By Andy Zipser
We’ve thrown in the towel.
Eight years and three-and-a-half months after taking possession of Walnut Hills Campground (in Staunton, Virginia), we’ve passed the baton to new owners — only the fifth in the campground’s 52-year history. That might seem like we lacked stick-to-it-iveness, but campground owners are like dogs, in a temporal sense. Each year spent catering to the RV crowd is equivalent to eight or nine years of a normal human’s. That’s an awful lot of living crammed into a short spell, and it’s exhausting. Small wonder that the average tenure for campground owners is only seven years before they decide to tackle something a little less strenuous, like sheep-herding or brick-laying.
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Change happens
Short though our ownership might have been, it was, however, long enough to witness a sea-change in the business and in the industry overall. It’s all busier, bigger and more demanding than it was a mere eight years ago, from the amount and size of the traffic rolling onto the grounds, to the out-sized expectations of many campers for all the comforts they left at home, to the fraying of whatever “community” they may once have enjoyed.
The campground biz, as long-time campers already know, is becoming increasingly commodified: more corporate, more Disney-fied, less attuned to the very things that once separated camping from other forms of transient lodging. What is “glamping” if not a campground form of gentrification? What are the proliferating rows of “cabins”— really just downsized cottages — if not a suburbanized version of a Motel 6, one long building chopped up into individual units, at some campgrounds with just an alleyway between them? Slap on some faux logs and stick a fire ring out front and voila! It’s back to nature.
“Shenandoah Acres, a 522-site campground within spitting distance of Walnut Hills, sold last year to a holding company for $3 million—which then turned around and sold it this past February (that’s right—less than a year later) for $17 million.”
Does that sound bitter? It’s only meant to be descriptive, as seen from the vantage point of a campground owner who’s been watching these trends unfold for almost a decade. The truth is that the world of private campgrounds is rapidly following — no, charging — down the path already forged by the larger lodging industry. Thanks in no small part to the COVID-19 pandemic, but preceding it as well, the campground sector has become a hot investment sector and the big boys are charging in. If you’re a campground owner, this has become a golden moment to sell — and selling they are.
More local campgrounds have recently been sold
Shenandoah Acres, a 522-site campground within spitting distance of Walnut Hills, sold last year to a holding company for $3 million — which then turned around and sold it this past February (that’s right — less than a year later) for $17 million. The buyer is Sun RV Resorts, which already owns several hundred properties in the U.S. and Canada.
Small Country Campground, a 150-acre property about a 40-minute drive from us in Louisa, sold 18 months ago for approximately $4 million. The sellers, Bill and Ruth Small, built the campground from scratch starting 45 years ago. Our campground, a bit smaller at 43 acres and only 150 sites, nevertheless went for $3.1 million. That’s not $3.1 million going into our pockets, of course — there are mortgages and loans to pay off, not to mention a hefty tax bite — but there will be enough to see us through a modest retirement.
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So it’s carrot-and-stick. On the one hand, campground prices are attractive enough to tempt those of us who wearied of the long hours and crushing workload. On the other hand, the fun that made all that stress tolerable has been slipping away with each passing year, done in by the commodification mentioned above. One of the traditional selling points for prospective campground buyers has always been “the lifestyle” — work outdoors, no commute, enjoy the kinds of amenities unavailable to most people most of the time — but that increasingly is becoming a myth. In eight years, I doubt I had the opportunity to get into our swimming pool more than a handful of times.
Campsite costs going up
The thing is, as the few selling prices I’ve just listed will suggest, this also is becoming a business increasingly out of reach for the average mom-and-pop operator. There’s still room on the bottom rung for couples or families who can survive with a campground of 40 or 50 sites, but once you start looking at the mid-size universe of, say, 50 to 150 sites, the selling price becomes unattainable for most people. That’s where the corporate interests come in, with their deeper pockets and their capacity for at least some economies of scale — and as campers and employees soon discover, there is a world of difference between a family-owned operation and a corporate one.
