Building an RV park for overnighters?

Agricultural land is taxed at a different rate than commercial land (in most areas) so you'd want to find out the added cost in taxes if the land is converted from hay.

I would be all for it, but I first would check on how the county would tax me

secondly I would check to see what the income would do to my income tax situation.

third, I would check on what kind of liability I would take on.

jack L

A lot of time we spend an overnight in a seasonal park going to and from a destination. We pay for things we normally don't need, but it's the best solution (other than a Walmart) in the area.

I stayed 2 nights at Carolina Crossroads in Roanoke NC and watched the comings and goings. This place is primarily an overnight stop for snowbirders escaping in cold weather. It's just enough south to let you de-winterize. They had a row right by the entrance that was electricity and water and late arrivals. Every night the row filled up and by 10 am the next day it was empty.

They had a pool, a jacuzzi and a pool table in a open-air building but for the most part it was people just coming and going. There is a Walmart 1 exit north off I-95 that allowed overnight parking, but Crossroads' overnight spots were always full.

If the BIL's land is far enough south, there is a market. It would be better if it was on a popular N-S interstate just below the freeze line.

My first reaction is all the governmental restrictions and regulations that WRVPO mentioned above.

Perhaps the land with no amenities provided be offered for overnight RV parking for free with donations accepted? Not sure f that would get you out of all regulations but perhaps a majority of them?

jkwilson wrote:
Was talking to my brother-in-law over the weekend and he asked me about ideas for a piece of investment real estate he owns. 120 acres with a 10 year option to purchase more in the future. Location is three miles off a major EW Interstate and about 9 miles from its junction with a major NS Interstate. Property is on a state highway that connects a rapidly growing mid-size city (with a major university) with a town that is becoming a major bedroom community for the bigger city.

Hopes are that about 20 years out, this property will be in high demand for commercial or residential development. It is fairly flat and is currently in hay production.

I mentioned that a no-frills RV park intended for overnighting or people visiting family might be a way to increase the income from the land without extensive investments. Gravel pull-throughs with electrical service and water. Dump station would probably be a cheap perk to offer. Could start small and add sites as wanted or needed without requiring a massive investment up front.

The exit off the interstate has a few fueling places including a truck stop/travel center.

Is it foolish to consider? Advice?

At what price would you offer the sites? Who is your competition? If the competition is parking for free at Walmart or the truck stop, how do you intend to beat free? How are you going to attract people to go three to nine miles off the interstate? How much is it going to cost to man the operation? Will your state's licensing requirements allow a simple dump station? Is the water and sewer a municipal supply or will you have to have a well and sewage treatment system? If it is a well, you will have certain requirements to meet since you will become a public water facility. Most states don't care your personal well water has too much lead, arsenic, biologicals etc, but they do care if you are supplying that water to others.
Ultimately, it will come down to costs versus income. Will the rate of the return be good enough to justify the costs of building and running the park. The most important thing I can tell you is if you build 25 sites don't base your income off of 25 guests per night, because that isn't likely to happen. Most businesses fail because the business owner is way too optimistic on revenues and way to low on their estimated expenses.

Here is a recent thread https://www.rv.net/forum/index.cfm/fuseaction/thread/tid/29458114.cfm and there has been more.

The way to make a small fortune in RV Parks is to start with a large fortune.

I wish there were more easy access overnight parks like the RV Express 66 in Marshfield, Missouri. I stayed there a year ago. It was great. Check out their website: RV Express 66

It was everything I needed in an overnight stay: easy access, close to food and gas, and secure.

Wild guess that it’s a good business investment or careful study? City or county government on board? Zoning ok? Water, sanitation and power companies okayed? Architect experienced in RV parks found? Asked the neighbors?