Storm Lake’s miniature golf course is changing hands.
The Storm Lake City Council has approved the sale of Reel Time Rentals’ interest in Pirate’s Pointe Mini Golf to Severson Properties LLC, ending Reel Time Rentals’ lease with the city. The resolution, approved unanimously Monday night, releases Reel Time Rentals from any further obligations under the lease and clears the way for the city to negotiate a new agreement with Severson Properties.
City Manager Keri Navratil told the council the sale and termination of the existing lease are effective immediately.
The resolution states Reel Time Rentals has sold and transferred its interest in the miniature golf facility to Severson Properties. It also declares that no lease payments, fees, charges, penalties or other amounts are due, owing or payable by Reel Time Rentals to the city under the terminated agreement.
The development marks a change from discussions earlier this year, when the council considered whether the city should take over the miniature golf facility before the existing lease expired.
The city owns the land where the course is located, while Reel Time Rentals previously owned the miniature golf improvements and operated the 18-hole, pirate-themed course under a lease with the city. That lease was scheduled to run through Oct. 31, 2028.
During a February work session, council members discussed potentially taking over the facility “as is.” At the time, city staff estimated repairs to keep the attraction operating as a miniature golf course could cost between $200,000 and $400,000. Concerns included broken pumps, leaking pipes, worn carpeting, fencing and deterioration of features including the pirate ship and cave.
The council also discussed the course’s value as a community attraction. Staff reported annual revenues of roughly $40,000 to $60,000, with operating profits of approximately $20,000 to $25,000.
There was also concern that if the course continued to deteriorate while the city waited for the lease to expire, it could become an eyesore.
The Iowa Lakes Corridor Development Corporation told the council in August that a prospective operator had toured the Pirate’s Pointe property with a realtor. Corridor officials said at the time that the prospective operator already owned a mini golf business elsewhere and that discussions were ongoing.
Navratil told the council Monday that negotiations are now underway with Severson Properties for a new lease.
The city has previously described the miniature golf course as a community and quality-of-life amenity.
Monday’s action does not establish a new lease with Severson Properties. That agreement will come before the city council at a future date.