Our buyers were Land Lease America (LLA), a relatively young company run by a couple of relatively young guys who are smart, personable and ambitious. When we started discussing our possible sale, LLA managed a handful of campgrounds — all KOAs — that they didn’t own, and also owned three campgrounds outright. By the time we reached closing, May 17, they had already doubled their ownership portfolio and were talking about acquiring as many as 10 campgrounds in 2021 alone. Their impact on Walnut Hills is already being felt, sometimes shockingly so.
Demand pricing at an RV park — just like airlines and hotels
For campers, for example, there’s the adoption of demand pricing, which many readers of this site have misunderstood. Demand pricing is not having one set of rates for in-season and one for off-season, or one set of rates for weekdays and one for weekends. Demand pricing is, first and foremost, dynamic: The cost of the same site for the same date will change from day to day, depending on when you make your reservation and how many similar sites are being sought by other campers at the same time. It’s what airlines do, and it’s why you will no longer be able to get a set answer to the question, “What does a water and electric back-in site at your campground cost?”
That means there are no rate sheets (ever try to get one of those from Delta?). It also means that if you stay on a site Tuesday and Wednesday and then swing by the office to see about extending by a day, you may end up paying a different rate — even though Thursday, under more traditional pricing schemes, was just another weeknight.
Employees are also affected
Employees are just as liable to get buffeted by corporate practices, such as the sudden switch from a weekly payroll to a bi-weekly one — with a week’s delay in getting paid because paychecks are being processed at a distant corporate center. That meant that the employees we last paid on May 16, for the workweek ending May 15, are getting their very next paychecks this weekend. That’s a three-week hiatus that people getting paid at or minimally above minimum wage can have a difficult time weathering.
More changes, for campers and employees alike, are sure to follow. Some may be for the better, especially if some of those corporate dollars are reinvested in the property or in higher wages. I suspect, however, that the overall trend will continue in the direction already set: Camping will be ever more crowded, more expensive, and more insulated from the outdoors it ostensibly exists to embrace. We feel lucky to have gotten a taste of the good old days, feel bad that we’ve contributed our small share to this slippery slope — and feel fortunate to have the opportunity to move on to new ventures.
Thanks to all who camped with us in the past, and safe travels, everyone!
Related:
RV park owner Andy Zipser: My park’s open, but campers are angry!
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Quote from Above:
“The sellers, Bill and Ruth Small built the campground from scratch starting 45 years ago. Our campground, a bit smaller at 43 acres and only 150 sites, nevertheless went for $3.1 million. That’s not $3.1 million going into our pockets, of course — there are mortgages and loans to pay off, not to mention a hefty tax bite”
This raises this question:
How in the Hell do you own a piece of property/business for 45 years and still have a mortgage and loans of any type on the property/business?
Sounds like Bill and Ruth were not the best business owner’s/managers IF they were still borrowing money to run their business 45 years later!!!
I just wish the big companies that buy out campgrounds would take time to evaluate what they purchased. We were bought out by Sun, they plan on revamping a successful Profitable family campground as it currently stands, and templating it to standardize, yet in our case we are not the standardizable? campground, yes the previous owner Grandson of the builder changed it to resort for marketing but its far from it, true since sun bought everything around us, they can force the changes, but I like many prefer customer loyalty, but we know corporate does not see that, they just see Gree(n)d. I will sum it up, Car sales up north can offer a snowplow to push the sale, where someone in the south really does not need the plow.. Campgrounds are very similar, Beach, Mountains, Large Local attractions, secluded..
I boondock. Not in the desert or scenic woods, I urban boondock. I use my truck camper mainly for my work. It is volunteer work, no paycheck. My M.O. is I drive all day and most of the night then go to bed.
Even if I was rich I don’t want to drive any more than I have to at midnight to bed down. I have many prospects where I can boondock and generally have had no issue finding a spot right off the Fwy…except when I work in NYC. That is the only time I use a campground.
I stay at Jersey City and take PATH into the city. It is $120 a night. If I am lucky I can park in their dirt parking lot with no hookups for $85 a night. So I’m not your run of the mill RV’er.
