SBA 7(a) RV Park Feasibility Study in Texas

Texas leads the nation

No state beats Texas for count of 7(a) loans to RV parks and campgrounds, and its 85 loans from FY2017 to FY2026 total $166.2 million. Yet the class is only 24th of 39 inside Texas, so the state's national lead comes from its sheer size rather than from RV lending being central to its economy. The median of $1.6 million is 1.92x the national reading, the biggest ratio on these pages, with the central half running from $561,000 to $3.1 million. Franchising is almost absent, at 1.2% of loans.

Few lenders and a scattered map

Only two holders stand out in SBA's data: Live Oak Banking Company, with 10 loans worth $36.0 million, and The Huntington National Bank, with 6 loans and $21.3 million. Both have big average tickets, which fits a class where developers finance land, sites and amenities together. The counties are scattered: Harris has 7, Galveston 5, Brazoria and Uvalde 4 each, and Bandera, Collin and Tarrant 3 each, with Bell, Blanco and Burnet at 2. Coastal, Hill Country and metro-fringe parks all appear, so precedent depends on the type of site.

Floors

Cancellation after approval is floored at 11.4% and the ceiling is the same. For the 44 early loans that funded, In the 44 early loans that funded, 0.00% have gone to charge-off on either measure, a minimum and nothing more. The yearly record is lumpy: 5 loans and $12.6 million in FY2017, 17 and $33.1 million in FY2021, and 5 and $12.4 million in FY2026.

What an RV park study must resolve

RV parks are a hospitality business tied to land, and the study has to decide what kind. A destination resort, a transient stopover on a highway and a long-stay park for workers have different demand drivers and seasonality. The study should test the site rates against competing parks, the occupancy through the off-season, the cost of utilities, grading and hookups, and the permitting path, against a loan near $1.6 million. Revenue from amenities, store sales and long-term monthly stays should be separated from nightly rates. Flood exposure and access matter in several of the counties listed. The appraisal will value the park as a going concern. One caveat on coding: parks, resorts and campgrounds are a single category in SBA's industry list, so these figures pool them.