Is Galena Changing?

Question

My partner Casey and I have owned and managed vacation rentals in Galena for almost 10 years now, and one thing is undeniable: the town has become a much bigger destination than when we started out which is great news. Visitor spending in Jo Daviess County now exceeds $330 million annually, supporting thousands of local jobs, and it certainly feels busier than it did a decade ago.

What I love, though, is that Galena is still... Galena. It's small. It's charming. It hasn't lost the character that makes people fall in love with it in the first place. Lately, however, I've noticed purpose-built cabin developments popping up around the outskirts of town, and at the same time, it feels like more owners are listing their homes for sale. Should us existing operators be worried about all this "coming soon" development? It really got me wondering if this is this just the natural evolution of a great vacation rental market? Is there still plenty of demand for everyone or are some existing operators starting to feel the pressure?

Personally, I lean towards believing that there is enough pie for everyone but large operators with huge investment teams behind them do concern me a little. It is true that better accommodations bring more visitors, and more visitors benefit everyone. But Galena is also a small market, and I do wonder where the balance is. We've built real friendships in Galena over the years and genuinely care about the community. We'd love to see tourism continue to grow without losing what makes the town special.

What are other Galena owners seeing? Is this simply a rising tide lifting all boats, or does the market feel different than it did a few years ago???

Mike Grudzien · Answer

So you are asking on a national forum for the entire country about a tiny market that you are already intimately acquainted with for 10 years??

And in 10 years you have not made any local connections to ask in the local market that you are locally involved in?

Do I have this right?

Garrett Keith · Answer

I'm from Dubuque and went to school in Galena for 12 years and have a buddy who's from Elizabeth so I am very familiar with the area. What I'll say is that the charming Galena we know now will still be that in the future. It's still the same old cramped town with a thousand little shops to explore. The nice thing is the landscape around Galena isn't as friendly for new builds as Dubuque or Peosta for example. I think it should be okay. I will say though that I feel like their is enough supply for the current demand, but I don't feel like that is a threat to smaller investors.

John Underwood · Answer

Never heard of it and have no idea where it is.

Daniel O'Neill · Answer

For those who are curious before commenting. Galena is in NW Illinois. They have a ski resort and a famous president lived there for was born there I can’t remember. It is a very nice quintessential small town in the Midwest. I live outside Chicago and have been for snowboarding twice and a town visit once. I suppose I’ve invested in a similar situation but IMHO a little better. I think if OP is doing okay in Galena as he purchased 10 years ago he’ll probably continue to be okay. Also OP hasn’t explained any new development interest going on. Reach out I’d be interested in talking.

Andrew Steffens · Answer

Im with everyone else when I say I have never heard of it, but glad you are doing well! It is obviously very niche, so I recommend looking for local host groups on Facebook.

I have cases like that here, Indian Rocks Beach sits between Clearwater and Saint Pete Beaches and while most heard of the latter, not many on the former.  There are STR restrictions in Clearwater and Saint Pete but not in Indian Rocks Beach has made them very popular for STR, meaning more tourists in IRB itself and the mainland nearby towns of Seminole and Largo.

Michael Baum · Answer

Sorry @Philip Wrigley, we have no idea where Galena is so we can't really help with any opinions on the matter.

Is Galena Changing?

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