Even boondocking is very expensive nowadays. All volunteer + no income + not rich = bad formula. On a recent 3,000 mile trip in mid America it cost $787+ just for gas. Everything was boondocked so no other cost other than depreciation. And that is big cost…I couldn’t afford my 13 yo rig if I needed to buy it again.
Wow! After reading all these comments and opinions I think everyone should mind their own business and do what they want and not tell others what to do. Sounds like the politics have invaded RVing. If you want to sleep on the ground or sleep in a million dollar motorhome that is a persons choice and should be nobody else’s business.
We called for a reservation at a fairgrounds.
They asked the age of our Motorhome? I said it was a 1999 Rexhall, in good repair just like new.
They said we don’t allow RV’s that old you will have to send us a picture.
Well we were let in and they commented on how nice we looked..
You can’t rate on age it’s self?
The Manoff’s
Hmmm, so the author bought a business. Then he found out when you own a business it usually entails having a “crushing workload” plus dealing with unreasonable people. Also, most business owners usually work 60-80 hour weeks, nothing new with this, it comes with the territory of being a business owner. Then after only 8 years of hard work (most business owners work 30-40 years at their businesses), the author sold his KOA to a big corporation and now has enough money to see him through a “modest retirement.” You would think he would be celebrating.
Reading comments & find myself getting depressed by it all. Why some of the commenters are on this site is puzzling. It is “RV” Travel as in recreational “vehicle”. Sorry, didn’t grow up in a family that camped. Dad was self employed as a tailor, 5 1/2 days a week. Took 2 wks in summer to visit our relatives 1500 miles away. Went by car as time was of the essence. Tried tent camping once at 20. Liked nature, not the camping. Rented an RV w/first husband in 80’s for 6 wks w/18 mo old son. Loved it. 2nd husband & I have been RVing since we met in 96. 300k miles. Can live in my own “home” while seeing this beautiful country, going on hikes, sampling different cultures, food, etc. Travel 3/4 months out of the year. Most CG’s we’ve stayed at run by families or very friendly “company” workers. Haven’t had negative experiences described by many here. Just got home. Wish we were back on the road. Not going to apologize for enjoying how we choose to travel.
So sorry! In all my camping trips I have only spoken to the owners or attendants, while checking in and checking out! I liked my tent and now my camper to be a little “glampy” but that had nothing to do with the attendants. If I don’t like the amendments I choose a different place. Of course electricity, water and a view are what I prefer, so if I can’t blow up my float or wash atleast my face I would find someone. But for the most part I don’t want to talk to anyone. Just friends, fun, food and a few cocktails.
Sounds like state parks, COE RV parks and BLM land is the best place to camp !
We live in Texas and try to go to a cooler climate for the summer months. Husband ( after chemo and radiation for colon cancer) cannot tolerate heat and hates having to stay in the house, therefore spent a lot of years in Colorado, Northern California two summers (last summer,the fires forced us out) and one summer in Alaska. Will hopefully make it back to Alaska for another summer.
A Sad state of affairs. We have owned three separate small pull trailers, with accommodations for 4-6 people, plus a pickup in which three of us could pack into , and a 5 bed motor home, all in the past 50 years. They allowed us to travel coast to coast, plus 7 years in the British Islands. Why? Much less expensive over-nighting, and getting closer to nature than moteling. We enjoyed the sites, especially those with plenty of trees, and swimming. Even rivers running thru them, we could pop the canoe in for a nice trip floating along. I guess we saw this coming, 10 or so years ago. Got rid of the camper, and the few trips we took, just cruised along looking for low to mid-priced motels. Even our one small camp-site here in the county has turned away from tourism, and its all up-grades for permanent, to semi-permanent sites now. Half million dollar “campers”. Sigh.
Ever hear of a tent? Sheesh. Bigger and uglier as usual….people seem to have lost their appreciation for the simple things, like sleeping under the stars.
Unfortunately with so many newbi’s entering the “camping” market, most haven’t a clue on campground etiquette plus they are dragging around huge RV’s that they do not know how to drive.
I’m sure you were an expert when you got started.
