Interesting but I can't imagine FW is losing money at those rates.
There is a good chance that this property is one of the most profitable RV resorts in N.A. To a global corporate titan,like Disney, that is may not be a particularly relevant metric. The issue is "lost opportunity cost". As in, if this property was bulldozed, what could this patch of dirt be doing for the bottom line?
No different than being the landlord of a small, paid off, multi-unit apartment rental. It's zoned commercial and located on the main street of a small town. Not a particularly desirable building, and your tenants aren't cream of the crop either, since better tenants want nicer places to live. It's putting a grand or two in your pocket on a good month. Sadly, When a sewer pipe breaks, or the roof is shot, it many be costing you money for a while. You had a vulture investor offer you $250K in cash for it the other day.
OTOH, if you borrow $300K from your bank, demo the old apartment building, and put a new car wash up, you are in a whole other game. Your monthly take doubled, the place is new and reasonably trouble free, and it's worth $850K as a profitable business. By keeping the apartments, you are missing the opportunity to double your income, and/or sell it as a highly profitable car wash and put an additional $350K in your pocket.
Doesn't matter if you are playing with a few hundred thousand, or are the biggest mega-corp in the business, the concept is the same. As a decades long guest, I'm pretty safe in guessing that Fort Wilderness is not the "highest and best use" of their prime waterfront.
