase $0.3 million over budget (49%) and result in lower coverage! Historically, the Club has been able to insure its property at what is termed “replacement” cost. However, in 2023, our coverages were reduced to “Actual Cash Value or ACV”. What does ACV mean? It means our coverage is for an estimated depreciated value of each property not replacement cost. Further compounding the situation, ACV for each property is NOT determined until after the loss occurs! Our highest valued property by far is our Island House with an estimated replacement cost of $x. Our property insurance coverage for the Island House was capped at $2.5 million which the Board felt was insufficient

Club Controller

We added $2.5 million of supplemental property coverage (all we could source) but it came at a cost. Nobody was pleased with the 2023 renewal experience. The result was not from a lack of effort. Our insurance broker, who the Club has worked with for many years, contacted approximately 50 carriers to source property coverage More than half declined stating they were pulling out of the market. Some members have questioned whether or not the Club should self insure. There are two challenges with self insuring: 1) the cost basis of all of capital assets is more than $60 million and our cash balance is approximately $11 million and 2) carrying insurance is a requirement of our credit agreement with Bank of America. What do we expect in 2024? We do expect premiums to continue to rise but we do expect the available coverage to improve.

The Racquet Sports Renovation project was approved by the Board at $4 million. The majority of this investment was to address some deferred maintenance items such as landscaping, irrigation and the clubhouse. These components have been finalized and membership feedback has been very positive. The primary new investment for the project was adding five pickleball courts. While we would have preferred to address this issue first, it simply wasn’t possible due to the approval processes and project logistics. Estimates received to complete the project exceeded the Board approved amount. As a result, the center court renovation, the hitting wall addition and the outdoor kitchen components of the original concept plan have been deferred. Even with these actions, total project costs are estimated at $4.5 million

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The Club qualified for an ERTC credit of $1 6 million in 2023. The ERTC credit was a tax credit for businesses with employees that were affected during the COVID-19 pandemic. This was great news and resulted in the Club almost breaking even (including debt service) for 2023. But, (there always seems to be a ‘but’) the ERTC was a one time credit and we do not expect any type of COVID related credit programs in the future.

From a capital budget perspective, the Club had lofty investment expectations for 2023. The total capital budget was $7 5 million and 2023 spending was $7.4 million. The major programs were the Racquet Sports Renovation project and the irrigation, bulkheads and bunker repairs on Crooked Oaks.

The Crooked Oaks renovation and irrigation project is underway and expected to be completed Q1 2024.

While these are the major projects, there are many other capital expenditures that were required due to asset replacement needs.

The Club funds capital needs through New Member Initiation fees and our Capital Reserve Fund. As a result of the Club’s actions to increase the joining fees significantly in 2022, our New Member Initiation fees and upgrade fees were $6.2 million, more than double what was budgeted and a record amount for the Club.

As a result of all of these moving parts, the Club’s cash position is stronger than we anticipated when the 2023 budgets were finalized. The Board felt we were in a position to return some of the refundable funds to members that were assessed in the early 2000s without adding significant financial risk to any of our plans. Due to our positive history with Bank of America and our strong financial performance, Bank of America permitted the Club to return approximately $1 million to its members who had made refundable assessments even if they were current members. This was unusual and welcomed. The Club continues to be current in repaying refundable equity memberships and assessments when a member resigns. Our total future obligation decreased from $6.7 million at the beginning of 2023 to $5.3 million at the end of the year. Our loan balance also continues to decrease. Our obligation to Bank of America decreased from $12 8 million to $11 7 million, respectively.

From a personnel perspective, 2023 was another year of transition. Our Financial Controller left in Q4 to take a local opportunity in the Outer Banks, NC We were fortunate to replace her with Nicole Watt, who was relocating to the Charleston area with her family. Nicole brings a wealth of financial and Club experience with her and she hit the ground running in November 2023!

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Committee Members

Bob Aaron Vice -Chair

I would like to thank the Finance Committee members for their service and counsel The Club would have been unable to achieve the results it accomplished in 2023 without their contributions.

In conclusion, the Club continues to be in a strong financial position while investing in its employees, its facilities and its risk management programs so that our members can enjoy our Club to its fullest!

