🏕️ RV PARK DEAL BREAKDOWN — REAL NUMBERS Actual numbers. No fluff. No pro forma.

What is a Cap Rate? A cap rate tells you what return you're getting on a property based on its actual income. A 10% cap rate means: take the NOI, multiply by 10 — that's your offer price.

What is NOI? Net Operating Income. Revenue minus expenses. The number that actually matters.

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📅 2021

Gross Revenue | Actual Expenses | Actual NOI $144,392......... | $55,513.............. | $88,879

Expense Ratio: 38.4% Offer @ 10% Cap (Actual): $888,790 Offer @ 10% Cap (Pro Forma 35%): $938,550 Gap: $49,760

✅ What Does This Mean? This was the healthiest year. Expenses were close to the 35% benchmark investors like to see — only slightly over. The park was running pretty clean. This is the number the seller will probably try to point back to. At a 10% cap, the real numbers support an offer around $889K.

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📅 2022

Gross Revenue | Actual Expenses | Actual NOI

$154,440......... | $70,345.............. | $84,095

Expense Ratio: 45.6% Offer @ 10% Cap (Actual): $840,950 Offer @ 10% Cap (Pro Forma 35%): $1,003,860 Gap: $162,910

⚠️ What Does This Mean? Revenue went up — that's good. But expenses jumped hard. Even though the park made more money, it kept less of it. The gap between the real numbers ($841K) and a pro forma pitch ($1M+) is $163K. Expenses are moving in the wrong direction.

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📅 2023

Gross Revenue | Actual Expenses | Actual NOI

$168,204......... | $99,425.............. | $68,779

Expense Ratio: 59.1% Offer @ 10% Cap (Actual): $687,790 Offer @ 10% Cap (Pro Forma 35%): $1,093,330 Gap: $405,540

🚩 What Does This Mean? Best revenue year in the stack — but expenses nearly ate all of it. NOI actually went DOWN from 2022 even though the park brought in more money. The operation got more expensive faster than it got more profitable. The pro forma gap ballooned to $405K. Something drove costs way up this year — heavy maintenance, subcontractors, something. You need to know what before writing any offer.

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📅 2024

Gross Revenue | Actual Expenses | Actual NOI

$155,372......... | $100,499............ | $54,873

Expense Ratio: 64.7% Offer @ 10% Cap (Actual): $548,730 Offer @ 10% Cap (Pro Forma 35%): $1,009,920 Gap: $461,190

🚨 What Does This Mean? Revenue dropped AND expenses stayed high. The park is spending nearly two-thirds of everything it collects just to keep operating. Actual offer supported: $549K. A seller using 35% expenses shows you $1M+. That's a $461K difference on the exact same property. Four straight years of expenses climbing.

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📅 2025

Gross Revenue | Actual Expenses | Actual NOI

$138,410......... | $97,435.............. | $40,975

Expense Ratio: 70.4% Offer @ 10% Cap (Actual): $409,750 Offer @ 10% Cap (Pro Forma 35%): $899,670 Gap: $489,920

🔴 What Does This Mean? The park is keeping less than 30 cents of every dollar it collects. Revenue falling. Expenses staying put. Real numbers support $410K. A pro forma at 35% would hand you a number near $900K. Same year. Same property. Same income. $490K gap. This is the alarm bell.

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📊 5-YEAR SUMMARY

Year | Exp % | NOI......... | Offer 2021 | 38.4% | $88,879 | $889K 2022 | 45.6% | $84,095 | $841K 2023 | 59.1% | $68,779 | $688K 2024 | 64.7% | $54,873 | $549K 2025 | 70.4% | $40,975 | $410K

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💡 THE BIG PICTURE

Revenue peaked in 2023 and has been dropping. Expenses have gone up every single year. NOI fell more than 50% in four years — from $88K down to $40K. The offer price the real numbers support dropped from $889K all the way to $410K.

If a seller pitches this park using a 35% expense pro forma, they're asking for nearly $500K more than the actual income justifies.

The one question you have to answer before making any offer:

👉 Are these high expenses a management problem a new owner can fix — or is this just what it costs to run this park?

If it's fixable → there might be a deal at the right price. If it's not → walk.

That answer is the difference between a deal and a disaster.

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