Family Golf to Hold Bankruptcy Court Auction

Family Golf Centers Inc. plans to sell more than a third of

its 100 golf properties across the country at a bankruptcy court auction.

The Melville-based company, which has been in Chapter 11 bankruptcy

proceedings since May 4, plans to sell 10 properties it owns and the leases it

holds on another 26 locations, according to court documents filed Wednesday in

U.S. Bankruptcy Court in Manhattan. One leased property is in Commack.

The company's real-estate consultants, Great Neck-based Keen Realty

Consultants Inc., has already received indications of interest and preliminary

offers for certain of the properties since the company's bankruptcy filing,

according to court documents.

The properties are considered non-core or underperforming facilities,

according to court papers, which state that their sale is aimed at maximizing

their value to the company and relieve Family Golf of their mortgage, rent and

other and financial obligations.

A hearing on the company's motion to conduct the sale is scheduled before

Chief U.S. Bankruptcy Judge Stuart M. Bernstein on July 31.

The Commack driving range, in the Constantino Industrial Park, is owned by

PJ Ventures. Another lease being sold, for a driving range in Toms River, N.J.,

is owned by Port Jefferson-based Sports Capital Developers Ltd.

The remaining sites are upstate and in Arizona, California, Connecticut,

New Jersey, Florida, Maryland, Michigan, Pennsylvania, South Carolina, Texas,

Washington, and Wisconsin.

Family Golf filed for Chapter 11 protection from creditors after its

bankers declared the company to be in default in its loans of more than $100

million.