Chair

Todd Lynch

Skip Shepard

Art Dougherty

Rick Grafmeyer

John Carpenter

Nancy Berg

Golf & Greens

Demand for golf amenities remained strong during 2023. In fact, after Food & Beverage, Members on average spent more on golf-related amenities than any other area of the Club. It should therefore come as no surprise we recorded our second-highest number of rounds in club history, 65,900. This represents a 4% increase over 2022 and 3% below our record number of rounds in 2021.

JT Carpenter

Barbara Vincentson Vice-Chair

Thanks to the tireless professional efforts of Head Golf Professional, Brian Thelan, and Director of Agronomy, Sean Hardwick, and their respective teams, Seabrook Island Club Members were once again treated to a world-class golfing experience in 2023. The golf course condition and the overall golf experience were the two highest-rated amenities per Members’ responses in the spring survey From the survey, 74% of responding Members reported that they and their families use the golf courses, and 50% felt the golf amenities were an important reason for their decision to choose Seabrook Island.

We listened to Members and changed several policies related to outside events and visitor access to tee times with positive effect. For example, the number of non-Member events held on our courses this year was 8, involving 900 players This compares to 20 events involving over 2,400 players in 2021. Paring back the number of non-Member events while adding select morning tee times and practice range use for Members helped ensure priority member access to golf amenities. As a result, 92% of the total rounds played this year were by members and their guests, the highest level ever.

Despite the high demand for play on both golf courses, Sean and his team made significant improvements and upgrades to the Crooked Oaks Course. During the summer all the bunkers were improved with new sand and drainage. All the bulkheads, originally installed in 1995, were replaced as well. In November, long overdue work was started to replace the antiquated Crooked Oaks irrigation system The new system will be operational during the first quarter of 2024 and will allow us to ensure better-growing conditions for all areas of the course while greatly conserving water use.

We also saw the addition of three new teaching pros and many new Member clinics. Joining the Seabrook Island team early in the year were A.J. Schneller and Aaron McLelland followed in December by new Director of Player Development, Andrea Grier. Seabrook Island has never been in a better position to offer player instruction and improvement clinics.

Sean Hardwick

Chair Director of Agronomy

Brian Thelan, PGA Head Golf Professional

We also had a year of new events and pop-ups successfully designed to bring more Members out to enjoy our golf amenities. Numerous Fun Friday outings, new leagues for Members, and “The Wick”, our 7 hole par-3 tournament on the driving range “course” with food, beverages, and entertainment waiting at the end of your round. We’ll be listening to your ideas and experimenting with more events in 2024.

Many thanks to the Golf & Greens Committee volunteers The group provided a sounding board for issues that arose throughout the year It also focused on areas to improve the Members’ golf experience, namely pace-of-play, and etiquette Although neither issue is a major problem for us, it’s always an area of opportunity for improvement, particularly given the strong growth in rounds played and the high number of new Members. Helpful and entertaining videos were released to Members covering proper golf attire on club grounds, ways to navigate carts around the courses without causing damage, environmental practices, divot repair, and guidance on how to speed up play to improve enjoyment for all.

The Committee also spent time with two different golf cart manufacturers determining which brand offered the best value and experience for our Members In December, 120 new carts were delivered by EZ GO They are lighter, more powerful, and operate on lithium batteries The carts also come with a myriad number of new features we know you will enjoy.

Living on Seabrook Island provides a quality of life for which many dream of being amongst good friends while enjoying such wonderful amenities is a reminder of the hard work that goes into making sure that we have experiences and memories that last a lifetime. With 2024 on the horizon, we look forward to seeing you all out on the course or enjoying yourself at one of our many amenities.

