All Forum Posts by: Don Spafford

It sounds like they didn't sign a lease yet. So then, it is on them for wasting your time. If another more qualified applicant comes, then you can go with the most qualified. You offered them the lease and they refused to sign it. I don't think you have any problem with that.

Welcome to BP! I live in Idaho but I grew up in Nebraska. This is a great place to learn and network. Make use of the forums and listen to the podcasts and webinars. I started with BP 6 years ago and because of what I learned and who I met it made a huge difference in my life. I replaced my income with passive income and now I am a full time investor/syndicator with RV Resorts and build to rent multifamily.

Quote from @Lee Gilroy:

I would love to see some of your projects. Let me know where I can get more info

Thank you

 beyondercamp.com  We provide campground management services (in case you need help with that) but if you click on the "Get Involved>Invest with Us" tab it takes you to the investment portal. Happy to schedule a zoom call anytime.

Quote from @Lee Gilroy:

Quote from @Don Spafford:

Congratulations!
Looks like a great property. The map appears to have more than 52 sites as your post mentions. It's great to see other people buying campgrounds. It is a great niche

Thank you Don! we're looking forward to getting the upgrades and get more people to discover our riverfront resort.
Do you also own a campground ?

Yes, 6 of them so far, we plan to buy many more all across the US. My team and I buy them through syndications with our investors. We have plans to start developing some new ones as well.

Congratulations!
Looks like a great property. The map appears to have more than 52 sites as your post mentions. It's great to see other people buying campgrounds. It is a great niche

@Brian Piechocki Thank you, not it is not. This is our sixth acquisition. We plan to purchase many more and start building some new as well.

Investment Info:

Other commercial investment investment.

Purchase price: $2,975,000
Cash invested: $90,000

RV Campground Resort outside of Huntsville, AL. Beyonder Getaway Wheeler Lake. Purchased through a syndication with Beyonder Holdings. Sourced off-market. Included in a fund which holds several properties so investing in the fund therefore invests in all of them together. Tons of fun amenities including water sports, ropes courses, beach activities, etc. Huge expansion plans to add on 200+ additional RV sites, large boat marina, and more amenities.

What made you interested in investing in this type of deal?

Excellent cash flows (12-15% cash on cash average) and potential for huge depreciation and an investment I can visit and enjoy.

How did you find this deal and how did you negotiate it?

Off market, sourced by calling up the campground and talking with the previous owners

How did you finance this deal?

Syndication. Used bank financing for 75% LTV and sourced investor equity for the rest.

How did you add value to the deal?

We will be expanding the property, likely quadrupling the size of the available RV sites, adding more cabins and glamping options, adding a marina, adding an aquapark, bringing in food options for guests, better marketing, etc.

What was the outcome?

This will be an excellent cash flow and huge value add investment. Occupancy levels are already double what standard occupancy is for this asset class.

Lessons learned? Challenges?

Had some issues when the previous owners were leaving, causing some of the key staff to leave before we took over and also leaving many of the supplies to be an out before closing. Implementing policies so that this does not happen again.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Lenders, worked with Mordy Jurkowitz. We've used him on several deals.

Congrats, I am familiar with those units.

@Jim Harper Which ones have you talked with and what about them is unsatisfying to you? There are several who offer lower down payment options for investment properties if that is what you are looking for.

You can ask them to shop around or prepare info for them to show what similar properties are renting for and then ask them what they think would be a fair rent given the market conditions. Personally I'd be fine having them a little under market to keep them there to not have the need for turnover costs since you will probably need to replace flooring and other repairs to truly get market rents, or above. So if market is $700 for them to go elsewhere, maybe offer them $650-675 as an incentive to stay there with the expectation that rent will likely increase 3-5% per year depending on the market.