Optimizing Returns: A Holistic Financial Model for Off-Grid Glamping Ventures
Glamping is becoming increasingly popular and may yield better financial returns than traditional hotel developments in some situations, especially in unspoiled locations which are inaccessible for traditional hotel/resort construction because it disturbs the site too much. This paper presents a detailed financial model for analysing the performance of glamping properties to inform decision-making about investing in them. It focuses particularly on properties that are “off the beaten track” for singles, couples, small families and others who want to “unwind” and “commune with nature” in relatively isolated off-grid locations, such as nature reserves, vineyard/wineries, golf resorts or wellness and spa hideaways. In the authors’ view, glamping is particularly well suited to this kind of hotel. In the normal way, the financial model summarizes the development of these properties in detail and itemizes the specific capital investments needed to establish an off-grid glamping property, in contrast to a similar traditional grid-connected hotel.