Golf & Greens Committee Members

Cinda Althoff

Tim Ely

Sandy Goheen

Ken Otstot

Steve Pasquale

Tracy Thorne

Handicap Committee Members

Bob Fisk

Fred Osher

Bill Seyfert

David Merrill

Tori Langen

Diane Eberhard

Flo Gilson

Racquet Club

Laura Ferreira

Chair Director of Racquet Sports

2023 was another exciting and busy year for our Racquet Sports Club. The capital renovation and expansion plans became a reality after three (3) years of planning. Pickleball, tennis, and lesson volume increased; new teaching pros and front desk staff joined the team; the 39th Alan Fleming Open Clay Tournament experienced another participation record; the Third Serve Foundation program was launched; and a beer and wine license was obtained

Racquet Sports Capital Improvements Program (the “RS CIP”)

Addressing the lack of pickleball courts, upgrading faulty irrigation systems, installing new landscaping, and creating a social gathering place apart from the Island House were key components of the vision and purpose of the RS CIP. To this end, the initial phases focused on:

Obtaining necessary and varied municipal approvals to build new pickleball courts

Landscape and hardscape improvements

The renovation of the ProShop

As we moved through the approval process for the pickleball expansion, construction began on the landscape, hardscape, and renovations to the ProShop. Completed in July, the new irrigation system, walkways, greenery (trees, shrubs, and grasses), and outdoor seating gave the Racquet Club an updated, refreshed look for Members to enjoy while playing racquet sports. The significantly renovated ProShop provides Members with a place to gather before and after play as well as if they desire, a place to enjoy a beer, wine, or non-alcoholic beverage.

The year ended with a punctuated highlight – the Town of Seabrook Planning Commission on December 13th approved our plans (with staff approval required on three (3) mitigation strategies) for five (5) new pickleball courts, a new pervious parking lot, a maintenance building with bathrooms adjacent to courts 11-14 and a robust landscape plan.

Patti Leibach

Racquet Sports Capital Improvements

Key milestones anticipated in 2024, assuming the Town of Seabrook issues final approval to proceed, include:

February

Construction mobilization, demo maintenance building

March – April

Build new pervious parking lot

March - June

Build new maintenance building

May – mid-August

Build new pickleball courts, LSV parking and landscaping

Thank you to the Members for your patience during this expansion period. Also thank you to the Club, Racquets Sports team, and Racquet Sports Committee for the tremendous effort and time devoted to this project

Increase in Pickleball and Tennis Participation

Pickleball continues to be the largest growing sport nationwide. According to the SFIA (Sports and Fitness Industry Association), pickleball participation has grown 158% in the past three (3) years (#1 growing sport in the USA). The South Atlantic Region (FL, GA, SC, NC, VA, WV, DC) leads the trend with over 2 million players The projected metrics for pickleball do not forecast any slowdown in the sport’s growth. From 2020, tennis has also demonstrated an exponential growth of 32.3% (#8 growing sport in the USA), and cardio tennis 12 7% (#16) nationwide

Seabrookers are pickleball and tennis enthusiasts and mirror the skyrocketing participation nationwide. We saw an astonishing increase of 53% in pickleball participation and a 5% increase in tennis. Our high-quality professionals helped Members enjoy their racquet sports on some of the best-maintained courts in the region Thank you, Robert, Katie, and Mikka for your tireless efforts. Laura, Richy, and Stratas elevated our teaching programs. Under their leadership, lesson volume increased by 12%. A standout was the women’s 3.5 USTA team reaching the State semifinals

With our additional pickleball courts, the team looks forward to continuing the growth of the pickleball program by expanding the number of clinics and private lessons offered. Pickleball teams will soon be formed, allowing Members to compete in local leagues and creating more opportunities for social play and inter-club events.

Alan Fleming Tournament

The Club was proud to support the 39th Alan Fleming Senior Open Clay Tournament in 2023, which had a record-breaking year once again. Three hundred thirty-eight (338) players joined the tournament, of which 46 were Club members! The highly competitive tournament draws players from across the nation competing for national points awarded by the United States Tennis Association, Seabrook is one of the clubs chosen to host the Level 1 ITF Senior Clay Mixed Doubles.

Seabrookers and tournament players generously donated again this year The designated beneficiary was the newly created Seabrook Island Employee Assistance Fund, which raises funds to provide financial assistance to Club employees in times of need. Thank you to the Alan Fleming Tournament Committee, led by Chair Debbie Pickens, for another outstanding tournament.

Third Serve Foundation

The Third Serve Foundation (TSF) is a 501(c)(3) organization whose mission is to introduce tennis to children in the Charleston Area while fostering an environment that facilitates growth on and off the court. Under the leadership of Racquet Sports Committee Members Rich Goheen, Jackie Cocciola, and Penny Lee, the program expanded to Seabrook this fall. The TSF has many programs throughout the area, but Seabrook’s is the only one that is 100% volunteer-run.

