QUOTE(wantacampground @ Jun 13 2012, 11:36 AM) [snapback]29713[/snapback] I would like to revive this topic as I am currently looking to purchase a campground and there was a lot of good information being written. I am also looking for insight on best places to find campgrounds currently for sale. If you are an owner and are looking to possibly sell in the Southeast...NC, North GA. please feel free to send me a message directly. I am also looking for buyer resources. Items I should be looking at when visiting a potential campground. Thank you all for any and all wisdom you can provide. Best place to start is www.rvparkstore.com Many individuals and brokers post their listings on that site.
QUOTE(kcmoedoe @ Jun 13 2012, 01:55 PM) [snapback]29715[/snapback] Best place to start is www.rvparkstore.com Many individuals and brokers post their listings on that site. Kcmoedoe - thank you for your reply. I have read a lot of your posts and appreciate the knowledge that you have. I have been on the rvparkstore and others. I am trying to find some of the parks out there that might not tied to a broker or agent....not that there is anything wrong with this....but I am trying to find that hidden gem.
You might consider scheduling an appointment with a psychologist first. I say this having retired from 10 years in the lodging business. It is truly a 24/7/365 business.
QUOTE(Lindsay Richards @ Jun 13 2012, 03:17 PM) [snapback]29717[/snapback] You might consider scheduling an appointment with a psychologist first. I say this having retired from 10 years in the lodging business. It is truly a 24/7/365 business. Lindsay, I will book the appointment right away! Would you say being in the business was good to you? Thank you for your comments.
QUOTE(wantacampground @ Jun 13 2012, 12:01 PM) [snapback]29716[/snapback] Kcmoedoe - thank you for your reply. I have read a lot of your posts and appreciate the knowledge that you have. I have been on the rvparkstore and others. I am trying to find some of the parks out there that might not tied to a broker or agent....not that there is anything wrong with this....but I am trying to find that hidden gem. I am not sure you will unearth a lot of hidden gems. Most owners who are looking to sell are going to be advertising their businesses. If a park is not for sale, the owner will likely only be interested in a price that would make it attractive for them. As the saying goes, everything is for sale at the right price. Brokers will offer you some advantages. First, RV park brokerages are a very speciality business. They survive on their reputation. They will not knowingly sell a park with undisclosed problems, a park where the numbers are falsified, or even a park where the price is assuring that the enterprise will fail. The brokers I have known will turn away overpriced listings, they don't want to waste their time or the sellers. Another source for parks for sale is Loopnet. They will require a subscription fee, but it is considered the top source for commerical real estate. Good luck.
QUOTE(kcmoedoe @ Jun 13 2012, 09:25 PM) [snapback]29719[/snapback] I am not sure you will unearth a lot of hidden gems. Most owners who are looking to sell are going to be advertising their businesses. If a park is not for sale, the owner will likely only be interested in a price that would make it attractive for them. As the saying goes, everything is for sale at the right price. Brokers will offer you some advantages. First, RV park brokerages are a very speciality business. They survive on their reputation. They will not knowingly sell a park with undisclosed problems, a park where the numbers are falsified, or even a park where the price is assuring that the enterprise will fail. The brokers I have known will turn away overpriced listings, they don't want to waste their time or the sellers. Another source for parks for sale is Loopnet. They will require a subscription fee, but it is considered the top source for commerical real estate. Good luck. Once again, thank you for the great information. I have to say the brokers that I have been working with thus far are as you have stated...very upfront about what they think of the parks that I am looking at.
QUOTE Would you say being in the business was good to you? We bought an old house in the down town of a resort town in Florida and spent 5 months converting it to a B and B. We ran it for 10 years living onsite. We enjoyed it very much because of our personalities, but I might add that innkeepers have a high divorce rate. It is a 24/7/365 business. You mind is there even if your body is not.The business supplied all of our needs such as food, shelter, electricity, insurance, gas, utilities, ETC and we were able to put away money for retirement. Our real financial success came when we sold as we had taken not much and made it into a money generating business. I think you make you money by buying right. It is very hard to sell a property for more than it is worth (banks and professionals are involved), but it is easy to buy a property for less than it is worth. (or can be worth). The fun of a business is growing it, not maintaining it. Start with the idea of expanding in the future. That's where you can make your money. There are also factors that you have no control over. My wife grew up in a motel business in Florida. They were right on US 41 which used to be the main route in Florida. A new bridge was built which bypassed them by 1/4 mile. Really hurt their business. Dealing with people can be bad with that 5% or so who can be jerks. People who cancel reservations at the last minute when you have turned away others can drive you silly.
