We understand that the RV park industry in Central Texas has experienced significant growth and changes in recent years. As your trusted partners in the real estate market, we want to ensure you are up to speed on the current market statistics that may impact your business.
Market Statistics:
Abundance of RV Parks:
There are currently 352 RV parks within a 50-mile radius of Austin, showcasing the robust demand for recreational vehicle accommodations in our region. Recent Developments: Notably, 26% of these parks have been built after 2017. This surge in new park developments equates to a 28% increase in the total number of rentable RV spaces in the area.
Average RV Spaces:
For the entire region, the average number of RV spaces per park is 49. However, for parks built since 2017, the average rises to 88. This suggests that newer parks are, on average, 80% larger than those historically established.
Impact on the Market:
These statistics indicate a softening effect on occupancy rates and rental rates across RV parks in Texas. On average, we've tracked a nearly 10% decline in occupancy rates, reflecting the heightened competition in the market.
Rising Costs:
Additionally, we've observed substantial increases in operating costs for RV park owners, including taxes, insurance, and labor expenses. In some cases, we've witnessed tax and insurance costs soaring by 50-500% in a single year, placing greater strain on your bottom line.
Implications for Owners:
The influx of new RV parks and rising costs means that owners must adapt to heightened competition and financial challenges. To stay ahead in this dynamic market, owners must explore aggressive marketing strategies and focus on optimizing occupancy rates. As costs continue to rise, these efforts will become increasingly crucial.
About Us:
We would like to introduce Landan Dory, who leads the RV Park brokerage and Advisory division of Partners. Partners is the largest privately owned real estate firm in Texas, with offices in Dallas, San Antonio, Austin, and Houston. Our commitment is to assist our clients in making informed decisions regarding their real estate investments. We are dedicated to providing you with the latest data, trends, and market conditions to help you navigate this evolving landscape.
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