The launch was a big success, with Seabrook volunteers hosting approximately 12 Haut Gap Middle School students who received free tennis lessons twice a week at the Racquet Club.

Thank you to all of our Members who make our Club so successful and fun!

Committee Members

Jackie Cocchiola

Rich Goheen

Penny Lee

Susan Leggett

Pam Nelson

Rhonda Pittard

Rick Regensburg

Ellen Smith

Patti Leibach

Todd Lynch

Equestrian Center

Seabrook Equestrian believes the presence of horses for the many residents, guests, and potential property owners makes our beautiful Community an even better place to live. Our mission is: SIC Equestrian is integral to what makes Seabrook Island special and unique.

Each year, including 2023, Equestrian hosts two or more all-Island events Our spring event this year focused on ride demonstrations. Our fall event centered around a Halloween theme. Our horses and guests donned costumes and a great time was had by all. The horse painting event was particularly successful.

In 2023, Equestrian endeavored to pay particular attention to our Club Members; recognizing the support they give to our amenity. In 2023, a number of activities were focused on Club Members including our Horses 101 and 201 classes These classes are designed to allow Members, who may typically not be horse riders, a chance to get up close and personal with the activities of our amenity. Each year Equestrian requires sufficient capital expenditures to ensure our facilities are safe and attractive. Land/pasture areas limit our beautiful amenity to the current number of herd and boarder horses. Expansion capital is unlikely to be an Equestrian requirement In 2023 we upgraded the barn wiring and fire alarm system. We replaced one of our tractors and added a protective shed for this new equipment. And we replaced several of our herd horses due to age.

The Seabrook Equestrian Center had a good year in 2023 and operated close to capacity. Weather, a wet spring, and summer resulted in some limitations. Equestrian is approximately a $900,000 revenue-generating amenity for the Club This is an approximate maximum given the size of our pastureland and barn facilities.

The Equestrian Center operates three relatively distinct businesses, all related to horses of course. As a primary goal, Equestrian Management seeks to manage our businesses such that the annual operating income is as close to breakeven as possible. It is worth noting that with a given number of horses to feed and care for, costs become relatively fixed

Charles Hairfield

Chair Equestrian Director

Barbara Vincentsen

The trail, pony, and beach ride business accounted for 49% of our operating revenues in 2023. The stables keep a herd of approximately fifteen horses for our riders. This herd is used for beach rides and trail rides. The Club also owns two small ponies for children to ride. Seabrook Equestrian is unique in the Carolinas in being able to offer beach rides. Rides revenues increased $27,000 in 2023 versus 2022 as we endeavor to encourage Members and guests to enjoy our rides program.

Equestrian also operates a boarder business; there are approximately 25 boarder horses at the stables at any given time In 2023, the boarder business, including lessons, accounted for 51% of Equestrian Center revenues Boarders are attracted to the Seabrook stables in large part due to the lessons that are offered to children and adults interested in showing horses on the hunter-jumper circuit in the Southeast US.

Seabrook Equestrian proudly represents our Island on the United States Equestrian Federation (USEF) sanctioned hunter-jumper circuit primarily in South Carolina, North Carolina, and Georgia. The show circuit is a primary attraction for our boarders and is what makes Seabrook Equestrian an overall success. Seabrook Equestrian participation at these events is also an excellent avenue for marketing our Club and Island.

Seabrook Equestrian Committee and Management wish to thank our beach, trail, and pony riders and our loyal boarders for a successful 2023 As outlined above, our objective is to make our Seabrook Island Community special and unique.

Committee Members

Charles Hairfield

Barbara Vincentsen

Michael Chomel

Elaine Mansfield

Richard Marion

Marty Penkhus

Polly Hart

Membership

It may seem like a broken record Seabrook Island Club Membership levels continue to grow in 2023. All we need to do is drive down our streets or look out our back doors, and we see the new homes being built. We will end 2023 with 2269 Club Memberships. 175 new Memberships came to the island this year. However, what do these numbers actually mean? It is time to pull out our magnifying glass and look closer!

