WHAT’S IT WORTH?
NOI/CASHFLOW/CAP RATING
Posted: April 23, 2023
At Campground Marketplace, we recognize the complexities involved in assessing the true value of a campground in the competitive property market. Our expertise are what sets us apart from the rest. For over
five decades, we have perfected a meticulous system using state-of-the-art tools that provide you with a precise evaluation of your park.
Central to our approach is our cap scale rating system, which offers a unique perspective on the worth of a campground. Glimpse into the exceptional metrics that make our system stand out:
PROFESSIONAL CAP RATE SCALE
There are no two campgrounds, resorts or marinas that are exactly alike anywhere. In order to determine the value of such a business opportunity, we have devised a method that is comparable to what a lender or appraiser might use.
It is essential that the cash flow breakdown and expense adjustment be clearly articulated, with footnotes that explain the adjustments made.
We will guide the seller through this process.
Ultimately, only one number is needed to determine a value range, and that is the adjusted bottom line. Factors such as location, business condition, property condition, and physical asset condition are taken into account to derive a CAP rate number that provides an estimated market value range.
Using multipliers based on gross revenue is not a reliable method for determining true business value. Instead, a clear expense adjustment is necessary to arrive at the adjusted bottom line. We understand the hard work that goes into building and running a business, and we believe that sellers deserve to earn their equity when it is time to move on to the next chapter of their lives.
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Call or email us! We are ready to help you achieve your dream.
(616) 957-2496 | info@thecampgroundmarketplace.com