Seasonal RV Park Opportunity

[Corey Rieman]

Let me preface this with an apology if this is in the wrong forum, but this is the closest I found to be relevant. I have an opportunity to purchase a 55 site RV park that includes a 3/2 SFH where the current owners live. Each site generates $1,100.00 per year. In addition to the lot income, each site has its own electric meter which generated nearly $8,000.00 in net income this season. The sites are occupied from April through October; which is when the water will be shut off. These sites are rented for the season and have many long-term customers (20+ years). I've been managing State Parks for 15 years and there is very little in terms of maintenance since all the structures (some decks and open air pole structures over the campers) are the responsibility of the site occupant. The owner will sell nearly all the supplies with the property, including a tractor and whole-house generator for the SFH. The owner's son works for me in another capacity and has performed all the maintenance on the property for years. My thoughts are to allow him to live in the home at no cost (less utilities) if he continues to provide maintenance and be on call to address any problems that may arise. He would love to remain there and I feel it's best for both parties. I feel I can buy the property for 450k. At that cost, the cap rate would be 9.74% and COC is 13.54%. The property would cash flow at $1,072.00 per month. The water is on a well and the waste is gravity fed to a large bank of septic tanks that are periodically pumped. Aside from fresh gravel, trash removal, and tank pumping, there's almost no overhead for this property. Has anyone ever purchased a property like this? Am I missing something? Seems like a pretty good deal to me.