All new residents of Seabrook Island become new Club Members. Our oldest property-owning Member is 107, while our youngest is 20. The current average age of a new property owner is 53. We have more Members under the age of 18 than ever before, 850. The Club’s Membership profile continues to show “families” are not only buying here but moving here on a permanent basis. The Club has a total of 896 or 39% of the Membership calling Seabrook Island home When you look over the past three years our Club has had a net gain of 351 Memberships. Yet, there is more to explore!

This past year also showed a large shift in how Members join the Club. Full and Social Membership levels rose by 6%, and Community had a 2% increase. It appears those moving to our island are doing so for our fabulous amenities, especially Golf and Racquet Sports The need to keep our amenities at their best is not only a benefit to attracting new Members but a must for retaining our valued tenured members. So now what can we uncover?

The Membership Committee dissected all these statistics, as they unfolded over the past 12 months With all the new Members, we set out to answer two important questions Do the current joining levels align with the amenities offered in them and the cost associated with them? Are we able to manage future amenity capacity with our current joining levels? Our conclusion was no! Over many months we secured a new joining program, consisting of 4 levels, for New residents/Club Members.

Seabrook Island Club now offers incoming Members the choice to join at a Golf, Racquet Sports, Neighborhood, or Homesite level. The new Membership structures will better help us manage the risk of over-capacity on our golf courses, on our tennis and pickleball courts, and at our Equestrian Center. Also, our Club will be better financially aligned with industry standards under the new joining structure. Joining levels offered in 2023 and prior years will be grandfathered For our current Club Members who are happy with the grandfathered level they have, there is no need to do anything. You can remain at your level, receiving the same privileges, indefinitely. However, for those who may find it beneficial to change to a new joining level, the Membership department can help you navigate.

Christine Iaconis

Chair

Lyndsey Arnold, CMP Membership Director

Membership offered three informational sessions between November and January to assist current Members and further explain the new joining structure. The informational sessions were held in-person and via Zoom. Additional sessions will be determined as the year progresses You may also find summaries of the new joining levels, Amenity Usage Rates, and Dues for each level on the Seabrook Island Club website under the Member Central tab within Member Resources. Current Members are given until the end of 2024 to decide if they want to upgrade or downgrade within the old joining structure.

Another area the Membership Committee spent time on was New Member Onboarding. We saw from the surveys done through the Club, as well as, the Long-Range Planning Survey that Onboarding was not the experience for which we had hoped. Some of this was due to the large percentage of new Members joining during the Covid years and the inability for face-to-face meetings The Membership Department is committed to turning this experience for new Members around. Cheryl Hilzley, Manager of First Impressions, has done an outstanding job welcoming our new Members through orientation sessions and Club tours. In 2024 we will be offering Zoom orientation sessions for those Members who are unable to get to the island. The Membership Committee has been following up via emails with all new 2023 Club Members.

Committee Members

So, who is on the Membership Committee? Seven, very diverse, Club volunteers. All joining levels are represented. There are four men and three ladies, four part-time residents and three full-time, three rent their properties and four don’t. We got the bases covered! Together we came up with a strong joining program to take this Club into future years I want to personally thank each committee Member for dedicating their time. The Club’s backbone is made up of volunteers and I feel privileged to have had this group working with me this year!

I would be remiss if I did not extend my heartfelt appreciation and thanks to Seabrook Island Club’s dynamic Membership Department. It amazes me the dedication and amount of knowledge the three women of this department have Leah Carroll, Membership Coordinator, is my computer wizard Cheryl Hilzley makes every new Member feel special and is an outstanding secretary to the Membership Committee. Lyndsey Arnold, Membership Director, has given 19 years of her life to Seabrook Island Club Every time I interact with her, I am in awe of the breadth of her Club knowledge. Thank you, ladies, for always being there not only for me but for each of our Club’s Members.

The Membership Department and Committee will continue to analyze and question how best we can represent all of our Club Members. We will strive to provide wonderful amenities and a great Member experience to our ever-growing, everchanging Club dynamics.

