For a number of years RV sales have been red hot. But, at least within 400 miles of where I live I haven't seen a new campground or RV park open in probably 30 years. It seems to me like it could be a very good and secure investment. If they didn't sell another RV for a decade there would still be far more of them out there than full hookups to put them in.

Uh....it's expensive. Land in California? There's this REALLY NICE 98 acre parcel not far from me with it's own pristine lake. The homes around it? $1,000,000 and up. When I saw this parcel, the first thing I thought was "Perfect high end RV resort." But, by the time you did all the infrastructure, permitting, ect., ROI would be decades.

Actually, if you want to make money you should build an RV storage lot. That's where most of those RVs are spending most of their time. Very few full-timers or part-timers relative to the number of RVs. Most are used just a few weeks a year.

Cost of land, environmental regulations, permits, water and sewer lines, electric service, road grading, landscaping, more permits, more regulations. Probably more permits and regulations I haven't thought of. Plus on top of all that you are paying taxes before you even open the park.

It's only a good investment if you can charge enough to people who are camping to cover the costs of running the campground and the capital expenses of building it, amoritized over some reasonable period, and still make a reasonable profit. That's very often an iffy proposition at best in practice between real estate costs, zoning and environmental regulations, payroll, etc. etc.; and frequently there are other businesses or uses for land that offer a better return with less risk for the investors.

All of the above are true. best thing is to find one that is already zoned and doesn't need anything more than some updating. cheaper off the bat and in the long run. you would just need to build the customer base back up, from what a previous owner possibly did...….WOW! this sounds easy, why didn't I think of this before?!!!

Why are people not opening new campgrounds/RV parks?

PawPaw_n_Gram
Explorer
Jun 04, 2020
We are seeing several new 'RV' parks opened each year across north and central Texas - but these are full-time resident parks.

Mostly for working people who have moved to a 5er for full-time living instead of an apartment or mobile home. Not traveling.

Seeing almost no new locations for the traveling RVer.
mdcamping
Explorer
Jun 04, 2020
bikendan wrote:
Tyler0215 wrote:
Cost of land, environmental regulations, permits, water and sewer lines, electric service, road grading, landscaping, more permits, more regulations.
Probably more permits and regulations I haven't thought of. Plus on top of all that you are paying taxes before you even open the park.

THIS!

Sounds like the northeast...

I'm aware of 4 parks that have opened in the last 10 yrs in our area, 2 we have stayed at. I tip my hat to the owners for getting it done.

Mike
pbeverly
Nomad
Jun 04, 2020
We have two newer ones near us. The primary focus for them was for construction workers at a nuclear plant. That project shut down and they are trying to become vacation oriented. When I drive by them them they seem to be busy, so they have succeeded. One is only a couple miles from an interstate so that helps attract over nighters.
bikendan
Explorer
Jun 04, 2020
Tyler0215 wrote:
Cost of land, environmental regulations, permits, water and sewer lines, electric service, road grading, landscaping, more permits, more regulations.
Probably more permits and regulations I haven't thought of. Plus on top of all that you are paying taxes before you even open the park.

THIS!
doxiemom11
Explorer II
Jun 04, 2020
We usually only stay in a Walmart because there are no campgrounds around. This happens more when you do not travel the interstates. In a year, we may stay at a Walmart 5-6 nights out of 365 - we are full-time. Not everyone who parks at a Walmart is too cheap to pay for a campground.
BurbMan
Explorer II
Jun 03, 2020
One of the reasons we moved from a TT to a TC, more flexibility in where we ca,mp
camperfamily
Explorer
Jun 03, 2020
Last new CG I saw open is charging minimum $100/night. Its beautiful, giant sites with generous spacing and great amenities. I bet even at that price it's a tough go.
Wadcutter
Nomad
Jun 03, 2020
Ask yourself that question the next time you stay in a Walmart parking lot, truck stop or Cracker Barrel because you didn't want to pay to stay in a campground.
If you don't support the campgrounds that are there then don't expect people to invest their money developing property that people don't help support.
wapiticountry
Explorer
Jun 03, 2020
On top of the large costs and permitting issues, you also have to build the business and that takes time and money. Unless the park is part of KOA there is no nationwide reservation system like hotels have. Since RV parks have a wide range of quality, many people rely on reviews to make their choices and a newly built park will not have any. It will likely take years before a park has enough exposure to be known to most RVers.
Finally, another variable has now entered into the equation. Any potential investor has to worry about whether or not the next round of viruses will close them down for months at a time. I believe if building a park was a highway to huge profits it would be a well traveled road, which it obviously isn't.
ferndaleflyer
Explorer III
Jun 03, 2020
Depends on where you are---I have seen several put in near the fracking fields in Ohio, Western PA, and WV. Very little regulation, surface ground cheap, and they stay full of oil field workers in RVs of all sorts.