If you are willing to wade through a bunch of dead ends, unreasonable prices and false leads, you might want to post your inquiry on www.rv.net in their forums. It gets many more views than these forums. But you never know, something that would work for you might pop up.
wantacampground, Thanks for reviving this thread, it has some very good info for me as we just purchased a piece of property in middle ga for another purpose, but found that it was once a campground (2 acres, 52 spaces in pecan orchard with I-75 frontage). Though the property was originally bought for another purpose it has such great potential as an RV park I decided to look into putting it back into operation. We considered reselling it, but was told by CG brokers that fixer up parks don't sell. Any one have any ideas on this? Thanks, SASmith
We go by there on most trips as it is about 4 or 5 hours from our home. Not a lot of campgrounds as I remember. How far from an exit? That is a big concern for folks. That area is very pretty and I remember years ago (pre I-75) that there were pecan groves through out. Good Luck on your new venture. You can start with a smaller number of sites and finish the rest as you go.
I was going to college in Tampa from 1962 to 1966 and my wife to be was in Nursing School in Atlanta. I made that trip many times. Used US 41 and then parts of I-75 as it was being built. We have stayed in that area many times. Generally in Perry at several of the parks or at the Wal-Mart. It is about half way to my wife's sister or to my brother's. Makes a great stop for us. We like to limit traveling to about 5 hours or so. That is a beautiful area. We sometimes stop and eat lunch at the Perry Hotel. Food is great, but it is getting run down. There is certainly a lot of traffic on I-75. There would be a winter and summer season also. I have a nephew that is stationed at Warner Robbins Air Force base. My brother just bought a new coach at the Camping World in that area.
SASMITH, We are glad that you are a member of our website and that you are participating in our forum. We realize you are in just the beginning stages of starting an RV park, and this is a great place to ask for and get advice. However, we do not allow park owners to tell where their park is located as this could be considered solicitation which we do not allow. We have removed your last post as it too closely identified the area where your park will be. Please feel free to continue your discussion about starting an RV park; just please do not mention specifically where it is. Thanks.
QUOTE(Texasrvers @ Aug 5 2012, 01:36 PM) [snapback]30337[/snapback] SASMITH, We are glad that you are a member of our website and that you are participating in our forum. We realize you are in just the beginning stages of starting an RV park, and this is a great place to ask for and get advice. However, we do not allow park owners to tell where their park is located as this could be considered solicitation which we do not allow. We have removed your last post as it too closely identified the area where your park will be. Please feel free to continue your discussion about starting an RV park; just please do not mention specifically where it is. Thanks. SORYY, Was trying to stay away from that by not giving address. Thanks, SAS
QUOTE(SASMITH @ Aug 4 2012, 09:39 PM) [snapback]30320[/snapback] wantacampground, Thanks for reviving this thread, it has some very good info for me as we just purchased a piece of property in middle ga for another purpose, but found that it was once a campground (2 acres, 52 spaces in pecan orchard with I-75 frontage). Though the property was originally bought for another purpose it has such great potential as an RV park I decided to look into putting it back into operation. We considered reselling it, but was told by CG brokers that fixer up parks don't sell. Any one have any ideas on this? Thanks, SASmith Sasmith Sorry, been out for awhile. I think it would be great if you can get the campground backup and going again. I would disagree with the broker that fixer upper parks do not sell...they just need to priced accordingly. I have and continue to look at many parks out there and the pricing ranges a great deal depending on a whole lot of variables. Would be happy to discuss with you if you like? Welcome to the forum and I hope that you are enjoying your new property/campground -
Sorry, been out for awhile. I think it would be great if you can get the campground backup and going again. I would disagree with the broker that fixer upper parks do not sell...they just need to priced accordingly. I have and continue to look at many parks out there and the pricing ranges a great deal depending on a whole lot of variables. Would be happy to discuss with you if you like? Thanks for the response, I will say also that I agree that a fixxer up park in the right location could be someones diamond in the rough. Just not sure I am the one to get this one going again. would like your opinion on pricing, but knowing that location plays a big part in this and as this forum does not allow me to give that info, you may want to respond to my direct e-mail asab@windstream.net(if this is allowed by the moderator?) SASmith
QUOTE(Lindsay Richards @ Aug 15 2012, 09:24 PM) [snapback]30614[/snapback] I think a fair price is about 5 to 6 times the gross income. Parks are currently selling at between 7 to 11 times Ebidta (earnings before interest,depreciation, income taxes and amortization) That is a much better indication of value than gross income, which can be misleading if expenses are much different that average. You also must factor in any deferred maintance and anything that is out of the ordinary. For example, a quality home for the owner adds value as does any unused acreage. Poor living quarters deducts value. You also must closely examine any market conditions that may fundamentally change the income stream. Lindsay mentioned the property where the new highway bypassed the business. Using the income before the bypass would have resulted in grossly overpaying. Same with parks that earn a lot of income from temporary workers, such as oil field workers. Those workers and jobs eventually move on. On the other side, income may be poised to suddenly rise if a new road is being constructed that will funnel traffic to the park or an attraction is being built or upgraded that will add additional customers. Finally, altenative use valuations sometime come into play. Many RV parks are actually worth more as development property. A person can pay a premium for such parks, use the park's income to pay the carrying costs and eventually sell the park for that higher use conversion and make more money than selling it as an RV park. Just a lot to consider before tossing out or buying any property based on some formula for fair value.
