Dallas company to spend more than $700 million on RV parks
RREAF Holdings purchased a first set of properties for $157 million and expects to spend another $550 million on more.
A Dallas-based real estate development firm is making a massive investment in RV properties.
RREAF Holdings LLC acquired five RV parks in Alabama, Florida and Texas for $157 million, the company said Wednesday. It also said it plans to acquire a second collection of RV parks this year for an expected $550 million.
A new RREAF division “is positioned to deliver well-located, high-quality, highly amenitized outdoor living properties catering to middle America,” the company said.
Plans for the five communities include developing additional pads and upgrading existing amenities. Construction at the parks is expected to be completed by 2026.
One Texas community was included: Lavendel Resort in Fredericksburg, which is about an hour northwest of San Antonio.
The communities include:
- Mobile West, Theodore, Ala.
- Gulf Breeze, Gulf Shores, Ala.
- Bay Palms, Coden, Ala.
- Lavendel Resort, Fredericksburg
- Wildwood, Wildwood, Fla.
Three are near the Gulf Coast in Alabama, where D.R. Horton, another North Texas company and the nation’s largest builder, bought a fast-growing homebuilder for roughly $100 million.
RREAF Holdings has divisions across many different real estate sectors including multifamily, hospitality, resorts and student housing. The firm and its partners manage more than $4.5 billion in assets across 15 states.
The company recently created a division for master-planned developments and has plans for a community of about 8,500 single-family homes in Midlothian.
RREAF Holdings CEO Kip Sowden said evolved remote work and school options stimulated the RV industry and that the company plans on being a significant player in the space.
As of 2021, RV ownership had increased 62% in 20 years with a record 11.2 million households, according to the RV Industry Association.
“For years, we have seen the demand for more RV parks across the U.S. grow,” said chief investment officer Graham Sowden. “Between homeowners looking to change up their housing lifestyles to individuals wanting the comfort of their own home while they’re on the road, RV parks have become a booming part of the ever-growing real estate sector.”
Mitchell Parton, Residential Real Estate Reporter. Mitchell covers residential real estate across North Texas for The Dallas Morning News. He previously covered commercial and residential real estate for the San Antonio Business Journal and is a graduate of the University of Cincinnati.