RV Park Cap Rates in South Dakota
Real capitalization rate data from 8 parks across South Dakota. Understand what the market is actually returning before you write a check.
What This Means for Investors
South Dakota is running hot. An average cap rate of 15.2% is well above the national norm, which signals either underpriced assets, rural markets with strong cash flow, or operators who haven't professionalized revenue. For buyers, that spread is opportunity — find the bottom-quartile operators and you're buying cash flow, not just real estate.
The wide range (6.1%–24.7%) tells the other side of the story: there are parks in this state priced like trophy assets and parks priced like distressed debt. Know which bucket you're bidding on. The highest cap rates typically reflect either management upside or location risk — underwrite both.
With data spread across 7 cities, South Dakota offers enough geographic diversity to be selective. The city breakdown below shows where the cap rate compression is worst and where pockets of yield still exist.
At an average estimated value of $1,214,716, most South Dakota parks are in reach for individual investors or small syndicates — this isn't a market dominated exclusively by institutional buyers.
Cap Rates by City — South Dakota
| City | Avg Cap Rate | Parks | Avg Valuation |
|---|---|---|---|
| Aberdeen | 24.7% | 1 | $166,077 |
| Watertown | 22.9% | 1 | $324,983 |
| Custer | 19.3% | 1 | $978,882 |
| Hill City | 17.0% | 1 | $1,135,272 |
| Sioux Falls | 16.5% | 1 | $284,703 |
| Midland | 8.2% | 1 | $2,420,000 |
| Pennington County | 7.3% | 1 | $2,641,432 |
Top 10 Highest Cap Rate Parks
Highest estimated returns — investigate occupancy, management quality, and NOI sustainability before buying on cap rate alone.
| Park Name | City | Cap Rate | Sites | Est. Value |
|---|---|---|---|---|
| Country Village | Aberdeen | 24.7% | 7 | $166,076 |
| Prairie Pasque Campground | Watertown | 22.9% | 15 | $324,982 |
| Broken Arrow RV Park | Custer | 19.3% | 43 | $978,881 |
| Black Hills Trailside Park Resort | Hill City | 17.0% | 46 | $1,135,271 |
| Westwick Motel and Campground | Sioux Falls | 16.5% | 12 | $284,703 |
| Belvidere East / Exit 170 KOA | Midland | 8.2% | 44 | $2,420,000 |
| Happy Holidays RV Resort | Pennington County | 7.3% | 100 | $2,641,432 |
| Custer Crazy Horse Black Hills Koa Holiday | None | 6.1% | 86 | $1,766,385 |
10 Lowest Cap Rate Parks
Lower cap rates reflect higher prices relative to income — often found in premium markets, coastal areas, or parks with strong amenities and stable occupancy.
| Park Name | City | Cap Rate | Sites | Est. Value |
|---|---|---|---|---|
| Custer Crazy Horse Black Hills Koa Holiday | None | 6.1% | 86 | $1,766,385 |
| Happy Holidays RV Resort | Pennington County | 7.3% | 100 | $2,641,432 |
| Belvidere East / Exit 170 KOA | Midland | 8.2% | 44 | $2,420,000 |
| Westwick Motel and Campground | Sioux Falls | 16.5% | 12 | $284,703 |
| Black Hills Trailside Park Resort | Hill City | 17.0% | 46 | $1,135,271 |
| Broken Arrow RV Park | Custer | 19.3% | 43 | $978,881 |
| Prairie Pasque Campground | Watertown | 22.9% | 15 | $324,982 |
| Country Village | Aberdeen | 24.7% | 7 | $166,076 |
Get Full Owner Contact Data for South Dakota
Cap rates tell you where to look. Owner contact data gets you in the door. Access phone numbers, emails, and deal pipeline tools for every park in South Dakota.
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