Ron Sweeney

Robert Savinell

Co-Chair Lynn Lillibridge

Greg Agvent

Chuck Cross

Peggy Fox

Kim Hedrick

Debbie Ott

House

The House Committee Members’ goal this year was to share as much information as possible with Club Members relating to Food & Beverage operations. This was the first full year with Executive Chef/Culinary Director, Chef Daniel and his staff of highly trained professionals They certainly executed on the promise of elevating the food service experience throughout all of the restaurants, banquets, and events held this year at the Club. Throughout the busiest months of the year, the restaurants and bars were adequately staffed with local full and part-time employees, domestic interns, and international interns and staff, some coming from as far away as South Africa, the Philippines, and Portugal.

Many food services, amenity upgrades and improvements were completed this year including:

The Cart Barn maintenance project was completed including the old ceiling insulation removed and replaced, walls painted, floors cleaned, enclosure around the desk constructed, and general organization of this area.

Wind and rain shade protection along with efficient, ceiling-mounted inferred heaters were installed at the Pelican’s Nest so that on cold and/or rainy days the upper portion of the restaurant was comfortable for dining and our staff

The Osprey Café sandwich and salad menu was completely changed by a minor remodeling of the Café equipment to include “made to order” salads and sandwiches.

To increase efficiency and reduce errors our POS system was updated so that our staff could use handheld iPads at the restaurants and Beach Club.

New Member Ambassador. All House Committee Members volunteered to help with this additional Member-to-Member contact for new Members moving to Seabrook Island

Jeff Ward

Eduard Surasan

Chair Assistant General Manager

The Club now has a food truck, “The Driftwood.” Specifically equipped to prepare a wide variety of menu items for many different occasions. Member Pop Ups, 4th of July, occasional breakfast for golfers, Member events at the Equestrian Center and Racquet Sports Center including the Alan Fleming Tournament at the Racquet Sports Center, busy summer days at the Beach Club, etc. are some of the many potential events for the food truck.

Prior to opening in 2024, both the Pelican’s Nest and Cap’n Sams’ bars will be slightly renovated to allow both bars to be more efficiently used by the bartenders.

The food prep area of the Ocean Terrace building is being renovated to provide Chef Christine (Pastry Chef) adequate space to work and offer different opportunities for Members.

The operation of all Food & Beverage amenities is under constant review with a focus on opening more days or longer hours when staffing is available provided there is enough Member support.

The Committee reviewed the Club’s Consolidated Food & Beverage financial statements. The Committee focused on revenue and expense against the current month and year-to-date budget

Committee Members

Susan Meloy

Katherine Sankovich

Darryl May

Lynn Richards

George DiLella

Michelle Wiedemuth

Ed Leary

Social

This subcommittee is comprised of nine Members who meet with Michelle Duplessis, Event Sales Manager, each quarter to discuss and suggest new events or ideas to improve previously successful events and parties. Approximately eighty (Yes! really that many) Member-only events were held this year, some planned by the Social Subcommittee, some planned by our Club Management. All were extremely well attended.

On behalf of all Club Members, I would like to thank the committee volunteers, Food & Beverage, Culinary and Event Managers, and their staff for their hard work and commitment to excellence this year.

Committee Members

Michelle Wiedemuth

Katherine Sankovich

Anne Marie Martin

Ed Leary

Jeff Ward

Eduard Surasan

Chair Assistant General Manager

Barbara Montagu-Pollock

Randy Buck

Beth Jalazo

Janet Chesley

Lynne Richards

“Summer Fest at the Nest” Pop Up at Pelican’s Nest

Men’s Member Guest Tournament

Annual 4th of July Party at the Island House

Sunset Party at the Ocean Terrace Labor Day Party in the Atlantic Ballroom

Pop Up on the Golf Terrace

Nominating Committee

Fred Osher

Chair

The Seabrook Nominating Committee is charged with the identification of the best candidates for the Board of Governors from Club Members who apply to serve. As directed by the Club Bylaws, the Board President appoints a Club Member as Chair of the Nominating Committee; the 2023 Nominating Committee was chaired by Fred Osher. Members of the Nominating Committee are then recruited from the Membership by the Board and serve for a single two-year term. Once in place, the Committee operates independently from the Board of Governors.

The 2023 Nominating Committee screened, vetted, and spoke with references of all six Club Members who submitted letters of interest for four available seats on the 2024 Board of Governors. Candidates were interviewed by the full Committee between October 12th and October 26th. The Committee used all information gathered to match the candidates’ skills, interests, and expertise to the needs of the Board of Governors.

