COEUR d'ALENE - The assets of the Club at Black Rock have been transferred from The Club at Black Rock LLC, owned by Marshall Chesrown, to the project's primary lender, Washington Trust Bank.

Spokane attorney Barry W. Davidson, who is representing Chesrown, said Friday that given current market values, the assets of the Club at Black Rock are believed to be worth less than the indebtedness. The assets include the golf course, 31,000-square-foot clubhouse, fitness facilities and maintenance equipment.

"The current value (of the assets) has not been fixed," Davidson said.

Officials from Washington Trust Bank could not be immediately reached for comment.

The transferred assets don't include any residences or development property within the Black Rock community, all of which are owned separately by residents and developers, Davidson said.

Black Rock is 20 minutes south of Coeur d'Alene via U.S. 95 and Rockford Bay Road. It's on the west side of Lake Coeur d'Alene at Rockford Bay.

Currie Corbin, a spokesman for the club, said it isn't closing its doors. The club, which opened in 2002, employs more than 150 people.

In a news release Friday, the club said the national economic environment no longer supports developer-owned clubs.

"Those comments would be true nationally," Davidson said. "High-end resort communities have not experienced the velocity of sales they've enjoyed in the past. The decline in real estate sales is now being felt at the Club at Black Rock, as it has been felt at other golf-course communities throughout the country."

Davidson said Chesrown believes the transfer of assets is a positive step toward the current goal of transitioning ownership to club members.

He said there are nearly 300 club members, 250 of which are active.

"(Chesrown) feels this is a necessary step, and beneficial to the members, under the current circumstances," Davidson said.

A membership committee has been formed, including representatives from club management.

In the news release, Chesrown said, "We are fortunate to have a rock-solid membership base that is committed to a secure and successful future."

A separate entity, both legally and financially, known as Black Rock North, is owned by BRN Development Inc.

Black Rock North includes several hundred acres of property and improvements, and is located adjacent to the Club at Black Rock.

Black Rock North has been improved through the construction of a golf course designed by Tom Weiskopf, which has not been opened for play, though it's substantially complete, said Davidson.

While Black Rock North is owned by BRN, it's subject to outstanding claims, which still are being determined in Kootenai County District Court, Davidson said. That project was financed by American Bank, of Bozeman, Mont., with loan participation by Fidelity National Timber Resources Inc., he said.