Anybody thinking of buying one? Economy is booming and it seems people are traveling and moving around more. They (resorts) are getting fewer and farther between but there are still some nice ones around. We had a member or two here a few years ago who really were searching and wanted to buy. I wonder if they ever found one?
With all the lakes and natural areas down here you’d think there would be more resorts, or fish camps as they call them down here, but most are long gone. And this happened long before the last recession.
I guess there are still plenty on the intracoastal be waterways around the state, just not a ton on freshwater. I suppose people doing staycations would rather be by the ocean than some freshwater lake.
I’ve pondered this many times. I’d love the lake life all season long! The only problem is, you have to have a some money to buy these places. The Lord knows, I don’t have enough of of it. Maybe if that powerball hits tomorrow night for me i’d be in. 
I just saw on BookFace that Wig Wam on LOW is for sale for a cool 1.5 mil…
I think it’d be rewarding, but a tough life. June, July, and August probably putting in 12-15 hour days while everybody else is enjoying their summer. Lots of risk involved too; if the economy tanks one of the first things people would cut out would be vacations. Also, there’s always the chance too you put your resort on a lake where the fishery is mismanaged and tourism declines (cough, cough Mille Lacs)
I thought I heard fairly recently that Everts may be up for sale? I know it was bought fairly recently as well, maybe the owners were looking to make a quick buck? Can anyone confirm that.
A friend of mine grew up on a resort that his family owned. The work and daily chores were surprisingly extensive. From fueling up and cleaning boats, mowing, cleaning the property, running the store ect. it sounded like a dairy farm might have been an easier venture. This was back in the late 70s though during the boom of resorts in our area though as well.
I look at resort listing fairly often for s&g’s, and at their list prices I don’t know how it can be profitable. Any decent sized resort is $700k plus and those are usually with just like 3-4 small cabins and one main residence/office. I mean I realize you don’t do it to become rich, but a 700k loan at 4.5% is a $4600/mo or $55k a year. Really would need a significant down payment or a unique financing situation (i.e. seller financed) to make it manageable to handle the operating costs on top of that.
Always wanted to own a B&B. I’d get to cook for my guests and tell people that we have no vacancy on the weeks that I want to go fishing or on a vacation of my own.
I’ve done the math in my head many many times and really don’t get how the owners can make it work,, even when times are good! Add in the fact that VRBO is becoming a HUGE Deal and unfortunately I think the mom n pop resorts will be a thing of the past. The highly commercialized large places with 100 camper spots and a warehouse of clothing and gifts will be all that’s left IMO.
I did some research on this a few years back.
What I found was that the work was long hours and pretty intense.
The profits were pretty low.
Average client returned 4 years.
Their seemed to be a consensus that the average resort made
very little to justify the expense and work.
The tact that seemed to make the most money in the long run
was to buy a property that could be improved and or expanded
in a market that was desirable
and then resell the property.
A friend of mine grew up on a resort that his family owned. The work and daily chores were surprisingly extensive. From fueling up and cleaning boats, mowing, cleaning the property, running the store ect. it sounded like a dairy farm might have been an easier venture. This was back in the late 70s though during the boom of resorts in our area though as well.
Always seems like a romantic idea, but by the end of a stay at a resort seeing what the owners do/deal with and realizing that is every week of the season for them pretty much takes all the fun out of the idea.
I look at resort listing fairly often for s&g’s, and at their list prices I don’t know how it can be profitable. Any decent sized resort is $700k plus and those are usually with just like 3-4 small cabins and one main residence/office. I mean I realize you don’t do it to become rich, but a 700k loan at 4.5% is a $4600/mo or $55k a year. Really would need a significant down payment or a unique financing situation (i.e. seller financed) to make it manageable to handle the operating costs on top of that.
I’ve felt exactly the same way for quite a while on most small business ventures, have no clue how anyone opens a new restaurant either.
I’ve felt exactly the same way for quite a while on most small business ventures, have no clue how anyone opens a new restaurant either.
That’s why even the top chefs have silent investors providing the financing on new ventures. And also the #1 reason restaurants go out of business, they run out of money.
I want to say the resorts of our youth will make a comeback here but I’m just not sure and it saddens me.
If I think about our old trips that the family would take yearly and the cabins we stayed in, never had AC, seemed to be a few spiders here and there, floors squeeked, couches sagged, bathrooms we’re microscopic and you only took a shower once a week bc you didn’t want to deal with the lack of water pressure. And it was some of the best times I’m sure any of us had back then.
It just doesn’t seem to be that way anymore. People expect 5 star accommodations and need their AC and wifi. Only so much that these ma and pa resorts can do to keep up. Maybe my vision is skewed bc I spend way to much time with city people, but thats where much of the customer base comes from.
I thought I heard fairly recently that Everts may be up for sale? I know it was bought fairly recently as well, maybe the owners were looking to make a quick buck? Can anyone confirm that.
… Hmmmmm.
I once looked at this also.. I asked a long time resort owner and he said… sure it’s easy to run. You just have to be a Hotel Manager, Chef, Waiter, Bartender, Housekeeper, Janitor, Small engine mechanic, Boat/Auto detailer, Carpenter, Computer guru, Accountant, Landscaper and Full time babysitter. Other than that, it pretty much takes care of itself !!!
Maybe if that powerball hits tomorrow night for me i’d be in.
Sounds like a quick way to go from being a millionaire to broke. I would think the opposite. If I owned a resort and won the Powerball, I’d sell and go on vacation.
-J.
I’d sell my bitcoins, invest in lotto tickets and buy a resort with my winnings.
Resorts as most of us know them are going to become few, and far between.