Yeah. Kind of. It just took some common sense. Don’t walk through a camp site you didn’t pay for; be quiet, especially after hours; pick up our trash; leave the dog at home etc etc. You know, the simple, logical, and reasonable stuff.
BLM is Bureau of Land Management
Soon they will only be gated playgrounds of the rich and infamous!
Well written.
I believe the same shift from small business to corporate overseers will create a change in the boots-on-the-ground staff. The change in staffing will jack up rates, pushing more campers out of the picture.
Social media sites for work campers frequently focus on how to calculate a fair work camper pay. Many posters believe their compensation for living the dream life should be calculated on the same basis as the smothering corporate life they left. (Likely the same kids who got a trophy for sitting on the bench).
While these privileged workers demand more, volunteers are becoming more and more disillusioned and many will be leaving. Just this year, three couples with whom we spoke said that they would not be returning as volunteers and the reasons sound familiar.
So be it. My calculations show that with higher campground prices, RV payments, insurance, gas, etc. I can finally build my little cabin in the woods.
Methinks Andy will have a lot of followers.
We just started fulltiming in what I call our ‘bigazz’ 37′ fifth wheel and bigazz diesel truck. We only did this because here in SoCal, it was time to sell our bigazz house because the value finally increased beyond the original price we paid in 2006. Plus, we’re retiring and have some health issues to deal with. The size of the unit is also to accommodate three spoiled felines. Because prices are so high here, we choose not to buy a smaller place as of yet. This ‘bigazz’ unit is what we would call ‘transitional housing’.
We are under no illusions that what we are doing is actual ‘camping’. That said, we are currently in a beautiful campground here until October. There are many other fulltimers here. When health allows, we will try to travel again.
When looking for longterm spaces here in SoCal, we ran across a ‘new’ (refurbished) SunRV Resort that charges $3500/month for a basic parking lot space with some trees. Close to the ocean, but really? Someone mentioned ‘gentrification’ and that is absolutely correct.
Very sympathetic with the author of this article for selling his park given the inflated prices. That’s exactly what hubby and I did that enables us to also enjoy a ‘moderate’ retirement.
I’m in agreement with those that advocate leaving traditional campgrounds for vans, tents and very small rvs. Forget the glamping cabins and large spaces. If we were simply going camping and able to leave the felines at a house, I’d definitely go for a van. It’s too crowded out there otherwise, and vans allow for stealth overnight stays if needed.
Good choice. I see some of these huge campers and they are a huge waste of gas to lug around. If you are going to stay in the same camp ground and stay there every year for the summer I can see it but you see these huge campers in state parks and most of these parks were made in the 1930’s and were never for huge 30 ft campers. Some of these campers are as big as a 18 wheel truck. Q
Why are you even mentioning Small Country Campground? Bill Small stopped doing maintenance the last few years. He sold to a multi-generational family, not a corporation. That family was hard at work catching up on all of the deferred maintenance when we stayed there last year. They are exactly the kind of new owners we need.
In 2018 I had such a horrible experience with RIvers at several USForrest Service campgrounds in Colorado that I wrote to them and suggested that they differentiate themselves from the rest of the glamp sellers by making their facilities off limits to. RVs and trailers limit to tents and vans. For the huge market that still wants that real nature experience. Also replace contracted management with rangers again who can teach those eager campers about earth stewardship. Until our government takes a stance people will just use camping as an avenue to destroy nature as usual.
so as long as you are comfortable nobody else matters? You are better than other people since they do not do things your way. Let me explain to you that it is not the type of camping or the rig or anything related. It is the people. I have camped in every situation you can think of including a top notch RV. Nothing wrong with any of them as long as people appreciate and act as they should. The problem is entitlement and laziness.
We had a great experience at astute campground in Colorado. They had actual State Rangers who helped us find a space after we found the one we selected wasn’t big enough. He couldn’t have been more helpful.
Looks like I’ll be doing a lot more boondocking in the future….
In Colorado you need a gun and dog to protect yourself from other boondockers. Its the wild west the law wont help and its so crowded theyre burning down the state. Boondockers need to go further north to have the real experience