How to Identify a Site for Your Austin Area Glamping Property
Are you looking to develop a boutique resort in the greater Austin area - someplace where people can escape the hustle and bustle of the city, connect with nature and enjoy looking up at the stars at night? Perhaps your vision includes a venue space and multiple tiny homes, or maybe you’ve dreamed up the ultimate escape with tipis, yurts, yoga classes, and elaborate trails throughout the property. No matter what your vision is for a glamping retreat, your first step is to nail down the location, and that’s no easy feat. You need to find someplace where you can legally bring your dream to life. You need it to be an attractive location to visitors, and something that makes sense economically. And, you need to ensure that the property will be feasible and financially viable based on the topography and utility constraints. That may all seem like a lot of research, but if you follow these steps, it will make the search a hell of a lot easier.
Step 1: Identify a General Geographic Area
I recommend starting your search by defining a general geographic area that makes sense for your vision. Look for areas where there is a natural market fit for the product you intend to create. Then, isolate your search to areas with regulations that will be most favorable to your vision from a jurisdiction stand point. In the City of Austin, it’s pretty challenging to make something like a glamping resort work. Not only is the land cost often prohibitive, but the planning and development process is usually lengthy, expensive, and confusing. All of these elements often lead to a not so great start to creating a profitable venture. Properties located outside of municipal limits are often easier to develop so isolating your search to the suburbs is usually a good starting point.
Step 2: Start Searching For Specific Properties
The best way to start identifying possible options is to work with an experienced agent such as someone from our team. We are familiar with identifying these properties, and can certainly expedite your hunt. (In fact, you can find hand-selected properties with glamping potential here. ) However, if you want to take a stab at this alone, begin by looking at properties that are on at least a few acres. I would say three acres minimum, but depending on how many units you intend to create on your glamping retreat you may need more or less. Next isolate your search to properties that are not in an HOA and have no restrictions. You may eliminate some properties that could work for your purposes by setting these search parameters, but the vast majority of properties with deed restrictions and HOA restrictions will stifle any glamping project feasibility. It’s common to see restrictions against more than two dwelling units on a property, restrictions that limit the type of building material used, or restrictions that prohibit dwellings smaller than 1000 sqft.
Step 3: Confirm the Details
Once you have identified a few solid contenders for your glamping property search, you will want to do a deep dive into the rules and regulations for the area, and that specific land parcel. Start by obtaining a copy of the title report’s Schedule B documents. These will confirm if there are in fact any restrictions on this property. If you discover there truly are no restrictions, you can then proceed to the next step. If there are deed restrictions you may want to consult an attorney to determine if they will impede your vision.
Next, you will want to dive into the logistical elements of the property and the governmental rules, regulations, and zoning. First determine the jurisdiction of the property. Is it in a municipalities full-purpose jurisdiction? Is it in a City’s extraterritorial jurisdiction? Is it only in the county’s domain? You will want to review building criteria for the appropriate jurisdiction. You can also chat with a land consultant for clarity. You will want to look at the existing utilities on the property if any, and the feasibility for adding utilities to serve the various “doors” on your glamping retreat. In central Texas, septic is often the biggest hurdle to getting multiple units on one parcel. Consult with the experts to determine how feasible and costly it will be to get water and power to your tiny homes, casitas, cabins, yurts, tree houses, or whatever else you dream up.
Step 4: Research Income Potential
Once you have determined that a glamping resort is possible on a given parcel, you will want to make sure it will be a profitable investment. Dig deep into data on rental rates for similar properties, analyze booking trends, look at potential developments that would affect travel to the region. Ultimately, you want to determine how much money each unit on the glamping property will realistically generate in rental income. Then, you want to estimate the expenses associated with creating these units. Make sure to include start-up costs such as build-out costs, land clearing, utility infrastructure, professional service fees as well as traditional airbnb start up costs such as furnishings and smart tech. Then, add in your recurring expenses for items such as maintenance, cleaning, and restocking replenishables. If the numbers work, it’s time to take the plunge and start creating your glamping resort.