For those interested in owning a resport, your 2 main options are:
1. Scale to a size where one person or a small group of family members can do most of the work. (minimal profits, no “days off”, easily surpassed by the commercialized places and what they offer)
2. Scale to a size where profits are larger and properties expand, but you are forced to hire employees to keep up with things. In my experience it is extremely hard to find competent, hard-working employees without paying north of $15 per hour along with some benefits. As size goes up, so do risks like property insurance, liability insurance, etc.
I would much rather invest in a small lake home or cabin and attempt to “flip” it after making improvements. I think the profit potential is far higher and once the work is done, it is done – unlike at a resort.
This reminds me of the old joke of how to make a million dollars in the restaurant business. Start with $5 million.
Hard to imagine a more difficult business. IMO it could be even harder than the restaurant business because in some cases resorts are seasonal so there’s little or no income during the winter in these operations.
Also, you HAVE to keep up with the expectations of the customer. Just offering fishing isn’t going to cut it anymore in many places, customers want more in the way of family activities and other forms of recreation.
I agree with Nick, the bar as far as quality of lodging is moving up. Like hotels, you have to be investing and upgrading the cabins or rooms on a constant basis or the resort will fall hopelessly behind and it won’t be possible to catch up.
My wife is good friends with a GM at one of the big MOA-area hotels. She said that hotel is on a cycle of overhauling every room, every 3 years. So within a 36 month cycle, it’s a new hotel. Fair or not, it’s that kind of thing that drives customer expectations when it comes to lodging. If your rooms or cabins are from 1994…
Grouse
My dad knew two different guys that owned Fishing resorts. Both did it for many years. My dad asked what the key to their success was? Neither knew each other and yet responded with the same answer “You have to like people, and hate Fishing.”
In other words, the majority of guests are there during peak fishing periods. If you like to fish, you won’t have the time and will end up unhappy. And… people will always find a gripe no matter the service or the Fishing. So it helps to generally like the human population before you eventually get a little jaded from the consistent percentage of malcontents you’ll encounter on a regular basis.
Too much stuff breaks or needs to be maintained. Tough job. You cannot fish too much in July and August but so what? May and june are slow for resorts and so is most of the fall and winter. still not the life for me cannot fix stuff.
I think like a lot of small businesses, it can work if one person also has a full-time job the provide the steady income. And that only works if the resort is really small (like under 5 cabins) or if there are multiple generations working at the resort (like when the parents are slowly transitioning it off to one of their children).
I think the future is pretty bright for resorts. Fewer younger people will either be to afford or even want to own their own cabin. This generation will not want to miss all that is going on in the city on so many weekends. But they will still want to get away. And this generation is the one who “rents” everything and doesn’t own it. Lyft, Uber, Netflix, you name it. They want to get up north for that outdoors experience.
And so many resorts are booked solid for much of the summer. The only resorts I see that have openings during such weeks are those resorts with subpar fishing.
Anyway, like others, I think it’s a terrible idea. Which is unfortunate because who among us hasn’t had that dream.
I thought I heard fairly recently that Everts may be up for sale? I know it was bought fairly recently as well, maybe the owners were looking to make a quick buck? Can anyone confirm that.
There was an article in the Strib or Pioneer Press several months ago that it was sold to a young family. The guy doesn’t know how to fish so it will probably work out great for him. I seem to remember he owns some group homes in the area so obviously has a good business sense.
Everts is owned by the people at 4 Seasons in Red Wing.
Are you sure you aren’t thinking of Beanies’ marina on the St. Croix?
Most resort owners that I have known grew up in the business. Long hard days that maybe end at midnight if there is a bar. Gotta 100% be a people person.
I’ve pondered this many times. I’d love the lake life all season long! The only problem is, you have to have a some money to buy these places. The Lord knows, I don’t have enough of of it. Maybe if that powerball hits tomorrow night for me i’d be in.
I just saw on BookFace that Wig Wam on LOW is for sale for a cool 1.5 mil…
Sad deal about the Wigwam, heard the owner passed away this summer. He hadn’t owned it that long either.
I think the future is pretty bright for resorts. Fewer younger people will either be to afford or even want to own their own cabin. This generation will not want to miss all that is going on in the city on so many weekends. But they will still want to get away. And this generation is the one who “rents” everything and doesn’t own it. Lyft, Uber, Netflix, you name it. They want to get up north for that outdoors experience.
I want to agree with you but man, uber, Lyft, etc came about bc that generation got tired of the shambled same ol taxicabs that there parents took. Wonder how they feel about that same cabin they use to go to? Netflix? That’s the rental for the ultimate laziness. People start yakking on what season and episodes they’re on and I’m just thinking you wasted that much life in your goddamn house watching a TV?! People are starting to live through their tv and online experiences imo and it’s scary.
We have a huge amount of 35 and under still living with their parents, not sure how that will equate to more cabin rentals. We’ve been on a list for resort cabins for 2 years now, and know plenty of other resort grounds where there are waiting lists but I wonder how much that has to do with the fact there aren’t that many left anymore?
As I said I really hope it’s not as grim as I think but…..
My friend dad put his time in the Army and retired with a great pension. Bought a resort up in Fergus Falls. They owned it 4 years and said they never worked so hard in his life.
I looked pretty seriously at a large resort up north a few years ago. About 10 cabins, 20 camper spots and about 20 ice houses with a bar. Needed a staff of 3 or 4 plus my wife and I to make it work. I did a full financial analysis and it would have been break even at best, even with substantial cash down. This was on a great walleye fishery with almost full occupancy.
You have to want to do this… it can’t be a financial decision in my estimation. Like most businesses, you need scale to start generating cash. However, the work and most clientele could make it a really satisfying venture.
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I just saw on BookFace that Wig Wam on LOW is for sale for a cool 1.5 mil…