Brocket Hall throws out its 920 members

The new owner of Brocket Hall, the hotel and golf club in Hertfordshire which went into administration a year ago, has thrown out its 920 members after being bought by its former owner.

A newly formed company called Brocket Hall (UK), acquired the leasehold of the 543-acre estate, which includes an 18th-century stately home with 46 bedrooms, the Auberge du Lac restaurant in the grounds, and a golf club centered around two courses.

Dieter Klostermann, who had previously run Brocket Hall International (BHI), heads up the new business. He called in AlixPartners as administrators in March 2015 after what was described as a “protracted period of poor trading.”

He is also the chairman and chief executive of Palmerston Hotels & Resorts, with which Brocket Hall (UK) has entered into a “long-term management contract”. Palmerston has said that it will implement “an extensive development and refurbishment programme during 2016 and 2017”.

Golf club members, including those who have paid £70,000 for life membership, have been told that the existing rights and privileges will not be transferred to the new company and that they will to apply for an interim membership of the new business.

While secured creditors, including HSBC, have been paid following the administration, unsecured creditors – including golf members – have not.

Angry members are now considering legal action against Brocket Hall’s new owner, as they believe his decision to evict existing members is a breach of contract.

One member, Helen Hayward, said that she has no intention of rejoining the club under its current structure: “I, like many members, are very upset at the loss of our club and long established golfing partnerships”, she said. “I do understand that golf clubs are expensive to run, hence the huge amounts of money we have already paid, but surely no one with this knowledge would hand over anymore?”

Lord Brocket owns the freehold of Brocket Hall, which was once the home of British Prime Minister Lord Palmerston. He had hoped to regain control of the lease himself. Lord Brocket placed the estate into the hands of a board of trustees, who then leased it to BHI, after being jailed in 1991 for a £4.3m car insurance fraud.

He told The Times: “Having failed over the last five years to repair some £20m worth of damage done to the Grade I listed buildings, it is our sincere hope that he [Klostermann] will now have the means to take his responsibilities seriously.”

Disgruntled former member Helen Hayward’s response was: “If Lord Brocket thinks anything will change, think again!”

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