Along the southern Oregon coast, on a 350-acre cliff-side property, two golf-industry veterans are looking to break ground later this year on the next go-to golfing destination in North America: .

The Knapp Ranch site near Port Orford overlooks the Pacific Ocean. Fairways will tumble between sand dunes, leaving golfers to battle the ever-present winds blowing in from the ocean.

But golf course developments in Oregon face a number of legal hurdles. The Pacific Gales team first had to win a case before the state Land Use Board of Appeals (LUBA) brought by the Oregon Coast Alliance, an environmental group that protested project approval granted by Curry County.

The case centered on an obscure state rule stating that golf courses and certain other developments located within three miles of an urban growth boundary may not have a “design capacity” of more than 100 persons.

That phrase had not been tested in a case previously, said Nick Klingensmith, a Eugene attorney who represented Elk River Property Development, the company behind Pacific Gales.

“‘Design capacity’ is a term that is not commonly used in terms of how you use a building,” Klingensmith said.

It’s unclear why the state administrative rules didn’t use “maximum occupancy,” a well-understood term that architects and fire marshals commonly calculate using criteria such as numbers of exits and widths of hallways.

“We didn’t have any case law; we didn’t have any precedent to help us chart our course,” Klingensmith said.

In the end, Elk River Property Development won a favorable ruling from LUBA, but agreed to a condition that will limit occupancy at Pacific Gales’ clubhouse to 100 persons.

Elk River Property Development also had to fight for water rights in a situation that evolved into a catch-22, according to Klingensmith. Parcels with existing irrigation, like Knapp Ranch, are considered “high-value” properties for agricultural purposes, but development of a new water right is virtually impossible in Oregon, he said.

Meanwhile, a “zombie permit” for water use on a portion of the property could not be extended or developed.

Fortunately for Pacific Gales, developers found a third option: treated wastewater from Port Orford’s municipal facility.

Currently, Port Orford allows its treated wastewater to flow into the Pacific Ocean. That water is cleaned of organic waste, but has other undesirable elements, including traces of pharmaceuticals.

When Pacific Gales is constructed, the treated wastewater will be used on its fairways and greens instead. The project team is working toward obtaining a wastewater reuse permit from the Oregon Department of Environmental Quality.

“In our instance, we were kind of able to luck out,” Klingensmith said. “It’s been a regulatory nightmare.”

But navigation of those hurdles has kept the Pacific Gales dream alive for Elk River Property Development. Knapp Ranch is approximately a 30-minute drive south of Bandon Dunes Golf Resort, a world-class links destination with four 18-hole golf courses that has drawn breathless reviews from golf media.

However, Pacific Gales will have an advantage: motorized carts. They’re prohibited at Bandon Dunes, except with a documented medical need. With that said, golfers at Pacific Gales will be encouraged to walk, and a caddie program will be established.

“We’re going to allow golf carts on the property,” said Jim Haley, managing partner of Elk River Property Development. “There’s a huge number of people who want to be able to ride in golf carts, and they really can’t (at Bandon Dunes). There’s another demographic there that hasn’t had the chance to go there.”

Haley and project partner Dave Esler plan to offer the same style of natural golf inspired by the classic courses of Scotland and Ireland. Haley helped shape the original Bandon Dunes golf course, while Esler cut his teeth performing historically sensitive renovations of classic courses in the Chicago area.

Several holes at Pacific Gales will meet the ocean. Haley is testing a variant of Roundup-resistant fescue grass developed by a seed company in Canby.

Par at Pacific Gales is to be determined.

“I never look at the scorecard,” Haley said. “We’ll go to probably 7,200 yards, but hopefully everyone will play it at around 6,800 yards – 6,800 yards, at sea level with the wind, is plenty of golf.”

Haley and Esler hope to break ground in the fall. That would put the course on track for a soft opening with 12 holes available for member play as early as summer 2018, followed by a full opening in 2019.

A hybrid revenue model that is unusual in the United States will be used for Pacific Gales. A limited number of “Founders Club” members will receive perks such as preview play while the course is under construction and preferred tee times once it opens, but Pacific Gales will be open for public play as well.

“It’s really the British model,” Haley said. “Ninety-nine percent of the golf courses in the U.K., you can pay and play. It’s a great way to do it.”

Plans beyond Bandon Dunes

While the Pacific Gales project team is continuing to work toward its fundraising goals, Bandon Dunes owner Mike Keiser is considering expansion plans on the Oregon coast.

Keiser is reportedly planning to build a course on a 300-acre parcel known as Sheep Ranch that sits slightly north of the existing Bandon Dunes courses. The Sheep Ranch property is home to a roughly laid-out course today, and Keiser has discussed bringing in golf architect Gil Hanse to build a permanent course, according to the Golf Channel’s Matt Ginella. Keiser already owns the land.

Also, Keiser has been in negotiations with the Boy Scouts of America for a long-term lease of 200 acres of timberland south of Cape Lookout on the northern Oregon Coast. A course there, if constructed, would be only about a two-hour drive from the Portland area.

Keiser, through Bandon Dunes spokesman Michael Chupka Jr., declined an interview request. The projects are in a conceptual phase, Chupka stated in an email.

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