Conflict over beloved Pierce County golf course leads to $6 million lawsuit
There are two competing visions for the only public golf course in the Gig Harbor area — and they can’t both come true.
In one, the local park district, PenMet Parks, would like to take full ownership of the Madrona Links Golf Course. It currently owns 80 acres of the 94-acre course. A private party would continue operating the golf course under PenMet Parks’ supervision, but the golf course itself would be entirely publicly-owned.
In another, a few Gig Harbor golfers take ownership under their LLC, ZTM Holdings. ZTM Holdings members Zack Rosenbloom and Mark Owen currently own 14 acres of the course. They say they’ve been entrusted by the Tyson family, who built and managed the course for years before passing operations to a subtenant, currently Stutsman Enterprises, Inc., to carry on the family’s legacy. Under ZTM, Madrona Links would become a privately-owned public golf course.
The courts will decide which vision will come to life.
ZTM Holdings LLC and Tyson Limited Partnership filed a lawsuit against PenMet Parks and Stutsman Enterprises Jan. 21 in Pierce County Superior Court. It’s the latest development in a lengthy dispute over ownership of the course and who’s responsible for making improvements to it.
The allegations include that PenMet Parks and Stutsman are unlawfully occupying ZTM’s 14-acre parcel and that PenMet Parks has no right to take that parcel via eminent domain. ZTM and Tyson are seeking over $6 million in damages, according to the legal complaint.
The News Tribune reached out to attorneys and spokespeople for Tyson Limited Partnership and ZTM Holdings and Matt Stutsman, owner of Stutsman Enterprises for comment but did not immediately hear back.
PenMet Parks spokesperson Heather Dyson declined via email Feb. 12 to comment on the lawsuit or provide an update on the park district’s eminent domain plans, saying the park district is “unable to comment on pending legal matters.”
The park board passed an eminent domain resolution at their meeting Nov. 5, 2024, The News Tribune reported. It’s not clear if an eminent domain action has actually been filed yet in Pierce County Superior Court. The News Tribune’s search of court records did not show such a case.
The trial for ZTM’s lawsuit is scheduled for next year.
What does the Madrona Links lawsuit allege?
According to the legal complaint, ZTM and Tyson allege that Stutsman Enterprises was responsible per the terms of the sublease for keeping the course in good condition, but failed to do so. Tyson should not be held responsible, they allege.
The plaintiffs also allege that both Stutsman and PenMet Parks are trespassing on ZTM’s property.
PenMet Parks terminated Tyson’s operating lease Oct. 18, 2024, and Tyson terminated Stutsman’s sublease May 23, 2024, according to the complaint. The plaintiffs allege that they are entitled to unpaid rent from both parties for use of the 14-acre parcel.
Other allegations in the lawsuit include that PenMet Parks has not engaged in good-faith negotiations with Tyson and ZTM and that state law doesn’t give metropolitan park districts the right to acquire golf courses through eminent domain.
What will the outcome of the legal disputes mean for Madrona Links?
It’s not clear how long it will take for the lawsuit to be resolved.
ZTM and PenMet Parks have both repeated the same thing: they want Madrona Links to remain a public golf course. And they agree the course needs upgrades.
“We love Madrona Links and want it to remain public for the indefinite future,” Zack Rosenbloom, one of ZTM’s managers, said in a press release Aug. 7, 2024. “We have access to private investment and were so excited about the idea of working with local government to create some much-needed upgrades and modernization of the course.”
PenMet Parks Executive Director Ally Bujacich told The News Tribune in a statement Aug. 15, 2024 that “PenMet Parks recognizes the value of Madrona Links Golf Course to our community and remains committed to keeping Madrona Links as a golf course.”
The parties have gone through several rounds of negotiation, according to letters on the PenMet Parks website.
On July 18, 2024, the park district made an offer to buy ZTM’s 14 acres for $2.5 million, based on an appraisal. ZTM rejected that offer and said they would sell it for $8.1 million, based on a different appraisal. ZTM later adjusted its asking price to $5.3 million, approximately splitting the difference between the two appraised values. PenMet Parks rejected that offer.
On Nov. 22, 2024, ZTM made an offer to purchase PenMet Parks’ 80 acres and included a provision promising to keep the property as a golf course for the next 50 years. PenMet Parks rejected that offer, citing reasons including that the park district must select a buyer through a public bidding process and that ZTM could sell the property at a “significant profit” after 50 years.
On Dec. 6, 2024, PenMet Parks’ attorney Mark Roberts wrote to ZTM that the park district would be willing to release all of its claims against Tyson and ZTM for the course’s poor condition if the two parties sold PenMet Parks the 14 acres for $2.5 million and paid an additional $3.5 million to cover the necessary upgrades to the golf course, Roberts wrote.
ZTM did not accept that offer, then filed the lawsuit last month.
This story was originally published February 18, 2025 at 5:00 AM.