During the COVID-19 boom, the outdoor hospitality industry saw an influx of cheap capital, aggressive acquisitions, and rapid development. Fast forward to 2026, and the landscape is shifting for operators.
With five-year loan maturity dates looming for peak-market buyers, campground owners are facing squeezed profit margins, inflated interest rates, and an oversaturated market. The days of guaranteed returns are over, and maintaining property value now hinges entirely on running a tighter, more intentional operation today.
The Valuation Squeeze
“If you bought with 4% interest and you bought maybe a 6% cap rate park, you’re finding yourself in a tough spot right now,” Landan Dory, founder of North Star Brokerage & Advisory, noted during the August 19, 2026, episode of MC Fireside Chats.
With many operators facing refinancing rates upwards of 7%, Dory pointed out that falling Net Operating Income (NOI) is making it difficult for some owners to hold onto their properties or exit profitably.
This squeeze is largely exacerbated by rapid regional overdevelopment. For example, while historical data from a 2018 Horizon study tracked approximately 2,100 RV parks in Texas, modern tracking now identifies over 3,800 operational parks in the state. This massive inventory surge dilutes camper demand across the board, a trend that mirrors broader capacity expansion investments in the U.S. camping market.
Focusing on NOI over Vanity CapEx
Jeff Hoffman, partner and founder of Camp Strategy, agreed that the current economic climate demands active, numbers-driven management. Buyers and lenders are no longer impressed by costly aesthetic upgrades if those improvements don’t move the needle on cash flow and debt service.
“You can have the prettiest park in the world, but if your occupancy is 13%, it’s not pretty to me,” Hoffman explained. He stressed that valuation ultimately comes down to NOI, advising owners to rigorously report all income and optimize rate structures well before considering a sale.
Operations: Why Smaller and Niched is Winning
To combat tightening margins, operators are realizing they cannot be everything to everyone. The solution isn’t adding more generic dirt sites, but defining an Ideal Customer Profile (ICP) and catering operations entirely to that guest.
John McMahon, operations director at Camp Door County, built his business with this exact focus. He targets a premium demographic willing to pay higher rates for top-tier amenities, strict cleanliness, and premium landscaping.
“We didn’t want that business like everybody else,” McMahon said. He noted that prioritizing a highly specific, affluent guest—even if it means occasionally turning away budget-conscious campers—keeps his 168-day seasonal business highly profitable without needing to over-expand.
McMahon’s strategy aligns with data from Campspot‘s Mid-Season performance analysis, which indicates that smaller campgrounds—specifically those under 100 sites with at least 20% of their portfolio dedicated to high-end lodging or super glamping—are among the most consistently profitable properties in the current market.
The K-Shaped Camper Market
This split is supported by analysis from Rafael Correa, president and CFO of Blue Water Development, whose published research on the K-shaped camper market identifies two distinct demand segments.
- Premium Guests: Renters with higher disposable income who are continuing to seek out highly amenitized, luxury resorts and are willing to pay a premium.
- Economy Campers: Traditional campers who are becoming increasingly cost-sensitive and tightening their travel budgets due to inflation.
Operators who try to bridge this gap by mixing transient weekenders with long-term workers, or luxury travelers with budget tenters, risk alienating their core demographic entirely. The ultimate takeaway for operators in 2026 is simple: pick a lane, tighten operational inefficiencies, and double down on the specific guest profile that drives your park’s highest ROI.
The operators who figured this out in 2024 are already seeing the returns. The ones who wait until their refinance date hits may not have the margin to catch up.
The full episode of this MC Fireside Chats broadcast is available at https://moderncampground.com/fireside-chats/mc-fireside-chats-august-19th-2026/.
About MC Fireside Chats
MC Fireside Chats is a live podcast experience dedicated to the outdoor hospitality and outdoor recreation industries. Hosted by Brian Searl, founder and CEO of Insider Perks and Modern Campground, the show offers engaging discussions with industry leaders, innovators, and experts shaping the future of camping, RVing, glamping, and outdoor recreation.
Airing every Wednesday at 2 p.m. (ET), the show follows a structured weekly theme to deliver deep dives into the most relevant topics:
- Week 1: Industry Trends & Insights
- Week 2: Enhancing Guest Experience
- Week 3: Business Operations & Management
- Week 4: Marketing, AI, and Technology
Each episode features a panel of recurring guests, complemented by 1–2 rotating special guests, including industry analysts, campground owners, technology providers, sustainability advocates, and more. Whether exploring the latest market trends or innovative guest experience strategies, MC Fireside Chats delivers thought-provoking insights for professionals and enthusiasts across the outdoor recreation spectrum.
To explore previous episodes of MC Fireside Chats, visit: moderncampground.com/mc-fireside-chats.
