I own a 20-acre campground with 13 log cabins, 10 RV spaces, 2 bell tents, primitive campsites, and a store. We have discussed selling the individual cabins and managing the rentals. They could not live in the cabin but can stay long-term from November through February to appeal to winter Texans, and that is when we are slower. There would be a fee for the rentals, an HOA, and a land lease agreement. Has anyone done this before? Does it create less work for the owner of the campground? Any thoughts or opinions on doing something like this?
Property Manager · Frisco, TX · Member since 2014 · 24 posts · 20 votes
2y
Have you considered combining "glamping" with cabin rentals for short-term rentals? About four years ago, I transitioned all my long-term rentals to short-term and vacation rentals, and it has proven to be the best investment decision I've made. Now, it's my sole focus. If you're interested in discussing this further, I’d love to chat!
Residential Real Estate Broker · Paia, HI · Member since 2016 · 479 posts · 311 votes
2y
Sounds like a great idea to me. I have condominiumized property in Hawaii and made great money doing it, but it was more of a flipping strategy.
You need to find an attorney to draft the condo docs, but of course you have to check zoning requirements to make sure the cpr as you envision is even possible.
I love this model as an operator, but for what it’s worth, we’ve looked into purchasing campgrounds with this setup before and it gets very messy very quickly. You’ll have a few holdouts who don’t want you to sell and make things difficult. If you never intend on selling, no problem, but if you do my recommendation is to have your exit option very clearly laid out and a good lawyer to draft it up. If the only option for a potential buyer is to continue operating as is, that’s going to really limit your options.
Property Manager · Frisco, TX · Member since 2014 · 24 posts · 20 votes
2y
Have you considered combining "glamping" with cabin rentals for short-term rentals? About four years ago, I transitioned all my long-term rentals to short-term and vacation rentals, and it has proven to be the best investment decision I've made. Now, it's my sole focus. If you're interested in discussing this further, I’d love to chat!
We have two glamping bell tents and two tipis before that. They do generate a profit, but with the heat here, we end up having to block them out from June through August.
Property Manager · Frisco, TX · Member since 2014 · 24 posts · 20 votes
2y
I wouldn’t recommend blocking out dates unless you or your family plan to use them. Instead, consider lowering your prices or running promotions, especially with local businesses. For example, you could offer a special deal like, “Stay two nights in August and receive a s'mores package or tickets to a local restaurant or waterpark.”
You might also think about donating a week to a previous guest or a family in need. Your business should focus on giving back. When you prioritize your guests and pay it forward, you’ll often be rewarded in unexpected ways. It might not always be financial, but a heartfelt "thank you" from someone less fortunate can be incredibly meaningful.
Remember, something is always better than nothing, and this is a wonderful opportunity to give back to the community!