The asset itself doesn’t really change much year to year.Campgrounds feel almost inverted.A lot of the risk is front-loaded and structural: zoning, environmental constraints, infrastructure costs, layout decisions, access, utilities, and seasonality.

Hey Chris,If you are looking to invest in the Phoenix area, I would strongly recommend utilizing information from the Cromford Report.

Terrell raw land on the 80 corridor has been trading anywhere from $35k-80k per acre depending on how close you are to utilities and zoning.

She pays $635 a month (utilities seperate) and the assessors' comps for the area show that market rent is ~$1,200.

.: What guest communication platform do you utilize?

Things like mortgage interest, property taxes, insurance, repairs and maintenance, management fees, utilities (if you cover them), and even depreciation can all reduce your taxable rental income.

Great job negotiating that price down, the garage conversion is likely the exact reason this has sat for a year.In many markets,(not mine) you actually lose value with a conversion because you've traded high-utility space (parking/storage) for low-quality living space that often feels like an afterthought.

It may not matter in a hot market, but in a softer one, it often becomes leverage for the next buyer, and it’s something you’ll likely need to disclose.For underwriting, I usually base value on the assessor's living area and treat any questionable space as bonus utility.

And utilize DSCR mortgage financing. 

Great topic — ground-up projects can produce strong margins, but execution risk is where many investors get caught off guard.From the builder/developer side, the biggest challenges we consistently see are:1️⃣ Site Work UnknownsFill, compaction, drainage, and soil conditions can shift budgets quickly — especially in markets where lot conditions vary significantly.2️⃣ Utilities & Impact FeesWater/sewer access, well/septic requirements, and local impact fees are often underestimated during underwriting.3️⃣ Environmental FactorsProtected species, wetlands, and flood elevation requirements can affect both timelines and build costs.4️⃣ Permit TimelinesApproval periods — particularly when civil or environmental reviews are involved — can extend holding costs beyond initial projections.5️⃣ Builder Execution CapacityProject success often comes down to the operator’s systems, trade relationships, and cycle times — not just the numbers on paper.Because of these hurdles, we’re seeing more investors lean toward ready-to-build projects — where feasibility, plans, and permitting are already in progress or completed — as a way to reduce entitlement risk and shorten timelines.Ground-up can be extremely rewarding, but the upfront diligence and execution planning are what ultimately determine outcomes.Always happy to compare notes with other investors and builders working through similar projects.