Mr Davis said in the 1990s, due to resistance by members to diversify to meet changing markets, chartered clubs in New Zealand began to falter.
In 1999, the Blenheim Workingmen's Club bought the land and buildings of the Marlborough Club, which was under threat of closure.
The Marlborough Club continued under its own identity, but was under the management and administration of the Blenheim Workingmen's Club.
In 2003, the Blenheim Workingmen's Club, which owned the freehold land of the two clubs, the car park and bowling green, with a combined value of about $5 million, was trading profitably and met the MRSA.
The MRSA owned freehold land and clubrooms, which were dilapidated, and could not afford to refurbish them, and were trading poorly.
Meetings of both clubs were held with their members deciding to pursue a merger and build new purpose-built facilities on the MRSA site.
The two clubs "threw all their assets into the pot", about $5.5 million, borrowed the rest and built the facility, both clubs becoming owners of the building with a 99-year agreement in place. Ownership share would not be based on dollar input, but on land footprint.
The MRSA site was large when all the property footprints were added together, the site formed three-sevenths, so they acquired ownership of three-sevenths of the new building.
Blenheim Workingmen's Club became owners of the remainder and, because of the 99-year agreement in place, neither party could sell. Blenheim Workingmen's Club started trading as Clubs of Marlborough, controlling all licences and management of facilities.
MRSA needed a lounge that was recognised as an RSA, so an RSA Lounge was formed with an additional receptionist to administer their affairs. A $20,000 grant is given to the MRSA every year for member welfare.
To join the MRSA, you must join the Clubs of Marlborough first, and all members are entitled to eat, drink and socialise in the RSA Lounge. When the Marlborough Bridge Club heard about the project, they contributed $400,000 for bridge clubrooms to be added.
Marlborough District Council negotiated with the clubs to build - and for a third party to manage - a convention centre on the ground floor, so an extra $4 million was added to the construction.
"Clubs are supposed to be a community facility but the stereotype associated with some club life is prohibiting prospective members," said Mr Davis.
"Clubs of Marlborough has broken the stereotype associated with certain clubs in New Zealand, like men only in singlets drinking jugs of beer in dingy environments, which in turn has made us appealing to the wider community."
From an original membership base of 5500 members, Clubs Marlborough now has 8000 members "from all walks of life".
"Dropping the stereotype has also allowed us to become family orientated." Half the club's members were women, 400 children belonged to the Kids Club and there were over a 100 teenage junior members.
"Think outside the square," was Mr Davis's advice to the Masterton clubs flirting with the idea of a merger. "Come to Clubs of Marlborough and see first-hand what can be achieved in a provincial town if the people want it to happen, and see that there are true benefits for all parties concerned."