February 10, 2011
Want to know how much Tiger Woods was worth to investors pre-Hydrant-gate? Look no further than Al Ruwaya, Woods' failed course project in Dubai that was supposed to be the crowning achievement of his new design business.
With Woods' name on the project, developers figured they'd make a killing. But after watching it sit and waste away for the last five years -- due in large part to the financial crisis -- Dubai Properties Group announced last week that it was putting the project on hold, effectively ending any chance Woods had of completing the course in the near future.
But does Tiger really care if the project gets completed? As Arabian Business Magazine reported on Thursday, Woods isn't sweating the announcement. That's because he received $55.4 million to promote and design the project before it was ever completed.
Tiger Woods received $55.4m from UAE developer Tatweer to promote a golf resort in Dubai, just 24 days before the collapse of Lehman Brothers in 2008.
Documents seen by Arabian Business reveal that Woods was originally paid $26,250,000 to promote the Tiger Woods Dubai resort, following a contract first signed on 20 June 2006.
After receiving the initial $26.25, Woods received an additional $26.2 million after the developer and Woods came to an agreement on an expanded contract. The best part of the whole deal was that the expanded offer was signed less than a month before Lehman Brothers collapsed in 2008.
Lehman's downfall sent shockwaves through the global markets, dropping property value in Dubai an estimated 50 percent. To say Woods' timing was impeccable would be an understatement.
Quite honestly, the money he made from the failed project is absurd. If the developers were willing to take a gamble and give Woods that much money up front, that's their prerogative. But they should have known the financial bubble in Dubai could burst at any moment.
Assuming Woods never returns to the project -- he's reportedly in talks with developers to revive it -- his body of work at Al Ruwaya golf course would end up being six completed holes on a proposed 18-hole layout.
That would mean Woods made more $9 million per hole. Talk about a nice payday.