Looking to start your own RV business? Well, the first thing that comes to your mind is how much the total cost to build an RV park is. In case you like to go from this typical city life in exchange for something natural and pleasant, you would like to live the life of campers, having unrestricted outdoor life. Then, having your very own RV park business is the right step. Here, in this article, we will go through the expenses to build an RV park along with other factors. So, without any further ado, let us hop into the details.
How much does it cost to build an RV park?
Estimated Breakdown
The estimation depends on the starting point
Land Purchase
The expense of land depends on the acre. Starting price is around 1k dollars to around 100k dollars per acre. Further, it depends on the location and number of acres. In case the land has unusable land, then the price may be around 1k dollars, but it has mostly usability, it can be a minimum of 10k dollars to around 100k dollars.
Purchasing Existing Campsite
You can make your campsite but purchasing an existing one is the best thing to do. The price ranges from around 100k dollars to around a whooping 2 million.
Related: Find Free RV Camping with Hookups
Permitting and Licensing
There are various taxes, certifications, and licensing you to have to do before getting your RV park. The fees depend on the locations and size of the operation.
Designing RV Park
Designing is somewhat a difficult process because you have roads, site location, and amenities. There are also other things included like the boat ramp, bridges, dog walk area, rec room, playgrounds, and much more. The expenses are taken as;
- Creating roads and clearing land.
- Installing a septic system and electric or plumbing system
- Building rec buildings, bathhouses, pool installation, bathrooms, fencing, and creation of other amenities.
Other Expenses
As we already mentioned, the expenses depend on your startup business. But other expenses include;
- Utilities
- Cleaning and maintenance of the septic tank
- Cleaning supplies
- Garbage disposal
- Payroll
- Inventory
- Renewal of permits and licenses
- Camp vehicle maintenance
- Road Gravel
- Camp Vehicle gas
- Paved roads patch materials
- Entertainment costs
Total Cost
Looking for the exact amount How much does it cost to build an RV park? Well, it becomes hard to tell the total required to make your very own RV Park but if you want an average, the consensus tells that the cost might be around 15k dollars to around 50k dollars per site to make it functional. With each campsite, the cost can be multiplied.
5 Things to Know About the Cost to Build an RV Park
Here are five things that you should know before getting your very own RV place;
Area
On a three-acre site, you can effortlessly fit around 24 sites, but with a much smaller one, the site number can be reduced to 5 or 10. It also depends on the shape of an area like a square or rectangle, which can fit more sites.
Cheaper than getting a Park
With each thing being in mind, the cost increases like the septic tanks, electric pedestals, and much more. It will take around 1.2 million dollars to around 2 million dollars investment. In comparison to that, the site price is around 15k dollars per month on full hookups to 1.5k dollars per site.
Environmental Concerns
When you are thinking about RV, your outdoor ambiance must be developed. How you can make a play yard without actually cutting down the trees and using them to your advantage.
In case you are looking to make something unique for the people, you must figure out the landscaping because camping is the experience of outside and nature combined, so it wouldn’t be fun if your RV place comes without a natural place.
Vision
Before you go and make the field plain, there must be a vision of what the actual campground will be like. Included in these things are mostly the bathrooms, roads, drives, back-ins, and even the pull-through.
This is a major step if you have a property that needs major corrections and in case you already have a vision, it can make the purchasing step a bit hard. So, you should start the first step with a blank slate without any major lifting or transformation.
More Options
It takes around six to three months for you to open your RV place because of the permits, approvals, and other stuff. But, the main point of having your stuff is that you can exactly make everything according to plans or what the audience requires like natural beauty, level campsites, spacious, and others.
So, it does take more time to get your land and make everything from scratch, but the profit and output you get are more.
FAQ’s
How much should you charge visitors to your RV park?
The amenities decide the price per night for your RV park, besides this the site location, campground location, and site type also decide your charges. But everyone wants to know the average price or rough estimation, which is around 10 dollars to around 100 dollars each night. If your place has water, WIFI, and electric hookups, the cost might be more than the usual sites.
Same as that, if your site has a playground, rec room, pool, and more, the price may also increase. Plus, the cost of maintenance will also be more because of these amenities.
What should be your Profit?
Same as the charges, the profit you make depends on many factors like the site, rent of cabins, expenses for business, and also other liabilities. If you have a site that is small in size but has more liabilities like the cost of land, then it will give you less profit in comparison to the site that has fewer liabilities.
If you like to keep the costs down a bit you need to make a plan for monthly overhead like the payments for mortgage, costs of employees, permitting, licensing, and also utilities. For the items that are not monthly paid, you need to divide yearly payments by 12 which will give you monthly costs. If that is in your hand, it will become easy to charge people per night.
Conclusion
RV parks surely give you profit because they usually give you around ten percent to around 20 percent on the money you invested. But people usually ask, how much does it cost to build an RV park? Various factors decide the price for it, but a rough estimation is also present. Therefore, we compiled this article to help you with these factors, as well as give you an average price.