Special thanks go to Sue Dostal, Dean Goodwin, and Penny Lee, who completed the second year of their two-year terms on the Nominating Committee.

2023 Nominating Committee

Sue Dostal

Dean Goodwin

Penny Lee

Mary Beth Faulkner

Randy Powell

2024 Board Nominees

Donna Brown - 2 year team

Rick Grafmeyer - 3 year term

Patti Leibach - 3 year term

Ellie Ward - 3 year term

2024 Board Nominees

Donna Brown was born in Washington, DC, and raised in the suburbs. After graduating from college in NC, she lived and worked in Columbia, South Carolina as a real estate manager, broker, and investor with one of the largest companies in the area until she moved back to Annapolis, MD to join her family’s beer, wine and liquor distribution business.

When the family business was sold and her parents retired, Donna, using the lessons she learned in the operation of a distribution company, started her own beverage company The business began as a brokerage firm. But as opportunities arose, Donna reentered the manufacturing and distribution end of the business. In 2011, she received an offer to buy her company. In 2012, she sold her company and retired, moving to her Seabrook Island home permanently She became involved in SIC, serving on Racquet Sports and Membership Committees.

In 2014, Donna joined the Board of Governors, serving for 4 years. During her time on the Board, she served as Chair of Racquet Sports, Vice Chair for Membership, and House/Social Committees During her final year on the Board, she was elected Club Secretary and served on the Executive Committee for the Board of Governors. After completing her term on the Board, she chaired the Club Nominating Committee.

In addition to playing tennis and golf (and sometimes pickleball), Donna has served on the Low Country Tennis Association Board. She was a certified USTA official. Donna is a supporter of several charitable organizations, especially those focusing on serving the Johns Island area.

She looks forward to using her experience, energy, and enthusiasm to support our Club and its Membership.

Donna Brown

2 -year term

Rick Grafmeyer

3-year term

In mid-2023, Rick was appointed to fill the position of Legal Counsel within the Seabrook Island Club Board of Governors. He has been called upon for advice regarding various member and operational issues, parliamentary issues, strategy regarding litigation issues, and document preparation and review of items related to the management of the Club. In addition, Rick serves on the Board’s Finance Committee.

Rick has been the President of the Board of Directors for the past three and one-half years for a major co-op building in Washington, D C - - The Watergate He resigned his presidency at the start of 2023. This historic building is full-service with an annual budget of over $ 7 million per year and capital projects averaging several million dollars per year. Rick served previously as the Treasurer of the Watergate for two earlier years.

Rick’s work experience includes being a partner at Capitol Tax Partners, Washington’s largest independent consulting firm specializing in tax matters. Formerly, he served as the deputy chief of staff for the Joint Committee on Taxation, which is the committee that drafts and scores all tax legislation for Congress Earlier, he was the deputy staff director for the Senate Finance Committee responsible for all tax and health care legislation that came before the Committee. In addition to his government service, Rick was a partner in both Arthur Andersen's National Office as well as a partner in Ernst & Young’s National Tax Office

Rick’s education background is a B.A. degree in accounting from Walsh College in Ohio, a J.D. degree from the University of Akron School of Law, and a LL.M. degree from Georgetown University Law Center

Both Rick and Sheila, Rick’s wife, are excited to be part of the Seabrook community. They had owned a home on Hilton Head Island for about 15 years, but once they experienced Seabrook Island during a tennis tournament about five years ago, they were sold on living in the beautiful and friendly atmosphere that they encountered here.

After a few false starts, Rick & Sheila hope to complete the construction in February 2024 of a new house at 1401 Nancy Island Drive and upon completion will move to the island full-time. They have been owners at Seabrook since 2021; where Rick is a competitive tennis player and continues to play in tournaments around the country. He has played all the racquet sports (pickle, platform tennis, squash, ping pong, etc.)

Rick is honored to serve the Seabrook Island Club, the Board of Governors, and its members.

