1st RV park development

[Angel Villarreal]

Investment Info:

Mobile home park commercial investment investment in Mentone.

Purchase price: $10,000
Cash invested: $110,000

Purchased a piece of property in a hot booming oilfield area got it developed for 25 rv spots and am collecting average 13750 a month rent.

What made you interested in investing in this type of deal?

I lived in an RV park for 4 years when i left my home in fort worth, tx to come to Pecos, tx i took a quick liking to the business and decided to open up one for myself.

How did you find this deal and how did you negotiate it?

I checked all the local restaurants and stores to see if there was any local people selling land and i got several good leads. finding the leads i put the best negotiator to negotiate for me ,my dad. my dad always surprises me more and more with his cuting at the waist offers that im embarrassed of but 8 out of 10 times it works and in this case it worked.

How did you finance this deal?

cash money all the way on this one

What was the outcome?

Rain was a huge factor in construction that i dident factor in. WATCH THE WEATHER WHEN INSTALLING SEPTIC SYSTEM DRAINFIELDS!!!!!

Lessons learned? Challenges?

Learned a lot on pricing out materials needed and on having the right machine for the job saves precious time and money. i had a back hoe ditching when i should of had a track hoe excavator, yes its more money but it would of saved lots of time

[Jay Hinrichs]

Quote from @Ben Naught:

Quote from @Jay Hinrichs:

Originally posted by @Jocelyn Hinz:

Congratulations! Would love to hear more about the site development. We’re about to embark on developing a 45 spot RV park but our costs seem much higher than yours. Hopefully we’re overestimating! 

 ya in the real world  if your hiring this out.. you can expect 10 to 20k per space.. to build these.

OP  great job..

 I'm soon to be developing a 200 space RV Park in Eastern Washington and would like to chat about the current development numbers in an area like mine. I'm trying to figure out the numbers on a deal like this. Any help on current development cost or expense ratios that would be wonderful. We would not plan to self manage this so would need to factor all of that in. 

This is going to be a very nice wine themed RV Park over 20 acres. We will build out the first phase of 50 spaces and keep going in 50 space chunks over time. 

Any and all help is appreciated! Thanks 

by wine theme I am assuming Walla Walla or there abouts ?   We sure love those wines though as someone who lived a very good portion of my life in and around the Napa and Sonoma wine country .. we appreciate the quality of the reds coming out of that area.. And to me its just going to keep growing.

Site development cost have risen considerably  Pipe electrical asphalt labor etc etc.  I have not built an Rv park but built plenty of subdivision lots and a lot depends on what you have to do with storm drainage if anything..  but I have to think its going to be 20 to 30k a pad or there abouts all you can really do is get your plans and put them out to bid.