14 Y/O Renowned, Colorado Ski-Country Vacation Rental Management Firm with Properties in Multiple Markets
Rapidly Growing Vacation Hotspots; Dominant Presence in the High-End Rental Market; Well-Established Management Team; Projected Revenues of $14MM
The company, established in 2007, is a high-end, regional vacation rental leader managing high-end rentals in multiple Colorado destination markets.
The Company’s high service model and demonstrated revenue generation is key to acquiring and retaining clients, consisting of affluent owners of seven-figure second homes. The disciplined focus on this niche has helped drive above-market commission rates, greater than average length of stay, and high fixed cost efficiency as a result of above-average cost of stay per property and vertically integrated services such as hot tub maintenance, housekeeping, and laundry.The Company is a differentiated VR company with strong regional market share and an exceptional national reputation, well-positioned to serve a client base who became long-term partners and are not well served by more commoditized VR management providers.
The Company sustains growth through the disciplined acquisition of high-end properties and relentless focus on service and customer experience for owners and renters alike. Its established, defensible, and growing base of high-end vacation rentals and replicable market expansion strategy has planted the Company in a prime position to both grow in its current markets and expand into other regional ski or sun/fun destinations.
The Company focuses on quality of property as opposed to volume to create a hedge against multi-state competitors, capture higher value guest and trip spend, minimize overhead, drive maximum revenue per property, and provide a clear niche target for marketing to homeowners and guests. Over the last two seasons, ADR grew 13.7% from $459 to $522, and avg reservation value grew 32% YoY from $1.94k to $2.56k.
The business is poised for continued growth with industry reports suggesting pent-up demand will lead to strong years to come in the vacation rental industry. The Company’s current markets are growing faster than the industry average for other similar destinations and expect a strong 2021/22. Conservatively projected revenue for 2021 is expected to reach ~$14M (EBITDA $2.0M+), with average revenue per property ranging from $60- $80k across the Company’s current markets through the 2021/2022 season.