Ellie Ward

3-year term

Ellie Ward and her husband Jeff, originally from the Akron, Ohio area discovered Seabrook in 2011, buying a lot on Seabrook Island after visiting to look at places they would like to retire to Although plans were to wait 5-7 years before retiring, the beauty of the Island drew them in sooner than expected. They arrived on October 1st, 2015 just in time for the 1,000-year flood. They lived at a Spinnaker Condo while building their home near the 16th green of Crooked Oaks

Ellie and Jeff consider themselves extremely fortunate to be a part of the Seabrook Community and all the wonderful things it has to offer. Ellie feels that one should give back to their community in some way, whether volunteering for a day or for years They have two children, Andrew, the Tournament Director at the Landings Club in Savannah, and Marissa, newly married to Jamie, who resides in Atlanta and holds regional management positions for Whole Foods. A new addition to the family is Cooper, a four-year-old Golden Retriever rescue

Ellie has a Bachelor of Arts in Sociology from Hiram College. She eventually went back to school to obtain a Master’s degree in Library and Information Sciences which allowed her to finish her career as the Library Manager at the Akron Art Museum Ellie was very active in her professional group, the Art Libraries Society of the Ohio Valley as Secretary/Treasurer, Vice President, and President as well as many sub-committees. Ellie also worked side by side for many years with Jeff in the Dairy Queen business, owning several DQ stores Ellie’s background of working with customers, employees, and management, and her organization, research, and execution of projects leads her to feel that these varied experiences in different fields will be an asset to the Seabrook Island Club.

Ellie is an avid tennis player and a golfer and appreciates the first-rate facilities and employees of both the Racquet Sports Center and the Seabrook Island golf courses. Ellie is also interested in reading and traveling. Because Jeff has been on the Board of Governors for the past six years, Ellie feels that she has a better-thanaverage understanding of how the Board and Club operate after being a sounding board upon occasion for Jeff. The opportunity to know more details from a Board point of view but also listening to many Club Members who seek her out to share their comments and concerns gives her a unique perspective going into this position. Ellie hopes to make a meaningful contribution to the Board as well as to the members of the Seabrook Island Club.

in Charlotte as well as on a county-wide advisory committee responsible for reviewing the rollout and impact of magnet schools on the public school system.

Patti Leibach

3-year term

Patti moved to Seabrook in 2016 shortly after her retirement. She has three “children” and six young grandchildren all of whom reside in Charlotte, NC.

Patti is a graduate of the University of Virginia. Much of her professional career was in executive recruitment. She formed and oversaw the operations of a multistate firm and led large, mission-critical hiring initiatives for select clients. Long-term clients included a national public real estate firm hiring much of the company’s leadership team. She also worked closely with senior leadership throughout one of the country’s largest banks as they grew their investment banking platform. Prior roles included serving a President as a Member of his West Wing staff. Another was as part of a small crew opening one of the nation’s first fullservice restaurants on a ski mountain.

Prior to moving to Seabrook, Patti enjoyed being a member of Olde Providence Racquet Club, a premier tennis club in Charlotte, NC. She was a founding member of a private tennis club in Bradenton, Florida which was later purchased by IMG. At both clubs, she was active in organizing and overseeing charity tournament events and representing the club in interclub play and on USTA teams. In addition to sports, Patti served on the boards of several neighborhoods

Patti was a Social/Racquets Member of the Seabrook Island Club (SIC) and upgraded to Full status upon deciding to learn to play golf a few years ago. She is a member of Seabrook’s CALTA and USTA teams and plays pickleball. She joined the SIC Club board nearly three years ago, serves on the Executive Committee, and is Chair of Compensation and Racquet Sports. She was also on the search committee which resulted in the hire of the General Manager/COO, Mitchell Laskowitz. Additionally, Patti is a gardener with a plot in the Seabrook Community Garden.

About nine years ago, Patti began looking for her “next phase” home from Washington, DC She wanted to find a home where there was a sense of community first and foremost. After visits to a dozen or more cities and communities, she chose Seabrook and has never looked back. Patti feels an obligation to try to add to the efforts and contributions others have made. She recognizes the Club is important to so many for different reasons – golf, racquet sports, fitness, aquatics, horseback riding, beach club, and finally, dining and entertainment. She would like to continue to be a part of building upon what she thinks is so meaningful to those who call Seabrook home and to those who might want to join our community

(LPR)